Versatile financing solutions
for the middle market
The mezzanine finance market is now an established part of Real Estate funding structures. Bircroft has seen Senior debt stabilising at around 65% LTV, prompting lenders to offer mezzanine finance up to 90% LTV for both development and investment.
As such, we can ensure that our clients have access to the most competitive mezzanine in the market together with a smooth delivery in conjunction with a senior lender.
CRITERIA CONSIDERATIONS
- The client must be able to show a strong track record and relevant experience
- Real estate transactions must demonstrate a clear exit or repayment strategy within the short to medium term
- A client’s non-core assets need to have enough yield or development angles to support the higher cost of mezzanine finance
FUNDING STRUCTURE
£1-20m
Total Commitment
Investment &
Development
Type
1-3 yrs
Term
6-15%
Pricing
The Boat House, Mortlake
Maximising client returns
Our client agreed to purchase an office building for £9m with a consent for residential conversion. During the purchase due diligence process, the developer secured consent for an additional floor to accommodate two penthouses within the existing development.