HOUSTON—Aiming to fill a void in capital markets for single-family developers and home builders, PMB Capital Investments has formed PMB Lending, a discretionary pool of capital focused on lending to residential developers with a target of up to $100 million in loans. PMB Lending will provide non-recourse financing with advance rates of up to 75 to 80% of the cost for residential development projects in major Texas markets.

“The major markets in Texas have a dramatic shortage of single-family residential lots that need to be addressed. According to market research, record job and population growth have resulted in the major Texas housing markets being under supplied by over 200,000 homes,” said Matt Mildren, partner at PMB Capital. “Further limiting new housing supply, traditional banks are facing increased regulatory scrutiny and as a result, are pulling away from single-family developments. PMB Lending will allow us to work with many qualified developers and builders to provide capital to help address the shortage in available finished lots.”

PMB was founded on the premise that job growth and population growth in Texas will lead to real estate opportunities in all product types. A lending platform is a natural way to invest more capital in the Texas housing market, says PMB.