Lending & investment · Defined
Pari passu funding
A construction funding arrangement in which specified capital sources contribute alongside one another in agreed proportions.
Why it matters
In this context the phrase describes a funding sequence. It does not by itself establish equal lien priority, identical returns, or the absence of separate advance conditions.
In practice
A project example
Debt and equity fund an eligible draw in agreed shares instead of requiring all equity to be spent first.
General educational guidance from KOW Building Consultants. Examples are illustrative, not project records. The applicable contract, standard, program, and jurisdiction control the requirements for a specific assignment.