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Construction Loans in Frederick, MD

Find lenders offering construction loans in the Frederick, including Hagerstown, Westminster, and surrounding areas. Compare rates, terms, and programs from 14 lenders.

Lenders
14
Typical Rate
7% - 10%
Down Payment
20-35%
Term
12-36 months (construction period)
Closing Time
30-60 days

Construction Lenders Serving Frederick

14 lenders offering construction loans in the Frederick, MD area.

ConnectOne Bank

SBA

ENGLEWOOD CLIFFS, NJ

New Jersey-based commercial bank offering SBA 7(a) loans, commercial real estate, construction lending, and business banking. Serves entrepreneurs and businesses in the New York-New Jersey metro area.

19 SBA loans
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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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Merchants Capital

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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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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Frederick Commercial Real Estate Market

Frederick has evolved from a small historic town into one of Maryland's fastest-growing commercial markets, driven by its location along the I-270 biotechnology corridor and accessibility to both Baltimore and Washington, D.C. Fort Detrick, a major U.S. Army installation focused on biodefense research, anchors the local economy and generates demand for secure office, lab, and contractor space along Gruber Road and Waverly Drive. The revitalized downtown along Market and Patrick Streets supports a walkable mix of boutique retail, restaurants, and small office tenants. New mixed-use developments along the Golden Mile (Route 40) and Ballenger Creek area reflect suburban commercial growth driven by the city's population influx.

Key Economic Drivers

  • Fort Detrick and the National Cancer Institute at Frederick biodefense and research complex
  • Frederick National Laboratory for Cancer Research and associated contractor office demand
  • I-270 corridor connectivity linking Frederick to Rockville-Bethesda biotech hub and D.C.
  • Downtown Frederick revitalization attracting boutique office, hospitality, and retail tenants

Market Insight

Frederick's proximity to Fort Detrick creates a niche market for SCIF-capable (Sensitive Compartmented Information Facility) office space, with specialized properties commanding premium rents and maintaining near-full occupancy due to steady government contractor demand.

Construction Loans in Frederick, Maryland

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 Frederick metro area, borrowers can access 14 lenders offering Construction financing, including Hagerstown, Westminster, 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 Maryland Cities

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