INVESTMENT CRITERIA
Wellings Capital is a boutique commercial real estate private equity firm investing preferred and JV equity for acquisitions and recapitalizations alongside operator partners.
Preferred Equity Investment Criteria
| Investment Size: | $5-15 Million |
|---|---|
| Markets: | National |
| Term: | Up to 10 years; coterminous with senior loan |
| Maximum Loan-To-Cost: | Up to ~85% |
| Current pay: | 7-10% |
| Coupon: | 13-14%+ |
| Property Types: | Manufactured home communities, multifamily, industrial, and retail. No development. |
| Agency and CMBS compliant? | Yes |
JV Equity Investment Criteria
| Investment Size: | $5-15 Million |
|---|---|
| Markets: | National |
| Term: | Up to 10 years |
| Property Types: | Manufactured home communities, multifamily, industrial, and retail. No development. |
| Structure: | We customize flexible JV terms and structure to meet the needs of the deal, sponsor, and common equity investors |
What Sets Us Apart From Other Equity Providers
Compared to other institutional equity, we employ a hands-off approach as long as the operator is performing according to plan. We conduct thorough due diligence upfront and have certain control rights, however our intention is to allow the operator to execute their business plan without interference.
Our fund has captive capital ready to deploy so we do not need to raise capital on a deal-by-deal basis.
We strive to be flexible with our structure to best align with the needs of the GPs and the expectations of the common equity LPs (for example, we can go pari passu with common equity on distributions of cash flow after debt service, we can trade PIK for points, and we can structure as participating pref with a kicker or promote participation to get the coupon down).
Our goal with every deal is to develop and nurture decades-long, programmatic relationships with our operator partners
Contact Us
Troy Zsofka | Managing Director, Investments
603-731-1557 | troy@wellingscapital.com