14th CONSECUTIVE RECORD YEAR FOR GEORGE SMITH PARTNERS
$4.1 Billion in 2006
17% increase over 2005
262 Transactions With 78 Lending and Capital Sources
It is with tremendous gratitude to all of our clients and lenders that we can report the following. Our production numbers from 2006 indicate: (1) 17% increase in loan volume from $3.5 to $4.1 Billion (2) 262 closed transactions, and (3) Our ever expanding group of capital sources. Thank you.
2006 was a year of change at GSP. It was our first year without our founder and namesake, George Smith; and we are pleased that the spirit, professionalism and ethic that he inculcated in the firm continue in his memory. We also updated our identity in 2006 by moving into our new office in the MGM Tower in Century City, unveiling a new company logo and completely redesigning and improving our website.
With this issue, we introduce our new and improved layout and new name for Fin-Fax; now named FINfacts to reflect the change in distribution from fax to email.
Our exceptional growth in 2006 was due to repeat business with many of our existing clients, as well as new ones, and our ever-growing relationships with financial institutions, funds, REIT’s, and other providers of real estate capital.
Lender Types: The largest lender category in 2006 was Commercial Banks as we arranged over $1.5 billion of portfolio bank business. The close second largest category was CMBS, with just under $1.5 billion in financing. In 2006 many lenders of all types (including Mortgage REITs, Credit Companies, and some banks) began to utilize the “CDO” (collateralize debt obligation) as a new lending vehicle.
Financing Types: Bridge (over $1.6 billion) and permanent (over $1.5 billion) financing led the way. We also nearly doubled our volume of construction financing for the second straight year to over $707 million.
Property Types: The “Big 4” product types became the “Big 6” as condo and land came in second and fourth respectively. Time will tell if this is a lasting trend going forward.
Our financing volume and the respect that we have achieved throughout the lending industry allows us to access the most senior decision makers at lending institutions. Our lender database, completely overhauled in 2005, proved to be a crucial asset in 2006 and going forward, as we have information on over 1,000 capital sources at our fingertips.
We look forward to another great year in 2007!
