2. Company Overview grand opportunities
About Grandbridge I A Legacy of Excellence
Grandbridge Real Estate Capital LLC, based in Charlotte, N.C., is one of the nation’s largest full-service
commercial real estate finance firms. With offices located throughout the country, Grandbridge services a • Represents • S&P “Above Average”
growing multi-billion dollar loan portfolio and provides financing as well as consulting and advisory 100 Capital Sources Rated Servicer
services for all types of commercial and multifamily real estate on a national basis. Insurance Company Financing
• A1 (Moody’s) / A (S&P) /
Freddie Mac Program Plus® A+ (Fitch) Rated Holding
National Scope and Local Expertise Seller/Servicer Company
Freddie Mac Targeted Affordable
Grandbridge’s origination platform is comprised of more than 100 highly experienced professionals Housing Lending • Industry Position:
located across the country. We stand apart from other financial service firms in that we believe that local Fannie Mae DUS® Lender Servicers
market expertise, an excellent understanding of the various property types, and in-depth information on Second in peer group
MAP- and LEAN-approved
the national commercial real estate environment enables us to provide superior capital solutions for our FHA Lending • Industry Position:
clients. Originators
• Specialty Product Groups
Fifth in peer group
• Local market knowledge; Seniors Housing Lending
Proprietary Lending • Employees: ± 315
• Access to a national pipeline system that provides “real time” information; Affordable Housing Lending • Loan Origination Offices: 26
• A single point of contact—whether your transaction is local, regional • Preferred Equity Financing • Loan Origination
or national in scope; Professionals: 100+
• Equity Placements
• Numerous capital sources; and • In-House Servicing
• Excellence in underwriting, closing and servicing.
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
3. Office Locations grand opportunities
About Grandbridge I Office Locations
Headquartered in Charlotte, N.C., Grandbridge has full-service offices in:
• Atlanta, GA • Houston, TX • Naples, FL
• Birmingham, AL • Indianapolis, IN • Nashville, TN
• Charleston, SC • Jacksonville, FL • Norfolk, VA
• Charlotte, NC • Kansas City, MO • Orlando, FL
• Chicago, IL • Louisville, KY • Pittsburgh, PA
• Columbus, OH • Madison, WI • Raleigh, NC
• Dallas, TX • Milwaukee, WI • Tampa, FL
• Ft. Lauderdale, FL • Minneapolis, MN • Washington, D.C./
• Greenville, SC • Mobile, AL Baltimore
Servicing offices in: Specialty offices in:
• Atlanta, GA • Baltimore, MD (FHA Underwriting)
• Birmingham, AL • Dallas, TX (Affordable Housing)
• Charlotte, NC • Denver, CO (FHA Underwriting)
• Houston, TX • Kansas City, MO (FHA Production and Underwriting)
• Indianapolis, IN • Norcross, GA (Seniors Housing)
• Kansas City, MO
• Milwaukee, WI
• Minneapolis, MN
• Orlando, FL
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
4. Servicing grand opportunities
Other
Defeased 1%
Warehouse 2%
About Grandbridge I Servicing MHC
4%
4% Multifam
The Mortgage Bankers Association recognizes Grandbridge, with a $24.5 billion servicing portfolio,* as being within the top quartile of Lodging MHC
4%
all servicers of GSE, HUD/Ginnie Mae, and insurance company loans. Retail
Industrial 7% Multifamily Office
Grandbridge services in excess of 5,200 loans for nearly 100 capital sources, including leading insurance companies, commercial 38% Industria
banks, pension fund advisors, credit companies, Fannie Mae, Freddie Mac, and FHA/GNMA investors. Lodging
Office Warehou
Our goal is to create superior value for our borrowers and investors through a level of client service that is unsurpassed in the indus- 19%
Other
try. Grandbridge continues to emphasize integrity and responsiveness—the type of comprehensive, personal service on which our Retail
21% Defeased
investors and borrowers depend. Total
Historical Servicing 2009 Servicing Portfolio by Property Type
Other Bank 2%
$25 Billion 4%
$20 Billion
CMBS Insuranc
19% Agency
$15 Billion Insurance
44% CMBS
Other
$10 Billion Bank
Agency
31% Total
$5 Billion
$0 Billion 2009 Servicing Portfolio by Lender Type
96 97 98 99 00 01 02 03 04 05 06 07 08 09
*as of 12.31.09
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
5. Product Overview grand opportunities
About Grandbridge I Product Overview
Grandbridge Real Estate Capital LLC, through secondary market sources, supports the acquisition and refinancing of existing income producing real estate.
Product-in-Detail
Capital Providers Fannie Mae DUS® (Delegated Underwriting and Servicing), Freddie Mac Fees Usually an origination fee of 1%; third-party report (appraisal, environmental,
Program Plus®, FHA, Insurance Companies, BB&T and BB&T Real Estate engineering, etc.) fees; and in most cases, property inspection and/or
Funding LLC (proprietary lending platform). underwriting fee.
