Project | Acquisition Financing
Stronghold solutions enable sponsors to access financing through Stronghold-designed programs at terms & scale otherwise unavailable.
Features
Patient capital - Programs offer deferral of interest payments which can provide up to a 3 year grace period. Deferred interest accrues to principal.
Debt financing - Stronghold has the flexibility to design investments with project and acquisition teams as debt. Programs make secured loans.
Efficient cost/use of capital - Programs can (under the right circumstances) take a mezzanine position subordinate to a commercial bank. Sponsor’s equity and Stronghold’s mezzanine debt deploy first, establishing earned value prior to accessing the commercial bank portion of a capital stack. This approach provides a highly competitive “blended rate”.
Access to larger pools of capital - Programs access the world's largest pools of institutional capital.
Real cost of financing - Programs provide a cost of financing highly competitive with conventional sources (e.g., private equity investments) and no dilution of sponsor equity..
Shariah compliant - Stronghold can cast its financing programs as Shariah compliant.