Mezzanine capital
Competo participates in project developments with a low level of risk with mezzanine capital. The mezzanine capital is designed to close the gap between the bank loan and the developer’s equity. Mezzanine capital is therefore always subordinated to bank loans and any third-party claims, but it ranks above the equity of the project developer.
The mezzanine capital is used for residential, office, retail, logistics and hotel properties and has a term of one to three years and a fixed interest rate with no profit claim. The risk profile is designed in such a way that the classic requirements such as building rights, pre-letting, etc. must be met at the time of participation in the project. As speed is of the essence in project development, you will receive a landmark decision from us after just one week and a binding decision after just 14 days. Mezzanine capital is used both for project developments in which Competo also invests equity and for projects where the developers provide the equity themselves.
