
Commercial Real Estate Division
Mezzanine Lending

Synergy Capital Markets provides mezzanine financing collateralized by either a direct lien on the underlying real estate or a lien on the ownership interests in the real estate. Loans range from $500 thousand (USD) to $100 million (USD) and are typically for a term of up to 10 years.
Synergy Capital Markets' mezzanine programs are very flexible and are used to bridge the gap between traditional debt financing and sponsor equity in a project. Repayment can be structured from interest only or fully amortizing.
Synergy Capital Markets' mezzanine program can be used by owner/operators to complete new acquisitions, refinance existing properties, finance build-to-suit developments, acquire equity interests of limited partners in existing partnerships, finance tenant improvements and to develop commercial projects which are positioned to produce income within a reasonable period of time.
Program Parameters:
Eligible Locations:
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Nationwide and some International
Property Types:
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Majority of property types including but not limited to
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Office,
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Retail,
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Industrial,
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Multi-Family,
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Hotel,
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Self-Storage,
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Mixed-Use
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Mobile Home Parks.
Loan Amount:
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$500,000 to $100,000,000 USD
Loan Term:
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Up to 5 year term
Amortization:
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Typically Interest Only
Loan to Value/Cost:
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Up to 90% of Appraised Value or Cost
Minimum DSCR:
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1.0x
Origination Fee:
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Typically 2% – 4% of Loan Amount
Expense Deposit:
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Amount sufficient to cover third party reports. May vary according to transaction.
Sponsor/Borrower:
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Creditworthy individual(s) or entity with sufficient liquidity and net worth.
Recourse:
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Both recourse and non-recourse options available. Non-recourse transactions will potentially include the exception of industry standard “bad boy” carve outs.
Assumability:
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Permitted subject to approval and an assumption fee.
Prepayment:
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Determined on a case-by-case basis
Typical Uses:
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Acquisitions,
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Pre-Development,
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Construction,
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Recapitalization,
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Refinancing,
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Liquidity Management,
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Asset/Liability Management,
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Gap Financing
May be structured as preferred equity and LTV/LTC can increase up to 100% with Synergy Capital Markets Joint Venture.