Where Automation Falls Short in Credit Analysis
External and internal pressures require commercial real estate professionals to streamline costs and improve efficiency across their leasing, asset management, and acquisitions responsibilities. The siren song of automation and technology is compelling. They allow for self-service capabilities and real-time decision making, but their effectiveness is currently limited to analysis of simple and homogeneous entities and tenants. Complex credit analysis in tenant diligence
What Commercial Real Estate can Learn from Newsweek's Unraveling
Newsweek's lower Manhattan offices were raided by the Manhattan District Attorney's office and seized, among other things, the company's servers. What instigated the raid was a loan officer's concern over Newsweek's audited financial statements, and whether Newsweek's auditors were even legitimate. Had the lessor engaged an outside party to conduct tenant diligence on Newsweek, there is a chance that it would not be on the hook for hundreds of thousands of dollars in unpaid
