Speaking very generally, there have been two phases in the evolution of the modern, on-campus medical office building (MOB). The first phase, which ended after the 2001 recession, was the on-balance-sheet phase. The second and current phase is the off-balance-sheet phase. In the first phase, health systems tended to own the MOB properties surrounding their hospitals. The health systems regarded MOBs as a way to attract and reward the specialist doctors who referred patients to the hospitals. The rents were…

Slatt Capital would like to transparently provide a summary of Average Interest Rates and Loan-To-Value (LTV) ratios across the different property and lender types. This information is based on financing quotes received in the last 30 days, across all Slatt Capital offices: Multi-Family and Healthcare properties are achieving the best pricing on rates. Retail and Office are still receiving competitive pricing but generally 50-70bps higher than more sought-after lender property types. Best pricing is also available on Industrial properties (both single and multi-tenant), but recent loan requests have been focused on Retail, Office, and Multi-Family properties. The most competitive pricing…

Single-tenant net lease properties remain a very popular investment vehicle, even during tumultuous times when transactions on other property types remain on the sidelines. Many investors understand the location, tenant strength, and lease term are important when assessing new properties, but many do not understand the duration of their mortgage should be an equally important factor in their investment strategy. Selecting the right loan term structure can help mitigate interest rate risk and avoid potential loss of equity. Owners can…