CRE Development Co-Investment Financing

The commercial real estate development industry runs on equity financing as debt capital is readily available.  Historically, equity financing (in the form of commercial real estate development co-investment financing at the institutional level) has been difficult to obtain and this forces most of the smaller and/or newer developers to suffer the frustration of repeated rejections and/or terms that are just too hard to swallow.  The INVIZEN IT Stop Loss Program is specifically designed to address these issues by providing an end-to-end solution stack (called the “Rainmaker Capital Markets Program”) that is intentionally designed to provide the commercial real estate developer with the tools required to access the capital markets using a seamless process that operates on an expedited basis using the Rule 506(c) approach that is exclusive to Rainmaker Analytics and the Rainmaker Capital Markets Program.

The Rainmaker Capital Markets Program process focuses on resolving the following key issues:

  • Time.  Time is money in so many ways.  The commercial real estate developer is always in the position of being a new business sponsor on every proposed project.  As the new business sponsor, the commercial real estate developer has significant capital investment risk exposure until additional financing can be brought to the table.  CapPro is designed to help address that “until” by dramatically cutting the due diligence documentation schedule down with near real-time reporting on the key valuation, feasibility, financial risk assessment underwriting and risk management planning elements that are fundamental requirements of institutional level co-investment.
  • Cost.  The reduction in processing time comes with a reduction in cost of due diligence services as the intellectual property programs that are exclusive to CapPro and the INVIZEN IT platform provide economies-of-scale that further reduce the capital investment risk for the commercial real estate developer’s benefit.
  • Credibility.  The INVIZEN system provides potential enhancements to the credibility of the commercial real estate developer’s funding proposal because the funding proposal (or business plan) is based not upon the developer’s assertions of potential facts – the business plan is based upon the third-party market and financial risk assessment findings of the INVIZEN system.  These findings provide a demonstration of third-party validation of the key material issues of the transaction proposal for the benefit of the developer and for the comfort of the capital market participants.
  • Access.  The INVIZEN system comes with a complete solution set of capital financing resources that include the potential take-out equity financing (for enhanced profit-taking opportunities), the potential take-out permanent mortgage financing, the potential construction mortgage financing, and the the potential pre-construction phase equity co-investment financing.

If you want more opportunity and less cost you have to be willing to look at different ways of getting things done.  INVIZEN IT represents the new wave of services programs specifically designed to address the issues facing all of the parties.  Find out more by talking to INVIZEN IT today at 832.663.9634.