FLATBUSH, NY – November 3, 2015: After capping its fees at $135k this summer, debt brokerage Eastern Union Funding saw, in October, the most dramatic response yet to its competitive fee structure. In addition to putting a company-record 120 new deals under application in October, which was constrained to 18 business days due to various holidays, production for the month was in the top 10 in every tracked category.
The fee cap typically impacts loans $13.5 million and above, and Eastern’s origination, for deals of that size, shot skyward in October. Compared to the number of deals that size last October, before the fee cap was lowered, large loans have increased by 165 percent.
“We look at the number of loan applications, loan submissions, loan submission deal-size, closed transactions, and closed deal-size every month, and in every single category we finished in the top 10,” said Eastern Union President Ira Zlotowitz. “What’s even more exciting is the month was shortened dramatically by holidays, and so we came into it making up for lost time.”
Eastern Union is on pace to close in excess of $3 billion in 2015. Next year the company is setting an ambitious goal to double it.
Underscoring the origination of capped fee loans this month were closings nationwide that reflect the initiative. In Florida, the new owner of a Jacksonville portfolio brought two loans totaling $33 million to Eastern’s Jake Gluck, the second coming after a highly competitive term sheet with a capped fee was delivered by the brokerage. Large deals also closed in markets from Texas to Queens, and the pipeline continues to grow daily.
“Everyone values from retaining a broker, and everyone values from competitive products,” said Eastern Union Managing Partner Abraham Bergman. “By capping fees, and other exciting initiatives including our Equity Division, we stay aggressive by delivering on all of the above.”
About Eastern Union Funding: Founded in 2001, Eastern Union Funding is a top 10 commercial mortgage brokerage, according to Mortgage Bankers Association’s annual survey, and one of the top 50 fastest growing companies in NYC, as reported by Crain's New York Business the past two years straight. A trusted advisor to its clients and innovation leader in the commercial mortgage marketplace, Eastern Union caps its fees at $135k and closes an average of $3 billion in annual transaction volume nationwide. The firm’s sophisticated debt solutions are complemented by a one-of-a-kind Equity Division. Eastern Union is headquartered in New York, with offices in New Jersey, Maryland and Israel. For more on the country’s most trusted commercial mortgage brokerage visit www.easternuc.com.