Precept Gains $14 Mil in 3rd Round Financing

OAKLAND-The commercial mortgage services provider Precept Corp. completed $14 million in third-round financing recently, raising its total capitalization to more than $24 million. Precepts third round of financing came from a group of individual investors led by Michael Klein, who is chairman of Precept as well as chairman of the CoStar Group.

The privately held company also has formed a strategic alliance with Chicago-based Cohen Financial aimed at producing more than $5 billion in commercial loans over the next five and one-half years. The alliance set an origination goal for the next 18 months of $300 million.

Under the new strategic alliance agreement, Cohen Financial’s staff professionals will be able to use Precept’s loan origination process that includes an online system to distribute underwriting information and conduct the loan auction. The Precept system provides a single point for access to multiple lenders who provide loan commitments through a competitive auction.