Walker & Dunlop Leverages Advisory Experience to Help Capital Providers Manage Loan Portfolios

Rhea-AI Summary

Walker & Dunlop is preparing for a critical phase as $2.5 trillion of commercial real estate debt matures from 2023-2027 amid rising interest rates, high inflation, and asset revaluations. Leveraging a $121 billion servicing portfolio, the company aims to offer portfolio evaluation, asset financing advisory, and loan sales services. Their Capital Markets team has facilitated over $21 billion in capital transactions and boasts significant experience in managing complex credit portfolios to optimize asset recovery.

Positive

• Walker & Dunlop has a strong servicing portfolio worth $121 billion.
• The company closed nearly $40 billion in transactions over the last two years.
• Facilitated over $21 billion in capital transactions through the Capital Markets segment.

Negative

• The commercial real estate market faces a challenging environment due to $2.5 trillion in debt maturities and high inflation.

BETHESDA, Md.--(BUSINESS WIRE)-- There is $2.5 trillion of impending commercial real estate debt maturities in 2023-2027 amidst the backdrop of a rising interest rate environment, high inflation, asset revaluations, and a muted liquidity environment. Walker & Dunlop Inc. is leveraging its $121 billion servicing portfolio and national investment sales platform, which has closed nearly $40 billion of transactions in the last two years, to provide lenders with comprehensive portfolio evaluation services, asset financing advisory, loan sales services, and investment sales advisory.

“It is more important than ever for credit providers to actively manage their portfolios. Working across the broader Walker & Dunlop platform, we will evaluate and underwrite lender’s loan portfolios or individual positions, determine the right execution to maximize principal recovery of distressed assets, and market the sale of these assets to the appropriate buyer pool,” said Susan Mello, executive vice president & Group Head, Capital Markets Walker & Dunlop.

The Walker & Dunlop New York Capital Markets team, led by Co-Heads Aaron Appel, Keith Kurland, Jonathan Schwartz, and Adam Schwartz, will oversee the credit portfolio advisory business. Utilizing their extensive capital markets expertise, the team will work with credit providers to replace existing financing facilities, sell, or create liquidity for performing, sub-performing, and non-performing loans, and market REO assets for sale, structuring accretive solutions to maximize value for clients. Sean Reimer and Jordan Casella, who collectively have over 40 years of commercial real estate experience working as principals, brokers, bankers, and for credit providers through various market cycles, will spearhead the efforts.

“Our team began working with capital providers in the second quarter of 2022 on effectively managing their credit portfolios through an evolving capital markets landscape. Our team has placed more than $20 billion of credit and equity transactions to over 150 counterparties in the last two years, including over $3 billion of equity raised,” stated Appel.

Through the third quarter of 2022, the Walker & Dunlop Capital Markets segment sourced capital for transactions totaling over $21 billion from non-Agency capital providers. This vast experience has made them a top adviser on all asset classes for many of the industry’s top developers, owners, and operators. To learn more about Walker & Dunlop’s diverse financing options, visit our website.

About Walker & Dunlop

Walker & Dunlop (NYSE: WD) is one of the largest providers of capital to the commercial real estate industry in the United States, enabling real estate owners and operators to bring their visions of communities — where Americans live, work, shop and play — to life. Our people, brand and technology make W&D one of the most insightful and customer-focused firms in our industry. With more than 1,400 employees across every major U.S. market, Walker & Dunlop has consistently been named one of Fortune's Great Places to Work^® and is committed to making the commercial real estate industry more inclusive and diverse while creating meaningful social, environmental, and economic change in our communities.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230109005905/en/

Investors:

Kelsey Duffey

Investor Relations

Phone 301.202.3207

investorrelations@walkeranddunlop.com

Media:

Nina H. von Waldegg

VP, Public Relations

Phone 301.564.3291

info@walkeranddunlop.com

Source: Walker & Dunlop

FAQ

What is the significance of Walker & Dunlop's $2.5 trillion debt maturities?

Walker & Dunlop is focusing on managing $2.5 trillion of commercial real estate debt that matures from 2023-2027, indicating potential market volatility.

How has Walker & Dunlop managed its capital markets activities?

Walker & Dunlop's Capital Markets team has successfully sourced over $21 billion in capital transactions, showcasing their robust market capabilities.

What services does Walker & Dunlop provide to lenders?

Walker & Dunlop offers portfolio evaluation, asset financing advisory, loan sales services, and investment sales advisory to help lenders maximize asset recovery.

What is the current state of the commercial real estate market according to Walker & Dunlop?

The market is experiencing challenges due to rising interest rates, high inflation, and asset revaluations, affecting liquidity and debt management.

What are the expected impacts of the market conditions on Walker & Dunlop's operations?

The impending debt maturities and market conditions may necessitate active portfolio management and strategic advisory services from Walker & Dunlop.