What is a Real Estate Mezzanine Loan or Financing? (Definition)
To fund the purchase of a new building acquisition or a development project, real estate investment management firms often utilize several sources of capital within their capital stacks. One of those sources of capital is a real estate mezzanine loan, also called mezzanine financing. Mezzanine loans provide investors, or borrowers, with capital in the form […]
Cost Approach Appraisal: How to Value CRE Properties
To effectively gauge the potential return on an investment property, understanding its value is a crucial first step. There are several different approaches that appraisers follow to value commercial real estate properties, and cost approach appraisal is among the most popular. Unlike other methods, the cost approach assigns a value based on the costs an […]