The Development Capital Stack
The idea for a great building, without the capital to build it, is like a top-notch race car with no fuel. It can’t get off the starting block. Bricks and mortar are only one piece of the puzzle that is real estate development. Prior to the start of construction, developers must decide how the project will be funded. The mix capital sources used to fund the development is know as the “capital stack”, and the make-up of the capital stack can directly impact a project’s success. How does a developer go about sourcing the various components of the capital stack? This video series will provide a comprehensive overview of the major considerations when sourcing capital.
Introduction & Preliminary Considerations
Mezzanine Debt & Preferred Equity