Heskin offers a variety of service to its public and private clients, all of which are driven by value-added strategies to enhance results.  

ASSET MANAGEMENT & DISPOSITION

· commercial, land, residential, consumer, CMBS products · secured or unsecured · performing, subperforming, nonperforming · judgments, deficiencies and charge-offs (JDC’s)

· review/evaluate files (loan level detail, documentation adequacy, loan and rate structures, recourse, nonrecourse features, seasoning, etc.  ) · review/evaluate current asset status (payment status, history, current principal balance) · collateral and market assessment (property level detail, operating statements, cash flow, LTV, DSCR, title, tax lien, environmental, appraisal, deferred maintenance) · borrower/guarantor detail (financials, credit history, credibility) · litigation status (bankruptcies, receiverships, foreclosures)

· review/evaluate credit quality of the asset and impact on value (see above) · focus on cashflows, prepayment risk, lockout, yield maintenance and percentage principal penalties · review/evaluate bond structure (pooling/servicing agreements, cashflows, credit enhancements, subordination and other structural aspects) · macro issues and pool wide adjustments (diversification issues, the issuer, servicer capabilities, overall seismic/environmental exposure, origination and information quality, cash control and reserves)

· underwriting · legal/document review · property operations examination · current market/submarket assessment · structural review · building system audit · computerized data analysis (ARGUS) · financial modeling

· For All Assets:
· financial analysis and asset evaluation
· develop and implement restructure/collection/resolution/disposition strategy

Click here for Overview of Heskin’s Collection Plan Process and Property Plan Process

· FDIC/RTC Asset Management and Disposition Contracts (SAMDA/SAMA) from 1991 – 1995 covering 37,000 government assets (loans and REO), $2.2 billion book value · Citigroup Global Real Estate Investment Division Market Recovery Investment Program (1996 – Present) asset management and disposition services for commercial properties located nationwide

DUE DILIGENCE SERVICES

Heskin has designed a Master Due Diligence Project Plan that guides every aspect of the due diligence process required to produce the data, documents and databases needed to effectuate a successful sales campaign for its government clients (sell side) or to formulate successful bid strategies for our private investment clients and partners (buy side).  

The Plan covers seven milestone tasks:

· Project Management/Quality Control
· Asset Review/Analysis
· Asset Valuation/Pricing
· Data Aggregation/Dissemination
· Marketing/Sales/Bid Support
· Closing/File Transfer
· Administration/Reporting/Accounting Reconciliation

The methodology under each task is detailed to ensure full project coverage.  

· FDIC Sail ’98 Western Service Center Initiative – Heskin provided the gamut of full due diligence and asset valuation for three asset groups located nationwide including loans (4,393 single family, multi-family, commercial mortgage assets, $34.5 million BV); direct, master, securitized servicing rights (7,831 assets, $783 million BV); and mortgage-backed securities (91 transactions, $789 million BV)

EQUITY MONITORING AND TRANSACTION ADMINISTRATION

A multitude of activities are encompassed in Heskin’s Equity Monitoring Master Plan, including:

· Initial Asset Assessment, Due Diligence, Legal Structuring of Deal/Entities
· Investor/Client Negotiations/Communication
· Asset Management, Entity and Asset Operations
· Corporate Administration
· MIS/Database Setup/Maintenance
· Legal Coordination – Jurisdictional Regulatory Filings
· Accounting/Investor Reporting/Tax Management
· Strategic Business Planning
· Dispositions
· Closings/Winddowns
· Final Reconciliations and Post Closing Support

Since the mid 1990’s, Heskin has operated and managed all aspects of a portfolio of 76 entities totaling $373 million+ book value (subsidiaries, joint venture partnerships, LP’s and LLC’s) primarily on behalf of a major private lending institution, a private institutional investment fund and a private investment group based in the US and certain foreign jurisdictions.   In addition, Heskin has managed another nine entities which have since been liquidated and dissolved in connection with the clean-up of administrative structures or as a result of successful sales executions.   Heskin’s activities encompass the daily management and control, MIS, legal compliance, tax accounting, administration, corporate governance, tracking and reporting – the “soup to nuts” operation – of those entities which are doing business in a variety of jurisdictions nationwide.  

· Värde Partners, Minneapolis, Minnesota (1994 – Present) – for the Värde Partners’ institutional investment funds, Heskin provides subsidiary/partnership asset management and disposition; operational/cash management and accounting/investor reporting for administrative entities; underlying assets composed of business, residential, commercial properties, mortgage paper and receivables.

SALES ADVISORY AND TRANSACTIONAL SERVICES

Based on its experience with 18 major asset disposition transactions for the federal government in the last ten years, Heskin has developed a Master Project Plan Guide for Transaction Administration which applies to the single asset, single pool negotiated placement as well as to the multiple asset sales structures in bulk or portfolio format.  

Milestone tasks include:

· scheduling resources · tracking/monitoring progress · audit and quality control

· plan preparation · budget analysis · coordination with the client management team

· Database Control and Asset Tracking System

· Supervision of Data Collection/Organization

· Stratifications/Pooling and Pricing

· best practices · training

· accounting · settlements · reconciliations

Each milestone task is further detailed into action steps with a specified methodology for accomplishing the task.   For example, under Project Management, Heskin staff initiates project start-up steps mobilizing and coordinating project staff, creating a project plan deliverable schedule for the entire transaction as well as contractor task deliverable schedules; activating quality control procedures and establishing confidentiality, firewall statement and physical security requirements for the transaction.  

· FDIC Asset Sales Initiatives from 1991 to date for the Washington, DC, Dallas, Denver, Atlanta, Chicago, Hartford, CT, Franklin MA and Kansas City, MO offices.