Loan Monitoring

A lender needs to remain cautious to minimize the risk involved in providing construction
financing. At Cardinal, we know first hand that the complexity, risk and
expense of today’s construction market demands expertise. Our experienced staff
are career long construction professionals who know the process, know the potential
pitfalls, and most importantly we know how to avoid costly mistakes.

Our loan monitoring services include the following:

Project and Cost Review – Includes an independent analysis of the total cost of the
project, including soft costs, to make sure that the financing is adequate, a review of the
project schedule and design documents and a review of the proposed construction loan
agreement

Contractor Review – A review of the contractor’s financial standing, bonding capacity,
safety modification rating, workforce, and past performance.

Progress Monitoring – Periodic site visits to review construction progress and document
the progress through site visit reports and progress photos.

Review of Draw Requests – Review loan disbursement requests for financial accuracy
and concurrence with actual construction progress documented.

Change Order Control – Review of change order requests for validity and coordination
with the project budget.

Close-Out Coordination – Monitoring of close-out procedures for conformance to
contract requirements, receipt and validity of lien waivers and completeness and receipt
of close-out deliverables.