Church Lenders Directory

Griffin Capital Funding closed several mid- construction loans

This month Griffin Capital Funding closed several mid- construction loans. Typically, it is difficult enough to get a bank to offer a church loan and when a church finds itself with a partially completed construction project and not enough funds to finish, most lenders run for the hills. Regardless of whether the church started the construction project hoping that they would be able to complete the project through donations or a capital campaign or they had a loan but had cost overruns and the bank refused to advance additional money the result is the same; a partially finished building and a deflated congregation.

One of our construction closings this month was for a church in Spring Branch, TX. The church was 80% finished with their new building, but they just could not raise enough capital to complete their facility, and the project had stalled. They went to their bank looking for a loan but as is the case with most traditional lenders they did not want to get involved in a mid-construction project. The reason lenders do not want to get involved in mid-construction projects is because it can be difficult to get lien releases from contractors and to determine what has been spent and what is left to complete. Thankfully, the church came to us looking for help to complete their project and our analyst Scott Obenhein reviewed the project and determined that they did qualify for a church construction loan and they were approved for a 4.85% fixed rate for 5 years and a 20-year amortization. Now the church is back to “Stacking Bricks” and they will soon be in their new facility.

Regardless of the reason why your construction project stalled, when you need a partner that will listen and offer advice based on over 1,000 closed church loans and not charge any upfront fees, we are here for you. We offer a number of different church loan programs depending on the strength of the church, location, type of loan, size of the loan and other factors. Some of the programs we offer are: 15, 20, 25 and 30 year fully fixed loans with no balloons and no rate changes and no personal guarantees.