01Size the deal
Mezzanine Financing in Canada
Capitalor facts
- Subordinate debt filling the gap between senior loan and sponsor equity.
- Illustrative structure: 85% LTV, interest-only, 3-year term, 1.00x coverage floor.
- Scenario rate 12.10%: GoC 5-yr 3.60% (as of 2026-10-07) + 850 bps illustrative spread = 12.10%. Not a lender or program rate.
About these terms
Leverage, amortization, term and spread are illustrative structure settings for this product type, not any lender's published terms or an offer of credit.
Scenario rate
12.10%
Hypothetical
Illustrative LTV
85%
Coverage floor
1.00x
Term
3 yr
Capitalor scenario model · Page revised 2026-09-23 · Maintained by Capitalor Data Desk
Scope: Mezzanine Financing · tier 2 · 33 market guides
Inputs: GoC 5-yr 3.60% (as of 2026-10-07) + 850 bps illustrative spread = 12.10% · hypothetical $5,000,000 value, $300,000 NOI
02Stress the debt
DSCR calculator
Hypothetical Mezzanine Financing scenario — enter your own numbers
Annual debt service
$540,917
DSCR
0.55x
Below lender threshold
Max loan at 1.00x
$2,357,110
LTV calculator
Hypothetical Mezzanine Financing scenario — enter your own numbers
Current LTV
85.0%
Inside lender band
Max loan at cap
$4,250,000
Equity required
$750,000
04Choose city
Mezzanine Financing by market
Each market page runs the same hypothetical scenario with local census context. Capitalor does not publish verified local rates, lender counts or deal sizes.
ActQuestions
What rate does mezzanine financing carry today?
Capitalor does not publish a current lender rate. Its scenario uses GoC 5-yr 3.60% (as of 2026-10-07) + 850 bps illustrative spread = 12.10%. Get real quotes for your file.
What would mezzanine financing cost to service per $1M in the scenario?
$121,000 a year at the 12.10% scenario rate on an interest-only basis. Servicing cost only — premiums, fees and prepayment terms sit outside it.
How much equity would the illustrative structure need?
At an illustrative 85% LTV the sponsor funds the remaining 15% plus closing costs. Actual maximum leverage is set by the lender or program.
Are these official terms?
Leverage, amortization, term and spread are illustrative structure settings for this product type, not any lender's published terms or an offer of credit.
Sources
- [1] Bank of Canada Valet API — GoC 5-year, last observation on file 2026-10-07
Not advice — Capitalor is a data publisher. We do not originate, broker, arrange, or place debt, and nothing here is an offer of credit, a quote, or financial advice. Figures are indicative benchmarks for comparison and must be confirmed with a licensed lender or mortgage professional before you rely on them. About Capitalor