Multifamily loans through Fannie Mae, Freddie Mac, FHA, Balance Sheet, and Mezzanine programs. Intro. Part of the reason for this is that the term mezzanine is really a catch-all for an entire category of non-senior mortgage debt, non-common equity instruments that can fill a capitalization gap between them. Artemis Realty Capital provides mezzanine financing collateralized by either a direct lien on the underlying real estate or a lien on the ownership interest in real estate. Menu. This interest, however, is added to the principal and, while it will free up cash flow in the short run, it will increase the overall interest paid throughout the life of the loan. Loan sizes range from $5 million to $25 million. Before the recession that began in late 2007, unprecedented growth took place in two types of non- traditional financing: mezzanine debt and preferred equity. Dedicated teams serving Conventional Multifamily, Small Balance Loans, Affordable Housing, Seniors Housing, … Real estate debt financing allows investors to access the commercial real estate sector via loans made across the capital structure. Loans can range from $1 Million to $25 Million with terms from 1 - 3 years. It’s not entirely the first floor or the second floor— it serves as a way of connecting the two. Tower Capital is a Commercial Real Estate Finance firm based in Phoenix, specializing in debt and equity placement on behalf of investors nationwide. If one visualizes the capital stack as a building, the mezzanine loan sits in between a senior loan (the ground floor) and the equity above. We are not brokers or financial advisers, but we have worked on getting mezzanine capital for our own company. Every homeowner understands the difference between their mortgage and the equity they have in their home but when it comes to commercial real estate transactions, the difference between equity, preferred equity, mezzanine debt and senior debt can confuse even savvy investors. This is how mezzanine financing got its name. Mezzanine Program Summary for Commercial Real Estate Size $1 – 50 MM Financing terms up to 22 years- up to 2 years interest only followed by a 20 year amortization Fixed … We originate and service loans for most commercial asset classes. About Hunt Real Estate Capital; ... Commercial Real Estate Finance. Learn More. Senior, mezzanine or whole loans are made against real estate, with the interest typically being paid by rental income generated by the underlying properties. Mezzanine Loans in Commercial Real Estate Financeby Practical Law Real Estate Related Content Maintained • USA (National/Federal)A Practice Note describing the purpose and characteristics of mezzanine loans in commercial real estate financing, including the advantages and disadvantages to the loan parties and the protections sought under an intercreditor agreement. Every homeowner understands the difference between their mortgage and the equity they have in their home but when it comes to commercial real estate transactions, the difference between equity, preferred equity, mezzanine debt and senior debt can confuse even savvy investors. The basics of mezzanine financing real estate loans. Uber Capital’s seasoned structured commercial real estate finance team has extensive experience in the negotiation of mezzanine financing for a broad range of property types across the United States and throughout economic market cycles. Clarity of thought. Your Single Source for Commercial Real Estate Financing. In the last 10 years, the commercial real estate market has witnessed drastic changes in the types and volume of nontraditional financing methods. However, it does require hard work to arrange it. Starz is a private real estate company exclusively dedicated to commercial real estate debt. Mezzanine finance has become an important source of capital for commercial real estate acquisitions, development, and refinancings, as traditional first mortgage providers have become more reluctant to finance projects at loan-to-value (LTV) ratios in excess of 65%. Certainty of execution. In construction, a mezzanine is a floor or story between two other floors or stories.