Live Deal Underwriting Panel
Metonic CEO Jasin Alfaro took the stage alongside NewStreet Properties VP of Investments Peter Frei and Northmarq Managing Director John Reed to break down the underwriting process using an example deal. Moderated by Metonc CLO Adam Kirshenbaum, the breakout session highlighted the importance of careful underwriting and due diligence.
From left, John Reed, Peter Frei and Jasin Alfaro at the CRE Summit, Friday, Aug. 21, 2026. (Metonic)
Three Key Insights
Governmental Risk
- Property taxes are often one of a property’s largest operating expenses, and local budget mismanagement can drive sharp increases in tax rates.
- A property’s exact location within a market relative to city or county lines can significantly affect its exposure to tax increases.
Deferred Capital Investment
Analyzing Location
- Strong location analysis must go beyond market and submarket data. Aggregate statistics can mask significant variation within a few blocks.
- Traffic patterns, adjacent land uses, and micro-demographics sometimes matter more than broader trends. Considering the details of the site and its immediate surroundings leads to stronger underwriting.