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Industry

Financial Services

Company Type

Fund

Size

$40 Million Equity

Investment Type

Equity

OVERVIEW

True North Mortgage/Manzil (TNM Manzil), a specialized lending platform, is seeking $40 million to grow its mortgage forward flow program

Competitive Advantage

TNM Manzil is a specialized lending platform that offers funding products to meet the requirements of immigrant communities that pay a premium yield (of ~200 bps or more) to access their alternative products

Assets

Prime-credit first-lien mortgages on primary residences 

Growth of Portfolio

Alternative asset CAGR of greater than 100% since inception in 2020

Underwriting/

Servicing

True North Mortgage handles underwriting and servicing

Currently servicing $4 billion portfolio with a 0.08% arrears on all mortgages originated over its 20 years in business

Use of Proceeds &

Strategy

TNM Manzil aims to use the $40 million in conjunction with an efficient warehouse and rated securitization facilities to fund a forward flow of TNM Manzil’s prime credit mortgage pipeline (current client waitlist exceeds TNM Manzil’s capital capabilities by multiples)

PROBLEM & SOLUTION

There is a growing financing gap for clients that are seeking mortgages for homes greater than $ 1 million, refinancings or unique mortgage terms.  Banks are unable to meet this growing financing demand due to regulatory restrictions

Prime-credit immigrant populations are a particularly underserved market due lack of bank outreach

TNM Manzil has developed the only Canadian lending platform that offers a wide range of alternative mortgage options targeting prime-credit immigrant populations

HIGH GROWTH ASSET

  • Structural characteristics of the Canadian mortgage market create a demand for non-agency mortgages because they must be used to:
  • Finance homes in expanding urban centers like the Toronto and Vancouver areas which have growing average prices of greater than $CAD 1 million for single detached homes2
  • Meet any mortgage-refinancing needs of consumers that are seeking better financing terms
  • Serve the requirements of relatively high immigrant populations that seek unique financing structures and terms
TNM Manzil’s alternative prime-credit assets have nearly doubled every year since inception in 2020 and current client waitlist exceeds TNM Manzil’s capital capabilities by multiples

FAVORABLE ASSETS

  • High quality origination and strong Canadian underwriting standards have proven continued resiliency in the face of global economic downturns
  • Payments on Canadian mortgages have been uncorrelated to the global capital markets
  • Canadian mortgages have among the lowest arrears rates in the OECD group
  • Canadian current arrears rate of 0.18% nationally, as compared to the US rate of 3.34%3

TEAM CREDENTIALS

Partner – Capital Markets and Liquidity


  • Has worked with quasi-governmental institutions, private equity sponsors, insurance companies and development banks on a wide range of issues in the areas of project finance, structured finance, project economics and corporate operations
  • Substantial experience as a credit ratings analyst with one of the foremost global credit rating agencies, which has enabled a deep understanding of everything from complex financial analysis to project operations
  • B. Eng, M. Econ and MBA
Partner – Asset Origination Manager


  • Creator of the Manzil online platform
  • Used significant technical knowledge and understanding of the alternative home financing market to develop a highly competitive home financing platform. Since inception, the Manzil platform has experienced unprecedented growth in demand for its products.
  • Doctorate in Business Administration
Partner – Asset Origination Operations


  • Co-Founder of Manzil online platform
  • Instrumental in managing the continued growth of the pipeline through the Manzil platform.
  • Has supervised the sourcing of assets into the existing outperforming portfolio and has developed relationships with institutional grade-originators and servicers to ensure the continued sourcing of high-quality prime mortgage assets.
  • CPA, CSAA
Learn More About Manzil Credit
Thank you for your interest in Manzil Credit.Please fill out your information and we will contact you shortly with more information on this opportunity.

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CONTACT US

Hi. We're not around right now. But you can send us an email and we'll get back to you, asap.

Thanks, Ken

Ken Margolis | Managing Partner Castle Placement, LLC
1460 Broadway Street, Rte 400
New York, New York 10036
(212) 418-1188 | C: (516) 712-7784
kmargolis@castleplacement.com

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