Construction Interest Law and Legal Definition

Construction interest is that sum of money estimated for payment of interest on special assessment warrants sold to defray the cost of an improvement from the time of such sale until the special assessments become due and payable and begin to draw interest. Construction interest is added to the cost of the improvement and is included in the total amount of the special assessment warrants issued and sold. [Hoffman v. Minot, 77 N.W.2d 850 (N.D. 1956)]