Cherrywood Mortgage specializes in originating loans with balances of $5 million or less
Angel Oak Commercial Lending has announced that it purchased a controlling interest in Cherrywood Mortgage, a national small-balance commercial mortgage lender based in Los Angeles.
Under the deal, Cherrywood will become Angel Oak Commercial’s wholesale small-balance commercial lending arm. Cherrywood is led by CEO Bill Komperda and President Ed Resendez.
Angel Oak Commercial said the addition of Cherrywood to its platform is part of efforts by Angel Oak Companies to broaden its leadership position in the residential non-QM lending business. Cherrywood specialized in originating loans with balances of $5 million or less, typically on stabilized or value-add properties for all major commercial property classes. The lender also employs various lending approaches, such as “lite doc,” “market rent,” “near-bank quality,” and “bank quality” loan programs.
“With this strategic acquisition, we are adding both a great business and a tremendous group of people to the AOCL team. The experience that Bill, Ed, and the Cherrywood team possess is unrivaled in the commercial lending industry. Cherrywood has long been regarded as a top firm in the space with an extensive network of brokers throughout the country,” Angel Oak Commercial Managing Director Ben Easterlin said.
Angel Oak Commercial noted that community banks have traditionally originated loans of the size also originated by Cherrywood and Angel Oak. However, community banks have seen their lending ability limited by tightened regulations around commercial lending at financial institutions, resulting in a financing challenge for smaller commercial real estate owners, developers, and investors.
Related stories:
Angel Oak names head of mortgage strategies
Angel Oak gains five new account executives
