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Axiom Capital is committed to providing clients with creative
and cost-effective investment solutions using a broad distribution network
of some of the nation's top commercial real estate investment firms and
financial institutions. We provide financing alternatives for any type
of commercial project, ranging from $1-100 million, of which the most
frequently used include:
FEATURED
LOAN PROGRAM: DMBS Structured Financing
Bridge
Loan
Construction Loan
Construction to Permanent Loan
Credit Tenant Lease Financing
DMBS
Structured Financing
Equity
FHA/FNMA/Freddie Mac
Forward Commitment
Interim Financing
Joint Venture/Equity
Mezzanine Financing
Participating Debt Structure
Permanent Loan
Bridge Loan
Short-term, floating rate loan to provide "bridge or
gap" financing for commercial properties that are being repositioned or
are pending a permanent fixed rate financing. Typically, the loans are
priced over LIBOR with a one to three year loan term.
Construction Loan
A short-term, floating rate loan to provide construction
financing for commercial buildings. Typically, the loans are priced over
LIBOR and funded on a monthly basis with a two to three year loan term.
Construction to Permanent Loan
Long-term loan providing a construction loan, which
converts to a permanent loan to "takeout" the construction financing.
The construction period is funded on a floating rate basis over LIBOR.
Upon completion, the interest rate is fixed and priced over a five, seven
or ten year period with a coupon interest rate based over the corresponding
US Treasury instrument.
Credit Tenant Lease Financing
Short or long-term loan provided to the borrower based
upon the credit rating of the tenant occupying the property. Special considerations
in the loan structure are granted based upon the risks associated with
the credit worthiness of the tenant.
DMBS
Structured Financing
Equity
Capital source which provides all or a portion of the
equity required to develop or acquire a property.
FHA/FNMA/Freddie Mac
A permanent, non-recourse, fixed rate loan for multi-family
properties. Terms range from five to 30 years and are priced over the
corresponding US Treasury rate with a 30-year amortization schedule. Typically
these transactions are more aggressively priced than a traditional lending
source and are based upon a loan-to-value ratio of 80%.
Forward Commitment
A commitment by an institutional lender to provide
permanent, fixed rate financing on a future project. The "forward commitment"
typically does not exceed 18 months into the future and is priced over
the SWAP curve.
Interim Financing
A short-term floating rate loan providing finance during
the construction period of the property. The loan term typically does
not exceed five years and is priced over LIBOR.
Joint Venture/Equity
Short-term loan to provide the borrower the equity,
or a portion of the equity, required to develop a property. The loan is
typically priced to generate an internal rate of return ranging between
15% and 25%, dependent upon the risks associated with the equity position.
Mezzanine Financing
A short-term loan, provided behind the existing first
mortgage. Total loan proceeds (First mortgage and Mezzanine) typically
do not exceed an 85% loan-to-value ratio. However, some capital sources
will exceed the 85% loan-to-value ratio, but will price this transaction
based upon an equity return. The typical loan term is three years with
two, one-year extension options and a one-year lockout provision where
the loan cannot be pre-paid. The interest rate is priced over LIBOR and
security is usually in the form of a second mortgage or the pledge of
partnership interests.
Participating Debt Structure
A short or long-term loan whereby the lending institution,
in addition to the traditional source of repayment, will participate in
the cash flows generated from the property.
Permanent
Loan
A long-term, fixed rate financing, which is non-recourse to the borrower.
The loan typically acts as a "take-out" of the existing mortgage or construction
financing. The interest rate is priced over the corresponding US Treasury
rate. The loan term can be three, five, seven or ten years, with some
lenders offering up to 25 years. There is typically a lock-out period
of a minimum three years where the loan can not be repaid.
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