Our Services

There is a distinct advantage to working with JPP’s Principals, who have decades of hands-on experience as developers, investors, and guarantors. As a result, the client benefits from JPP’s guidance in facilitating the skillful closing of each individual capital transaction. Tailoring commercial real estate debt and equity solutions is our firm’s primary focus, with the ultimate goal of optimizing capital to precisely fit the priorities of every client. JPP sets itself apart by not only understanding the key nuances of all property types but also by being able to swiftly discern the appropriate capital structure. With more than 1,000 capital relationships across the globe, our firm is ideally equipped to underwrite, negotiate, and close complicated commercial real estate deals across the entire United States.

Non-Recourse Term Debt Back to Top

Whether the client’s desire is to refinance, repurpose, finance capital improvements, or acquire a property, JPP arranges non-recourse senior lien term loans through hundreds of our firm’s capital relationships. Leverage generally maxes out at 80% Loan-To-Value (LTV), however many of JPP’s banking relationships allow Loan-To-Cost (LTC) to exceed LTV. Fixed interest rates, floating interest rates, and adjustable interest rates are available depending upon the lending institution. The closing timeframe is generally 30-60 days and mainly contingent upon the borrower’s (i) intensity in negotiating the loan documents and (ii) promptness in providing the required due diligence. JPP’s term loan sources include Life Companies, CMBS Groups, GSEs, Commercial Banks, Debt Funds, Family Offices, and Ultra-High Net Worth Individuals. A client seeking a term loan will benefit from JPP’s negotiation of not only basic terms such as leverage, coupon, escrow caps, 3rd party report costs, and origination fees but also more complex terms such as prepayment structure, interest rate protection, springing lockbox provisions, holdbacks, earnouts, and more.

Minimum loan size = $1,000,000
Maximum loan size = No limit
Loan Term = 5-20 years
Loan Amortization = 15-30 years
Coupon = Subject to daily credit market movements. Available upon request.

Non-Recourse Bridge Debt Back to Top

Whether the client’s desire is to refinance, repurpose, finance capital improvements, or acquire a property, JPP structures non-recourse short-term loans through its most creative debt relationships. The maximum leverage is generally 85% LTV, however, many circumstances allow LTC to reach 95%. Typically, interest rates are structured as floating over LIBOR with floors and caps. Fixed rate options are available through some of JPP’s bridge capital relationships. The closing timeframe generally varies from 15-30 days, primarily depending upon the borrower’s level of motivation to reach closing. JPP’s bridge loan sources include Debt Funds, Commercial Banks, Private Lenders, CMBS Groups, Family Offices, and Ultra-High Net Worth Individuals. A client seeking a bridge loan can expect JPP to negotiate key terms (e.g. points in/points out, additional future fundings, extension options, lockout, etc.) that borrowers frequently overlook.

Minimum loan size = $1,000,000
Maximum loan size = No limit
Loan Term = 1-5 years
Loan Amortization = Interest-Only
Coupon = Subject to daily credit market movements. Available upon request.

Non-Recourse Construction Debt Back to Top

JPP arranges non-recourse construction loans through more than 100 capital relationships. The maximum leverage is generally 65% LTC, however, financially strong sponsors with sites in irreplaceable locations often allow lenders to push the leverage higher. Typically, interest rates are structured as floating over Prime or LIBOR with floors and caps. The closing timeframe averages 60 days, but often hinges on the turnaround time of the final third party reports. A client seeking a construction loan can trust JPP with our professionals’ ability to not only cast a very wide net out to hundreds of capital sources but also negotiate key terms that borrowers sometimes overlook.

Minimum loan size = $3,000,000
Maximum loan size = No limit
Loan Term = 12-36 months
Loan Amortization = Interest-Only
Coupon = Subject to daily credit market movements. Available upon request.

Non-Recourse “Stretch” Construction Debt Back to Top

JPP arranges stretch non-recourse construction loans through 20-25 capital relationships. The maximum leverage can stretch as high as 90% LTC. Typically, interest rates are structured as floating over Prime or LIBOR with floors and caps. The lender will sometimes bifurcate the loan into two notes (A Note & B Note), holding the B Note and selling the A Note. The closing timeframe varies widely due to the complexity and higher risk profile (i.e. higher leverage) of the debt. A client pursuing a stretch construction loan will be able to trust JPP with our professionals’ ability to weigh the many pros/cons versus arranging the capital stack utilizing numerous alternative methods.

