Mezzanine debt is a loan granted to a real estate developer in order to fill the need of equity to start the construction.
The investor collects interests quarterly and gets his capital back at the maturity date; the holding period ranges between 1 to 4 years according to the size of the project. However, investors have the possibility to offer their debt contracts for sale before the maturity date on our secondary market.
Follow up on the construction
The debtor company reports to Foxstone the progress and the cash flows of the construction. Foxstone summarizes the different reports and publishes the information on the investors’ dashboard.
Collect your interests
Foxstone controls and makes sure that interest payments are wired to your bank account. Those payments are accounted in your dashboard for you to track the performance of your investment.
Get your capital back
At the maturity of the bond, the bond holders receive their capital back. However, they have the possibility to propose their bonds for sale on our secondary market before the maturity.