Heard the situation is pretty bad there. Apparently they're never lost money on a single deal and they're 73-0 with a decent IRR. But now they have a bunch of apartments below a DSCR of 1.00 because they bought so many apartments in 2021 with floating rate debt. They're pumping money into the apartments to stay afloat. Any idea how long they'll be able to do this?
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That's not true. They sold for a profit. They never said equity will be wiped out. That's a misquote.
Bump
their office is dicey too
I checked their website and yeah alot of vacancy in their office buildings. Any idea if we'll see them defaulting?
You mean the Nitya Capital that made this cringe video...that Nitya Capital?
You mean the Nitya Capital that hired a firm to do 1m views on that said cringey video. That Nitya Capital?
Is this the same Nitya Capital that the CEO talks about humble he is and how humbling his humbleness is? That Nitya Capital?
The same Nitya Capital that claimed 40% IRRs but then backed out low performing assets in the calculation by claiming theyre part of a separate portfolio? That Nitya Capital?
Is this the same Nitya Capital that tried to copy a competitors software by pretending to be a customer while it tried to develop the exact same software? https://www.reuters.com/legal/transactional/resman-ends-up-with-62-mln-…
Ahh yes, Nitya Capital, the greatest humble CEO and more humbler than anyone you ever met.
How the hell do guys like this manage to raise money?
Well according to that video above at the 30 second mark, he apparently won an award for "Banking & Capital Markets". I love how it doesnt mention who issued the award, but based on my read of the video its some award made up in the CEOs head. It's like me awarding myself "Coolest Badass". I thought Cardone was low, but wow this guy takes the douche cake.
Met him at a speaker panel once. Founder Dude came across as someone who is very boastful/showy about his fund and experiences. Says more than what is actually there. Was not a great first impression.
He's probably got the most punchable face out of all the scummy syndicators
What exactly made him boastful? He's built a great portfolio of assets. Something most people will never do in their lives.
don't see the video link can you repost
Please show me where you heard they hired a firm to do views. Also Karya is separate from Nitya. That's the PM and has nothing to with Nitya.
They are 100% related.
https://www.houstonchronicle.com/business/article/Houston-property-mana…
I think it's HNW and somehow tied into a Texas network that someone at the firm in deep in could be wrong.
A recent article says they sold almost half their portfolio acquired over the past 3 years so they’ll like just scrape by.
Link?
https://therealdeal.com/national/2024/03/28/multifamily-owner-nitya-fai…
Just came out.
CEO sounds like a f**ken moron. He says its not a default, but just a forebearance lol. They are past maturity so its a maturity default. I still remember those Nitya ads on CNBC claiming 40% IRR.
Crazy how dumb some HNW or close to accredited level investors are.
I am surprised the article didn’t talk more about the $45m mez loan behind the cmbs loan. At the point the mez portion is wiped out too and the mez isn’t going to agree to have pref equity sit in front of it. For the sake of the equity investors, I hope they let this go, so they don’t waste more money. It would make 0 sense for the investors to put up more money and it would be crazy for a pref equity provider to put up pref equity behind the mez loan.
Also - these assets are terrible! Whomever sold the portfolio to nitya probably made out like a bandit.
Cmbs is much more rigid than CLOs, so maybe this is the straw that brakes the camels back on pretending that these bad assets are worth much. Some of the deals would trade on the market 50% below the loan amount.
Who did the mez loan?
He was already able to raise over 100mm in investor money. You're right that no one should put more equity in, but I bet those same investor will throw him even more regardless.
Potentially dumb q how can you see the mezz info
Yes.
Dang. Where did that other Nitya post go? Thought that was the most entertaining thing on here in a while…
https://therealdeal.com/national/2024/04/02/syndicator-gva-sued-by-inve…
Why aren’t all the gva lenders foreclosing? The properties are getting worse by the day.
Nitya Capital? More like Notya Capital Anymore!
I'm genuinely upset that I haven't been keeping up with this WSO-wide Nitya drama
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