Deal Parameters
 |
 |
 |
 |
Services
 |
 |
 |
Follow Us
 |
 |
 |
| Loan Acquisitions |
|
| Prodigious Capital is actively seeking to acquire either through outright purchase or through barter/swap transactions performing, sub-performing and non-performing loans secured by real estate nationwide. The traditional note sale allows for capital to be redeployed, improves regulatory and credit ratings, mitigates portfolio risks and improves the overall balance sheet. However, the seller will usually realize a loss due to the large discount that secondary market investors require. By utilizing creative corporate trade and asset swap structures the Lender can potentially avoid taking losses(1) as well as recover lost equity over time. Prodigious Capital can acquire loans utilizing the following structures; Loan acquisition via Life Settlement policies swap Junior/Senior participation capital infusion Discounted whole loan purchase Loan acquisition via corporate trade
(1) Lenders should consult their legal and accounting advisors on how best to account for the corporate trade or Life Settlement policy swap transaction.
Loan acquisition via Life Settlement policies swap The swap transaction involves the exchange of the asset for a multiple of equity value in life settlement policies. Our proprietary asset swap structure involves paying two to three times (or more dependent on the payment timing requirements) the equity value of an asset in par face value life settlement policies.
Junior/Senior participation capital infusion Prodigious Capital is actively seeking recapitalization opportunities across all asset classes with a preference for multifamily. The new capital can be used to fund deferred renovations, necessary tenant improvements and leasing commissions and/or senior debt pay downs. The lender benefits from fresh capital as well as an experienced asset-specific operator (usually brought in as a co-investment partner) taking over a stalled or troubled project. The current owner may benefit by receiving a hope note or for-fee operational participation with a guarantee burn-off if deemed appropriate.
Discounted whole loan purchase We are actively seeking to purchase whole loans at a discount on an all-cash basis. Preference is given to multifamily though all asset classes, except raw land, will be entertained.
Loan acquisition via corporate trade The Corporate Trade transaction usually involves the exchange of a loan (or other assets) for trade credits issued by a Corporate Trade/Barter Company or a combination of credits and cash to be spent on purchasing goods or services that the company buys or plans to buy through the Corporate Trade/Barter Company. The premium paid can be as much as two or three times the actual fair market value of the asset. This structure is usually used to exchange non-performing loans (or yet to be written down loans) in exchange for media/advertisement credits.
|