This research explored the problem of private colleges borrowing money to pay for construction of needed buildings. The study revealed that most colleges had borrowed money in the past for construction. About two-thirds of those foresaw further construction, and one-half of those who planned to build also planned to borrow to meet part of the cost of that construction. Both the lenders and the colleges included in the study still believed philanthropy to be an important source of funds for meeting the cost of college construction projects. The paper presents attitudes of colleges and lenders about long-term loans to private colleges. It sets forth models for government-related loan guarantee programs and tax-exempt bonding authorities, as well as presenting detailed instructions on completing a financial feasibility study for presentation to prospective lending institutions. The bibliography lists eighty sources of information, over fifty of which are discussed in the literature review. (Author)