What is floor loan?
The portion of a permanent loan a lender will fund at completion even if the property is not yet leased to a threshold; additional proceeds fund only after leasing or coverage targets are met.
Where you will use it: this term comes up in the Real Estate Finance course, and the full course glossary collects every term in one place.
Related terms
From the free Real Estate Finance course by Devon Coombs, CPA, MBA.