Investment Sales to Principal Lending Side

Hi all,

Hope you are all well.

I recently conducted interviews with   a small outfit  that does small-medium  deals across resi/developments and some industrials and care homes.

The role will be end-to-end   origination and execution of debt that the team's sister company has effectively given them (giant RE fund).

Is there anyone here who is in a similar role at the moment, if so how are they finding it? 

Not been in IS that long but my team's deal flow is not great so I find myself slightly bored – hence the move.

I believe this role will cover senior, junior, mezz etc. and I was told I'd have the deal flow I'd be looking for.

One thing I am concerned about is whether or not this will put me on the debt path solely as right now I guess I could swing either to Equity or Debt (coming from a slight debt background anyway).

Also - how does one know whether the move is a good one or not?  I feel like I need more insight/knowledge. 

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Comments (10)

Most Helpful
Aug 3, 2021 - 9:29pm

You can jump between equity and debt so I wouldn't be worried. But if you are worried, I would wait for a role you're more interested in. 

Regarding is it a good move - well are you leaving just to leave because you're bored or are you leaving because you are actually interested? Is this role a step up, or is it just a role? Is your compensation going up? You need to think through all of these things. Don't just move to move. 

Aug 4, 2021 - 4:11am

Thanks for your reply.

It's a small outfit funded by Cain International  - sort of worried about getting burned due to it being a small firm.

I think my main concern and reason to leave is deal flow -  been about for  nearly 6 months but have worked on one transaction lol....  I think I need more from my role..

The role is different right its  underwriting  debt to developers building ressi etc. - but involves everything from kyc to loan management and responsibility for drawdowns  

  Comp is going up around   7K .

Aug 4, 2021 - 12:58pm

I was an underwriter at a small debt fund. They likely get their capital from a third party like we did. It was a really difficult environment for all involved when I worked there. Getting our out of state capital partners on the phone to talk through or approve a deal was a struggle and often lead to the deal falling apart. I would ask more about their source of capital and their relationship with them and the typical approval process. Ask A LOT of questions. Going from debt to equity is one thing but going from an institutional brokerage house to a private debt fund will be a culture shock for you. 

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Aug 5, 2021 - 7:41am

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