Lee County has thousands of platted, buildable lots, many of them laid out decades ago and still empty. That supply, plus steady population growth, makes it one of Florida's busiest markets for investor-built homes.
In short: LendingStreet finances ground-up construction of 1-8 unit investment property across Lee County, including Fort Myers, Cape Coral, Lehigh Acres, North Fort Myers, Estero and Bonita Springs. Loans are sized on loan-to-cost, funded in inspected draws and priced per project. After Hurricane Ian, flood elevation, wind design and insurance cost are the items that decide whether a Lee County build works as a rental.
Lehigh Acres, east of Fort Myers, was platted in the mid-1900s into tens of thousands of lots, and it remains a center of spec and build-to-rent single-family construction. Many lots rely on well and septic, though some areas have central utilities.
Cape Coral, also a pre-platted city, has a mix of freshwater and saltwater canal lots and dry lots, with city utility extensions reaching more neighborhoods over time. North Fort Myers, south Fort Myers, Estero and Bonita Springs have more traditional subdivisions at higher prices.
| Area | Typical build | Key issue |
|---|---|---|
| Lehigh Acres | Spec and build-to-rent homes | Well and septic or utility availability |
| Cape Coral | Single-family, duplexes | Utility assessments, canal lots, flood zone |
| North Fort Myers, south Fort Myers | Rentals and spec homes | Flood elevation and insurance |
| Estero, Bonita Springs | Higher-end builds | Land cost, coastal exposure |
Most investor construction here is concrete block single-family homes, three or four bedrooms with a two-car garage, plus duplexes where zoning allows. Block construction and impact-rated windows or shutters are standard for wind resistance.
Renters include health care and construction workers, retirees who are not ready to buy and families moving into the region. Demand for newer homes grew after Ian damaged older housing near the coast.
Supply has also been heavy, though. Lehigh Acres and parts of Cape Coral have seen many new homes, so rent and resale comps for new product deserve a close look.
A ground-up loan is sized on loan-to-cost (LTC): the share of land, hard costs and soft costs the loan covers. Terms are set per project, so a Fort Myers build with clean plans, a firm budget and an experienced builder is priced on its own merits.
Construction money is not handed over at closing. It is released through a draw schedule: the builder finishes a stage, an inspector confirms the work, and the next draw funds. Lining up your budget with the draw schedule before you close keeps subcontractors paid on time.
Much of coastal Lee County is in mapped flood zones, where new homes must be built above the base flood elevation set by the flood map and local ordinance. Fill, stem walls or elevated foundations add cost. Get an elevation estimate before buying a lot.
Permits run through Lee County, Fort Myers, Cape Coral, Bonita Springs or Estero depending on location. Florida requires a licensed contractor, and the Florida Building Code's wind-borne debris rules apply here. After Ian, permit offices were busy with rebuilding, so confirm current review times.
Florida charges documentary stamp tax on deeds and on promissory notes, plus an intangible tax on new mortgages. Both the construction loan and the later refinance can trigger them, so get estimates from the title company.
Lee County and its cities charge impact fees on new homes, and Cape Coral has utility expansion assessments in areas getting new water and sewer. Insurance is the largest operating cost after the mortgage in many Lee County rentals; get a wind and flood quote before you finalize the budget.
Florida's 10% annual cap on assessment increases for non-homestead property applies to rentals, but the first assessment will reflect the completed value.
Plans, permits, the budget and builder experience carry the most weight in a Fort Myers file. A borrower with no build history can still qualify when an experienced general contractor runs the job. Projects without plans or permits, or a first-timer acting as their own GC, usually do not qualify.
We finance 1-8 unit investment property only; nothing here is for a home you plan to live in. Larger apartment projects are handled as commercial loans.
This example is illustrative and not a quote. An investor builds a three-bedroom, two-bath block home with a garage on a lot with central water and sewer, outside the high-risk flood zone. Land costs $30,000, hard construction costs $255,000 and soft costs $25,000, for a total project cost of $310,000. For illustration the loan covers 85% of cost, or $264,000, and the investor brings $46,000 plus closing costs; actual LTC is set per project.
Finished, the property appraises at $355,000 and leases for $2,500 a month. A DSCR refinance at 75% of value is $266,000, enough to repay the construction loan. Estimated principal and interest is about $1,815, taxes about $420 and insurance about $220, for a payment near $2,455 and a DSCR of about 1.02x.
On a lot needing a well and septic system, add the cost of both to the budget; on a flood zone lot, add fill or elevated foundation work.
| Item | Amount |
|---|---|
| Land | $30,000 |
| Hard costs | $255,000 |
| Soft costs | $25,000 |
| Total project cost | $310,000 |
| Construction loan (85% of cost, illustrative) | $264,000 |
| Investor cash before closing costs | $46,000 |
| Completed value | $355,000 |
| DSCR refinance (75% of value) | $266,000 |
| Monthly rent | $2,500 |
| Estimated principal and interest | $1,815 |
| Taxes and insurance | $640 |
| Estimated DSCR | About 1.02x |
Spec homes sell to owner-occupants and investors, especially in Cape Coral and North Fort Myers. In Lehigh Acres, many builders sell to investors or hold as rentals.
Holding means refinancing into a DSCR loan on completed rent. Some DSCR programs also qualify on projected short-term rental revenue, but STR demand is concentrated near the beaches and local rules apply.
To get a quote on a Fort Myers project, share the basics on the form below or call (877) 298-1001. We review the plans, budget and builder, then send terms with the LTC, the draw schedule and the expected exit.
Yes, if the lot is permitted for well and septic and the project has plans, permits and an experienced builder. Include both systems in the budget.
It raised attention on flood elevation and wind resistance, increased insurance costs and kept permit offices busy. Check current flood maps and review times.
Yes. Many investors refinance a finished rental into a DSCR loan that qualifies on the property's rent, with 30-year terms available.
Florida charges documentary stamp tax on notes and intangible tax on mortgages. Your title company can estimate both.
Yes. Cape Coral is part of the Lee County market we serve.
No. These loans are for investment property only: spec homes, rentals and small multi-unit buildings.
Completed projects of similar size, or an experienced licensed GC running the build. Projects with no plans, no permits and no experienced builder usually do not qualify.
Our Florida construction loans page covers the state.
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