Midas Financials

Construction & PIP Financing

Construction and Property Improvement Plan (PIP) financing funds ground-up development, major renovations, and brand-mandated hotel improvements.

Who It's For

Hotel owners facing franchise PIP requirements, ground-up developers, and sponsors repositioning assets through significant capital expenditure.

Common Use Cases

  • Franchise-mandated PIP execution
  • Ground-up select-service hotel development
  • Major renovation and rebranding
  • Adaptive reuse with hospitality conversion

How Lenders Evaluate

Lenders review construction budget, contractor qualifications, draw schedule, completion timeline, franchise approval, and stabilized pro forma. Cost overruns and timeline risk are key concerns.

Typical Documentation

  • Detailed construction/PIP budget
  • Contractor bids and agreements
  • Franchise approval and PIP scope
  • Development timeline and draw schedule
  • Stabilized pro forma upon completion

How Midas Helps

We connect sponsors with construction lenders and help align budgets, timelines, and take-out financing plans before breaking ground.

Midas Financials is a broker/advisor, not a direct lender. Financing is subject to lender approval. Terms depend on borrower strength, property performance, and market conditions.

Frequently Asked Questions

Can PIP costs be included in hotel financing?
Some lenders allow PIP reserves or renovation components within acquisition or refinance structures, depending on brand requirements and property condition. We help identify lenders comfortable with PIP-inclusive deals.
How long does commercial financing typically take?
Timelines vary by loan type and lender. Bridge loans may close in 30–60 days; conventional and SBA hotel loans often require 60–120+ days. We provide realistic timeline guidance based on your deal structure and lender requirements.
What documents will I need to submit?
Common requirements include personal financial statements, entity documents, trailing 12-month operating statements, STR reports (for hotels), rent rolls, leases, and a purchase contract or refinance payoff statement. We provide a tailored checklist for your deal.

Ready to explore financing options?

Submit your deal details and our team will review lender fit, documentation needs, and next steps. Financing is subject to lender approval — we help you navigate the process as your broker/advisor.