Learn the Pros and Cons of Mezzanine Financing from Gelt Financial
Mezzanine financing is a type of capital that is used to finance a variety of different types of commercial real estate projects. Unlike traditional loans, which are secured by the property itself, mezzanine financing is typically structured as a hybrid between debt and equity. This means that it is often secured by the equity in the property, as well as the personal guarantees of the property’s owners.
One of the key benefits of mezzanine financing is that it allows property owners to access additional capital without giving up control of their properties. Because mezzanine financing is structured as a hybrid between debt and equity, lenders do not have the same rights to foreclose on the property as they do with traditional loans.
It’s important to note that mezzanine financing is not without its risks. Because the loan is structured as a hybrid between debt and equity, the lender has the right to convert the loan into equity if the borrower defaults on the loan. This means that property owners who take out mezzanine financing need to be careful to ensure that they are able to make their payments on time and in full.
Overall, mezzanine financing can be a useful tool for commercial real estate investors who are looking to access additional capital without giving up control of their properties. By carefully considering the potential risks and rewards, investors can determine whether mezzanine financing is the right financing option for their specific needs.
Private Money Lender – Related posts
JUST CLOSED IN QUEENS, NEW YORK! Gelt Financial is excited to announce we closed a $300k First Mortgage on a Single Family Investment Property in Queens, NY. The borrower [...]
We are excited to start lending on retail Cannabis and Hemp properties. We will offer the same flexible programs that we always have and are excited to enter this [...]
JUST CLOSED IN THE HAMPTONS, NEW YORK! Gelt Financial is excited to announce we just closed on a $1.25MM Mezzanine Loan on a stunning property in The Hamptons, NY. [...]
JUST CLOSED! Gelt Financial is excited to announce the closing of a $250k multi-tenant office building in Chesapeake, VA. This private loan was a refinance, owner-occupied buyer, broker deal, [...]
Benefits of using a family owned lender: Using a family-owned lender, also known as a private lender, can provide several benefits for real estate investors. Here are some of the [...]
Gelt Financial has closed a First Mortgage Refinance on a convenience store in Charleston, SC. The property has been owned by a successful operator and they needed to refinance out [...]
Second mortgages are a type of loan that are secured by the equity in a property. This means that the loan is secured by the value of the property [...]
Gelt Financial has provided a First Mortgage on a residential investment property in Wildwood, NJ. The property was a townhome, one block from the beach and Gelt was able to [...]
There’s something about non-bank commercial lenders that’s got everyone jumping for joy in the financial world, but what gives—why are these lenders in such hot demand🔥 as opposed to [...]
What is it and when should an investor use it to their advantage? The Blanket Loan is a single loan that is collateralized by multiple individual properties. This is [...]
Another deal done! 👊 Gelt Financial just closed on a $400k mezzanine loan on a multifamily building in Tampa, FL. To learn more about Gelt Financial’s lending capabilities and [...]
30 Year Term/No Ballon Cash out Quick Closing and Approvals
Who is your lender, is as important as what deal you get... Since 1989. In the past week some examples of how we work with our borrowers. 1. One of [...]
NEW PROGRAM Commercial and real estate investor mortgages from 100k and up. 30-year terms, no balloons. All credit considered, No income verification, foreign nations, Loans to LLC, credit problem ok. [...]
Borrower cashed out $230k on a 2-bedroom luxury condominium in the heart of downtown Miami, FL. We paid off his first mortgage and gave them a new mortgage of $603k, [...]
You’re in the business of providing permanent financing for all types of residential properties from single-family homes to multi-family properties. You also have solid resources to fund certain types of [...]
Debtor-in-possession financing, commonly referred to as DIP financing, is a type of financing central to companies in bankruptcy, specifically those who have filed for Chapter 11 bankruptcy protection within [...]
DEAL CLOSED IN SANTA FE, NEW MEXICO! Gelt Financial is excited to announce we just closed on a $1MM first mortgage on an office building in Santa Fe, NM. [...]
Top Hard Money Lender In Florida Hard money lenders have hard-won reputations because they don’t have the recognition of a national bank or other large, ubiquitous [...]
We are excited to once again step in and help those who banks won’t. In this case, it was owners of a mixed use property in New Jersey which we [...]
Gelt Financial, LLC is pleased to announce and is now offering a second commercial mortgage program on some income producing properties where we are offering a first mortgage of [...]
We love closing loans and helping small business owners and investors in commercial real estate: Closed cash-out refinance of Fix and Hold Single-family rental property in New Jersey. Borrower purchased [...]
