What type of mortgage would a developer use to secure a large plot of land intended for subdivision?

A blanket mortgage is specifically designed to secure multiple properties or pieces of land under a single loan agreement. In the context of a developer acquiring a large plot of land for subdivision, this type of mortgage allows the developer to finance multiple parcels of land included in the larger development project.

As the development progresses, the developer can release portions of the property from the mortgage as they sell or develop them, which can be advantageous for financing and managing cash flow throughout the construction and selling phases.

The other options do not fit as well within this scenario. A construction loan is typically used for financing the building of structures on the land, rather than securing land itself. A conventional mortgage is more suited for individual properties with standard financing, not for developers needing to consolidate multiple properties under one loan. An equity loan, on the other hand, relies on the equity of an existing property as collateral, which would not be applicable in the context of a developer starting a subdivision project.