Clark Equity Capital (CEC)
offers
a consistent source of equity financing for opportunistic
development, repositioning and value-added acquisition
opportunities that will yield attractive, risk-adjusted
returns. We partner with qualified developers who have
local market knowledge and experience, enabling them to
seize new opportunities in a timely fashion and/or add
value to existing projects.
We will consider a variety of entrepreneurial real estate
investment opportunities anywhere within the continental
United States. Typically, we provide up to 90% of the required
equity for development projects. Reasonable development
and property management fees are acceptable. Our primary
focus is to build, stabilize and refinance for the long-term
production of income. After return of equity and a preferred
return thereon, additional profits will be distributed
according to an agreed ownership structure accounting for
the developer’s promoted interest.
Beyond capital, we bring significant experience, strategic
knowledge, flexibility, the ability to react quickly, financial
ingenuity, a strong reputation, and the ability to secure
uniquely favorable debt financing. |
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EQUITY
INVESTMENT |
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< $5MM
/ property
≤ 90% of equity requirement |
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$5MM
- 10MM / property
> 90% of equity requirement |
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PROJECTS |
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new development
repositioning / conversion
single project / asset |
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acquisitions
partner buyout / recapitalization
property portfolio |
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PRODUCTS |
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self-storage
land development
retail / mixed-use
multifamily |
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industrial
/ warehouse
hotel |
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LOCATIONS |
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continental
US |
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Hawaii |
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ENTITLEMENTS |
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existing |
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in
progress |
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DEBT
FINANCING |
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75%
leverage
developer obtained |
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> 75%
leverage
CEC is able to arrange the guarantee of its affiliate,
Clark Investment Group, providing access to uniquely favorable
financing. CIG generally charges 1-2% of the loan’s
annual outstanding balance. |
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REFINANCING
/ SALE |
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Expected
to return equity investment within: |
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- 5 years |
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> 5
years |
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TARGET
YIELD |
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> 20%
IRR depending on perceived risk, leverage and
time
required
to return equity investment
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TYPICAL
STRUCTURE |
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10%
preferred return on all equity
20% - 50% developer back-end ownership
(tiered promote
or waterfall may be acceptable)
market rate development fees
market rate property management fees |
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