- EN Capital Newsletter
- Posts
- Equity Group
Equity Group
Get 100% of Your Project Equity for a Fixed Yield (No Participation Required)
"Equity Bridge" PlatformNo-GP Contribution Required
Equity Only Takes a Fixed Mid-Teens Yield
No Participation Required
(Some Fine Print)
Hope you had a fantastic end to 2020 and are ready for a year of opportunity in 2021!EN Capital is exploding out the gate with a new equity program that you'll want to pay close attention to.We've recently started working with a family office that is making short-term (max 3-year) "Equity Bridge" investments! They only require a fixed yield around 15% and don't take any participation in the profit as an equity partner typically would - leaving ALL the upside to the sponsor.Not only does this group not participate in the waterfall but they'll provide 100% of the equity needed for a deal.That's right; 100%...NO GP CONTRIBUTION REQUIRED!They're able to do this because they look for a 2:1 collateral coverage through a pledge of equity in other assets. So if you need $10M you need to have $20M of additional equity interests in other assets that you can pledge for the duration of the investment. This pledge is not secured by a 2nd or other encumbrance on title so it doesn't create problems with existing lenders. Given this requirement who is this a fit for? Experienced investors / developers that have a portfolio of assets looking to maximize their returns on new deals.Who's not a fit? First time sponsors or new development platforms without an existing portfolio of assets.They're currently looking for deals on all property types and are active in the cannabis space!They're looking for:
Check Sizes: $2M min - $10M
Property Types:
All property types
Including Cannabis
Value-add/Ground-up
Term: Max 3 years
Preferred Return: Mid-teens, call it 15%
Origination Fee: 1 - 2 points
Recourse: Requires 2:1 collateral:investment size
Geographics
Nationwide including Puerto Rico
This platform is out looking for deals and we already have a couple in front of them so you should let us know if you want to get in with this group quickly.If you have a deal that fits the above criteria click the button below or shoot us an email and let's get started today!
P.S.
If you're brand new to the EN Capital newsletter; each week we promote a new capital source for a variety of commercial real estate properties. So if the above lender is not relative to you, the chances are high that we'll have the perfect capital source for you soon.
P.P.S.
EN Capital is a commercial real estate mortgage brokerage shop.
We are not direct lenders. Seriously, every time we do a blast some guy responds and gets pissy when he realizes we're brokers. It's on the top of our website, LinkedIn, clear in all our marketing. We honestly don't know how to make it more obvious. Don't be that guy.
P.P.P.S.
If you have a commercial real estate deal, unrelated to the above, that needs capital right now reach out to us and let's chat!
Be sure to connect with EN Capital on Linkedin. and visit our website here.
Connect with EN Capital President, Nate Whigham on Linkedin Here
Connect with EN Capital Associate, Justin Ashcraft on Linkedin Here
Nathan WhighamPresidentCA DRE Broker License: 01793655EN Capital Contact Info:www.encapital.com[email protected]Justin Direct Line: 323-521-4766