Miami, Florida, April 25, 2021 (GLOBE NEWSWIRE) — In the past, property developers have been limited by the types of financing available. And with banks and similar institutions becoming more conservative to reduce risk, finding funding has become even more challenging.
Fortunately, investment companies like ABK Capital the brain child of Brian Hernandez and Alex Kleyner a Canadian native who has relocated to Florida has come to the industry’s rescue, offering a generous range of lending options. Specialists in debt investment, the Florida-based company offers flexible financing solutions to meet the varying needs of independent and institutional developers.
Senior Secured Loan Solutions
Alex Kleyner & ABK Capital originates versatile senior secured loans. Whether a developer is in the acquisition stage looking to develop raw land or in need of financing for construction, a solution can be provided for real estate projects of all sizes.
Although the low-risk, stable returns of senior secured loans are generally a good investment, ABK Capital is invested in more than just financial returns. The company is dedicated to the growth and development of real estate as a whole, providing funding for houses and apartments in South Florida. The focus currently has been in Martin County, Palm Beach, Broward, Miami-Dade, and Monroe counties. The latest projects they have loaned on have been in Pinecrest, West Palm Beach, Brickell, Sunset Island, Miami, Boynton Beach, Key Largo, Ulis, and Jupiter Florida.
Mezzanine Financing Options
As more real estate developers struggle to part with equity, financing options like mezzanine loans are becoming a preference. Appropriately named after the floor of a building above the first, these loans straddle the line between senior secured financing and equity funding.
In addition to the general resistance of companies in giving away equity, mezzanine loans can also be ideal for those who want to close good deals but lack the cash flow to do so. There is a rise in mezzanine funding among companies who cannot satisfy the conservative requirements of banks as well.
Mezzanine financing requires a delicate balance of factors to be profitable for both borrower and investor. Alex Kleyner & ABK Capital seems to have found the right formula. Although the loan is not secured by any assets — which carries a higher risk — the company is able to safeguard its capital while supporting potentially lucrative deals at the same time.
Preferred Equity for Commercial Real Estate
For developers or project sponsors without a history or track record, increasing leverage to buy a property can be difficult. ABK Capital fills in this funding gap by providing financing solutions that also increase the potential of a property to make profit. Another win-win situation for both lender and sponsor.
Known for their speedy execution of loans, ABK Capital aims to get funding in the right hands much quicker. Property sponsors are then able to realize profits from the development sooner, making projects generally more bankable.
With a preferred equity loan, a developer or sponsor is able to reduce cash equity which reduces overall risk and increases returns, cover cost overruns, receive support in managing the development and explore other opportunities.
Wide Range of Solutions and Customers
ABK Capital offers both standard and tailored services to independent and institutional developers. In addition to senior debt, mezzanine and preferred equity loan options, the real estate investment company also acquires non-performing loans, offers re-financing and other solutions that may be created to meet the demands of unique or complex situations.
Independent developers in Broward County, Florida and beyond can receive prompt assistance with financing, support with entrepreneurial challenges and the management of property developments. Institutional developers can obtain funding for larger-scale ventures.
Fast Expert Service
Speed of execution and flexibility are paramount when servicing clients in real estate. ABK Capital prioritizes the expedition of funds to all types of developers and has recently hired Diana Hernandez to help with day to day operations. Financing options can be discussed and tailored to both commercial and private clients.
Through experience and expertise, loans are structured to meet the demands of projects and the company provides certainty even in complex situations that require more flexible solutions.
As a developer, finding the right financing for real estate projects can be daunting, more so if you are unable to meet the criteria of traditional lenders. Speak to the experts at ABK Capital about funding options available, tailor the terms to meet your needs and receive the best assistance in acquisition, construction and refinancing property Florida has to offer.
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