Subordinate Financing
Our preferred equity and mezzanine debt options are structured to achieve a blended cost of capital that rivals competitive private debt.
Subordinate financing criteria
Loan Amount
$2 - $150+ million
Interest Rate
SOFR + 600 - 1000 basis points, participating options available
Loan Term
Up to 48-months with extension options available
Amortization
Depends on structure, typically partial principal with interest installments or interest only
Property Types
All property types
Loan Scenarios
Acquisitions, construction, refinances, etc.
Security
Second lien position
Loan-to-Value
Up to 75%
Loan-to-Cost
Up to 90% last dollar in some scenarios
Origination/Exit Fees
Typically 100 - 200 basis points
Recourse
Full or non-recourse options
Geographical Focus
Throughout the Continental US, certain markets excluded
Prepayment
Typically permitted subject to a lockout period or prepayment premium
Closing Time
As quickly as two weeks
The above criteria are only guidelines and can be changed at any time without notice. Elrock Capital, LLC (or the "Company") is not a direct lender. These parameters solely reflect the programs of institutions the Company interacts with (the "Lender Network"). The Lender Network can modify its investment approach and any portfolio parameters set forth herein at any time in any manner which it believes are consistent with the overall investment objectives without notice to investors. Each situation is evaluated individually by the Company's Lender Network, subject to due diligence. Not all loans or investments are available in all jurisdictions. The Company assumes no responsibility for any errors or omissions herein. Any information regarding products and programs of the Lender Network is provided only for general purposes and does not constitute (i) an offer to sell or a solicitation of an offer to buy any products or programs, or (ii) a representation that any Lender Network products or programs are suitable for anyone.