Real Estate Debt
AURA offers investors exposure to real estate debt through Commercial Mortgage Loans (“CML”), B Notes and Mezzanine Debt. In our experience, a combination of the below characteristics can help clients succeed when sourcing mortgage loan opportunities across the nation.
- Seasoned Investment Professionals – Experienced loan sourcing and property-level underwriting through the various economic and real estate cycles.
- Vertically Integrated Organization – In-house professionals includes the Servicing Group, Special Servicing Group and the Valuation and Applied Research Groups.
- Nationwide Coverage – Established correspondent mortgage banker relationships and portfolio of existing borrowers provide access to markets throughout the country.
- Comprehensive Process – Appropriate checks and balances in place with all commercial mortgage loan opportunities being thoroughly analyzed, reviewed and vetted before capital is committed.
- Balanced Portfolio – The appropriate mortgage structure supports a balanced risk/return profile.
- Attractive Risk Profile - Historically has provided significant yield premium over domestic fixed income securities while maintaining a more attractive risk profile.
Life Company Loan Program:
- Loan Size: $3 - $50 million on a single asset; larger on an exception basis or for portfolio loans
- Term: 3 - 25 years
- Amortization: Up to 30 years on a selective basis; up to 10-years interest only if lower leverage (50% LTV or less)
- Loan to Value: 75% maximum with very favorable pricing for lower leverage transactions. Exit metrics are critical.
- Property Types: General or medical office, retail, multi-family (MHC, student and senior housing) and industrial.
- Pricing: Fixed rate priced at a competitive spread over the average life Treasury. Limited forward pricing is available.
- Rate Lock: At Application
Conduit Lending Program for Securitization:
- Loan Size: $8 million minimum with no maximum
- Term: Typically 10 years but can provide 5 to 10 year terms
- Amortization: Typically 30 years, partial term interest only available on an exception basis
- Loan to Value: 75% LTV maximum, may require structure to accommodate lease roll or other underwriting issues
- Property Types: Office, Retail, Industrial, Multifamily and Hospitality
- Pricing: Competitive with rates priced over swaps
- Rate Lock: Typically 2-3 weeks prior to closing