Collateral First deed of trust (Mortgage) on the property being financed. Terms 2 to 40 years.
Requirements
Amortization 10, 15, 20, 25 or 35 years depending on the property, leases, and other
Property Types Income producing or owner occupied: Apartments, office buildings, shopping characteristics of the transaction.
centers, single tenant retail, “big box,” industrial facilities, warehouses,
manufactured housing, self-storage, senior living facilities, hotel/motels, and Guaranty Generally none from principals except normal “carve outs” for fraud, bankruptcy,
credit tenant leases (CTL). environmental issues, etc.
Location Nationwide “Cash Outs” Generally not permitted on new construction; however, there may be exceptions.
Ownership Corporations, LLCs, partnerships, individuals, may require a single Reserve Tax and insurance escrows are normally required. Replacement reserves and/or
Requirements purpose entity, limited TICs, which in some cases must be bankruptcy remote. Requirements tenant improvement and leasing commission reserves may be required.
Loan Amounts $1,000,000 and up preferred. May consider smaller loans for repeat customers. Prepayment Prepayment is usually prohibited (“locked out”) for a portion of the loan term;
Loan-to-Value: usually 60-70%, possible to go to 85% for some income producing with either a yield maintenance prepayment premium, structural prepayment
properties (apartments, single tenant) and single tenant credit deals. premium or defeasance required, subsequent to the “lockout period,” except for
the final three to six months of the term, which is open to prepayment at par.
Interest Rate Fixed rate. Usually the Treasury (commensurate with the loan term) rate plus a
spread (e.g., a 10-year loan would be priced at the 10-year Treasury plus Prospects Clients who own, develop, purchase and/or invest in income producing real
prevailing spreads). Spread is quoted at time of application and interest rate is estate and have a need or desire for long-term, fixed rate, nonrecourse financing.
fixed either at application or closer to the date of closing. In most cases, the
borrower will pay a refundable fee (usually 2% to 3%) to lock the rate, which
is refundable at closing or 30-45 days after.
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
6. Advantages grand opportunities
About Grandbridge I Advantages
We Understand the Marketplace
Recognizing that there are no perfect formulas for making the optimum decisions related to real estate financing, our loan originaton professionals specialize in understanding the market
environment that surrounds each investment, all aspects of each specific assignment and, most importantly, the needs and goals of our clients.
We Understand the Needs of Our Clients
Our underlying philosophy emphasizes integrity and responsiveness—the type of in-depth, personal service upon which our borrowers and investors depend. Grandbridge has assembled a team
of commercial real estate investment professionals, both at the executive and staff levels, who are equipped to process information quickly and efficiently. Grandbridge, as an organization, is structured to
respond to every challenge. Our goal is to achieve the optimum result for our clients, both our borrowers and the providers of capital.
We Understand that it is All About Relationships
Our professionals are not restricted by geographic boundaries. The Grandbridge team provides a single point of contact whether the transaction is local, regional or national in scope. Once a transaction is in
motion, the deal is handled by expertly trained underwriting, closing and servicing professionals.
Our distinctive market relationships, combined with our deep knowledge of loan structuring and real estate capital, enable Grandbridge to stand apart from the industry by offering superior transactional
and capital solutions—no matter what the need. For the Grandbridge team—it is all about relationships.
We Connect Clients with Capital We Offer In-house Portfolio/Asset Management Services
• Joint Venture Partners • Asset Valuation and Asset Administration,
• Buyers and Sellers of Commercial Real Estate • Market and Review Support,
• Property Inspections, and
with the following advantages: • Top Ranked* Loan Portfolio Servicing.
• Quick underwriting and market analysis, • Efficient closings,
• Quotes from a variety of sources, • In-house closing coordination, and
• Loan terms from 2 to 40 years, • Reliable, experienced professionals.
Mortgage Bankers Association
*
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
7. Grandbridge in Charlotte grand opportunities
About Grandbridge | Charlotte Production
Multifamily Retail
• $2.4 Billion funded in 383 real estate financing transactions • Fannie Mae DUS® Lender $681,000,000 $653,000,000
(28%) (27%)
(2000-2009) • FHA MAP- and LEAN-approved Lender
• Top production office in 2006 and 2007 • Strong correspondent lending base Seniors Housing Office/Industrial
$166,000,000 $397,000,000
• High velocity award winner in 2006 and 2007 • Company headquarters (7%) (16%)
Self-Storage
• Freddie Mac Program Plus® Seller/Servicer $215,000,000
(10%)
Hospitality
$288,000,000
(12%)
Representative Transactions Charlotte Production by Property Type
$3,200,000 $19,837,500 $18,000,000
Hickory, NC Atlanta, GA Asheville, NC
45,160 Sq.Ft. Retail 464-Unit Multifamily 269-Room Hospitality Agency
Refinance Purchase Refinance Insurance Company
$683,466,000
(28%)
Insurance Company Agency Life Insurance $927,930,000
(39%)
Bank / Other
$47,268,000
$5,500,000 $7,100,000 $3,100,000 (2%)
Durham, NC Charlotte, NC Mooresville, NC CMBS
110,000 Sq.Ft. Industrial 216-Unit Multifamily 36,000 Sq.Ft. Office $741,336,000
(31%)
Refinance Refinance Purchase
Insurance Company Agency Life Insurance
Charlotte Production by Lender Type
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
8. Grandbridge in Charlotte grand opportunities
Michael J. Ortlip, Senior Vice President | Office Manager
One of the company’s senior producers, Mr. Ortlip manages the Charlotte, N.C. production office of Grandbridge Real Estate Capital. A veteran of the lending arm of
Teachers Insurance and Annuity Association, he has been part of North Carolina’s mortgage banking community since 1993. Before joining Grandbridge’s
predecessor (Laureate Capital) in 1998, Mr. Ortlip was on the production staff of First Union Mortgage.
