About Remington Financial Group, Inc.
Remington has built a successful track record of closing the most challenging debt, mezzanine, bridge, and equity capital transactions since 1993. Our firm has strong connections to hundreds of actively funding sources across the capital stack. We develop and execute financial structures that turn problematic transactions into closings.
Equity financing is an important option for Remington clients to consider as they explore the gamut of funding solutions available. When it comes to equity investment, the experience and knowledge of Remington professionals is unmatched in the industry, which is why Remington professionals often are called upon to identify appropriate equity partners for clients seeking equity assistance.
Remington Financial Group - About Equity Capital
Equity financing is an important option for Remington clients to consider as they explore the gamut of funding solutions available. When it comes to equity investment, the experience and knowledge of Remington professionals is unmatched in the industry, which is why Remington professionals often are called upon to identify appropriate equity partners for clients seeking equity assistance.
At Remington, our Structured Finance Group approaches equity financing in the same way we do for each and every transaction across the capital stack. Our financing experts become, in a sense, an extension of the client. As such, we come to fully understand the client's overall business plan and contribute to it in significant ways, providing comprehensive transaction analysis and advice based on a real-time assessment of the capital markets. The result is the appropriate capital structure involving the right equity partners as determined by client needs and market possibilities.
Remington Financial Group - Understanding the Capital Stack
What is the capital stack? It is the total mix of capital invested in a project, including pure debt, hybrid debt, and equity. The higher the investment appears in the stack, the greater the risk for that investment. The lower the placement, the less the risk. As a consequence, higher stack positions expect greater returns on the capital invested because of the higher risk involved.
Remington Financial Group, Inc. - Plans a Fund for Bridge Loans
"Your best access to commercial capital" is more than just a slogan at Remington Financial Group. It's a reality! Not only does Remington provide the best access to commercial capital through its global network of 400 active lenders and investors, Remington hopes to become an integral part of that network by forming a joint venture company to raise a $200 million bridge loan financing fund.
And that is good news for commercial real estate brokers and their clients, especially those in need of short-term financing that "bridges" the gap between funds needed now and when long-term financing becomes available.
To help close that gap, Remington has joined forces with Black Hawk Capital Managers to form Secured Capital Income Fund LP (SCIF). Currently raising institutional interest in SCIF is Secured Opportunity Management, LLC, a joint venture company created by Remington and Black Hawk to manage the planned bridge loan financing fund. Black Hawk is a restructuring and bridge loan specialist with over $1.5 billion in commercial transactions since 1995.
When active, SCIF is expected to be a bridge loan financing fund with a powerful origination capability. Right off the bat, it will have the capability of identifying the bridge loan needs of all the loan originations transacted not only by Remington but also by Black Hawk. For Remington brokers and their clients, that is good news, indeed, since about 20% of the 400 loan originations transacted annually by our financing specialists require bridge loan financing.
As Remington Chairman Andy Bogdanoff sees it, the formation of SCIF represents "an exciting expansion of Remington's business plan and a reflection of the dedication our company has to providing the best access to commercial capital for brokers and their clients nationwide."
So if there's a financing gap in your future, Remington can help you close it. Give me a call and let's talk about it.
Remington Financial Group - Additional Financing Programs
Senior Debt
Mezzanine Debt
Preferred Equity
Equity
Joint Venture Financing
Remington Arranges Specialized Financing For The Following Property Types and Business Purposes:
About Remington Financial Group, Inc.
Remington Financial Group offers commercial clients an extensive network of private and public capital sources to help increase creative financing options - dramatically improving close rates for specialized funding and unique financing ventures. In the area of mezzanine financing, Remington delivers expertise and competitive transaction options, especially in today's challenging market conditions.
Remington has built a successful track record of closing the most challenging debt, mezzanine, bridge, and equity capital transactions since 1993. Our firm has strong connections to hundreds of actively funding sources across the capital stack. We develop and execute financial structures that turn problematic transactions into closings.
Remington Financial Group - What is Mezzanine Financing?
It is not uncommon for commercial real estate owners to structure a financing transaction with multiple layers of capital, each with a different risk-reward calculation. The professionals at Remington Financial Group have extensive expertise in all aspects of commercial financing, having handled over the years billions of dollars in corporate and real estate transactions involving all types of property across the capital stack.
For those commercial real estate and other businesses looking to add debt rather than equity when senior debt is maxed out near 70% LTV, borrowers may want to consider mezzanine financing. One of the uses of mezzanine debt is to add as much leverage as possible by increasing LTV to about 75-90%. It is also common for real estate developers to secure mezzanine loans when supplemental financing is needed.
By definition, mezzanine financing fills the gap between equity and senior debt in the capital stack and is subordinated to the senior. Sources of mezzanine debt include pension funds, insurance companies, other financial institutions, state agencies, and mezzanine debt funds.
Because mezzanine debt is considered riskier than senior debt with respect to collateral and cash flow rights, lenders of mezzanine loans tend to make their lending decisions based on the predictability of cash flow in excess of that required to service senior debt. In addition, lenders offering mezzanine debt frequently require an equity kicker above and beyond the higher interest income usually received to compensate for the added risk.
The maturity of typical mezzanine loans tends to range from three to five years, with principal payments commonly deferred until senior debt is retired. And while, by its nature, mezzanine financing has no hard and fast terms or structures, there are a few terms commonly used in commercial real estate transactions. The most common type used with stabilized properties is straight debt, where the lender receives no equity and has no management participation. On the other hand, when looking to increase LTV to 90%, borrowers may have to give up some cash flow equity and upside potential to lenders through the use of a participating note.
