The private real estate debt market has grown, and borrower defaults will inevitably increase. To achieve higher returns, debt investors firms will need to invest in a deal and relationship management platform — specifically one that’s purpose built with the real estate industry in mind.
Industry-focused CRM technology solutions like DealCloud differentiate lenders from their competition by providing advanced insights and capabilities. For example, DealCloud’s technology captures actionable relationship insights and drives efficient due diligence processes. It also provides data-based insights, so dealmakers have a more thorough understanding of relationships — from conversations to current and past deal flows. Emerging private real estate debt funds can then overcome established fund sponsors, with prevailing lending relationships.
DealCloud further supports clients by enabling them to manage their relationships with borrowers, limited partners, brokers, developers, lenders, architects, tenants, and other external parties involved in the deal and mortgage service lifecycle. Having an intuitive platform that drives automations and manages all your relationships in one place can help your firm quickly address complex situations, come up with innovative solutions, and easily navigate challenges in their existing loan portfolios.
DealCloud can also help with existing funds, which are facing a higher level of competition for fundraising from limited partners and for deal origination from borrowers. DealCloud’s real estate investment and development technology centralizes key deal information, market information, and financial models. This lets dealmakers streamline their operations, provide transparency to investors, and ensure their reporting capabilities are up-to-date and accurate.
As limited partners begin to look for higher yields, managers will need to prove their pipeline and deal execution processes are as efficient as those of competitors, if not higher. Fund managers with best-in-class technology infrastructure will have an easier time fundraising from what may be a smaller pool of capital allocating towards loan origination strategies.
Additionally, lenders require a solution that automates daily reporting and drives quicker processes with borrowers and other external parties. DealCloud enables your firm to efficiently track key documents — including environmental disclosure forms and borrower loan applications — as well as the data within these documents, all within a central database. You can then generate automated reports such as pipeline reports, screening memos, or letters of intent (LOIs).
DealCloud powers the deal lifecycle from origination through underwriting and closing, so deal teams are always up to date with the latest piece of information. Deal teams can measure their progress against critical dates and see comparable properties or loans to the deal in diligence.
The ability to use deal execution data as a business development tool is essential for lenders that want to maintain high spreads and win in a competitive market for borrowers and investors. As originators, underwriters, analysts, and mortgage administrators close, pass, and evaluate deals, your investor relations team can use DealCloud to easily pull reports on completed, passed, and active deals within a fund.
It’s time for real estate professionals to get serious about their technology requirements. DealCloud’s platform is designed specifically for the real estate industry and optimized for each firm’s unique needs.
Schedule a demo to learn more about DealCloud’s state-of-the-art deal and relationship management.