Benefits for Property Owners
We can help you raise up to 90% of the capital stack.
Debt & Equity
Capital stack experts: A well balanced capital stack is able to provide solid risk adjusted returns on your project. On the projects we get involved with, we ensure that senior first mortgage loan has low rate, amortization is long, recourse is optimized and loan amount is maximized. Our senior debt and mezz capital comes from a variety of sources: over 120 sources of debt capital ranging from banks, lifeco's, pension funds, credit unions, trust co's and foreign lenders. For the right deal, it is possible that a project may only need 8% of the total equity capital. Which can then be further split into 6% from R2 and 2% from the Sponsor.
Outsource your capital raise
Capital raise in the public and private market is heavily regulated by various provincial securities regulators under "The Securities Act". Real Estate is a complex business and key service level partnerships are hugely important and R2 can be a Sponsor's best capital partner. We find that majority of capital raising done by several real estate owners/syndicators is under the use of "Friends & Family" exemption. Unfortunately, most of the time it is offside with the Securities Commission.
Leave it to our expertise to handle all of that compliance work on your behalf and use us as your Agent. We ensure that all KYC, KYP, Risk Suitability & AML is done properly so that you focus on what you do best i.e finding hidden gems, polishing them and turning them around!
Access Our Database of Investors
Our team has decades of experience in CRE capital raise and we have collectively financed over $10 billion of capital for our clients. Through our past experience working at BMO, RBC, CIBC & JLL, relationships and strategic partnerships, we have access to a very wide variety of retail, institutional and foreign capital. We offer tremendous scale to our sponsor clients in terms of distribution of the investment product and managing the capital raise process by using our online tech based platform.
Technology: Speed & Efficiency
R2 is designed to connect you with investors in the simplest way possible. We take the legwork out of finding, vetting and securing real estate investors. We work as the bridge between you and the investor to keep them informed and educated via our easy to use platform. Through our portal, you will be able to track all investors, their invested amounts, fund raise, money transfer, distribution of capital and most importantly quarterly reports - all seamlessly through our portal.
Industry 3rd Party Partners
Through our network, we provide you with a full range of services that are required on a typical capital raise: Appraisals, environmental reports, building condition reports, legal work, financial statement analysis, title insurance, and payment processing. We ensure that all such work is completed by recognized industry practitioners in a cost and time effective manner.