Methodology / Glossary / Loan to Value

Loan to Value

Total debt divided by Gross Development Value. LTV measures leverage against the end value of the completed project. Lenders use LTV to cap their exposure relative to the asset's worth.

Why it matters

Most lenders cap LTV at 60-65%. Exceeding this limit means the deal cannot be funded as structured.

In Profivo

Calculated automatically and displayed as a key metric in the Finance summary and dashboard.

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