Commercial RE Project Analytics
ECF utilizes over forty years of real estate finance and development experience to facilitate the creation of systematic financial models by performing applicable predictive analysis, structuring and evaluation on commercial real estate development projects while successfully building workable capital structures that decrease the cost of money, increase profit margins and maximize asset value.
We provide our professional financial advisory and consultative services to commercial real estate sponsors, developers and lenders by applying our proprietary evaluation and modeling structure to qualified value-add and ground-up construction projects, ensuring seamless access to the available debt and equity financing necessary for middle market U.S. development companies to take full advantage of corporate growth opportunities.
We presently have working relationships with experienced real estate developers, sponsors and private lenders established in the hospitality, energy and entertainment industries currently involved in projects throughout the United States. The application of our analysis, evaluation and modeling structure to estimated project costs, pro-forma revenue and projected cash flow creates a capital stack with the specific combination of debt and equity capital required to achieve successful project stabilization and designed to facilitate the short and long term exit strategies necessary to implement future permanent financing.
We prefer value-add and ground-up real estate development projects with total costs between $50M and $500M but will consider projects outside that range on a case by case basis. Our current book of business presently contains a number of development projects in various stages of the analysis and structuring process representing billions of dollars.
Sponsors are requested to provide a project specific comprehensive market and financial feasibility study with valuations based on income, costs and sales approaches including a cap rate analysis, performed by an accredited and industry specific third party MAI, prior to analysis and evaluation. Additionally, sponsors are expected to have the financial capacity to contribute at least 10% of total costs in capital available to the project and preferably have invested a substantial amount of capital into the project to date.
ECF is contracted directly with our sponsor, developer or lender clients to perform services as a financial consultant providing independent third party project analysis and capital structuring. As a general rule, we either work on a per project or a success fee basis and do not charge upfront or advance fees for any potential transactions, although our institutional and private lenders will require a committment fee (in compliance with standard industry practice) upon the acceptance and execution of a term sheet by a qualified client.
We are open to collaborate with professional agents, advisors, brokers, consultants and intermediaries located in the U.S. and welcome any qualified entities who wish to form a working relationship with us. All are required to have their own agreements in place directly with their clients and may submit their non-disclosure agreements for review.
Commercial RE Merchant Banking
"A Merchant Bank is a financial institution or private banking firm that provides capital to companies in the form of investments in share ownership rather than offering loans. A Merchant bank also provides corporate advisory, portfolio management, support on mergers and aquisitions, and other specialized services to the companies in which they directly invest."
We are affiliated with an experienced Firm that offers an exceptional opportunity for well established U.S. Companies developing brand and boutique resort hospitality, entertainment, luxury mixed use (office, retail, condos, apartments), master planned mixed use (commercial and residential) communities, clean energy, waste to energy, environmental remediation and precious metals mining projects to partner with an international private Merchant Banking Firm (offices in London and Boston) with substantial cash assets from which their bank issued and rated credit facilities are produced to provide their partner companies with the quantity of growth capital required to create a solid asset base while generating the necessary liquidity to support the construction of value-add and ground-up commercial real estate development projects. The Firm will professionally engineer a tailored structure to fit their partners' specific needs.
The Firm's core philosophy is one of partnership, interested in identifying management teams who have demonstrated a track record of success in their respective industry and who are seeking growth capital from a knowledgeable and reliable financial partner. They prefer to be long term investors across their selected industries.
The Firm's mission is to help management teams build great companies and strive to use their knowledge, experience and relationships to help their partner companies grow and succeed. Their portfolio companies are typically commercial stage investments that have a defined path to liquidity and have arrived at a critical inflection point where investment can accelerate corporate growth.
Short Term Debt Products
Additionally, through our contracted business lending affiliations, we offer cutting edge short term debt products for established businesses, such as purchase order financing, accounts receivable financing, revenue based term loans, conventional secured term loans and portfolio (securities) based lines of credit. Our consulting services provide a common sense approach to business owners/officers who are seeking professional assistance to lead them through the forest of financial options available from private debt lenders in an effort to find the best fit.