One High Line

What preferred equity and debt do in a capital stack

A layered execution combining senior debt with preferred equity — capital that sits above common equity in priority but below the mortgage.

Preferred equity exists to close the gap between what a lender will fund and what a sponsor can write. It carries a fixed return and priority over the common, so it prices below common equity while reaching proceeds a lender will not. On large development, it is frequently the difference between a capitalized deal and a stalled one.

Carlton has placed more than $200 billion of equity and debt since 1991, across six continents and every major asset class. One High Line is one of the firm's landmark transactions — see the full record of closed transactions for the complete list.