2.  Jonathan Aghravi, a senior director at
Eastern Consolidated in New York City, is
responsible for transactions involving
commercial and real estate owners and
investors. While handling conventional
income producing loans for his clients,
Jonathan Aghravi also focuses on
construction loans, mezzanine financing,
and joint venture equity.

3.  Joint venture equity is a means of obtaining capital
that is often used in commercial and residential real
estate. It is a form of equity financing in which an
outside company acquires a share of the target
company’s ownership and a measure of control.
Instead of being repaid in cash, an equity provider is
entitled to a share of the profits. The precise
percentage varies from deal to deal.
In joint venture equity, both parties share profits or
losses relative to their capital stakes. This type of
investment is frequently used for speculative office
space construction or for projects such as assisted
living, hotels, or hospitals.

4.  In addition, joint venture equity entails
less risk than a bank loan. If the venture
does not become profitable, the owner
has no extra liability to the financiers. He
or she can also draw on the expert
knowledge of the financing company.
However, shared control can lead to
disagreements regarding the direction of
the company.