The Donohue Company

Investors who are new to income-producing properties often ask: " How does a commercial lender underwrite a loan?"

It’s a good question, because if one understands how the commercial lender decides on the amount of money he will lend on a commercial property (multi-family properties greater than 4 units included ), a prospective borrower has a chance to assemble a loan package which is attractive to the  lender and thereby improve chances to obtain a good loan. Read More »

Commercial and multi-family real estate investors are finding it more and more difficult to obtain adequate financing at reasonable rates. As a result, a variety of data sources indicate a reduction of 65-80%  in 2008 vs. 2007 total transactions.

One of the most significant causes of the credit crunch has been  the near disappearance of new Collateralized Mortgage-Backed Securities (CMBS) securitized by commercial and multi-family mortgages. Until now CMBSs have provided a robust and much needed secondary market for loans on commercial and multi-family properties. But Read More »

"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world, no longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government by the opinion and duress of a small group of dominant men.”

— President Woodrow Wilson, in reference to the
Federal Reserve Act of 1913, which he signed into law. Read More »