Adaptive reuse asks a lender to underwrite a building twice: as the empty box it is today, and as the self-storage, medical, light-industrial or residential use it is meant to become. The gap between those two values is the whole deal.
What the file turns on
Zoning and whether the new use is permitted by right or needs a variance, a hard-cost budget from a contractor who has done the conversion before, the structure’s suitability — floor loads, column spacing, loading — and the as-complete value.
Where deals fail
A budget built on a square-foot rule of thumb, a variance assumed rather than obtained, and a timeline with no allowance for permitting.
Structure of the financing
These usually fund as a bridge or construction loan against the as-complete value and then refinance once the new use is stabilised.
Our minimum loan is $200,000. We are a direct commercial lender working across the 43 states we serve, in business since 1998. We do not publish a rate for this product because the number depends on the file — call and we will quote the deal in front of us.
Self-Storage Loans in Texas · Construction financing · Bridge loans · Hard money loans · All property types