Mezzanine Loans in Chicago, IL
Find lenders offering mezzanine loans in the Chicago, including Naperville, Schaumburg, Evanston, and surrounding areas. Compare rates, terms, and programs from 8 lenders.
Which Mezzanine lenders serve Chicago?
8 lenders offering mezzanine loans in the Chicago, IL area.
JLL Capital Markets
LocalChicago, IL
Global commercial real estate services firm. Debt placement, equity advisory, and investment sales across all property types.
Acore Capital
New York, NY
Commercial real estate finance company providing bridge, mezzanine, and preferred equity. $20B+ in originations. Institutional-quality deals.
CBRE Capital Markets
Dallas, TX
Global CRE services and capital markets. Arranges debt and equity for all commercial property types.
Goldman Sachs
New York, NY
Major CMBS conduit originator. Large-scale commercial mortgage financing and mezzanine debt.
Greystone
New York, NY
Full-service commercial real estate lending platform. Agency, bridge, mezzanine, and permanent financing. Top Freddie Mac and FHA lender.
LoanCore Capital
Hartford, CT
Transitional commercial real estate lender. Bridge and mezzanine debt for value-add and repositioning strategies.
Morgan Stanley
New York, NY
Top CMBS originator. Large commercial real estate lending and securitization.
Walker & Dunlop
Bethesda, MD
Major commercial real estate finance company. Multifamily specialist. Agency, bridge, and mezzanine lending.
What does the Chicago commercial real estate market look like?
Chicago is the third-largest commercial real estate market in the U.S., with a downtown Loop and River North office market totaling over 150 million square feet, a sprawling suburban office landscape across the I-88, I-90, and Lake County corridors, and one of the nation's largest industrial markets centered on the I-55 and I-80 logistics corridors. Fulton Market/West Loop has emerged as the city's premier tech and creative office district, attracting Google, McDonald's relocated headquarters, Salesforce, and numerous venture-backed startups. The city's unmatched rail and intermodal infrastructure — six Class I railroads converge here — makes the Chicagoland industrial market essential for national distribution networks. The South and West Loop have seen substantial mixed-use and residential conversion as older office buildings adapt to changing demand.
Key Economic Drivers
- ●Fulton Market/West Loop tech and creative office cluster with Google and McDonald's HQ
- ●Six Class I railroad convergence and I-55/I-80 intermodal logistics hub
- ●O'Hare Airport modernization and adjacent suburban office and industrial parks
- ●Life sciences corridor expanding from the Illinois Medical District through University of Chicago
Market Insight
Cook County assesses commercial property at a 25% level of market value compared to 10% for residential, and when combined with the state equalization factor and local school district levies, effective commercial property tax rates in some Chicago neighborhoods exceed 4% of market value — among the highest in the nation.
How do mezzanine loans work in Chicago, Illinois?
Mezzanine loans are subordinate real estate loans secured by a pledge of the borrower's ownership interests rather than a mortgage lien on the property itself. Borrowers use them when the senior lender's proceeds stop short and they want to reduce the common equity check. In the Chicago metro area, borrowers can access 8 lenders offering Mezzanine financing, including Naperville, Schaumburg, Evanston, and surrounding areas. Loan amounts typically range from $1M to $100M with rates from 6.75% - 11.97%.
Who should consider mezzanine loans?
- Large acquisitions with a capital gap
- Recapitalizations
- Senior-loan executions that stop short on proceeds
- Experienced sponsors managing intercreditor terms
What are the key requirements?
- Usually at least a $1M capital need
- Strong sponsor track record and exit plan
- Senior lender consent plus an intercreditor agreement
- Debt service and leverage that still work for the full stack
Advantages
- ✓Can reduce the common equity check
- ✓Usually no direct property lien
- ✓Often structured interest-only
- ✓Can add proceeds above a senior mortgage
Considerations
- •Usually the priciest layer in the stack
- •Senior lender approval is typically required
- •Intercreditor terms can limit remedies
- •Often not a fit for small-balance deals
Mezzanine Loans in Chicago FAQ
How many Mezzanine lenders serve Chicago, IL? ▼
What are Mezzanine loan rates in Chicago? ▼
What is a mezzanine loan in real estate? ▼
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Do senior lenders have to approve mezzanine debt? ▼
How small can a mezzanine loan be? ▼
Where else can I find mezzanine loans in Illinois?
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