©2018 Newground Capital Partners Pty Ltd  (ACN 607 066 044) is a Corporate Authorised Representative of Newground Funds Management Pty Ltd (ACN 117 754 971)  AFSL 484059​​

 

PARTNERSHIP CAPITAL

SENIOR

DEBT

In real estate, Senior Debt refers to a 1st ranking registered mortgage - a type of security that is secured by a piece of real property. The mortgage entitles the holder to take possession of the property in the event of default.

100%

90-95%

70-90%

60-70%

 

MEZZANINE 

DEBT

A Mezzanine loan is debt provided in addition to “primary” or “senior” debt which is normally provided by a bank. In return for providing the mezzanine loan, the lender will usually take security over the property and/or the assets of the borrower, ranking after the “senior” lender.

90-95%

100%

70-90%

60-70%

 

PREFERRED 

EQUITY

Preferred Equity is also known as structured equity.  The key difference from other forms of credit is that the repayment of capital occurs in advance of the repayment of ordinary equity. There is no registered mortgage on preferred equity.

100%

90-95%

70-90%

60-70%

 

JV

EQUITY

JV Equity is the opportunity to co-invest alongside the equity provided by the project sponsor.  As a result, each of the parties are entitled to a portion of the profits.

90-95%

100%

70-90%

60-70%