Criteria

Parse seeks to lend to, and invest opportunistically in, assets owned by experienced multifamily developers and sponsors.

Investment Type


Debt and non-control structured equity capital

    • Preferred equity
    • Mezzanine debt
    • Joint venture equity
    • Hybrid joint venture equity
    • Stretch senior/unitranche loans
    • Bridge loans

Investment Criteria


Preferred equity and mezzanine debt:

    • $5.0 – 75.0 million
    • Last dollar of exposure up to 95%
    • Low-to-mid-teens pricing, scaled to risk
    • 1 – 7 year terms
    • Non-recourse financing
    • Preferred – interest only, all accrual  Mezzanine – varies, typically 25% current pay
    • Prepayment anytime, subject to minimum multiple

Joint venture equity and hybrid joint venture equity:

    • $15.0 – $75.0 million
    • Up to 90% / 10%
    • Targeted Return: High teens and up
    • 1 – 7 year terms

Stretch senior/unitranche loans:

    • $25.0 – $200.0 million
    • Last dollar of exposure up to 80%
    • LIBOR + 5.50% – 7.00%
    • 1 – 5 year terms
    • Non-recourse financing
    • Interest: Portion current pay and portion accrual
    • Prepayment anytime, subject to minimum interest

Capital Use


  • Development of new assets
  • Acquisition of existing assets
  • Recapitalization of existing assets
  • Rescue financing

Property Type

 


  • Multifamily
    • Market rate
    • Student
    • Affordable
    • Senior (IL & AL)
    • Adaptive reuse
    • Mixed-use (Multi 70%+)