General Process

Fortress's general goals and strategies are as follows: 

  • Maintain a constant flow of distressed and/or defaulted first position commercial whole loans from various financial institutions (FDIC, banks, special servicers, etc.)


  • Access and analyze the asset and formulate the best possible plan for future monetization.


  • Perform extensive underwriting due diligence for each prospective loan, including original loan file, current market data, on-site due diligence and borrower strength assessment relative to each prospective loan and the associated collateral.


  • Acquire loans through negotiation at discounted values within acceptable target range.


  • Monetizing acquired assets through deal-specific exit strategies.

Loan Criteria

In the current market, Fortress is focused on acquiring loans that meet our stringent criteria including:

  • Performance level of loan 


  • Size of unpaid principal balance (UPB)


  • Geographic Location


  • Asset Class (Multi-family, Retail, Office, Industrial/Warehouse, Self-Storage, Hospitality)


  • Borrower capacity to facilitate a prompt discounted payoff or workout agreement.


  • Cash flow/ Occupancy


  • Property age and condition


  • Recourse/ Non-recourse


Exit Strategies

  • Re-sell the note


  • Negotiate a forbearance agreement with the borrower to accommodate a borrower workout.


  • Enter a cooperation agreement with the borrower to short sell the collateral

  • Execute a deed-in-lieu of foreclosure to take possession of the property

  • Foreclose to take possession of the property

  • Sell as real estate owned (REO)


  • Hold and manage the asset to maximize value at a future sale