Obtaining financing for the purchase of commercial real estate or for a development project is no simple task, and it can be challenging to work with lenders and investors to obtain favorable terms. In addition to his legal background with complex investment and development financing, Mark Battleson has capital markets experience with an international, bulge-bracket investment bank, as well as over a decade of business and real estate investment financings involving: traditional banks, non-bank lending, mezzanine finance, “friends and family”, “country club money”, venture capital, private equity, bonds, public finance, tax increment financing (“TIF”), tax credit equity (LIHTC, New Markets), Federal Opportunity Zones, and other structured products. The firm can expertly handle all transactions from simple, non-recourse first mortgages to full-capital-stack financings involving the most complex debt, mezzanine, bond, and equity structures.
With an owner’s perspective, Battleson Law is the right firm to assist you in obtaining financing and reviewing the terms of your commercial and real estate loans. Through Battleson Real Estate Advisors, LLC, Mark can even work with you to find a lender, if you are still seeking capital. It is important to recognize that loan documents may contain terms that place significant burdens on you as the borrower (including personal guaranties). We will help you understand the terms of the loan that has been presented, in relation to your business plan and our expected capital markets conditions at the subject loan’s maturity.
Subordinated Debt and Equity
The world of real estate finance has come a long way from a first mortgage bank loan and sponsor (owner) equity making up the entire capital stack. With capital sources involving non-bank lenders, subordinated debt / mezzanine lenders, preferred equity, joint venture equity, and other tax-based equity sources, there are many solutions; however, the complexities of the deals become quite daunting. To the extent there are additional parties involved other than an individual owner and a bank lender, there are likely to be intercreditor agreements, partnership documents, guaranty obligations (full-recourse or “bad boy carveouts”), etc. Battleson Law not only understands the legal side of such structures, the firm can provide invaluable “real world” case studies of having worked in-house at deal sponsorship groups (GP) as well as limited partner investor groups (LP). Much of the impetus for Battleson Law’s founding and focus on the capital space is the result of Mark Battleson repeatedly hearing colleagues discuss nuanced “errors” in structures which were the result of attorneys without financial modeling skill / industry experience being the final preparers of documentation. Mark has been on the business side for much of his career and has first-hand experience of “living with” the documents after the closing… the time at which many people read the documents in-full for the first time.
Deal sponsors and investors should contact Battleson Law as early as possible in the financing process, as we may be aware of options you have not considered. Reach out for your complimentary consultation to get started. We serve Metro Atlanta and all of Georgia.