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Construction Loans in South Bend, IN

Find lenders offering construction loans in the South Bend, including Mishawaka, Elkhart, Granger, and surrounding areas. Compare rates, terms, and programs from 13 lenders.

Lenders
13
Typical Rate
7% - 10%
Down Payment
20-35%
Term
12-36 months (construction period)
Closing Time
30-60 days

Construction Lenders Serving South Bend

13 lenders offering construction loans in the South Bend, IN area.

Merchants Capital

Local

Indianapolis, IN

Bank-backed commercial lender active in 47 states. Over $6.8B in financing. Specializes in multifamily, affordable housing, and healthcare.

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Bank of America

Charlotte, NC

One of the largest US banks. Commercial real estate lending, construction financing, and SBA loans through nationwide branch network.

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Broadmark Realty Capital

Seattle, WA

Private real estate lender offering bridge, construction, and land loans. Now part of Ready Capital. Loans from $500K to $25M+.

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CoreVest Finance

Irvine, CA

Rental portfolio and bridge lender for residential real estate investors. Build-to-rent and portfolio financing specialist. Redwood Trust subsidiary.

$200K – $50M
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JPMorgan Chase

New York, NY

Major CMBS originator and commercial lender. Full range of CRE financing including conduit, agency, and balance sheet.

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KeyBank Real Estate Capital

Cleveland, OH

Major bank CRE lender. Balance sheet, agency, and CMBS lending for multifamily, office, retail, and industrial properties.

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Lima One Capital

Greenville, SC

Private lender for real estate investors. DSCR loans require 1.5+ ratio, min FICO 700. 5, 10, and 30-year options. Up to 75% LTV on purchases.

$75K – $5M
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New Silver Lending

FL

Direct lender for real estate investors. DSCR loans with no minimum DSCR requirement. Also offers fix-and-flip, bridge, and construction loans.

$100K – $5M
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PNC Real Estate

Pittsburgh, PA

Top-10 US bank with dedicated commercial real estate lending. Construction, bridge, and permanent financing for major property types.

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Stbridge Capital

Los Angeles, CA

Private money lender in California. Bridge, fix-and-flip, and ground-up construction loans. Fast closings for experienced investors.

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US Bank

Minneapolis, MN

Fifth-largest US bank. CRE lending including construction, permanent, and SBA loans. Strong in multifamily and affordable housing.

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Vaster

Miami, FL

Commercial bridge loan lender for CRE investors. Flexible short-term financing for acquisition, rehab, and construction.

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Wells Fargo

San Francisco, CA

Top commercial real estate lender. CMBS, balance sheet, agency, and SBA lending across all property types.

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South Bend Commercial Real Estate Market

South Bend's commercial real estate market is anchored by the University of Notre Dame, whose endowment-driven spending and research activities generate demand for office, retail, and hospitality properties, particularly along the Angela Boulevard and Eddy Street Commons corridors. The city's downtown has experienced a revitalization with the completion of the Studebaker Building redevelopment and investments in the Renaissance District. The Elkhart-Goshen corridor to the east is the RV manufacturing capital of the world, with Thor Industries, Forest River, and Jayco driving specialized industrial demand. South Bend's relative affordability and Notre Dame's presence create an unusual combination of institutional stability and low entry costs for CRE investors.

Key Economic Drivers

  • University of Notre Dame institutional spending and Innovation Park tenancy
  • Elkhart-Goshen RV manufacturing corridor (Thor Industries, Forest River, Jayco)
  • Downtown Renaissance District and Studebaker Building adaptive reuse
  • Beacon Health System medical campus expansion

Market Insight

The Elkhart-Goshen corridor produces roughly 80% of all recreational vehicles manufactured in the U.S., creating a highly specialized industrial CRE market where demand and vacancy track closely with consumer confidence and interest rate cycles.

Construction Loans in South Bend, Indiana

Commercial construction loans fund new development or major rehabilitation projects. Funds are disbursed in stages as construction progresses. Most are short-term (12-36 months) and convert to permanent financing upon completion. In the South Bend metro area, borrowers can access 13 lenders offering Construction financing, including Mishawaka, Elkhart, Granger, and surrounding areas. Loan amounts typically range from $500K to $100M with rates from 7% - 10%.

Who Should Consider Construction Loans?

  • Ground-up development
  • Major renovations
  • Land + construction
  • Build-to-suit projects

Key Requirements

  • Detailed construction plans and budget
  • Licensed general contractor
  • Building permits
  • Development experience (strongly preferred)
  • 20-35% equity

Advantages

  • Interest only on drawn funds
  • Funds disbursed as needed
  • Can include land acquisition
  • Construction-to-permanent options available

Considerations

  • Requires detailed plans and budgets
  • Draw schedule inspections
  • Higher rates during construction
  • Completion risk on borrower

Construction Loans in Other Indiana Cities

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