Now Could Be the Perfect Time to Extract Untapped Liquidity from Your Real Estate Holdings

Meghan Liddy – SVP Capital Markets
September 2019

I’ve made my opinion known on the recent monetary policy moves. With an economic downturn imminent, there should be reasonable concern not to over lever.

However, is your debt optimized? Given where rates are heading, and assuming you’ve underwritten the credit of your tenant base and built in sensitivity to your projections, now could be the perfect time to extract untapped liquidity from your property or portfolio of properties.

Banks are amid digesting the recent downward direction on rates and future reductions on the horizon. Many will implement interest rate floors and/or back off balance sheet deals for longer terms.

If you have existing debt, consider refinancing, even if you did so recently. Wealth is built through buying right when the values come down. Having capital available will be key to taking advantage of these buying opportunities.

Let the Kelleher & Sadowsky Capital Markets team analyze your debt needs. We’ll provide you with information on current rates available in the market; the pay-back period on transactional costs of a refinance; liquidity available through a refinance; or most importantly, the increased cash flow available to increase your cash on cash returns.

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Meg Liddy is Senior Vice President of Capital markets at Kelleher & Sadowsky. She specializes in Debt Placement. She can be reached at [email protected], or 508-635-6797.

2019-09-09T19:26:51+00:00