Credit Tenant Lease
Customized, long-term, fixed-rate financing
Credit Tenant Lease (“CTL”) Financing is a method of financing real estate in which the landlord / owner borrows money to finance the development or purchase of a property and pledges as security rent to be received from the tenant and a mortgage on the property.
CTLs are hybrid financings consisting of elements of corporate finance and real estate finance, resulting in a long-term, highly leveraged, customized loan. Unlike a typical commercial real estate loan which is underwritten and sized based on the property value, CTLs are sized based on the underlying lessee’s credit rating, lease structure, and rental payments.
Learn more about why New Balance chose to work with us to finance their new LEED-certified headquarters.