Dennis Schuh

Describe the past 12 months in one word, then expand on your choice.  

Pain. Clubber Lang in “Rocky III” used the word “pain” to describe what he was going to do to Rocky Balboa. The dramatic change in the interest rates has certainly inflicted a lot of pain on the commercial real estate industry and the markets in general. While Rocky got pummeled in the first fight, he won the rematch. 

Tell us about a recently closed deal you’re proud of, and its biggest challenges/high points.  

We recently closed a $156 million loan on a mixed-use project in Coral Gables, Fla., across from the University of Miami known as THesis. We have had a long history on this project with a repeat sponsor who has a very talented development and operations team. We provided the construction loan mezz to build the project. We took out the construction loan with a bridge- to-stabilization loan. And we recently provided a bridge to a sale on a now (near) stabilized asset.

Has certain lenders’ retrenchment been beneficial to your pipeline? Discuss. 

Less competition is generally a good thing, and you know it is a lender’s market when the first question a borrower and/or broker asks you is, “Are you lending right now?” With that said, investment sales activity has fallen off a cliff and the market could certainly use more regular way price discovery and not just distressed sales. However, if history has taught us anything, the recovery trade will provide for outsized returns for disciplined risk takers.    

What’s your approach when it comes to loan extension requests?  

Baskin-Robbins became famous for its 31 flavors. Sometimes a single scoop of vanilla or chocolate will suffice. Sometimes it requires two scoops of rocky road with rainbow sprinkles.     

Will rate stability calm market volatility, or is that wishful thinking?  

Wishful thinking. We need the forward yield curve to imply the same recession that the current spot market does. 

If you had five minutes with Jerome Powell what would you say? 

Mission accomplished. Put your foot firmly on the brake pedal. Signal a more accommodative policy is forthcoming. We have geopolitical risks popping up everywhere and a presidential election in a year. Enough’s enough.

If you could make like Scott Baluka and quantum leap back to November 2022, what would you tell yourself?  

Sam Zell coined the phrase “Stay alive till ’95.” I would tell myself to replace the 9 with a 2 but I’m generally not a fan of time travel.

Lightning Round:

Multifamily or Industrial?

Both, especially a new loan at current valuations.

Taylor Swift or Beyoncé? 

Taylor Swift. I have four daughters who are huge Swifties.

What would be the title of your Lifetime biopic?

“Catch More Flies With Honey.”

‘Ride or dies’ only (relationship borrowers) or taking on new borrowers?

Both, because you can’t do your second deal until you do your first.

Vacay time: Mountains or beach?

Beach, despite my Irish complexion.

Complete this sentence: If I weren’t a lender I’d be a…

High school baseball and basketball coach.