Credit-Anchored Retail Project Construction Financing...

The credit-anchored retail project construction financing market is dominated by institutional private placement offerings and commercial bank financings.  Most credit-anchored projects (meaning commercial retail development projects wherein the center's anchor has an investment-grade credit rating by a public rating agency such as A.M. Best, Moody's or Standard & Poor's) utilize the services of an investment banking advisory firm or a mortgage banking firm to provide the construction and permanent financing, but the story doesn't begin and end there.  In today's capital markets, most credit-anchored retail project construction financing packages are woefully inadequate to the task at hand due to the low Loan-To-Value ("LTV") Ratio the construction phase project financing typically provides.  This is where way too many projects end up on the rocks or fail to launch altogether.

Enter the entitlements and structured finance side of commercial real estate development financing that includes fractional commercial real estate ownership interest syndications.  Once the due diligence presentation has been completed (and we hope you come to Rainmaker for your due diligence documentation and consulting needs) the entitlements are more clearly defined in terms of the investment incentives that local, state and/or federal agencies may have available for the developer to incorporate into the construction phase project financing and the pre-construction project financing requirements.