Project financing
A form of asset-based financing in which a firm finances a discrete set of assets on a standalone basis. |
Similar financial terms
Projected maturity dateWith CMOs, final payment at the end of the estimated cash flow window.
Projected benefit obligation (PBO)
A measure of a pension plan's liability at the calculation date assuming that the plan is ongoing and will not terminate in the foreseeable future.
Project notes (PNs)
Project notes are issued by municipalities to finance federally sponsored programs in urban renewal and housing and are guaranteed by the US Department of Housing and Urban Development.
Project loans
Usually FHA-insured and HUD-guaranteed mortgages on multiple-family housing complexes, nursing homes, hospitals, and other development types.
Project loan securities
Securities backed by a variety of FHA-insured loan types - primarily multi-family apartment buildings, hospitals, and nursing homes.
Project loan certificate (PLC)
A primary program of Ginnie Mae for securitizing FHA-insured and coinsured multifamily, hospital, and nursing home loans.
Conventional project
A project with a negative initial cash flow (cash outflow), which is expected to be followed by one or more future positive cash flows (cash inflows).
Threshold for refinancing
The point when the WAC of an MBS is at a level to induce homeowners to prepay the mortgage in order to refinance to a lower-rate mortgage, generally reached when the WAC of the MBS is 2% or more above currently available mortgage rates.
Production payment financing
A method of nonrecourse asset-based financing in which a specified percentage of revenue realized from the sale of the project's output is used to pay debt service.
Planned financing program
Program of short-term and long-term financing as outlined in the corporate financial plan.
Off-balance-sheet financing
Financing that is not shown as a liability in a company's balance sheet.
Net financing cost
Also called the cost of carry or, simply, carry, the difference between the cost of financing the purchase of an asset and the asset's cash yield. Positive carry means that the yield earned is greater than the financing cost; negative carry means that the financing cost exceeds the yield earned.
Multi-option financing facility
A syndicated confirmed credit line with attached options.
Back-to-back financing
An intercompany loan channeled through a bank.
Bridge financing
Interim financing of one sort or another used to solidify a position until more permanent financing is arranged.
Cost of lease financing
A lease's internal rate of return.
