For important risk and disclaimer information, Click here.
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John Haltmaier | Managing Director
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(973) 699-7995
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Current Issues with CRE Financing
• | High costs and time to maintain capital markets databases |
• | Brokers and sponsors struggle with high-cost boutique firms or commission heavy institutional firms |
• | Developers and investors pay .5% to 1% to brokers on total loan size for minimal work. $1M loan = $10,000 fee at 1% commission |
• | No industry-wide collaboration to connect brokers, sponsors, and lenders |
• | Lenders receive deals that are not fits or deals within their parameters—spending time underwriting only to lose to an alternative source |
The Opportunity
The Gap in the Market
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CRE Investors, Brokers and Lenders are frustrated with these inefficiencies, and have been seeking |
methods to cut costs and time commitment, while staying relevant in the 21st century
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Given the strong user bases of platforms like CoStar and Yardi, it is clear that CRE
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professionals appreciate innovative tech-based solutions
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In essence, we believe the market needs a product that is exceptional for brokers, |
but can also be used by investors and lenders
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Based on market feedback, CRE Professionals are more than willing to pay for such a self-learning service
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with auto-updating features to serve the dynamic CRE space
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At StackSource…
We are addressing this opportunity head-on by creating a solution where Brokers, Investors, and Lenders are the Relationship, and
StackSource is the Data & Technology to support them.
Embracing Brokers, Not Bypassing Them
Most tech-based online CRE platforms try to automate deals and bypass brokers.
We understand that relationships are the most important aspect of Commercial Real
Estate.
We embrace brokers and empower them with the best-in-class data and technology
while providing accessible and pertinent capital markets data directly to Investors,
Developers, and Lenders.
Giving Lenders Deals They Want
StackSource’s Value-Add to Lenders
• | Pinpointed deals within their lending parameters |
• | Easy way to Digest potential loans |
• | Insightful lending data (other lenders, interest rates, product types, geography) |
• | A strong User Experience |
• | Accountability for Brokers who send deals of poor quality |
Introducing StackSource as a SaaS
Welcome to the intuitive Capital Markets Network & Database
We are repositioning StackSource from a techbased CRE brokerage to an online database and service set to reduce the friction in CRE Financing.
We are creating a streamlined process for the most up-to-date capital markets data, lending matching algorithm, enabling users to focus on fostering relationships and doing what they do best.
Specific Risks
- Lending data is a commodity and there are few barriers to entry to developing new or enhancing existing competing platforms
- Reposition StackSource to a SaaS model appears promising, but is in its early stages and, therefore, unproven
- Reposition may take longer and more expensive than anticipated
- As with almost any tech platform, the StackSource system is subject to cybersecurity risks as well as unexpected system crashes
- StackSource will likely require ongoing investment to build and maintain a competitive advantage – there is no guaranty as to the cost to achieve and maintain success
- Private securities are speculative, illiquid, and carry a high degree of risk – including the loss of the entire investment