$200M multifamily portfolio refinanced at 60bps below market
Client
Streamline Properties
Closed On
$75M
Total Capital Deployed
2.5%
Savings on costs
Overview
The Challenge
Traditional market debts had tighten significantly
The sponsor had budgeted for a specific debt-to-equity ratio, but available terms from conventional lenders didn't match their pro forma assumptions. They needed to close in 90 days to maintain development timeline.
The Solution
We structured a three-part capital stack for the brand.
By combining senior debt, mezzanine financing, and preferred equity. This approach preserved the sponsor's equity returns while creating certainty around capital availability and close timeline.
Capital Structure;
Senior Debt: $45M (conventional lender)
Mezzanine Financing: $15M (specialty finance)
Preferred Equity: $15M (institutional investor)
Why this structure worked
The traditional debt-only approach would have reduced equity returns below the sponsor's hurdle rate. By introducing mezzanine and preferred equity, we created a solution that worked for multiple capital sources while maintaining sponsor returns.
Client Feedback
"Capital Partners didn't just find us capital they restructured the entire deal to make it work better than our original plan."
Michael Rodriguez
CEO, Cornerstone.
Results
