News

In Multifamily Finance, Fannie and Freddie Are Still the Elephant in the Room. Shlomi Ronen emphasized that Congress and the FHFA ought to implement reforms with deliberation, changes that aren’t well explained clearly in advance could startle the market. 

Regardless of where the agencies go from here, a survey of multifamily lending players underscored how high the stakes would be for any major reorganization. Shlomi Ronen, the founder of a Los Angeles debt brokerage that often arranges agency financings,

Dekel Strategic Investors is trading ground-up multifamily deals, where there may be some softness in rental rate growth, for value-add and core-plus strategies. 

Dekel Strategic Investors, a division of Dekel Capital, is shifting its multifamily equity capital strategy to focus on value-add and core-plus deals. The firm is moving away from ground-up development, which it says no longer offers an attractive risk-reward profile.

The new strategy will continue to make small balance equity investments ranging in size from $5 million to $15 million using 65% leverage.

We recently celebrated the grand opening of Sage Desert Assisted Living and Memory Care, a brand new senior living community that is gearing up to help Tucson seniors and their families.

From the Arizona Daily Star:

With its dry climate and cultural attractions, Tucson is proving a strong market for developers of senior living centers. The boom in assisted living facilities that began locally about two years ago continues to draw interest from investors.

Two short months into 2018 we have seen a significant uptick in treasury yields along with positive economic data supporting continued Fed rate hikes for the remainder of the year.  In the CRE lending universe however, the focus has been on has been on increased competition and decreasing credit spreads.

Here we will briefly touch on a couple of catalysts for this credit spread compression,

Dekel Capital, a Los Angeles-based real estate merchant bank that specializes in sourcing and placing equity and debt for active middle market commercial real estate developers and investors, today announced it recently arranged financing on behalf of Moonwater Capital, founded by Ofir Hagay – for the acquisition of a 177,007 SF Class A office building located in the up and coming Northwest Las Vegas submarket.

Dekel Capital co-brokers $122 million in JV-Equity and non-recourse Bridge Financing for sponsors Urban Offerings and ESI Ventures. Proceeds will be used to develop a 250,000 square foot Class-A Creative Office Campus in downtown Los Angeles’s Fashion District.