Construction loans are a key step in any large real estate development. They show that a project has moved beyond planning and approvals and into real execution. For EB-5 investors, a closed construction loan matters because it shows a third party has underwritten the project and found it creditworthy. In practical terms, it reduces uncertainty as to when construction will begin, how investors will be repaid, and how they’ll gain enough job creation to qualify for U.S. Green Cards.
We are pleased to announce that the Boynton Beach urban EB-5 project has officially closed on its construction loan with First Horizon Bank for $38.4 million. This milestone marks another concrete step toward full build-out and delivery of the project. Kolter’s ability to secure construction financing at this stage reflects both the strength of the project and the developer’s long track record in similar large-scale residential developments.
“This is the kind of progress EB-5 investors want to see,” said Sam Silverman, managing partner at EB5AN. “A closed construction loan confirms that a project has passed rigorous lender review and is moving forward as planned. Boynton Beach follows a business model we know well, and Terra Ceia is a nearly identical urban project built on that same proven structure. Both reflect the type of disciplined development approach we prioritize for our investors.”
In the sections that follow, we look more closely at why construction loans matter in the EB-5 context, what the Boynton Beach construction loan means for the project’s outlook, and how Terra Ceia—a best-in-class urban EB-5 project still open for investment—fits into this same established development model as one of the leading projects on the market today.
Why Construction Loans Matter for EB-5 Investors
Terra Ceia Follows Boynton’s Footsteps as a Premier Urban EB-5 Project
Why Construction Loans Matter for EB-5 Investors
Most real estate projects are financed through a combination of developer equity, construction loans, and other sources of debt, including EB-5 capital. Equity is the developer’s own money in the project. It is cash, land value, or other assets invested before any major loans are in place. This is the capital at real risk, and it is what shows lenders and investors that the developer is fully committed. The more equity a developer contributes, the stronger the signal that the project is well capitalized and taken seriously.
That equity is typically used first. It pays for land acquisition, design, permitting, and early site work. These early stages typically happen before a bank will consider providing a construction loan.
Lenders want to see that key approvals are secured, budgets are finalized, and meaningful progress has already been made. By the time a project is ready for vertical construction, the developer’s equity is usually fully invested. Then, a lender can step in to finance the bulk of the remaining construction costs.
A construction loan is short-term financing provided by a bank or institutional lender to fund the build itself.
In most real estate deals, the loan is released in stages as construction advances and milestones are met. Interest is paid only on the amounts drawn, not the full loan balance. Once construction is complete, the loan is typically paid off or refinanced into long-term financing.
For a lender, issuing a construction loan means the project has passed detailed underwriting, including review of costs, contracts, appraisals, and the developer’s track record.
Therefore, a closed construction loan is an important positive signal for EB-5 investors. It means a third-party lender has independently reviewed the project after substantial equity has already been invested and real progress has been made. The land is owned, permits are in place, and construction is underway. At that stage, the project has tangible value and momentum.
Because EB-5 capital typically sits below senior construction debt, the lender’s decision to fund the project adds an extra layer of safety.
Terra Ceia Follows Boynton’s Footsteps as a Premier Urban EB-5 Project
With this large construction loan from a major lender, the Boynton Beach Multifamily project is making progress across every major front. The 210-unit active adult community is well underway in a strong Florida urban market, with all major approvals secured and construction advancing without interruption. Site work is nearly complete, vertical construction is well along, and exterior and interior work are progressing in parallel. Roofing is finished across the project, windows are installed, and exterior finishes are taking shape.
Inside the buildings, mechanical, electrical, and plumbing work continues alongside framing, insulation, and early drywall installation. The project has clearly moved beyond early construction and into the later phases that bring a development closer to delivery.
That construction progress is translating into EB-5 job creation. As of October 31, approximately 419.5 EB-5 jobs have already been created through roughly $35 million in eligible construction expenditures. More than half of Boynton’s investors now meet the job creation requirement for permanent residence, with additional jobs continuing to accrue as construction moves forward.
And while Boynton is now fully subscribed, we are pleased to offer another best-in-class urban project: Terra Ceia.
Terra Ceia follows the same core development and EB-5 model that has driven Boynton’s success. Like Boynton, Terra Ceia is a Kolter-developed multifamily apartment community in a prime Florida urban market. The projects share the same experienced developer, similar deal structuring, and a focus on locations with strong long-term demand.
“Boynton Beach was one of the most coveted urban projects on the market,” said Sam Silverman, managing partner of EB5AN. “Now, we look forward to replicating Boynton’s success with Terra Ceia, which is, in many ways, very similar to Boynton.”
Terra Ceia also features important immigration benefits. The project has received I-956F approval from USCIS, confirming compliance with EB-5 program requirements and setting the stage for a fast I-526E approval and subsequent Green Cards.
Like Boynton, Terra Ceia offers both loan and equity fund options, giving investors flexibility to choose either a shorter investment period or higher returns. EB-5 investors in the loan fund benefit from a short three-year loan term, while the equity fund offers a 5% preferred return.
From a real estate perspective, Terra Ceia stands on its own merits while closely mirroring the Boynton model. The 276-unit market-rate rental community is located in Palmetto, Florida, one of the fastest-growing areas in Manatee County. Population growth near the site is projected to rise sharply over the next several years, supported by major infrastructure investment and strong regional in-migration. The broader North Port–Bradenton–Sarasota area continues to rank among the fastest-growing metro regions in the country, reinforcing long-term demand for quality rental housing.
Kolter’s role is another key to Terra Ceia’s success. Since 1997, Kolter has developed more than 27,000 residential units across over 100 large-scale projects and has never failed to repay a loan. All EB-5 investments in Kolter projects are either in good standing or fully repaid.
“Terra Ceia is simply following a tried and true business model,” said EB5AN managing partner Mike Schoenfeld. “Kolter has found success time and again with multifamily projects of this sort, and with the project’s I-956F approval, investors can be confident in both a Green Card approval and timely repayment.”
For more information, schedule a free consultation with EB5AN.
