Our due diligence program lets buyers, sellers, developers and lenders compile accurate data, identify critical issues, and reduce risk while accelerating the real estate transaction or investment. Solutions range from simple verification and sampling to full-fledged investment underwriting.

Our tools and our experience allow rapid compilation and review. Flexible reporting means that key issues can be revealed without repeated review of lease abstract documents. Buyers and sellers can identify issues early, and avoid last-minute surprises. We can also work in an overflow capacity, training alongside your internal team and working within your existing programs.

We can deliver rapid, custom-made packages aligned with your needs, without adding staff to your own team and allowing you to focus on the critical decisions in the process based on timely information. Among our due diligence activities are:

• Complete underwriting of an investment or development
• Lease abstracting and cataloging standard clauses
• Estoppel analysis
• Comparison to cash flow models
• Expense analysis and variance testing
• Review of existing capital structures
• Lease expiration and renewal reports
• Security deposit testing
• Early terminations, options review
• Contract reviews
• Property inspections and market reviews
• Program development

Highlights

Life Insurance Investment Arm – This major portfolio investor sought help with its largest Midwest acquisition of the year. Our complete due diligence program included abstracting and cataloging more than 100 leases, preparation of estoppel letters, income and expense review, and sampling of receivables and payables. The program was completed ahead of schedule and identified significant negotiation points prior to closing.

Investment Bank – In conjunction with an IPO for a REIT, members of our team conducted a full underwriting due diligence process for all assets contemplated for inclusion in the IPO including property inspections, title, zoning and lien waiver verifications, market reviews, income and expense analysis and verification and review of appraisals and environmental reports.

Opportunistic Investor – This buyer had nine west coast office properties under option with a pension fund owner. It required a full due diligence program without alerting on-site management. We crafted a program to assemble the required information and complete the deal within this constraint. The buyer achieved significant savings because of its ability to meet this requirement.

Mortgage Lender – This national conduit lender needed extra underwriting capacity while it launched a new loan product. We trained underwriting staff in its processes and underwrote more than 50 loans. Later, we developed processes and pricing tools for its small loan program.