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.