Emerald Mezzanine

Emerald Mezzanine

Capital for real estate & land purchases

About us

We are your financing partner and point of contact for questions relating to mezzanine capital, such as bridging financing options for your real estate project.

As a representative of the Emerald Mezzanine Fund, I advise and support business partners, builders and investors on property acquisition, new construction and portfolio development projects. Emerald Mezzanine is your specialist provider of mezzanines and bridging capital.

Who we are:

  • Emerald Mezzanine is the pioneer in the field of contemporary real estate financing.
  • Since 1996 we have been the best address for individual financing solutions in the real estate sector.
  • As a premium provider, we stand for a consistently pragmatic approach and the highest level of service quality.
  • Thanks to our lean structures, we can work for you quickly and efficiently.
  • We will process your request within 48 hours.

The Emerald Mezzanine Fund finances building owners, developers and investors for projects in the acquisition of land (even without a building permit), new construction and in the development of existing buildings. Emerald Mezzanine is your specialist provider of mezzanines and bridging capital

Fast availability of the loan

Financing without a building permit

Up to 25 million euros

Duration 3 -24 months

Services

Our solution - your added value:

  • Financing commitment without building permit
  • Rapid availability of capital
  • Tranches of up to EUR 25 million in financing per project
  • Duration 3 - 24 months

Contact Person

Norman Scherer

Managing Director

Norman Scherer, MBA with many years of expertise in the finance and real estate industry, has been the first point of contact for builders, investors and project developers since the Emerald Mezzanine was founded. After a classic consulting career and as a finance manager, before founding the Emerald Mezzanine Fund, he was responsible for a portfolio developer as a senior finance manager.

Book an appointment

Mezz & More

Today banks finance construction projects with higher demand than supply. Increasing regulation (Basel III and IV) means that banks are demanding ever higher equity ratios from the project executing agency. While there are usually several projects to be worked on at the same time, the project sponsor's equity requirement increases considerably and a financing gap often arises, which can be closed, for example, with a subordinated loan (mezzanine capital). This offers the project executing agency greater entrepreneurial flexibility.

 

Mezzanine and bridge financing are therefore not a specifically defined business model, but a means to an end, like other real estate management measures. In this respect, bridging loans are used for commercial or residential purchases in order to enable the real estate business to be processed quickly or to temporarily take advantage of short-term opportunities in the market and use them to add value. The bridging loan is usually repaid when the property is sold, refinanced with a traditional lender, completed or revitalized.

 

Due to the currently observed restrictive lending by the classic financiers (banks), loans are currently granted with significantly lower loan-to-value ratios, which means that bridge and mezzanine tranches can finance a larger part of the loan. Such a larger share also brings additional collateral with it, as a larger part of the equity is used to cover the bridge or mezzanine loan.

 

Bridging loans and mezzanine capital are used to acquire commercial or residential real estate, to enable real estate transactions to be carried out quickly or to take advantage of short-term opportunities such as securing long-term financing.

 

Tried and tested financing instruments are bridge like mezzanine loans, which enable real estate entrepreneurs to seize opportunities from real estate investments and to make the best possible use of these opportunities.

 

With our financing solutions, building owners, developers and other players in the real estate industry can use funds extremely quickly and use them e.g. T. use as equity. In structured finance, entrepreneurial subordinated capital is becoming more and more relevant and part of the new reality for real estate investments.

 

The current Corona crisis is also causing indirect and accelerated financing challenges in real estate financing: the equity of project developers is limited, and banks will have to digest real estate problems on their balance sheets in the future, so that they will further limit their loan-to-value ratios.

 

On the capital side, the well-known market mechanisms are currently taking effect in crisis situations such as these: Shutting down the loan-to-value ratio in the case of higher bank risks combined with syndicated financing, smaller lot sizes or at least partial personal liability. In the area of own funds, the time of entrepreneurial capital begins, which now uses the phase of uncertainty and can achieve cheap costs. In counter-cyclical terms, this means that the market for riskier credit investments will expand significantly in the future.

 

Project developers who are in difficulties due to excessively high leverage structures, delayed timing, too thin own equity ceilings in healthy projects or because their own mezzanine donor takes too much risk, can refinance their projects with a sub-tranche on the ever-growing real estate-related mezzanine market so successfully to the end. This can benefit you through the correspondingly good risk-return ratios of post-corona investments. At best, situations continue to arise in which the outlined real estate projects can be absorbed through far-sighted investments and returned to their real value.

 

Our financing solutions can therefore be understood as an essential financing option under dynamically changing framework conditions. The financing takes into account your individual business model, your corporate strategy and the respective real estate usage concept and is ultimately reliable and at the same time resilient. Our key lies in understanding and balancing out a balanced, appropriate and forward-looking allocation of opportunities and risks.

 

On this basis, we evaluate your individual and sustainable financing solution.

Contact