Real Estate Lending

Building impact.

When building vibrant communities, real estate developments that spur growth, job creation, and an improved quality of life are essential.

We provide financing for commercial real estate and affordable and workforce housing, including multi-family developments, commercial properties, medical centers, healthy food grocers, and much more. We have a proven track record of providing innovative financing options for harder-to-structure projects where other lenders and financing institutions might not be willing to lend.

Real estate advising

Beyond lending, we’re a partner for all projects in which we invest. You are able to tap into our vast industry expertise to learn more about best practices and observed challenges. We bring in experts and stakeholders to ensure every project has a plan for success. We can deploy talent and resources to answer complex questions you may have regarding capital sources, regulations, development methods, and more.

Products

Our loan officers are found in many corners of Virginia and have a wealth of expertise in assembling financing packages that are customized to your unique needs. Our team has the ability to analyze complex transactions and use consideration in identifying options that are both attractive and flexible to your goals.

VCC offers a variety of financing options.

Acquisition/refinance loans

We offer mini-perm loans for non-owner occupied commercial, multifamily and 1-4 family housing.

  • Loan-to-value: Up to 85%
  • Term: Up to 60 months
  • Guarantees: Personal/corporate guarantee required.
  • Collateral: First deed of trust
  • Due diligence: Appraisal and environmental site assessment
  • Mini-perm loans

Construction loans

We offer construction loans to finance costs during construction through permanent loan closing. 

  • Loan-to-value: Up to 80%
  • Term: Up to 24 months
  • Guarantees: Personal/corporate guarantee required.
  • Collateral: First deed of trust
  • Draws: Predicated upon third party review and VCC approval
  • VCC example: Weatherly Lofts

Historic Tax Credit bridge loans

Financing to assist with the flow of funds from Part II approval through construction until Part III approval.    

  • Loan-to-value: Up to 90% of LIHTC tax credit equity proceeds
  • Term: Up to 24 months
  • Guarantees: Personal/corporate guarantees required.
  • Collateral: Assignment of HTC tax credit equity proceeds and second deed of trust
  • Closing Conditions: Part II approval, fully executed HTC agreement
  • Draws: Predicated upon third party review and VCC approval
  • VCC example: Wythe School Apartments

LIHTC financing 

  • Predevelopment loans: VCC offers predevelopment financing to those who have received 4% or 9% allocations and need to finalize all predevelopment activities in order to close on a construction loan. 
    • Term: Up to 18 months
    • Guarantees: Personal/corporate guarantees required.
    • Collateral: Assignment of credits
    • Approved LIHTC allocation required.
    • Draws: Predicated upon detailed expense documentation and VCC approval.
    • May be eligible for VCC’s low-interest Housing Catalyst Loan Funds.
    • VCC example: Ovation at Arrowbrook
  • Construction loans: VCC offers Construction loans to finance the costs during construction through permanent loan closing.
    • Loan-to-value: Up to 80% of as-built, as-stabilized value.
    • Term: Up to 24 months
    • Guarantees: Personal/corporate guarantees required.
    • Draws: Predicated upon third party review and VCC approval
    • May be eligible for VCC’s low-interest Housing Catalyst Loan Funds
    • VCC example: Pinecrest Preservation
  • LIHTC bridge loans: Maximize your credit value or fill a gap of funds during construction with a VCC-LIHTC bridge loan.
    • Loan-to-value: Up to 90% of LIHTC tax credit equity proceeds
    • Term: Up to 24 months
    • Guarantees: Personal/corporate guarantees required.
    • Collateral: Assignment of HTC tax credit equity proceeds and second deed of trust
    • May be eligible for VCC’s low-interest Housing Catalyst Loan Funds
    • Closing Conditions: Part II approval, fully executed HTC agreement
    • Draws: Predicated upon third-party review and VCC approval
    • VCC example: Piper Square

Note: Interest rates may vary at time of application. Terms subject to change.

Programs

Affordable/Workforce Housing

VCC supports developers to grow safe and affordable housing options in Virginia using The Housing Catalyst Fund – a program supported in part by the U.S. Department of Treasury’s Capital Magnet Fund Program. Through this program, we are able to offer low rates for acquisition and construction loans as well as bridge, gap, and mini-perm financing.

Eligible borrowers include both for- and non-profit entities, housing authorities, and mixed-use developments.

Virginia Community Capital is a member institution with The Federal Home Loan Bank of Atlanta’s Affordable Housing Program (AHP), assisting borrowers in accessing their funds.

Contact Our Real Estate Team

Lending

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Loan Closing: West Main Street, LLC, Pulaski

The Town of Pulaski, located just southwest of the City of Radford, is undergoing a large-scale downtown revitalization in an effort to preserve the historic buildings in the commercial district, encourage economic development along Main Street, and attract visitors and customers to local businesses.

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