Mezzanine Financing (example 1)

DowntownSaltLake

 

Location: Salt Lake City, UT
Description: Office developer required financing on 100,000 sq. ft. project to continue with development schedule.
Investment Date: 2011
Opportunity: Ability to support developer’s growth strategy by providing bridge financing, until permanent project financing could be obtained.
Investment Thesis: Obtain first deed position on property worth over 2X loan amount, with loan terms offering superior returns on invested capital.
Status/Results: Loan paid off with one extension, allowing for 22%+ IRR.