Construction & take-out financing for Canadian builders
Purpose-built rental, multiplex, mid-rise, mixed-use and condo-to-rental. We match your project to CMHC ACLP, MLI Select, conventional construction or bridge-to-CMHC, then line up the take-out before you break ground.
Built for builders with a real project
We underwrite to your pro forma, your team and your exit, and structure the capital the way active builders expect.
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Purpose-built rental (5+ units)
Apartment and rental projects that can use CMHC-insured construction and permanent financing.
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Multiplex & missing middle
5–20 unit infill multiplexes where the take-out drives how much construction debt you can carry.
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Mid-rise & mixed-use
Residential over commercial, where lenders treat the residential and non-residential components differently.
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Condo-to-rental
Projects switching from sales to rental tenure, which opens CMHC rental programs that a for-sale condo can't use.
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Draws & quantity surveyor
Draws released against milestones verified by a quantity surveyor or inspector, with interest on funds drawn.
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Land & pre-development
Land, rezoning and permit-stage financing so the project is ready when the construction loan closes.
ACLP vs MLI Select vs conventional vs bridge
Four ways to fund a build. The right one depends on tenure (rental or for sale), your MLI Select points, timing and how much equity you want to leave in.
| Program | Best for | What it funds | Leverage | Take-out |
|---|---|---|---|---|
| CMHC ACLP (Apartment Construction Loan Program) CMHC: Apartment Construction Loan Program | Purpose-built rental with 5+ units. Rental only, not condos for sale. | Construction-period loan from CMHC, built to move into CMHC-insured permanent financing. | Up to 100% of the cost of the residential component on qualifying projects. | CMHC-insured permanent financing, usually MLI Select. |
| CMHC MLI Select (new construction) | Rental projects that can earn 50+ points for affordability, energy efficiency or accessibility. | CMHC-insured multi-unit financing. Some lenders insure both the construction and permanent phases. | Up to 95% LTV and up to 50-year amortization at 100+ points; 1.10x minimum DSCR. | Is the permanent take-out. |
| Conventional construction | Rental, condo or mixed-use projects that don't fit CMHC rules or need a faster close. | Bank or credit union construction loan, drawn against verified milestones. | Sized by loan-to-cost and the lender's value. Set per project. | Separate permanent loan: CMHC MLI or conventional. |
| Private / bridge → CMHC take-out | Starting before the CMHC file is ready, land and pre-development, or stalled files. | Short-term private capital at a higher cost than insured debt. | Quote-dependent. | Refinance into MLI Select at stabilization, up to 95% LTV. |
ACLP is a $55 billion federal program aimed at more than 131,000 rental homes by 2031–32. Rates on every program are quoted per project, so we don't publish them. CMHC
How a construction deal is structured
Every construction lender asks the same four questions: how much is in, what does it cost, who covers overruns, and who stands behind the loan.
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Land & equity in
Cash in plus land equity. If you own the land and have added value through rezoning or permits, lenders may count that value toward your equity.
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Loan-to-cost (LTC)
The loan as a share of the total project budget: land, hard costs, soft costs, financing costs and lease-up. Lenders also check it against the appraised value on completion.
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Cost overruns
Lenders want a contingency line in the budget and a quantity surveyor's cost review. Overruns above it are generally yours to fund before the next draw, so keep reserves outside the project.
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Guarantees & covenant
Expect lenders to ask for guarantees from the principals and to review net worth, liquidity and build track record against the size of the project.
From pro forma to take-out
CMHC-insured files take longer than conventional ones, so start the conversation before permits are issued.
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Submit your project
Units, stage, budget and land position. We reply with the programs that fit.
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Program match & structure
ACLP, MLI Select, conventional or bridge, plus the take-out, modelled against your pro forma.
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Package & lender/CMHC review
Appraisal, cost review, team and financials go to the lender and, where insured, to CMHC.
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Commitment & first draw
Conditions are cleared, then construction funds flow in draws as milestones are verified.
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Completion, lease-up, take-out
Once the building is complete and leased, the permanent mortgage pays out the construction loan.
Documents lenders ask for
You don't need all of this to start. Send what you have and we'll tell you what's missing.
- Pro forma with stabilized rents and operating expenses
- Construction budget with contingency (quantity surveyor review if you have one)
- Site plan, drawings and permit or zoning status
- Land purchase agreement or proof of ownership
- Appraisal, or the most recent one if ordered
- General contractor contract and the team's experience
- Personal and corporate net worth statements
- Market rent support and your lease-up plan
Send your project in one form
Two minutes. No documents needed yet. Scott reviews every development submission and replies with the programs that fit.
- Program match: ACLP, MLI Select, conventional or bridge
- Take-out planned before you break ground
- Book your development call right after you submit
Financing guides for your project
The service pages behind each program.
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Construction financing FAQ for builders
Straight answers to the questions builders ask before they apply.
Costs & qualifying
Process
Programs
Programs (Continued)
Have a pro forma ready? Send the project and we'll match it to a program.
Submit your project