Debt, Equity and Mezzanine Loans
Debt financing is used if an investor doesn’t want to surrender any percentage of its company. Equity finance believes in its financials and would not want to miss on the profits they would have to pass to shareholders if they assigned someone else equity. You can combine debt and equity financing to meet the capital stack for your project. A mezzanine loan is a form of financing that blends debt and equity. Lenders provide subordinated loans (less senior than traditional loans), and they potentially receive equity interests as well. Mezzanine loans have high interest rates but flexible terms.
Debt, Equity, Mezzanine and Pace Loans Include:
- Legally Structured 10/20/70 Capital Stack
2. Loan Amounts $5,000,000 to $50,000,000
- Up to 90% LTV/ LTC
- Ground Up Construction
- Nationwide Loans