Scotsman Guide - May 2009 Commercial Edition

C^ArO^ticleN^sTENTS
COMMERCIAL EDITION VOLUME 9 ISSUE 5 MAY 2009
DEPARTMENTS

12 | From the Editor

Plus: News from the past month

14 | Q&A with International Council of Shopping
Centers CEO

Plus: Helping Hands and the Tip of the Month

16 | Spotlight: Hartford, Conn.

Plus: Property TypeCast examines rent cuts in the apartment market

LEAD ARTICLE

19 | Let’s Get Physical

BY GEORGE WILSON, IVI INTERNATIONAL INC.

Property-condition assessments are a good tool to use for prepurchase due diligence. There are seven additional steps, however, that can help brokers and their clients mitigate risk.

19

ARTICLES

22 | Special-Purpose Entities May Mitigate Risk Understand why lenders may use this tool — and how your clients can comply BY GARY A. HORTON, HATCH JACOBS LLC

24 | Be Your Clients’ Bridge over Troubled Water Four tips can help property-owners get through tumultuous times BY TARA K. GORMAN, GREENBERG TRAURIG

28 | For Funding, Jump in the Pool

Your clients may find financing via mortgage pools, aka mortgage-based income funds BY GARY LOWENBERG AND TRIX Y WEISS, RIGHT WAY FINANCIAL GROUP INC.

30 | Cap Rates: That’s a Wrap?

Increasingly, investors are using internal rate of return — not cap rates — to measure potential BY GREG CLAUSON, COLDWELL BANKER COMMERCIAL UNITED, REALTORS

32 | Private Lenders Are an Option for Developers Commercial property-developers can still find funding for their projects, and brokers can help BY MILTON FRANKLIN, NATIONWIDE BUSINESS CONSULTANTS OF SOUTH FLORIDA INC.

34 | What’s So Special About Special-Use? Understand these properties’ quirks and what lenders look for to close more deals BY ROBERT ROMAN, RJR ENTERPRISES

36 | Modification Breakdown

Partnering with a loan-modification organization often helps all parties in a mod transaction BY BRIAN RASSI, NATIONWIDE BUSINESS CONSULTANTS LLC

38 | What to Expect When You’re Inspecting Lenders and their inspectors may not go beyond contractual obligations — here’s why BY TIMOTHY E. GILSBACH, FOX ROTHSCHILD LLP

42 | Look at the Property First, then Seek Funding For an easier transaction, preapprove the property before seeking funding for your clients BY JOY HUNNER, GEM COMMERCIAL LENDING