Triple Net Property Due Diligence

Commercial real estate triple net property due diligence screams for change.  The triple net property finance industry’s due diligence practices have creates some significant problems for CRE developers, CRE sponsors, broker-dealers, registered investment advisors, investors and lenderstriple net property due diligenceThese problems are due to the fact commercial real estate has very significant investment loss exposure due to the time these businesses typically require to generate returns plays out over a period that exceeds two (2) years.  That 2-year period represents the “golden time” where the forecast window is most likely to have the potential to be correct as changing market conditions usually take that amount of time to manifest real changes.  Triple Net (NNN) properties all have to face the specter of asset obsolescence brought on by changes in supply competition in their local markets and this condition requires constant ongoing monitoring and market forecasting to manage for profit.  The days of just settling for attempts to mitigate losses already realized are passe.  The time has come to do something proactive to prevent future investment losses on triple net lease property investments.

The INVIZEN Real-Time Status Asset Care Protection Program provides the only end-to-end solution for due diligence that is proactively-designed to put an end to commercial real estate investment performance assurance issues for the full term of the investment.  The INVIZEN RTS program combines the following unique benefits that drive this incredible solution:

  • Underwriting is integral to the solution and INVIZEN underwrites the investment every month including an asset valuation analysis, market feasibility analysis, financial feasibility analysis, maturity default underwriting analysis, term default underwriting analysis and technical default underwriting review to identify potential issues that could create future non-performance outcomes and provide solution recommendations for managing identified events.  INVIZEN supports the project and the participants the entire way with our exclusive suite of business planning services specifically designed to proactively manage execution risk because the budgets, goals and owner requirements are automatically updated and transmitted down to the line employee level through every level of management that includes tasking, productivity measurement and automated reporting.  What does your due diligence program have?
  • Investment fraud deterrence and prevention on an ongoing basis to place all parties on notice that all aspects of the transaction are subject to verification and real accountability.
  • Management of market risk exposure due to changes in competition caused by technology advances and innovations to provide advance warning of a pending “train wreck” instead of the standard practice that is limited to telling you your loan or investment just crashed.
  • Real-time protection and reporting that identifies market opportunities as well as the potential problems and does so affordably.  The costs of coverage are not materially-significant within the overall transaction scheme.
INVIZEN Broker-Dealer Investment Fraud Claims Loss Risk Management & Prevention Program Operations

RTAF Technical Report ScreenshotThere is so much more to the INVIZEN Real-Time Status Asset Care Protection Program that INVIZEN was intentionally designed to support:

  • CRE Developers & Sponsors.  Developers and sponsors seeking capital financing have the advantage of a systemic solution that provides the support needed to increase the odds of a successful capital financing outcome.
  • Investors & Lenders.  Investors and lenders seeking to participate in commercial real estate securities private placement offerings and other credit instruments have the advantage of a systemic solution that provides the highest practical investment performance assurance we can contrive.
  • Broker-Dealers & Registered Investment Advisors.  Securities broker-dealers and registered investment advisors on both the buy-side and sell-side of the transaction have the advantage of a reporting system that provides FINRA compliance support, protection from future investment fraud claims, increased transaction velocity and the opportunity to increase their operating margins – all in one package.

RTU Technical Report Screen ShotCurrently, the asset classes supported by the INVIZEN RTS program include the following commercial real estate specific intended-use scenarios:

  • Multifamily Rental Class “A”
  • Multifamily Rental Class “B”
  • Multifamily Rental Class “C”
  • Multifamily Age-Restricted Rental Senior Housing
  • Multifamily Rental Independent Living Facility Senior Housing
  • Multifamily Rental Assisted Living Facility Senior Housing
  • Multifamily Rental Alzheimer’s Assisted Living Facility Senior Housing
  • Multifamily Rental Congregate Care Senior Housing
  • Multifamily Continuing Care Retirement Community (CCRC) Senior Housing
  • Commercial In-Line Retail
  • Commercial Single-Tenant (Retail/Commercial/Healthcare Sub-Scenarios)
  • Commercial Enclosed Retail
  • Commercial Mixed-Use Retail
  • Commercial Office Class “A”
  • Commercial Office Class “B”
  • Commercial Office Class “C”
  • Commercial Light Industrial Flexspace
  • Commercial Distribution Facility
  • Commercial Mini-Storage
  • Hospitality – Resort Class
  • Hospitality – Full Service Class
  • Hospitality – Limited Service Class
  • Hospitality – Value Class

Find out more about what INVIZEN could mean for your business.  The world of CRE capital financing is now changing and INVIZEN offers the revolution that technology has always promised us, yet failed to deliver.  Contact an INVIZEN representative today at 832.663.9634 to learn more.