Land is the hardest asset class to finance in commercial real estate — no income, no coverage ratio, and a value that depends on what the dirt might become. Most lenders simply don't do it. The ones who do lend on the story: the entitlement status, the basis, the sponsor, and the exit. Presenting that story like an underwriter is the entire game.

We arrange land financing across the spectrum: entitled development sites awaiting construction capital, unentitled land with a path through approvals, pre-development carry while plans and permits mature, and assemblages. Every land conversation starts with the same honest framing — leverage will be lower and pricing wider than income property, because the lender is underwriting possibility, not cash flow.

Where the capital comes from — and what it costs

  • Debt funds. The primary market for entitled and near-entitled sites, typically 40–60% of value, priced for the risk. Our largest recent land execution — $11.1MM at 7901 Beverly Blvd — was a fund deal.
  • CDFIs and mission-oriented lenders. A quietly excellent source for sites feeding housing production: our $1.33MM pre-development loan at 4537–4545 Santa Monica Blvd closed at 8.00% with a CDFI.
  • Private lenders. The market for unentitled dirt, complex stories, and speed. Expect pricing in the 10s–11s — our Northern California land closing carried an 11.00% coupon — and treat it as an option on the upside, not permanent capital.
  • Seller financing and structure. On acquisitions, a seller carry can bridge the leverage gap no lender will — we negotiate these alongside the debt.

Land lenders underwrite possibility, not cash flow. Entitlements, basis, sponsor, exit — that's the whole file.

What moves a land quote

Entitlement status is the biggest lever — fully entitled sites can double the available leverage of raw land, which is why financing strategy and entitlement timing should be planned together. Basis matters more than appraisal: lenders want your all-in cost comfortably below market so their loan is protected by your equity. The exit must be specific — a construction loan takeout, a sale to a builder, an entitlement flip — with evidence it exists. In Los Angeles, density pathways like ED1 and TOC have created genuinely financeable pre-development pipelines; a site with a by-right path underwrites very differently than one facing discretionary approvals.

Selected land closings

  • $11.1MM — 7901 Beverly Blvd, Los Angeles. Land financing, fund execution.
  • $1.33MM — 4537–4545 Santa Monica Blvd, Los Angeles. Pre-development bridge at 8.00%, CDFI.
  • $1MM — Dewitt Ave, Morgan Hill. Land bridge, private lender, 11.00%.

See land closings on the transactions page →

Rates and terms referenced are drawn from transactions arranged by Piccard Financial, reflect market conditions at the time of closing, and change with the market. Not an offer or commitment to lend.