Is an approachable service offered by 1stAC for companies with very unique financing needs. These financing needs usually don't match conventional financial products such as a loan. Structured finance generally involves highly complex financial transactions.
Real estate equity can be structured as either debt or as a cash investment. A debt and mezzanine structure is expensive financing with yields in the low to high teen range but it’s a cheap partner because there’s no profit participation; however, the added debt load can put a stress on the project’s lending ratios so debt/mezzanine capital works best on value added real estate. The alternative capital structure is a traditional cash investment which means you have a financial partner who expects to participate in the project profits.
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