Mezzanine Financing / Preferred Equity Commercial Real Estate

Financing for Real Estate – Mezzanine Loans and Preferred Equity Real Estate

Mezzanine Financing and Preferred Equity for Commercial Real Estate

Source Realty Capital has established connections with leading providers of mezzanine financing and preferred equity for commercial real estate properties. Our network of lenders allows us to provide clients with financing solutions across the full capital stack.  Our team of financing professionals is actively involved in arranging mezzanine loans for real estate. We view mezzanine loans for commercial real estate as a cross between senior debt and equity. Mezzanine debt for commercial real estate provide real estate investors with greater access to capital.  Moreover, mezzanine financing provides sponsors with a higher Loan-to-Value (LTV) than what traditional 1st lien debt would allow.  Additionally, Source Realty Capital works together with specialized investors and select private equity funds that provide sponsors with preferred equity.  As such, in situations where certain senior lenders forbid mezzanine debt for commercial real estate, an equity position can be useful to reach an LTV ratio of >90%.

Source Realty Capital provides clients with Mezzanine loans for real estate solutions for multi-tiered capital structures. Our finance professionals work with borrowers to structure preferred equity real estate investments or other partnership-level capital based on the particulars of the deal and the client’s goals.
Source Realty Capital has an extensive network of alternative capital providers and direct lenders for both mezzanine loans for real estate and preferred equity. Equally important, our team has the knowledge and capability to swiftly evaluate a property’s capitalization structure.
Source Realty Capital’s team of mortgage advisers understands the intricacies of structuring subordinated loans. Furthermore, our experienced commercial real estate finance team has extensive know-how in the negotiation of mezzanine financing for real estate asset classes.
We analyze the risk profile of each transaction. We engage the most competitive capital source able to close in the specified time frame. Furthermore, we only engage suitable mezzanine lenders that can close the transaction rapidly and flawlessly.