1 rich Libsyn https://www.libsyn.com 90 600 Trying to understand first mortgages, mezzanine loans, junior mortgages, and the capital stack in commercial real estate? Think of the capital stack as the mix of debt and equity used to finance a commercial property purchase or development. For example, on a $5 million commercial project, a bank may not finance the entire amount — especially on higher-risk projects with limited leases, construction timelines, or uncertain cash flow. In many cases: ✔️ First Mortgage – Usually the primary loan, often provided by a bank, with first priority on the property. ✔️ Mezzanine Loan / Junior Debt – Additional financing used when the first mortgage does not cover enough of the purchase or development cost. These typically carry higher risk and often higher interest rates. ✔️ Equity – The owner's or investor's cash contribution into the project. Understanding how financing layers work is an important concept in commercial real estate and mortgage education. #AlbertaRealEstate #AlbertaRealEstateSchool #CommercialRealEstate #CapitalStack #CommercialMortgage Alberta Real Estate Tutor http://albertarealestateschool.com <iframe title="Libsyn Player" style="border: none" src="//html5-player.libsyn.com/embed/episode/id/41793050/height/90/theme/custom/thumbnail/yes/direction/forward/render-playlist/no/custom-color/88AA3C/" height="90" width="600" scrolling="no" allowfullscreen webkitallowfullscreen mozallowfullscreen oallowfullscreen msallowfullscreen></iframe> https://assets.libsyn.com/secure/item/41793050