Welcome to the EN Capital newsletter where we promote different capital sources such as private lenders, family offices and equity funds in addition to general capital markets news. We’re also promoting the alternative investment conference series called Uncorrelated, EN Capital is a partner in certain Uncorrelated events.

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Capital That Closes NPLs in 7 Days

If you buy non-performing commercial loans, the constraint is never the paper. It’s having capital that can actually close quickly.

One of the capital partners in our network is looking to establish long-term, programmatic joint ventures with experienced operators acquiring non-owner-occupied commercial real estate NPLs nationwide. This is discretionary capital, and it is not a deal-by-deal relationship — they are looking to build repeat programs with groups that already have demonstrated sourcing capability and an active acquisition pipeline.

The structure: an initial $100M umbrella JV, signed up front against an agreed buy box. You then go shop with capital already committed behind you rather than going back for approval on every tape.

Typical parameters:

• Nationwide

• Non-owner-occupied CRE NPLs

• Typical loan sizes $2M–$5M (generally $1M–$8M)

• All commercial property types considered

• 7–14 day execution

• Programmatic JV relationship with repeat deployment

This is not theoretical. They closed six loans totaling $26M this year with a single operator, and the capital partner is actively pushing for more volume than that operator can source alone.

Where it doesn’t fit: owner-occupied residential NPLs, consumer paper, and one-off acquisitions with no pipeline behind them. The whole point of the structure is repeat deployment.

If you’re acquiring commercial notes at a discount and your bottleneck is speed or capacity of capital — this is worth a conversation. Send us your buy box and a sense of your pipeline and we’ll tell you quickly whether it fits.

• We’ve been building this email list since 2017 and we’re up to 48,000+ professionals focused on the capital markets for alternative investments such as commercial real estate, the space industry, renewable energy, LATAM deals and utilizing Data-as-an-Asset. So you’re in good company.

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• EN Capital is NOT a broker dealer and does not sell securities

• EN Capital is capital advisory firm / intermediary and NOT a direct capital source. Seriously, every time we sent out an email someone replies and gets pissy when they realize we’re intermediaries and not direct lenders. It’s clear on our website, LinkedIn and emails. We don’t know how to make it more obvious. Don’t be that guy.

Be sure to connect with EN Capital on Linkedin. and visit our website here.

Nathan Whigham
President
CA DRE Broker License: 01793655

EN Capital Contact Info:
www.encapital.com
[email protected]
Direct Line: 310-465-9253