In development projects with a low level of risk, Competo provides mezzanine capital. The mezzanine capital is structured so that it closes the gap between the bank loan and the developer's equity capital. Mezzanine capital is therefore always junior to the bank loan and all third-party receivables, but senior to the project developer's equity capital.
Mezzanine capital is used for residential, office, retail, logistics and hotel building types and has a term of one to three years, as well as a fixed interest without profit entitlement. The risk profile is designed in such a way that at the time of participation in the project, the classic requirements such as building law, pre-letting, etc. must be met.
As speed is of the essence in development projects, we provide you with a guideline decision within one week, and a binding decision within just 14 days. The mezzanine capital flows into development projects in which Competo has invested equity capital and into projects in which only the developers provide the equity capital.