Lanyard has access to pools of funds designated for senior and mezzanine position mortgage investments, and has underwritten $200 million of mortgage loans in amounts from $500,000 to $11,000,000. These loans have been secured against all types of real estate for purposes ranging from bridge loans on income producing properties to mezzanine construction facilities to land only financings. Lanyard strives to position itself as a lender "just outside the bank envelope". Our interest rates generally range from 7.5% to 9.5% on first mortgage loans. Our credit approval process is less formal than conventional lenders enabling Lanyard to typically facilitate a funding within two or three weeks from delivery of the borrower's formal loan application. Applications can often be provided within two business days.

Real Estate Finance Criteria

Our program serves all primary and secondary markets in British Columbia, Alberta, and Ontario. We are actively expanding our mortgage portfolio with loans meeting the following criteria:

• Principal loan amounts between $1,000,000 and $15,000,000
• Real property security including anchored and unanchored retail, office, multi-family, retirement, RV/recreational, hospitality, bare land, and industrial properties
• Loan to values ratio up to 85% on income producing properties
• Debt service coverage ratio - typically 1.1 times or greater for income producing properties (may, in certain cases, be flat coverage or less than flat coverage depending on creditworthiness of borrower, other covenants, loan to value ratio, and the ability to establish an interest reserve from the advance)
• Facilities may be interest only, recourse or non-recourse

With our thorough understanding of the commercial and residential property sectors, we have the ability to:

• Respond effectively to client specific requirements
• Appreciate the impact of changes in market conditions
• Recognize the potential of niche opportunities
• Offer flexibility in relation to our lending criteria and pricing structure

Our clients benefit from a direct working relationship with senior lending officers who maintain a close involvement throughout the life of each transaction. We are always pleased to discuss a transaction "in principle" and we will give a rapid indication of what we believe we can do.