Equity Finance
Our domestic and offshore capital relationships provide equity for qualified sponsors across the United States.
General guidelines for equity financing
JV Equity
$2,000,000 – $50,000,000
- Preferred asset classes include multifamily, manufactured housing, retail, self-storage, office, and limited-service hotel
- LP and/or Co-GP equity available; Co-GP funding may be as low as $250,000
- Funds available for value add acquisitions, recapitalization, or development
- Up to 90% equity contributions
- Holding period of 3 – 5 years
- Pari passu returns before any promote vary
- Promote structure varies depending on the initial equity split and hurdles
Mezzanine/Preferred Equity
$5,000,000 – $30,000,000
- Preferred asset classes include multifamily, manufactured housing, retail, office, industrial, and hospitality
- Funds available for acquisition, recapitalization, and some development transactions
- Smaller balance funding is available on a case-by-case basis
- Up to 90% of the total capital stack
- Fixed or floating rate
- Coterminous with senior debt
- A pledge of partnership interests may be required
Sponsorship
General Criteria
- Proven track record
- Assets currently under management
- Experienced team in place
- Institutional reporting capability
- A pipeline of potential new transactions
- Good credit standing
Capital Sources
Types of Equity Financing Relationships
- Private equity groups
- Family offices
- Equity funds
- Institutional equity investors
- Offshore investment groups