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What is a limited recourse loan?
Limited recourse loan, that is, according to the financing arrangement agreed in the contract, clearly limits the borrower's repayment obligation and the maturity income that the lender can obtain to the borrower's specific assets. The most obvious thing about limited recourse loans and unlimited recourse loans is the restriction of power. For example, building an office building with a bank loan is required to be completed in two years, and after completion, it will be given to the bank on the 1-3 floor, which is a limited recourse loan; When you build an office building and borrow money from a bank, you can repay it directly. After you build it, you can sell it at a good price, or you can repay it in Gai Lou.