Transaction Overview
George Smith Partners secured the $25,000,000 Joint Venture Equity finance for the ground-up development of a luxury 168- Unit Dana Point Luxury Townhome project. Malcolm Davies developed an ‘Equity Introduction Program’ to marry the needs of sponsors requiring equity capital with investors prior to a ‘pre-identified’ project to lay groundwork and help mold a mutually agreeable platform. The program objective is to expedite the ‘chase to equity’ on a project level once the asset has been identified. Equity relationships inherently take time to mature. This is the 2nd successful project this particular group has provided capital for this Sponsor. Terms are confidential.
Challenge: Our sponsorship had a very short escrow period to acquire the development site. The purchase included entitlements for the construction of a 168-Townhome community property.
Solution: The prior relationship established allowed the Sponsorship to quickly secure the equity and provide the needed capital for the Developer’s luxury townhome project. The new Joint Venture provided all of the needed equity capital for this development opportunity.
