Bethesda, MD, November 7, 2019 –
PRC’s Mark Remington was part of a panel discussion on “The Anatomy of the Capital Stack & Creative Financing” at Bisnow’s Hotel Leadership, Investment & Management Summit.
…The pullback on LTV creates more opportunities for gap financing … Another source that can fill the gap is EB-5 financing, said Phillips Realty Capital principal Mark Remington.
Remington also said he is seeing banks lending only up to 50% or 55% of the capital stack. He said some debt funds are willing to go up to 65% or 75%, but the interests rates become significantly higher. “In the bank world they’re reserving their precious capital for their best clients,” Remington said. “They’re doing lower leverage and more recourse. The debt funds are filling the void as they did 10 years ago.”
Read more on Bisnow.