“We do not want to compete with institutional market. We are supporting emerging sponsors. That is the business that we know and that is the business that we are good at,” says Alex Cohen, CEO of Liberty SBF, in this podcast interview. Liberty SBF is an active bridge lender, operating in the $5 million to $15 million price range across asset classes, which has been a sweet spot for the firm.
Like many lenders, the firm focused on PPP and other essential loans, but now that the pandemic has started to retreat, the firm is returning to its core business model, where bridge loans are at the epicenter. With so much capital chasing deals, there is plenty of demand. “We reverted back to our core lending platform in the late summer early fall, and we have just seen robust demand.”
Liberty SBF has a non-recourse bridge loan, which is in high demand. The firm takes a thorough look at the business plan, and is particularly attracted to deals that Cohen says require a ”heavy lift” meaning that they require a more involved renovation and a significant capital budget.
In this podcast interview, Cohen tells all about the firm’s bridge lending activity, and why he is so bullish on the sector.