Advisory

We apply the experience and market knowledge gleaned from our acquisition activities to perform advisory work for both small and large institutions. Our primary areas of expertise include:

  • Loan workouts
  • Portfolio monitoring and oversight
  • Portfolio sales and loan sales
  • Independent valuation opinions (including performing, classified and non-performing mortgage portfolios as well as individual assets.)

Our advisory clients range from community banks to some of the largest financial institutions in the world, with assets under management in excess of $100 billion. 

 

Case Studies

Some highlights of past engagements include the following:

  •  A leading alternative asset manager with $150 billion in assets under management retained us in connection with its acquisition of a portfolio of classified commercial mortgage loans.  We underwrote each asset in the portfolio, surveying local property brokers nationwide to determine market cap rates, per-square-foot and per-unit valuation metrics, current market lease terms and competing inventory in the local market.  Using these metrics, we estimated current revenues, operating expenses, NOI and property values for approximately 200 assets.  Using this data, we created a model to estimate probability of default; loss given default; and projected monthly cashflows to maturity for each asset.  The client used our underwriting and our cashflow model  to generate price/yield calculations under a variety of scenarios, and to prepare summary- and detail-level reports for its internal investment committee.  The client ultimately purchased the portfolio.  To date, the portfolio is outperforming our projections.
  • The former bankruptcy estate of a leading investment bank had been unsuccessful in marketing a portfolio of loans secured by international assets.  They retained us to manage the portfolio, market it broadly and negotiate and close a sale.  We developed a compelling value proposition and disseminated it to the marketplace of alternative investors.  The portfolio was sold at a substantial  premium to the indicative prices that the client had received prior to our engagement.
  • A community bank in New York hired us to evaluate, price and market their portfolio of classified assets.  We re-underwrote and provided a valuation opinion for each loan.  The institution was liquidated before we were able to consummate a sale.