As a single example of how the fund works in practice, hotels enter a 5 year loan agreement with the fund, with the IDLF holding security over the hotel’s property asset until such time as the loan amount has been settled in full. At the end of this loan agreement, the hotel typically refinances at a (typically) higher rate with a traditional lender, and the IDLF loan amount is repaid with interest. In this way, the hotel can affordably fund expansions, thus creating more job opportunities and meeting the IIP’s objectives.