Discounted Note Purchase
CCP has financed scenarios where either existing borrowers or new buyers have purchased notes at a discount. Lenders are willing to finance the real estate to take out the existing note or hypothecate the paper and allow the note to stay in place.
Leverage levels vary, but the typical lender will finance up to 60-70% of the note purchase price. The note purchase price will have to be discounted to a level that makes economic sense to the new lender.
There will be more of these opportunities as lenders look to sell loans to conform with capital requirements.