Scotsman Guide asks Managing Director and CIO of Arixa Capital, Jan Brzeski his thoughts on what's ahead for the commercial market in 2018.
Non-bank lender Arixa Capital will begin selling some of its fix-and-flip loans, which carry a 8%-10% loss-adjusted yield, directly to investors in the next few months, according to Jan Brzeski, chief investment officer.
Hard money loan funds have numerous advantages over most of the platforms, including more conservative LTV's, higher volume, instant diversification, better transparency, easier management and early liquidation. However, finding a good fund has been very difficult for many investors. Ian Ippolito, investor and serial entrepreneur has writen his top 15 hard money loan funds for 2017-2018.
Commercial development is booming in Inglewood, and residential real estate is anticipated to follow. Developers, investors, politicians and commercial real estate brokers cite the incoming Los Angeles Stadium and Hollywood Park entertainment center, the new Metro Crenshaw rail line, and $14 billion invested in nearby Los Angeles International Airport as driving forces behind new apartment construction, raising apartment rents and increasing home prices. LABJ asked Greg Hebner, Managing Director at Arixa Capital what he thinks about the residential real estate in Inglewood.
Jan Brzeski of Arixa Capital analyzes current bank lending regulations, why they are so heavily regulated and what regulators should focus on. GlobeSt.com sat down with Brzeski for an exclusive interview to talk about the regulation of bank lending.
Jan Brzeski, Managing Director and CIO of Arixa Capital contributes an article for Western Real Estate Business that discusses the potential for increased yields that can seem attractive to many of today's investors. However, a certain amount of 'buyer' beware' exists, which makes it incumbent upon the prospective investor to do their homework.
Since the financial crisis, there has been substantial growth in non-bank lending platforms, including fintech companies along with an increase in banking regulations. With the growth of non-banking lenders, Jan B. Brzeski, managing director and chief investment officer of Crosswind Capital and Arixa Capital, questions if the government should increase regulations of non-bank lending to “level the playing field.” GlobeSt.com sat down with Brzeski for an exclusive interview to talk about the regulation environment of bank and non-bank lending.
Ian Ippolito, investor and serial entrepreneur has been interviewed by the Wall Street Journal, Business Week, Forbes, TIME, Fast Company, TechCrunch, CBS News, and FOX News. Ian writes and reviews the Top Hard Money Loan Funds of 2017-2018. Arixa Secured Income Fund as well as Fund III made the list.
In the LABJ Forum section, the rebounding price of gold spurred A-Mark Precious Metals to acquire gold retailer Goldline last month in a move to expand A-Mark's business lines. Jan Brzeski, Managing Director and Chief Investment Officer at Arixa Capital was asked if he purchases gold as an investment.
For those who invest in real estate in the Golden State, it makes sense to ask where the greatest need for investment lies. But the most pressing need is likely for additional housing close to jobs, which therefore represents the most interesting opportunity for investors. Jan Brzeski, Managing Director and Chief Investment Officer of Arixa Capital shares his insight to the growing opportunities in California.
The decade since the financial crisis has been challenging for our nation overall, but it has been a fertile period for non-bank real estate lenders. The great majority of Americans were angered by what they saw as reckless and sometimes cynical behavior by both commercial and investment banks who profited immensely from lax lending practices, and then needed taxpayer bailouts to avoid bankruptcy. As a result, Congress passed new rules, mostly generated from the Dodd-Frank Act, that greatly restricted bank lending to real estate investors and developers of any kind.
Multifamily lenders are looking to coastal infill markets for multifamily opportunities. Arixa Capital is finding the best opportunities in major coastal California markets, including Los Angeles, where it has more than half of its projects, as well as Orange County and the Bay area. These markets have strong access to job centers, which is one of the firm’s key investment characteristics.
In the last year, banks have tightened construction loans because of fears about overbuilding. Not all lenders, however, are following suit. Arixa Capital is only lending on residential construction projects. To find out more about why the firm is so bullish on multifamily construction and what types of properties that they are focused on, GlobeSt.com sat down with Arixa Capital's Managing Director and Chief Investment Officer Jan Brzeski for an exclusive interview.
Small-balance bridge lending in the commercial real estate market exists in a sort of parallel universe to the world of large institutional real estate finance. "Small-balance" is generally defined as a loan under $10 million -- with the cutoff often going as low as $5 million or less. Such loans are the bread and butter of many regional and local lenders, including hard money lenders. These smaller lenders may be like little fish compared to their much larger financing cousins, but they can play a pivotal role in providing a short-term financing bridge to getting the deal done.
Growing your business fiscally and physically can be one of the most challenging things for a business owner to go through. The Los Angeles Business Journal covers how banking relationships and drawing investors might be the key as a small business owner. Jan Brzeski, Managing Director & Chief Investment Officer of Arixa Capital was mentioned in the article as one of the most influential lenders financing the opportunities in redeveloping and rebuilding the World War II-era style homes across California.
Commercial real estate construction and development tend to be cyclical — trending up and down in line with other economic indicators. Despite the volatile nature of this industry, commercial mortgage originators sometimes may find developers to be overly optimistic, hoping that somehow a new building boom will be different from previous ones and will not end up in a bust.
One active West Coast player in the middle market lending space is finding growing opportunities to answer the question: Why don’t banks fulfill this lending gap in Ca for small scale developers? States Jan Brzeski, founder of LA-based Arixa Capital Advisors (www.arixacapital.com),“The banks are too slow to accommodate the small developers in this space, as the California market dynamics requires them to be both nimble and well-capitalized to turn properties around and resell them into this competitive market.
Arixa Capital's principals, Jan Brzeski and Greg Hebner, specialize in private lending secured by real estate. Drawing from, and building on their past professional experience, they share how they set up an income-oriented, risk-controlled, capital preservation niche strategy across U.S. west coast real estate.
A Los Angeles investment firm is seeking to raise a combined $100 million for two funds that provide short-term construction loans to builders of single-family home projects. Arixa Capital is targeting high-net-worth individuals, family offices and other types of investors in its capital-raising drive. Arixa’s founder, Jan Brzeski, hopes to raise the bulk of the targeted $100 million by the end of 2017. The firm’s two open-ended funds — Arixa Fund 1 and Arixa Fund 3 — are able to offer investors liquidity terms that are similar to those available to limited partners in hedge funds.
Bridge loans can be ideal for clients needing access to fast financing. A popular video game, “Need for Speed,” features go-fast cars that cost more than the average automobile. Bridge loans for homebuyers are similar in concept. They cost more than traditional financing, but sometimes it’s worth paying a premium for speed. In addition, bridge loans can solve problems for homebuyers, mortgage brokers and Realtors. They can provide financing exactly when and where it is needed, without the complexities and time required to close on a conventional loan.