Operations

Old School Rules: Getting Back to Lending Basics

By |2023-05-08T11:10:29-05:00May 2nd, 2023|Operations|1 Comment

Today’s private lender sales teams lack experience in true credit risk analysis, making pre-qualifying harder in a market that is producing tougher deals with less experienced sponsors. Here’s how to fix it. It’s 2023. You may be sitting at your desk wondering, “How has everything changed so much?” Where are the days of our originator’s [...]

By |2023-05-08T11:10:29-05:00May 2nd, 2023|Operations|1 Comment

How Rent Stability Impacts Your Borrower’s Loan Repayment Ability

By |2023-04-12T08:50:51-05:00April 18th, 2023|Operations|0 Comments

Lenders can better use real estate data to analyze the impact of rent changes and inflation on loan performance. Inflation impacts both the top lines and the bottom lines of investors in apartments and single-family homes. Rising inflation influences rent prices and also impacts landlords’ input costs (e.g., wages, utilities, insurance, etc). Other market forces [...]

By |2023-04-12T08:50:51-05:00April 18th, 2023|Operations|0 Comments

Making Sense of Environmental Due Diligence

By |2023-04-12T08:51:08-05:00April 18th, 2023|Operations|0 Comments

Environmental contaminants can significantly decrease a property’s value and open both borrowers and lenders to liability. Here’s how to screen, evaluate, and mitigate impacts. Environmental due diligence is the process of evaluating and identifying environmental risk associated with real estate collateral. Lenders require it to be performed for a variety of reasons, including the impact [...]

By |2023-04-12T08:51:08-05:00April 18th, 2023|Operations|0 Comments

REO Management When the Property Isn’t Local

By |2023-04-06T09:07:31-05:00April 6th, 2023|Operations|0 Comments

The asset management firm you hire becomes an extension of your team. With a dynamic marketplace and property owners succeeding or failing at a rapid pace, public and private lenders could be faced with a burgeoning REO portfolio. And, in many cases, the assets will be geographically distant from lenders, who may shoulder the burden [...]

By |2023-04-06T09:07:31-05:00April 6th, 2023|Operations|0 Comments

Legal Considerations When Structuring Multi-Lender Loans

By |2023-04-04T15:26:02-05:00March 22nd, 2023|Featured, Operations|0 Comments

Co-lenders can avoid wasting time and money by discussing these six areas with their co-lenders and their counsel. When a loan will be made by more than one lender, an additional level of analysis is necessary. Multi-lender deals have more than just financial considerations. You must consider allocation of amounts to fund, securities compliance, and [...]

By |2023-04-04T15:26:02-05:00March 22nd, 2023|Featured, Operations|0 Comments

Protecting Your Private Lending Business During a Capital Market Disruption

By |2023-03-03T13:49:13-06:00March 6th, 2023|Operations|0 Comments

Focus on these five critical areas to put your business in a competitive position for the new year. Difficult times test even the strongest, most experienced leaders. Today’s market has proven to be no exception. As the leader of your company, now is the time to stay positive and engaged—while being prepared to make hard [...]

By |2023-03-03T13:49:13-06:00March 6th, 2023|Operations|0 Comments

Starting My Fund Management Journey: Research, Research, Research

By |2025-03-24T08:51:15-05:00February 7th, 2023|Fund Management, Operations|0 Comments

Here's how one lender is navigating the daunting task of establishing a private money fund. Last spring, I began meeting twice a week with a longtime friend and colleague, Eric Saiki, to pursue the establishment of a private mortgage fund. Saiki is a litigation attorney who represents businesses in a variety of matters. There is [...]

By |2025-03-24T08:51:15-05:00February 7th, 2023|Fund Management, Operations|0 Comments

Closing Small-Balance Deals amid CRE Market Uncertainty

By |2023-01-26T18:45:54-06:00January 25th, 2023|Operations|0 Comments

Lenders can use this approach to save borrowers money as interest rates rise. The commercial real estate market stumbled in 2022 as the Federal Reserve sought to combat high inflation with a series of jumbo hikes in the benchmark federal funds rate. These moves elevated interest rates to the highest levels in more than a [...]

By |2023-01-26T18:45:54-06:00January 25th, 2023|Operations|0 Comments

Understanding Mezzanine Debt and Key Intercreditor Issues

By |2022-11-21T12:22:25-06:00November 23rd, 2022|Operations|0 Comments

Make sure you are familiar with the operational and structural considerations of mezzanine financing. Mezzanine financing provides lenders an attractive opportunity to achieve higher returns than they would with a standard real estate loan. Before engaging in mezzanine financing, a lender should carefully evaluate the risks associated with a mezzanine loan. Part of this analysis [...]

By |2022-11-21T12:22:25-06:00November 23rd, 2022|Operations|0 Comments

Are You Prepared for Delinquency and Default?

By |2022-11-08T16:04:59-06:00November 9th, 2022|Operations|0 Comments

Many private lenders are tracking rising delinquencies and starting to feel the realities of the current market. A brief synopsis of the default landscape according to ATTOM’s Midyear 2022 U.S. Foreclosure Market Report, published in mid-July 2022, includes the following: In the first six months of 2022, a total of 164,581 U.S. properties are in [...]

By |2022-11-08T16:04:59-06:00November 9th, 2022|Operations|0 Comments

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