takeout commitment definition

takeout commitment

Written promise by a lender to provide a long-term financing (permanent financing) arrangement to replace an interim, short-term, or bridge loan, usually when a project reaches a specified milestone or stage. As a common practice, a takeout commitment must be in place before interim lenders agree to provide bridge loans. Also called takeout agreement or takeout loan.

takeout commitment is in the Agreements & Contracts, Banking, Commerce & Finance and Purchasing & Procurement subjects.

takeout commitment appears in the definitions of the following terms: takeout agreement, takeout loan, takeout and Acquisition, Development, and Construction (ADC) loan

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