Commercial
Mortgages, Syndications & Related Information...
The pivotal role that
commercial
mortgages played in the commercial
real estate finance market of the past 30 years have
focused on, by and
large, the experienced developer (or sponsor as the case may be) and largely
left the less experienced developers out in the cold as most commercial
mortgages were/are being made based upon the balance sheet resources of the
borrower. Today, all of that is changing and commercial mortgages (and
lenders) are now being placed in the position of actually having to compete for
funding opportunities.
Rainmaker Marketing Corporation has
added fractional
real estate syndication financing syndications to the developer's tool
kit. The commercial real estate syndication approach provides financing
for the proposed project at the pre-construction phase, construction phase or
post-construction operating phase. The developer/sponsor qualifies the
project based upon the due diligence documentation and status of the
project. Click
here for more information on qualifications. Syndicating your project
may create more financial investment leverage than you could possibly imagine
with profit ratios that can exceed 15:1 over a three-year period. Investors will appreciate the fact, that as more and more units
are sold, the risk exposure to bankruptcy risk and foreclosure risk falls on a
proportional basis until, upon the sell out, there is no remaining foreclosure
and bankruptcy risk exposure.
This new approach to the
construction financing paradigm is designed to put the developer back in control
of the most intricate and risky phase of development for the proposed project -
the capital financing phase. Now the developer (or sponsor, as the case
may be) can move forward with the due diligence reporting necessary to support
the transaction knowing that a market-based solution for equity gap financing is
available and may be brought to bear on every project the developer undertakes,
now and in the future.