Capital stack builder
Stack the capital, see what each layer costs you
Put in your deal. Each layer is priced from 2026 market quotes until you replace them, and the stack redraws as you type, with blended cost, coverage and returns underneath.
12.2%common equity IRR
- Equity multiple
- 1.74x
- Blended cost of capital
- 9.46%
- Cost of debt and preferred
- 8.53%
- Unlevered IRR
- 9.6%
- Senior DSCR
- 1.61x
- DSCR on all debt
- 1.25x
- Coverage incl. pref current pay
- 1.09x
- Debt yield, senior / all debt
- 12.7% / 10.8%
- LP IRR / sponsor IRR
- 11.1% / 21.1%
Arithmetic on the inputs above, not a projection, an offer or investment advice.
Send the debt requestYour numbers stay in your browser until you choose to send them.
How to read the stack
The drawing is a building section: the senior loan is the foundation, and each floor above it is paid only after every floor below. The percentages on each floor are its attachment and detachment points. The detachment point is the loan-to-value where the layer starts losing money if the property’s value falls; the attachment point is where it is wiped out. A mezzanine piece from 55% to 65% of value is safe until the property loses 35% of its value, and gone if it loses 45%.
The blended cost of capital weights every layer by its size, with common equity counted at the return the model projects for it. The cost of debt and preferred leaves common equity out, so you can see what the fixed-price money costs on its own. Coverage is tested on year-one NOI three ways: senior only, all debt, and all debt plus the preferred equity’s current pay.
What the model assumes
Annual periods. NOI grows at the rate you set. Senior debt amortizes monthly (or is interest-only if you enter 0); mezzanine is interest-only; preferred equity pays its current rate each year and accrues the rest, compounding, all of it paid at sale. The property sells at the end of the hold at next year’s NOI divided by the exit cap rate, less sale costs. No fees, reserves, taxes or extension costs. It is a sizing and comparison tool, not an underwriting model.
The costs page shows where the starting prices come from, and the layers explain the rules that come with each piece.
Questions people ask
What is a capital stack in commercial real estate?
The layers of money that pay for a property, ranked by who gets paid first. Senior debt sits at the bottom and gets paid first; mezzanine debt, preferred equity and common equity sit above it in that order. Each layer up takes more risk, so it charges more.
What does mezzanine debt cost in 2026?
Altus Group's Q2 2026 survey of lender quotes averaged 759 bp over the 10-year Treasury for fixed-rate mezzanine at 70% to 90% LTV, and 721 bp over Term SOFR for floating. In public filings for the same quarter, Starwood Property Trust's mezzanine book carried a 10.4% weighted-average coupon.
What is the difference between mezzanine debt and preferred equity?
Mezzanine is a loan to the owner of the property-owning company, secured by a pledge of that company's equity; if it defaults, the lender can foreclose on the pledge under Article 9 of the UCC. Preferred equity is an ownership stake with a priority return, and its remedy is usually a right to take over control of the company.
Need the debt for a real deal?
Send the senior or mezzanine request to Janover Capital. A person there reads it and replies.