| Best for | Filling the gap between the senior loan and your equity |
| Size | Typically $2M+ |
| Position | Subordinate to the senior loan, secured by ownership interests (mezz) or structured as preferred equity |
| Combined leverage | Up to about 85–90% of cost on construction |
| Pricing | Higher than senior debt; set by leverage and sponsor strength |
| Term | Matched to the senior loan |
Typical ranges, not quotes. Final terms depend on the property, the borrower and the lender.
Good fit: larger commercial projects where the senior loan stops short of what you need; developers closing a gap in the capital stack.
Not a fit: small loans, or deals where the senior lender prohibits subordinate financing.
How it works
- Tell us what you need and what you have. No documents, no credit pull.
- We review the realistic options and walk you through each.
- You choose a path; we send one document list and secure a term sheet.
- We manage underwriting and closing alongside you.
Related programs
Construction LoansFinancing for ground-up construction, major renovations, and conversions (for example warehouse to multifamily).View programPrivate CreditFor larger or complex borrowers that banks won't touch (because of industry, existing debt, or structure), private credit funds lend against everything the business owns: real estate, equipment, inventory and receivables.View programBridge LoansShort-term loans (usually 12–36 months) that get you to the next step: a purchase that has to close fast, a property that isn't stabilized yet, or a refinance while you wait for permanent financing.View programSecond-Position and Subordinate LoansBorrow against your equity without touching a first mortgage you want to keep, usually because it has a low rate or a big prepayment penalty.View program