Because of the complexity of terms, costs and suitability of mezzanine and other forms of financing, real estate owners, developers and brokers across the country have come to rely on the experts at Remington Financial Group for their expert advisory services and ready access to its well-funded global network of capital sources. Whatever financing may be required, the professionals at Remington can help secure it.
Remington Financial Group - Testimonial
"When dealing with financial transactions, you need a company that has a proven track record, cares about their clients and understands the importance of each project. RFG not only possess these traits, they also provide many other attributes that make their organization one of the best in the business. I look forward to long and successful relationship with RFG."
- B. Owens
Remington Financial Group, Inc. - Distressed Owner Recapitalization Program
Remington Financial Group has several financing programs for commercial real estate brokers working with property owners. One is the Distressed Owner Recapitalization (DOR) Program, which was inspired by Andy Bogdanoff, Chairman of Remington. Andy Bogdanoff has been in the financial services industry for 35 years and founded Remington Financial Group in 1993.
For owners and brokers unable to refinance loans, Remington can tie together our expert capital advisory services with access to hundreds of active private funding sources ready, willing, and able to recapitalize troubled commercial real estate assets across the capital stack.
An example recipient of funding arranged by Remington was an RV park that required property upgrades in order to reverse declining sales. Acting as financial adviser, Remington restructured the distressed owner's business plan in such a way that he could successfully tap into our extensive network of private lenders and investors. Instead of having to sell or declare bankruptcy, the owner secured a loan to stay in business.
Remington Financial Group, Inc. - Details About the DOR Program
While much of the commentary in the commercial real estate industry today focuses on investor opportunities to acquire distressed debt, the Distressed Owner Recapitalization (DOR) Program by Remington Financial Group focuses on helping troubled owners and developers. The Capital Markets and Structured Finance groups at Remington are offering solutions every day to the ongoing liquidity crisis by providing access to more active funding sources across the capital stack. When better access to active funding sources is combined with expert advisory services, the DOR Program will positively impact owner recapitalization.
For experienced owners of existing income-producing properties looking to refinance, the program by Remington offers access to investors that will purchase the note from the bank at a discount. Owners will continue to make the original payments to the new investor and participate in the up side when values increase.
In those instances where the bank won't discount the note for the income-producing property, Remington has access to investors that will recapitalize it. They will provide the equity and/or mezzanine financing required to secure new senior debt of 50-65% LTV. Owners will participate in the upside once the market improves.
For experienced developers of partially completed projects that need capital to finish and operate the property, Remington has access to investors that will purchase the note from the bank at a discount, allowing the developer to complete the project and operate the property. The developer will continue to make the original payments to the new investor and participate in the upside when property values increase.
In those instances where the bank won't discount the note for partially completed projects, Remington has access to investors that will recapitalize the project through completion, providing the equity, mezzanine financing, and/or senior debt to payoff the existing construction loan. The developer participates in the upside once the market improves.
Remington Finanical Group - Available Financing Programs
Senior Debt
Mezzanine Debt
Preferred Equity
Equity
Joint Venture Financing
Remington Arranges Specialized Financing For The Following Property Types and Business Purposes:
Remington Financial Group, Inc. - Provides Expert Advisory Services
Remington Financial Group's Key to successfully closing even the most complex and challenging commercial financing transactions can be summarized as follows:
The advisory services at Remington Financial Group combine all five attributes needed for success in today's tight market, especially for those commercial projects unable to obtain debt, mezzanine, or equity capital from conventional sources. Those companies most likely to benefit from our services include those:
At Remington, our knowledgeable and experienced team of experts works closely with clients to evaluate and creatively restructure transactions into new financing opportunities. Combining this insightful advisory service with the strong relationships we have developed with hundreds of active funding sources, clients of Remington gain the industry's best access to competitive commercial capital available today.
Remington Financial Group - Has Access to Capital Through Our Capital Markets Group
What distinguishes Remington Financial Group from others in the financial services field is the dedicated staff of our unique Capital Markets Group and the extraordinary access it provides to all types of commercial capital.
Access to available capital has been the hallmark of Remington since 1993. It is key to the successful track record Remington has established over the years, providing hundreds of commercial real estate brokers and their clients with billions of dollars in financing for even the most challenging debt, mezzanine and equity transactions.
Responsible for identifying, nurturing and expanding our global network of lenders and investors, the Capital Markets Group searches the world over, day in and day out, for new and active sources of commercial capital. As a result, these market specialists have amassed solid relationships with nearly 400 lenders and investors ready, willing and able to deploy available capital for viable CRE projects requiring minimum U.S. loan amounts of $500,000 and $5 million from sources abroad.
Staffed by specialists with impressive backgrounds in venture capital, CRE lending, institutional investment consulting and other financial services, Remington Capital Markets Group is uniquely equipped to provide CRE brokers and their clients with the best possible financing opportunities available in the market today.
In addition to building and enhancing the Remington global network of lenders and investors, the Capital Markets Group is also responsible for managing special projects, including the Secured Capital Income Fund LP, a joint venture company recently-established to provide Remington Financial Group with a planned entry into the capital markets initially through bridge loan financing.
Remington Capital is a leading investment banking firm looking to finance projects between $500k and $1B.
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