# How Real Estate Developers Secure Project Financing

Securing project financing for a real estate development in Toronto requires a combination of strong deal fundamentals, a credible development team, and a systematic approach to capital markets. The developers who close financing consistently are the ones who understand how lenders think and how to present their deals effectively.

## The Financing Stack for Toronto Developments

Most real estate development projects in Toronto are financed through a combination of equity, senior construction debt, and in some cases mezzanine or bridge financing.

**Equity** typically comes from the developer's own capital, joint venture partners, or private investors. Lenders generally require a meaningful equity contribution before advancing construction debt.

**Senior Construction Financing** from chartered banks or institutional lenders covers the majority of construction costs. These lenders require presales, strong project economics, and an experienced development team.

**Mezzanine and Bridge Financing** fills gaps in the capital stack for deals that do not meet senior lender requirements, at higher rates with more flexible underwriting criteria.

## What Lenders Want to See

Lenders evaluate your project on market fundamentals, your development track record, the quality of your construction team, presale velocity, and the overall financial model.

## How SET Marketing Helps Developers Secure Financing

[SET Marketing](https://marketingbyset.com) works with real estate developers to access project capital through traditional and alternative channels while building the marketing infrastructure that generates presales and investor interest. Book a strategy call to discuss your next project.

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