Mr. Ortlip has the perspective of a principal as well as an advisor, and has more than 25 years of experience in financing and acquiring commercial real estate.
Under his leadership, the Charlotte office offers a broad array of advisory and placement services and has arranged in excess of $2.4 billion in permanent, construction/
permanent, bridge, mezzanine, and equity capital since 2000.
Mr. Ortlip received his M.B.A. from The University of Denver and his B.A. in political science from the University of Colorado. He is a member of Grandbridge’s Board
of Managers; serves on the company’s Executive Committee, FHA Roundtable, and Insurance Company Advisory Board; and is a licensed real estate broker in North
Carolina, South Carolina and Georgia.
Michael J. Ortlip, Senior Vice President
704.379.6950 phone • mortlip@gbrecap.com
Philip M. Payonk, Jr., Vice President
Mr. Payonk is responsible for originating and structuring debt and equity placements for Grandbridge’s various capital relationships. In his mortgage banking
career, Mr. Payonk has been directly involved in structuring loan placements in excess of $500 million. Prior to his role as a producer he served as an analyst in the
Charlotte Production office, underwriting and packaging new loans, as well as following committed loans through to the closing process. Before transferring to
Grandbridge in 2004, Mr. Payonk was a business banker with Grandbridge’s parent company, BB&T.
Mr. Payonk is a graduate of North Carolina State University. He holds a North Carolina real estate license, and is a CCIM candidate.
Philip M. Payonk, Jr., Vice President
704.379.6905 phone • 704.819.7005 mobile • ppayonk@gbrecap.com
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
9. Grandbridge in Charlotte grand opportunities
Joshua I. Davis, CCIM, Vice President
Mr. Davis joined Grandbridge in June of 1999 after graduating from Washington and Lee University in Lexington, Va. where he earned his bachelor’s degree in
Business Administration. He is responsible for managing all phases of loan origination including underwriting and packaging new loans, investor and customer
interface, following committed loans through the closing process, and training new production analysts.
Since joining Grandbridge in 1999, Mr. Davis has been involved in the financing of more than 250 properties representing combined debt of over $2 billion.
Property types financed include apartment communities, senior living facilities, retail, office, industrial, hotel, and self-storage facilities, with properties located in
14 states. Capital sources include life insurance companies, pension funds, CMBS lenders, traditional banks, and Freddie Mac, Fannie Mae, and FHA.
Mr. Davis has a North Carolina real estate brokers license and holds the CCIM designation.
Joshua I. Davis, Vice President
704.379.6901 phone • 704.906.5869 mobile • joshdavis@gbrecap.com
Christopher M. Caison, CCIM, Commercial Real Estate Analyst
Mr. Caison is responsible for all facets of commercial and multifamily loan production, including interfacing with clients, underwriting transactions, making
recommendations to company investors, and due diligence. Since joining Grandbridge in 2006, Mr. Caison has been directly involved in the origination of over
$400 million in permanent, construction/permanent, and bridge debt. He is proficient in the underwriting and financial modeling of office, retail, industrial,
self-storage, hotels, multifamily, and assisted living assets.
Mr. Caison is a graduate of Davidson College and holds a North Carolina real estate brokers license. He has taken several commercial real estate courses sponsored
by the Appraisal Institute and also holds the CCIM designation.
Christopher M. Caison, Commercial Real Estate Analyst
704.379.6960 phone • 704.578.3546 mobile • ccaison@gbrecap.com
John W. Gray, Commercial Real Estate Analyst
Mr. Gray is responsible for underwriting, loan packaging and due diligence for commercial and multifamily transactions. Since Joining Grandbridge in 2007 he
has been involved in more than $365 million of multifamily, office, retail, industrial, and hotel transactions.
Mr. Gray is a graduate of the University of North Carolina with a degree in economics and is pursuing his North Carolina brokerage license and CCIM designation.
John W. Gray, Commercial Real Estate Analyst
704.379.6981 phone • 704.907.6944 mobile • jgray@gbrecap.com
www.gbrecap.com • Nationwide
Loans are subject to credit approval. 10.09
