Our Process

Our proven investment and financing process is designed to unlock hidden value in real estate assets. From site selection to capital deployment, we work with developers and business operators to structure secured financing solutions that align with long-term market trends and community needs.

We take a holistic approach to underwriting, ensuring that each investment is backed by a deep understanding of demographic shifts, workforce expansion, infrastructure investments, and economic revitalization trends.

  • For senior secured and structured financing opportunities, we focus on the following criteria:

  • 1. Strong Balance Sheet and Cash Flow

    We seek partners with a robust balance sheet and a proven history of generating cash flow.

  • 2. Consistent Earnings Growth

    We evaluate a track record of consistent revenue and earnings growth as an indicator of financial stability and performance.

  • 3. Adequate Collateral Coverage

    We assess the collateral value to ensure it adequately covers the secured principal and interest.

  • 4. Short-Term Financing Maturity

    Our financial solutions typically have a maturity period of 12-24 months, offering flexibility and minimizing long-term risk exposure.

  • 5. Sustainable Competitive Advantage:

    We prioritize companies with a sustainable competitive advantage that can drive long-term success.

We consider the potential synergies thereby creating opportunities for enhanced value creation.

  • 1. Strong Management Team

    We seek partners with a strong management team possessing industry experience and expertise.

  • 2. Attractive Valuation

    We evaluate the valuation of potential partnerships relative to peers and industry trends.

  • 3. Historical and Potential Growth

    We analyze historical revenue growth and assess the potential for future growth in the target market.

  • 4. Sustainable Competitive Advantage

    We prioritize companies that demonstrate a sustainable competitive advantage, positioning them for long-term success.

  • 5. Synergy Potential

    We consider the potential synergies thereby creating opportunities for enhanced value creation.

Examples of prospective secured financing opportunities

  • A strategically located commercial property in a transitioning urban corridor is being repurposed for mixed-use activation. The site benefits from proximity to public infrastructure and population density. Our investment committee reviewed the sponsor’s redevelopment plan, pro forma cash flows, and capital stack, and conducted a comprehensive evaluation of the property’s repositioning potential and long-term asset value.

  • A mid-sized multifamily residential properties located in an urban submarket of Maryland is being acquired for rehabilitation and repositioning. The asset is situated in a high-demand corridor with strong transportation access and demographic growth. The Kinfolk Group conducted a comprehensive review of the sponsor’s renovation plan, historical occupancy trends, and projected stabilized returns. Emphasis was placed on unit modernization, energy-efficient upgrades, and long-term affordability within the local market.

  • A series of vacant residential lots in a historically disinvested neighborhood are being assembled for new single-family home construction. The project is designed to enhance local housing stock, support homeownership, and contribute to long-term neighborhood stability. Our investment committee evaluated the sponsor’s phased development plan, projected absorption rates, and alignment with municipal revitalization goals. The initiative reflects The Kinfolk Group’s commitment to fostering community resilience and intergenerational wealth through strategic real estate investment.

  • A vacant parcel within a densely populated commercial corridor is proposed for ground-up development. The project’s entitlements, market comparables, and construction feasibility were reviewed alongside sponsor qualifications and balance sheet strength. TKG’s investment committee assessed the opportunity based on potential for impact and capital preservation.

  • The prospective borrower is a single-state operator in Maryland, utilizing cultivation real estate as collateral for the anticipated loan. Our investment committee conducts a thorough analysis of the borrower's financial statements, assessing key performance metrics such as revenue growth, EBITDA margin, and debt service coverage ratio. We also evaluate the quality and value of the real estate collateral, ensuring its free from any environmental or legal liabilities.

At The Kinfolk Group, our rigorous and detailed capital allocation process allows us to make informed decisions and select partners that align with our commitment to long-term value creation. Contact us today to learn more about our process and how we can assist in achieving your goals.