Stack

THE CAPITAL STACK EXPLAINED

When describing the financial framework of a real estate transaction, the term “capital stack” is commonly used (frequently depicted as a bar graph or pyramid). The capital stack defines the many forms of capital invested in a real estate asset and their respective relationships. There are traditionally two primary categories of capital: Experience and Risk […]

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CAPITAL STACK AND COMMERCIAL REAL ESTATE FINANCING

Financing of Commercial Real Estate and the Capital Stack In commercial real estate, it is often said that finance is king. In other words, before contemplating a project, examine how it will be funded. Without a fully defined and executed finance strategy, also known as a capital stack, a substantial amount of money remains a

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