We Are Experts At Problem Solving
We deploy our capital and apply our institutional knowledge to solve challenges standing in between you and your next commercial real estate transaction. Below are a few case studies that demonstrate how we can help. If your situation doesn’t fall into one of these — contact us. Odds are we’ve done it before.
Quick
Timeliness is a crucial component of your transaction. We pride ourselves on closing faster than anyone in our industry.
Creative
Unconventional circumstances call for creative measures, especially when your transaction’s success depends on smart capital structure.
Flexible
We aren’t constrained by irrational red tape. We identify what is important to our borrowers and work to offer unparalleled customer service.
Construction & Value-Add
Highlights:
- $30,100,000 total loan
- Structured as part revolver, part term loan
- Proceeds used to pad-ready sites for sale. Included:
- Soft costs for entitlements, architecture, and engineering
- Demolition of 1.0M+ sq. ft. of buildings
- Remediation
An experienced development team utilized Pangea Mortgage Capital’s flexible structuring to refinance, remediate, and pad-ready a 225-acre commercial site in suburban Chicago.
As part of PMC’s underwriting, it held calls with all proposed purchasers of the land and the municipality to better assess the risk and grow comfortable with the deal. PMC structured the transaction as part term loan and part revolver to match the level of flexibility required by the sponsor’s plan.
PMC was repaid through a series of parcel sales and a refinance from a national lender after sponsorship successfully executed on their plan.
Quick Close
Highlights:
- $14,000,000 total loan
- Closed in 14 days
- Funded acquisition and repositioning
- Asset was purchased during foreclosure process
An experienced real estate investor, contemplating the purchase of a distressed multifamily asset, turned to PMC for fast liquidity. The asset had a history of fire safety violations, which were outstanding for more than a year. Due to unsafe conditions, a fire at the property destroyed 24 units and garnered substantial attention from local media outlets. Pressure from the City of Dallas to place the property under receivership persuaded the then lender to appoint a receiver of their own and schedule a foreclosure sale. As a result, the owner instructed Dallas area investment brokers to tender purchase offers that could transact in a few weeks’ time.
Shortly after the receiver was assigned to the property, the real estate investor held a call with PMC to identify an optimal structure for a proposed purchase and repositioning of the property. The investor used PMC’s quick close capabilities to negotiate a purchase with a two-week closing and substantial hard earnest money at signing.
Signing a purchase agreement days after receiving a term sheet from PMC, the Sponsor closed on the transaction in just fourteen days.
The PMC team leveraged the resources and institutional expertise of their 450+ employee parent company and moved swiftly through the diligence and documentation process to fund the transaction.
Special Situations
Highlights:
- $5,250,000 total loan
- Structured as a term loan
- Refinanced borrower out of default
A Florida-based technology firm sought a short-term refinance on their class-A headquarters in Sarasota, FL. A shift in the technology industry challenged the sponsor’s financial performance, ultimately tripping a covenant in a loan collateralized by their headquarters. Their lender elected to accelerate the debt.
The sponsor turned to PMC for a short term, asset-based loan to repay the existing lender while they explored options for a recapitalization. PMC assessed the collateral value under multiple exit scenarios, including an SBA refinance, a sublease of the space, and a sale. Based on a clear understanding of the company’s operating history and expected path forward, PMC provided the sponsor with the runway needed to improve the business.
Within the initial loan term, the sponsor successfully marketed and sold the asset to an owner-user — paying off PMC’s loan and allowing the sponsorship to strategically relocate.