REAL ESTATE TECHNOLOGY
Built Technologies | August 01, 2022
Built Technologies, a leading software provider for real estate lenders and the construction industry, announced that it has acquired Nativ, a leading deal management platform for commercial real estate (CRE) lenders. The acquisition will enhance Built’s existing product suite for commercial lenders and enable improved underwriting and asset management capabilities across construction, transitional, and stabilized assets.
Built Co-Founder and CEO Chase Gilbert said, “After years working with top real estate lenders in the US and Canada, our customers began voicing their desire for us to help them solve new problems beyond just managing their construction loans. Our customers were experiencing difficulties with the underwriting and asset-management of loans as well as with aggregate portfolio management and reporting. When we were introduced to Nativ, the powerful tools to streamline these very processes were an obvious fit. This acquisition will also give Built access to a rich data set for how various real estate assets are performing, allowing us to provide innovative risk intelligence products to our customers over time.”
“Built’s construction lending solution offers our real estate clients an enhanced banking experience and aligns with Regions’ goal of innovating through technology. The recently announced collaboration between Built and Nativ is exciting, as the combined platform specializes in both construction and stabilized commercial real estate transaction management and allows lenders to work in their native workflows–all while benefiting from a centralized, audited, and enriched data model in the cloud.” – Tan Phillips, Regions Real Estate Banking
CRE lenders often silo information required to make intelligent lending decisions. Managing this information manually is expensive and exposes lenders to unnecessary risk. This approach prevents lenders from making strategic decisions in a timely manner, constraining growth and hurting portfolio profitability.
Nativ’s platform solves this by:
Providing a centralized, collaborative system of record that synchronizes deal data across each loan stage
Enabling lenders to integrate portfolio management while preserving familiar or “native” workflows including spreadsheets, and complementing common loan origination and servicing systems
Layering on alerts and monitoring to validate loan covenant compliance
Delivering flexible portfolio analytics, reporting and monitoring to manage risks and automate common tasks
“Joining forces with Built will fundamentally change how lenders and owners work together, Lenders have long been underserved by a lack of modern, industry-specific tools to speed the process of closing and managing loans. Together, we will change the way lenders and owners transact in the entire ‘built’ world.”
Jeff Saul, Co-CEO and Co-Founder, Nativ
Saul and co-founder Adam Kerr join Built’s leadership team. The deal brings Built’s headcount to over 430 and expands the company’s presence in New York City. Built now serves over 220 lenders, including some of the largest non-bank lenders such as AllianceBernstein, Prime Finance and Benefit Street Partners.
Built is the leading provider of construction and real estate finance technology. By providing a centralized platform for all stakeholders, Built enables increased efficiency, collaboration, transparency, and business agility—with decreased risk—allowing customers to improve the way that the communities around them are built and managed. The Built platform is used by more than 220 leading North American lenders and asset managers, and thousands of developers, home builders and contractors.
Nativ is a leading enterprise software provider to the Commercial Real Estate investment industry. Nativ has helped clients across the country invest in and manage billions of CRE assets. Products focus on workflow automation and the use of proprietary technology to optimize the underwriting and investment decision process through improved harnessing and utilization of deal data. Clients include funds, REITs, banks and insurance companies across the U.S.
REAL ESTATE INVESTMENT
ExchangeRight | May 13, 2022
ExchangeRight, one of the nation's leaders in diversified real estate investments and strategies, has fully subscribed its $134 million Net-Leased Portfolio 52 offering, which features 449,424 square feet of retail, medical, banking and pharmacy tenants. The portfolio was structured to generate accelerating investor distributions starting at an annualized rate of 6.00 percent.
Net-Leased Portfolio 52 launched with 10-year, fixed-rate interest-only financing at 3.465 percent. The $134,280,000 offering contains 26 single-tenant properties over 15 states ranging from the southwest to the northeast United States. CVS Pharmacy, Dollar General, Walgreens, Tractor Supply Company and Family Dollar stores as well as First Midwest Bank have multiple locations in the portfolio. Dollar Tree, Fresenius Medical Care, Hobby Lobby, Natural Grocers, Octapharma and Sam's Club also have locations in the 100-percent-occupied portfolio.
