Closing the gap in commercial real estate financing transactions
Jeff Erxleben, executive vice president - managing director, recently sat down with Kelsi Borland from Globest.com to discuss a growing trend in commercial real estate financing: the gap in the capital stack.
An increasing number of financing transactions, particularly for construction loans, have seen a pullback in loan-to-value ratios. In order to make these deals work, an investor is needed to bridge the gap between the senior debt and the traditional equity component.
According to Erxleben, the good news is that a variety of lenders are stepping in to fill this gap, and more creative financing options are getting deals done. Watch the video from the Mortgage Bankers Association’s 2017 CREF conference:
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About Northmarq
Northmarq is one of the largest privately held commercial real estate firms in the United States, combining a nationwide presence with deep local expertise. With more than 50 offices across the country, we provide a full suite of debt, equity, investment sales, loan servicing and fund management solutions for a comprehensive range of property types. Our unique structure allows us to connect clients with the best opportunities, yet be nimble enough to ensure access to every expert across our company. The firm manages a loan servicing portfolio of over $78 billion and has completed $69.5 billion in transactions over the past three years. At Northmarq, collaboration fuels results, helping clients achieve success in every market, nationwide. For more information, visit www.northmarq.com.