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Investman432

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Investman432

Re: Porgie Tirebiter post# 17462

Sunday, 04/10/2011 7:47:00 AM

Sunday, April 10, 2011 7:47:00 AM

Post# of 95207
Its not as bad as it appears, depending on how large the loan is versus the construction costs. Its 20% equity interest in the project, not the company. In some solar projects I am doing, the loan exceeds the total cost, providing the developer with cash-out at closing - in other words, the developer owns 80% with no equity at risk. Its a lot like real estate.
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