Project Finance Checklist for Developers
Before a capital provider reviews a plan, they want documents and metrics — complete and in the right order. This checklist shows exactly what banks, debt funds and private capital providers actually require, so your enquiry doesn't stall on paperwork. Free by email. Project financing for developers in Germany is assessed on the project's numbers, not just the borrower's.
What does a lender require for development finance?
Three things, before terms are discussed at all. First, equity: loan-to-cost averaged 66,3 percent of total costs in the second quarter of 2026. Roughly a third has to come from the developer, directly or through subordinated capital. Second, pre-sales: a residential scheme with around 40 percent of units sold carries a larger subordinated tranche on better terms than a speculative commercial development. Units already sold or let reduce the funder's risk immediately. Third, phase logic: site acquisition, planning through to permission, construction and sales each have their own funders and their own security. A track record helps, but its absence is not a knock-out. The senior tranche, secured in first rank, is brokered under section 34c GewO; the subordinated piece is coordinated through licensed partners. Senior funds are drawn down against construction progress rather than paid out at once. The costs incurred before planning permission usually fall to equity, because there is no robust security until then.
What's in the checklist
- Documents on the plan. Project, building rights, calculation, exit.
- Documents on person & company. Track record, equity, credit standing.
- The metrics that count. LTC, LTV, equity ratio, pre-sale, margin.
- Security & structure. Senior to mezzanine, cleanly classified.
What capital providers look at
Is the plan solidly documented?
Building rights, calculation and exit strategy need to line up — a gap here delays every review.
Does the track record hold up?
Prior projects, proof of equity and the company's credit standing determine how closely a capital provider will ask questions.
Do the metrics fit the capital provider?
LTC, LTV, equity ratio, pre-sale rate and margin are weighted differently from bank to debt fund — which is why comparing several capital providers pays off.
How is the financing structured?
Senior loans, subordinated tranches and mezzanine capital interlock — more on Developer & project finance.
All 20 documents at a glance
This is the complete list — none of it sits behind the form.
Documents on the project
- Project description and location: site, use, market context
- Planning status: development plan, building permit or stage of proceedings
- Viability calculation with project costing and cost schedule
- Cost and construction schedule
- Land-register extract, site plan, declaration of division where applicable
- Exit concept: sale, letting or follow-on financing
Person and company
- Company data: commercial register, shareholders, management
- Track record with completed reference projects
- Proof of equity or an assets and liabilities statement
- Annual accounts and BWA
The figures that count
- Loan-to-cost: debt against total cost
- Loan-to-value: debt against value
- Equity ratio
- Pre-sale and pre-letting ratio
- Expected project margin
- Debt service capacity for existing properties
Security and structure
- Intended security: land charge and ranking
- Capital structure: senior debt, mezzanine via partners where needed
- Term and disbursement logic — drawdown against construction progress
- Desired pace: standard process or bridge solution
Lenders decide on a handful of clear points. Presenting these documents and figures in full gets you a reliable commitment faster. Brokerage of commercial property loans under §34c GewO.
Questions about the checklist
Does the checklist also apply to smaller projects?
Do I already need a building permit?
What does your advice cost?
Note. Based on current market practice, without guarantee — the individual capital provider's requirements are decisive. This page is guidance only and does not replace legal or tax advice. Loans for commercial purposes are brokered under the licence §34c GewO (Olga Nikushkina).