Finance
In New Mexico, a 'mezzanine loan' in commercial real estate is secured by:
AThe real property itself
BPledged equity interests in the entity that owns the real property, rather than a lien on the property✓ Correct
CThe borrower's personal assets
DFuture rents from the property
Explanation
A mezzanine loan is secured by pledged ownership interests in the property-owning entity (LLC or LP shares), rather than a direct lien on real property. It typically has higher interest rates and subordinate position to the senior mortgage.
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