Construction loan agreements commonly provide that a lender will have a right to take possession of the real property in the event of default and complete the construction.

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This is commonly known as a "deed in lieu of foreclosure" provision in a construction loan agreement. It allows the lender to take possession of the property and complete the construction if the borrower defaults on the loan. This provision helps protect the lender's interests and ensure that the construction project is completed.

Construction Loan Agreements Commonly Provide That a Lender Will Have