Mezzanine Financing is a hybrid of debt and equity financing that gives the lender the right to convert to an ownership or equity interest in the company if the loan is not paid back in time and in full. It generally is subordinated to debt provided by senior lenders such as life companies, banks and venture capital companies.
Loan terms generally 3-10 years (co-terminus with first mortgage)
Up to 85% loan-to-value
Fixed or floating rate (rate of L + 8% – L +12%)
Typically non-recourse
The pricing, terms and conditions of a loan vary depending upon the lender, property type, leasing status and overall market conditions. Understanding the real estate market, its economics and trends, combined with a strong network of lenders consisting of Life Insurance Companies, Banks, Wall Street Conduits, Agencies, Pension Funds and Private Equity Funds, allows Allied to provide its customers with the most competitive financing available today. Allied can secure financing for loans as low as $200,000 to $5,000,000 through its small loan program, as well as larger deals ranging from $5,000,000 with No-Maximum