Thought Leadership

  The marketplace is wary in the lead-up to the 2020 election, but Anuj Gupta, president of Commercial Real Estate Lending with Ready Capital, says there’s opportunity for bridge lenders in the meantime as equity investors look for higher returns. Gupta believes rates will be lower for a longer period, although there is no telling what might happen after the election. Gupta feels confident about Ready Capital’s preferred strategy of focusing on small-to-medium loan sizes in secondary markets. In gateway cities, the company is supportive of creative solutions to high rent, like co-living, a sector that is expected to grow aggressively over the next few years. Meanwhile, Ready Capital is working to stay ahead of the curve by looking at more efficient ways to tackle lending in the small-to-medium sized real estate market with new technology. Watch the interview to learn more about how Ready Capital is taking advantage of the present while preparing for the future.   This video is posted as part of REBusinessOnline’s Finance Insight series, covering MBA CREF 2020. Click here to subscribe to the Finance Insight newsletter, a four-week newsletter series, followed by video interviews from MBA CREF.

  Charles Cronin of Axiom Capital Corp. discusses how the longest upcycle in history is impacting the lending environment. Cronin weighs in on the overall health of the commercial real estate lending industry now and what people learned from the 2007/08 financial crisis. What can people expect from the market going into 2020, especially with high prices and fierce competition in both sales and lending? Low credit spreads and rates are positive signs for commercial real estate. However, challenges related to high-end apartments and areas with very high costs of living signal the need for both discipline and flexibility as secondary and tertiary markets become more attractive. Watch the video to hear more about what Cronin sees in today’s market.   This video is posted as part of REBusinessOnline’s Finance Insight series, covering MBA CREF 2020. Click here to subscribe to the Finance Insight newsletter, a four-week newsletter series, followed by video interviews from MBA CREF.

  John Randall of Grandbridge Real Estate Capital talks about the capital available in the commercial real estate market. The risk-adjusted returns available in CML [capital market line] debt capital markets is superior to that offered by alternative investment classes, he says. “Until we see any meaningful steepener on the curve or significant disruption, there’s really no end in sight to the liquidity in both debt and equity flowing into commercial real estate.” This breeds fierce competition, but there has not been any meaningful slippage in risk terms or how lenders are underwriting assets. As far as the multifamily sector goes, Randall sees no end to the growing demand from renters. “As a country, we are underhoused to the tune of 3 million to 4 million units… and we’re running at an annual deficit in excess of 350,000 units,” he notes. Watch the interview to hear Randall’s insights on multifamily, as well as Grandbridge’s plans following the merger of BB&T with SunTrust to form Truist. (Grandbridge is a subsidiary of BB&T, now Truist.)   This video is posted as part of REBusinessOnline’s Finance Insight series, covering MBA CREF 2020. Click here to subscribe to the Finance Insight newsletter, a four-week …

  When beginning the loan process, borrowers and lenders start with a solid foundation. But what happens if a new or renovated project doesn’t lease up as quickly as expected? What happens if construction delays push past the end of the construction loan? What happens if construction cost overruns jeopardize completion of a project? And what if the economic upcycle turns downward before your project is completed? Mark Fogel, President and CEO of ACRES Capital, talks about the role of alternative lenders and how communication between borrowers and lenders can overcome these challenges. Watch the video for Fogel’s recommendations on creating a solid partnership with your lender. This video is posted as part of REBusinessOnline’s Finance Insight series, covering MBA CREF 2020. Click here to subscribe to the Finance Insight newsletter, a four-week newsletter series, followed by video interviews from MBA CREF.