This looks interesting ...

Prudential Mortgage Capital’s Melissa Farrell says that the life company side of her firm is lending—to the tune of $5B so far this year. “And we'd like to lend more,” she told attendees of National Realty Club’s bi-weekly luncheon at the Williams Club yesterday, which got them to look up from their Oktoberfest meal.

Melissa says Prudential has $5B-6B to deploy over the next 18 months, but it’s still lending on a conservative basis: it wants leverage in the 55-65% range, stable cash flow, 12-14% debt yield, and preferably sectors like grocery-anchored retail and multifamily. Signature Bank’s George Klett says his bank’s sweet spot is in the $1M-$25M range, but also on the conservative side. Watch for opportunities when banks start to unload problem assets, he says; Signature is doing anything that makes business sense in this market, including some second mortgages.

Republished from the Real Estate Bisnow NYC Newsletter