Real Estate Financing Consulting for Resilient Capital Structures
We provide support in structuring, reviewing, and negotiating real estate financing arrangements when capital structures need to be designed to be viable, in line with market conditions, and conducive to decision-making.
Our advisory services cover traditional senior loan structures as well as junior loan, whole loan, and mezzanine solutions. Depending on the property, business plan, risk profile, and holding strategy, we develop a financing structure that aligns with the transaction and the operational concept.
Our consulting services combine market insight, financial acumen, and negotiation experience. This provides a solid foundation for decision-making for investors, owners, management, and governing bodies.
Added Value
Professionally structured financing improves capital allocation, reduces transaction risks, and strengthens your negotiating position with banks and other lenders. Especially in the case of more complex structures involving senior loans, junior loans, whole loans, or mezzanine financing, a clear definition of seniority, pricing, covenants, and flexibility is crucial.
We provide transparency regarding financing alternatives, make offers comparable, and help strike the right balance in the capital structure between return, security, and feasibility.
- A Robust Assessment of Financing Needs, Maturity, and Capital Structure
- Structured Financing for Senior Loans, Junior Loans, Whole Loans, and Mezzanine Financing
- Improved comparability of offers, term sheets, and covenant structures
- A transparent basis for decision-making for management and the investment committee
- Support throughout negotiations and closing, through to the final structure
STRATON Procedure
Q&A - Frequently Asked Questions
The most important questions regarding financing structures, approaching investors, whole loans, mezzanine financing, and junior and senior loans in the real estate context.
It is particularly useful for acquisitions, refinancing, restructuring, project development, portfolio optimization, and complex negotiations with investors. It is also especially relevant when different financing components need to be combined effectively.
A senior loan typically ranks first in the hierarchy and is usually the most affordable component of debt financing. A junior loan is subordinated, carries more risk, and is priced accordingly at a higher rate. A whole loan economically combines several risk components into a single financing solution. Mezzanine financing falls between traditional debt and equity and is often used to bridge financing gaps or optimize the return on equity.
Typically, this includes property documentation, cash flow data, business plans, lease information, existing financing structures, and relevant market conditions. For more complex structures, additional assumptions regarding exit strategies, capital expenditures, and priority rankings are also important.
Yes. We structure the market approach, make offers comparable, and guide negotiations through to a stage where a sound decision can be made. In doing so, we consider not only interest rates and margins, but also covenants, repayment profiles, collateral, flexibility, and the combination of various financing components.