Minimum loan size = $15,000,000
Maximum loan size = No limit
Loan Term = 12-36 months
Loan Amortization = Interest-Only
Coupon = Subject to daily credit market movements. Available upon request.

Non-Recourse Mezzanine Debt Back to Top

JPP arranges non-recourse Mezzanine construction loans through rare specialty capital relationships. The maximum leverage can stretch as high as 90% LTC for strong collateral. Typically, interest rates are fixed, however, some capital sources will consider adjusting the rate downward upon achieving certain hurdles (e.g. certificate of occupancy, stabilization, a specified debt service coverage ratio). The closing timeframe is generally between 30-60 days. A client who selects the Mezzanine route should be especially cognizant of pitfalls associated with collateral pledges, cure rights, and other nuanced deal points that JPP will negotiate.

Minimum loan size = $5,000,000
Maximum loan size = No Limit
Loan Term = Coterminous with Senior Lien Creditor; generally 2-5 years.
Loan Amortization = Interest-Only
Coupon = Negotiable, depending upon notable factors such as (i) total leverage, (ii) dscr, and (iii) asset quality.

Non-Recourse Construction Bond Debt Back to Top

JPP structures non-recourse bond financing for development real estate through a handful of esoteric capital alliances. The leverage typically ranges between 85%-100% LTC. The overall coupon is a low-cost fixed interest rate determined by the weighted average coupon of the various tranches within the bond structure. A client seeking construction bond debt can entrust JPP to structure, negotiate, close, and fund in time to meet the Developer’s development schedule.

Minimum size = $1,000,000
Maximum size = No limit
Term = Generally 10-30 years
Amortization = Self-Amortizing (i.e. coterminous with Term)
Coupon = Negotiable, depending upon key factors such as (i) issuer rating, (ii) total leverage, (iii) Sponsor experience, and (iv) collateral cash flow.

Preferred Equity Back to Top

JPP either invests in preferred ("pref") equity opportunities internally or arranges them through our firm’s specialty capital relationships. Sponsors seeking to keep a larger portion of the real estate asset’s upside hire JPP to structure "pref" equity in lieu of JV equity. The maximum leverage above the senior lien is generally 85%-90% LTC. Typically, the coupon is fixed and has a maturity/balloon. The closing timeframe varies widely between "pref" equity groups, often depending upon necessary collaboration with the senior lien lender.

Minimum loan size = $1,000,000
Maximum loan size = No Limit
Term = Generally 2-5 years
Amortization = Interest-Only
Coupon = Negotiable, depending upon notable factors such as (i) total leverage, (ii) dscr, (iii) asset quality, and (iv) existence of back-end splits.

Joint Venture Equity Back to Top

JPP either invests in joint venture (“JV”) equity opportunities internally or structures them by way of our firm’s closest capital relationships. Sponsors/Clients seeking to keep a smaller portion of their own equity in the deal hire JPP to identify and introduce the ideal JV equity partner. JV equity groups will generally bring 90%-95% of the transaction’s total equity requirement. Typically, there is no maturity/balloon. JV equity generally enters the ownership entity as a Limited Partner, with the Client retaining the General Partner role. The closing timeframe varies widely, commonly hinging on the degree to which the partnership agreement is negotiated.

Minimum size = $500,000
Maximum size = No Limit
Preferred coupon = Negotiable, depending upon key factors such as (i) promote structure, (ii) % of equity provided by client versus JV equity partner, (iii) asset quality, and (iv) leveraged IRR.

Advisory & Consultation Back to Top

Many of JPP’s clients have the desire to engage a commercial real estate professional to perform limited-scope analysis. Whether you’d like to hire JPP to prepare a Broker Opinion of Value (BOV), make a detailed presentation, conduct a site inspection, or simply draft a report on a property’s submarket, our firm’s professionals have the necessary expertise and data to perform a wide variety of commercial real estate consulting assignments.

Call (972) 725-7756 to discuss your consulting needs.