Project Finance and Funding

Get quick, hassle-free finance for real estate construction and development. Designed exclusively to fulfil the financial needs of real estate developers. Developer Finance contains a suite of products that help you with all the costs of completing a real estate project, from construction to working capital.

  • Bullet Point #1: High loan amount up to Rs.150 crore
  • Bullet Point #2: Fast Approval.
  • Bullet Point #3:Speedy Disbursal
  • Bullet Point #4:Flexible repayment options
  • Bullet Point #5:Tailor-made solutions
  • Bullet Point #6:Great service before and after sales


  • Construction finance
  • Inventory funding
  • Balance transfer and top-up facility
  • Finance for ongoing Projects


  • Get tailored home loans for prospective buyers
  • EMI Holiday
  • Subvention Scheme
  • Dedicated Manager for your project

Project Financing

Our developer finance suite consists of the following products:

  • Construction finance – To fulfil construction costs for projects being developed
  • Inventory funding – To fulfil working capital requirements
  • Balance transfer and top-up facility – To fulfil development costs for ongoing projects

Features and Benefits

  • Get a high loan amount up to Rs.150 crore, with flexible repayment options
  • Get a quick approval on your loan, with speedy disbursal of funds once the loan is approved
  • Get tailor-made solutions with customised facilities that suit your specific requirements
  • Get on-the spot assistance by our experienced and dedicated relationship manager at every location
  • Get flexible schemes that help you leverage steady cash flow for increased project security
  • Get post-disbursement service, including NOC issuance and home loan support to help your projects succeed in the market
  • Get tailored home loans for prospective buyers looking to purchase a property in your project

Lending money for construction, particularly new construction, is riskier than many other types of lending. For starters, construction is a complex undertaking with
many potential pitfalls. It requires a strong ownership with a defined plan for finished facilities. And it demands a skilled project teamto deliver your build on-time, on-budget and to high quality standards. Lenders want to know your project will succeed, so they’ll take measures to evaluate your project’s viability and their risk.

When evaluating potential borrowers for a construction loan, lenders start with the profit test, which determines whether or not your finished facility will be worth more than cost of your project — particularly if you plan to use your facility as loan collateral.

Lenders will evaluate how much relevant experience your ownership group has and the experience of your project team. And they’ll consider how invested you are in your project using two measures:

1.The loan-to-value ratio

2.The loan-to-cost ratio



amount of money borrowed


estimated value of facility



amount of money borrowed


cost of project

Today, most lenders dont usually finance more than 75 percent of a project value. Depending on the job, the threshold may be lower than 75 percent. The lower the loan-to-value and loan-to-cost ratios, the less risk your lender is taking and the less need you have for additional collateral or personal guarantees.


When planning your project and asking for loans, you will need to account for four different types of costs:

1.Hard costs

  1. Your direct construction labor and materials costs

2.Land costs

  1. The cost of acquiring land and property— sometimes, land costs are

considered soft costs

3.Soft costs — all the costs you don’t see

  1. Permitting
  2. Architectural design
  3. Engineering
  4. Taxes
  5. Insurance (liability, builder’s risk, title policy and contingency policy,

among others)

  1. Construction bonding, testing and inspections
  2. Developer’s fee or broker’s commission
  3. Appraisal and legal fees
  4. Interest on construction payments

4.Contingency reserve

  1. You must keep a reserve fund at all times to make interest paymentsand keep your project solvent

    1. Lenders may require you to keep a certain reserve level, typically 5

    percent of soft costs

    Consider all of these costs before you ask for a loan. If you fail to accountfor all of them, it will be a challenge to secure funding or even complete your project.

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