I'm looking at 3.5 acres that is commercially zoned and has a small warehouse on it. I want to construct mini storage on the lot. I would like the forum's opinion on how I should structure the loan. Should I purchase the land (bank loan) and then after owning the property get a construction loan to build the buildings/lot/etc, or should I get one commercial loan that will include paying for the property as well as the building and construction. The owner is a individual, private owner. The construction will be handled by a local contractor that I have a small previous relationship with. For what it is worth, there is a time factor involved in that there is a large corporation that is also wanting to purchase the property and ready to do so quickly.
Your opinions are appreciated.