Mezz funding back in vogue. By Nick Lenaghan, Australian Financial Review.

Local and offshore developers are turning to mezzanine finance as local banks raise their risk requirements in the wake of the global financial crisis, says Wayne Lasky , ­managing director at commercial property lender MaxCap Group.

Mr Lasky said the commercial debt market had consolidated in the wake of the credit squeeze at the same time as the major Australian banks tightened their lending criteria.

“They retreated down the risk curve, made it harder to access debt and have grown their market share.

“There needs to be additional finance to pick up the slack,” he said.

Read this article in full on the Australian Financial Review website.