Construction Project Finance

Construction project finance involves securing funding specifically for building infrastructure, such as buildings, roads, or bridges. It typically relies on the project's expected cash flows and assets as collateral, rather than the overall financial strength of the developer. Investors and lenders provide capital upfront, expecting repayment through future income or usage revenue once the project is complete and operational. This financing method helps manage risks by isolating the project's finances from other company activities, allowing specialized funding tailored to large, complex construction endeavors.