Gelt is pleased to have relocated its offices to 5300 Atlantic Ave, Suite 205, Delray Beach, Fl 33484, We are very excited about this move it will give us the [...]
Closed loan on a Mixed-use property. We financed this borrower one year ago right out of bankruptcy with a one-year term loan, now they have reestablished their credit and we [...]
Gelt Financial closes a cash out, mixed use, no income verification mortgage in Indianapolis, IN. "Marcy: Hi. Jack: Hi, this is Jack and Marcy at Gelt. Marcy: How are you? Jack: [...]
What is a LTV Loan to Value and how do we calculate it? This is not a cut and dry question. "Marcy: Hey Jack Jack: Hey Marcy, let's talk today about [...]
We just provided an experienced real estate investor 100% financing on a new purchase by talking an additional property as collateral, our mortgages were on two single-family properties in two cities, Orlando [...]
Gelt Financial provides first mortgage financing on a medical office building in Ohio for a service business. "Jack: Hello, this is Jack, and Marcy... you know what, Marcy, during a little [...]
Gelt was pleased to provide the financing to purchase of a Gas Station- C-Store for the manager who purchased the property and business. "Jack: This is Jack and Marcy at Gelt [...]
Jack Miller and Marcy talk a little about marketing basics for commercial mortgage brokers.
Gelt Financial closes a refinance on 2 small multi family properties in CT. "Jack: Hello, this is Jack and Marcy at Gelt Financial again, super excited. We're always excited here, but [...]
Jack Miller closed another commercial mortgage, this time for a car wash. Gelt has been helping commercial real estate and investment borrowers since 1989. "Jack: This is Jack. Marcy: This is Marcy. [...]
In the video Jack suggests a strategy for realtors to become real estate investors without using their own money. By rolling their commissions into investment deals, realtors can transition from being [...]
Jack and Marcy talk about a 50k first mortgage Gelt Financial just closed on a Multi family property, There is almost no where for borrowers who want to borrower small amount [...]
Jack Miller and Marcy talk about a Mezzanine loan that just closed on a new state home in the North Shore of Long Island for a real estate investor. Mortgage broker [...]
In the video Jack shares his experience in real estate investing and the importance of long-term strategies. He mentioned that real estate is not always a quick way to make money, [...]
In the video, Jack shares a valuable tip for investors: many people and businesses fail because they take on too much and lose focus. He advises caution, emphasizing the importance of [...]
Gelt Financial just closed a collateral-only first mortgage on a commercial property in Fort Lauderdale, FL, within 10 days. "Marcy: Hi, this is Marcy and Michael, and we're going to talk [...]
Some tips for Mortgage Brokers from Jack Miller at Gelt Financial, LLC on how to be a more successful mortgage broker. Gelt has worked with brokers for over 30 years and is [...]
Gelt Financial closes a refinance on 2 auto related properties in Ohio, while the borrower was in Chapter 13. "Marcy: Hi, it's us again. Jack: It's us, this is Jack and [...]
Jack talks about the difference between an Exclusive versus Non-Exclusive Fee Agreement for Mortgage Brokers. "Hello, this is Jack Miller at Gelt Financial. Hope you're having a fantastic day. I want [...]
Gelt Financial closes a rehab mortgage to finish a property in Birmingham, Alabama. "Jack: Hello, this is Jack and Marcy at Gelt. Anyway, okay, new closing property in Birmingham, Alabama. Tell [...]
4 Day Commercial Investment Mortgage Closing on an Investment condominium, asset based loan, mortgage broker, no appraisal. Jack: Okay, Michael, tell everyone about the deal that we just closed. Give everyone [...]
Listen and uplift people. Commercial Mortgage Broker Tip of the Day and Advice for Commercial Mortgage Brokers. "Jack: Marcy and Jack, so we want to make our mortgage broker tip of [...]
Gelt Financial provides First Mortgages on Single or Multi family residential Investment Properties that are being purchased to flip or to fix up and lease out. Gelt usually closes them very [...]
Gelt is now lending on Cannabis properties."Marcy: Hi, it's Marcy.Mario: It's Mario.Jack: It's Jack from Gelt Financial.Marcy: We're doing a shoutout today for cannabis.Mario: Oh, yay, cannabis. So, we're now supporting all [...]
Markets and the needs of borrowers are always changing, in order for a mortgage broker to survive and serve the needs of borrowers, they need to pivot. Foreclosure bailout loans and [...]
Jack Miller gives some tips to commercial mortgage brokers in challenging times.