06 December 2014
JMBM is sourcing low-cost mezzanine capital for new construction through EB-5 financing for its top developer-clients.
To qualify for this program, the borrower must be an experienced developer with a superb track record, a superior reputation and a great project. If you don’t meet those threshold requirements, then don’t read any further, because this program does not apply to you.
If you are still reading, the question is: “Can you benefit from mezzanine financing with an all-in cost to you of approximately 6 – 7% per annum?”
If so, you may want to look into JMBM’s “preferred” EB-5 financing program which is summarized below.
Highlights of JMBM’s Preferred EB-5 Financing Program for new construction & development
|Financing type||Mezzanine debt or preferred equity|
|Cost||6 – 7% per annum, all-in cost to the developer|
|Loan size||$20 million – $200+ million|
|Term||5 – 6 years|
|Portion of the capital stack||30 – 40% of the total project cost (excluding land)|
Exactly what can JMBM do to help me with EB-5 financing for my development project?
Client confidentiality precludes us from listing clients and projects we have assisted with this program, but suffice it to say that some of the best known names in the business are tapping into this funding source to fill out their capital stack at a favorable cost. And we have helped some of the biggest and highest profile players.
In 2014, we represented clients in identifying, obtaining and closing more than $200 million of EB-5 funding, and as of December 2014, we have commitments for more than $300 million in the pipeline for 2015.
We specialize in representing developers and projects that we believe can qualify for “preferred” status. This concept is discussed in great detail in this article: “Hotel development financing: How to win the race for EB-5 capital.”
For developers and projects that qualify for “preferred” status, we provide business and legal advice to guide the developer through the entire capital raising process. This includes validating that the developer can qualify for the favorable financing and actually sourcing the capital. Here is a more complete list of how we can usually assist: CONTINUE READING →