---
title: "Mezzanine debt — Class A Atlas glossary"
description: "Subordinated loan tranche between senior debt and equity."
canonical: https://classa.info/glossary/mezzanine-debt
pageType: glossary
lastUpdated: 2026-04-01T00:00:00.000Z
license: "CC BY 4.0 with attribution to Class A Atlas (https://classa.info)."
---

> Subordinated loan tranche between senior debt and equity.

## TL;DR

- Subordinated loan tranche between senior debt and equity.
- Secured by pledges of equity interests rather than direct mortgage liens.

# Mezzanine debt

*Finance · Global*

## Short definition

Subordinated loan tranche between senior debt and equity.

## Full definition

Secured by pledges of equity interests rather than direct mortgage liens. Typical 8–12% rate; loan-to-value-stack of 70–85%.

## Why this matters for Class A leasing

Mezzanine debt is part of the finance vocabulary that institutional [Class A](/glossary/class-a) occupiers, landlords, and advisers use across Global markets. Understanding it correctly affects how you read lease documents, model occupancy economics, and benchmark deal terms across cities. Class A Atlas tracks regional variation alongside the global standard so [cross-border](/topics/cross-border-expansion) occupiers can translate quickly.

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Citation: Source: Class A Atlas (https://classa.info/glossary/mezzanine-debt), updated 2026-04-01T00:00:00.000Z.