We are pleased that the diversity and size of our newest DST allows us to accommodate the wealth management needs of investors seeking resilient passive income. We are honored by the trust that investors and their representatives and advisors continue to place in us for their wealth management and retirement needs with each offering we fully subscribe. We are proud to provide another ExchangeRight offering intended to produce stable income through economic cycles, defer taxes, preserve wealth and provide a strategic exit for our investors."
Warren Thomas, a managing partner at ExchangeRight
ExchangeRight and its affiliates' vertically integrated platform features more than $4.9 billion in assets under management, diversified across more than 1,100 properties, more than 20 million square feet and throughout 46 states. More than 6,800 investors have trusted ExchangeRight to manage their capital. All of the company's current and past offerings have met or exceeded targeted cash flow distributions to investors since the company's founding. The past performance of ExchangeRight and its previous offerings does not guarantee future results.
ExchangeRight pursues its passion to empower people to be secure, free and generous by providing REIT, fund and 1031 DST portfolios that target secure capital, stable income and strategic exits. The company strategically syndicates net-leased portfolios of assets backed primarily by investment-grade corporations that successfully operate in the necessity-based retail and healthcare industries, as well as diversified value-add portfolios of inline and outparcel retail spaces shadow-anchored by strong-performing grocery tenants.
REAL ESTATE TECHNOLOGY
Redfin | July 06, 2022
In 2020 and 2021, purchases of second homes with high flood risk rose 45% from the prior two-year period (2018-2019), according to a new analysis of ClimateCheck data from Redfin (redfin.com), the technology-powered real estate brokerage. There were also significant increases in purchases of second homes with high storm risk (40%) and high heat risk (39%).
Demand for second homes surged during the pandemic as low mortgage rates, remote work and the desire to escape the city drove up demand for vacation properties. Overall, purchases of second homes were up 37% higher in 2020 and 2021 compared with 2018 and 2019. Demand has since fallen back below pre-pandemic levels as life has returned somewhat to normal, but many Americans now own at-risk second homes, which has implications for the future.
“The threat of climate change isn’t the top concern for a lot of homebuyers, which means they often prioritize factors like warm weather and proximity to the beach over avoiding natural-disaster risk. Second-home owners, in particular, have another place to live if disaster strikes—another reason climate danger may not feel like a pressing issue, But house hunters should be aware that purchasing in a disaster-prone area not only puts them and their home at risk, but their finances as well. Home values in climate-endangered places may fall in the coming years as consumers learn more about the risks to properties in these areas.”
Redfin Senior Economist Sheharyar Bokhari
A recent Redfin analysis found that more people have been moving into than out of the U.S. counties with the largest share of homes at high risk from natural disasters. That’s partly because some buyers just aren’t aware of the risks. Redfin.com now publishes climate-risk data for nearly every U.S. home, with the exception of rental listings, to help house hunters make more informed decisions.
“House hunters from out of town ask about climate change because they’re very concerned about flooding, but most of them don’t change their minds,” said Miami Redfin agent Cristina Llanos. “They hear horror stories of hurricanes, but generally still move forward. People want to talk about it but it typically doesn’t make or break their decision.”
Heat and Storm Are Most Common Risks Second-Home Buyers Face
Overall, heat is the most common risk facing second-home buyers—nearly all (94%) of second homes purchased in the past two years face high heat risk. Next comes high storm risk, which plagues more than three-quarters (78%) of second homes bought in the past two years, followed by high flood risk (26%), high fire risk (23%) and high drought risk (21%).
Many popular second-home destinations, like Florida and Arizona, face significant heat and/or storm risk. The most popular destinations for homebuyers looking to relocate are Miami, Tampa and Phoenix, which attracted scores of affluent out-of-towners in search of vacation homes during the pandemic.
Redfin is a technology-powered real estate company. We help people find a place to live with brokerage, instant home-buying (iBuying), rentals, lending, title insurance, and renovations services. We sell homes for more money and charge half the fee. We also run the country's #1 real-estate brokerage site. Our home-buying customers see homes first with on-demand tours, and our lending and title services help them close quickly. Customers selling a home can take an instant cash offer from Redfin or have our renovations crew fix up their home to sell for top dollar. Our rentals business empowers millions nationwide to find apartments and houses for rent. Since launching in 2006, we've saved customers more than $1 billion in commissions. We serve more than 100 markets across the U.S. and Canada and employ over 6,000 people.