Markets & EconomyRentals

Capital providers launch new equity, debt platforms to land more real estate deals

Eastern Union Funding expands debt service to include equity division

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In an attempt to win more deals in the competitive multifamily debt and equity sectors, capital providers are launching new platforms. These launches will involve debt providers establishing equity divisions -- or vice versa, equity groups creating debt platforms. Additionally, select debt funds may look to provide both the debt and equity for a development project. Eastern Union Funding expands its debt service to include an equity division, which comprises high net worth individuals looking to contribute capital as limited partners. The equity division’s primary focus will be on multifamily investments, as the firm cites demand for rental acquisitions loans being at an all-time high. The division represents a capital-raising shift for Eastern, as the firm previously sourced only institutional money. This new platform will introduce investors to clients looking to invest as little as $50,000 up to several million dollars. Sub-$2 million equity slices are often difficult ...