VLT is aware of the opportunities and challenges faced by Catholic Dioceses and Colleges. Traditional options like bank loans and fundraising campaigns often burden institutions with high costs, long timelines, and heavy commitments. VLT created the Vizier Land Lease to provide liquidity opportunities to Catholic Dioceses, Colleges and Universities through a simple, classic land sale/leaseback arrangement. Our land trust model provides mission-aligned financing with lower monthly cashflow costs, longer terms, and flexibility that empowers parishes, schools, and dioceses to focus on ministry instead of mortgages.
| Category | Bank Loan | Fundraising Campaign | VLT |
|---|---|---|---|
|
Financing Amount |
$1 million mortgage loan |
$1 million mortgage loan |
$1 million purchase price |
|
Cost / Rate |
7% interest |
20% fundraising fee |
5.5% rents with increases on agreeable terms |
|
Term Length |
15 years |
2–5 years (or more) raising money |
Up to 99 years |
|
Monthly Payment |
$8,988.86/month |
$200,000 fundraising expenses |
$4,583.33/month initial rent |
|
Effort Required |
Ongoing fundraising & financial
strain on parish resources |
Clergy/Religious/Faithful expended |
Project financed from the beginning |
The VLT Land Lease provides a lower cost of capital and more flexibility than a commercial mortgage.
Rate Shock Risk: Risk of refinancing mortgages every 5 – 7 years at higher rates.
An Otherwise Illiquid Asset: The Land Lease cost of capital is less than existing financing alternatives.
Supplemental Resource: Proceeds from a land sale/leaseback are additive to existing financing solutions and amplify donor giving.
Capital Freed for Mission: Unlock capital without selling mission-critical assets – redirect funds to salvific mission.
Time Freed for Mission: Clergy focus on the ministerial work that they do best with a mission-aligned partner that desires their spiritual success.
| Metric | VLT Land Lease | Commercial Mortgage |
|---|---|---|
|
Cost of Capital |
Fixed payments |
Variable plus refinancing Risk |
|
Covenants |
Monthly Lease Payment |
DSRC and Minimum Liquidity |
|
Mission Alignment |
By Definition |
Not Necessarily |
