Risk Management & Analytics: Situs’ new strategic alliance with Radley Associates provides powerful cloud-based tool for CRE risk and analytics

Situs’ new strategic alliance with Radley Associates provides powerful cloud-based tool for CRE risk and analytics 

Situs, the premier global provider of strategic business solutions for the real estate and financial services industry, today announced a strategic alliance with Radley Associates, creator of the ProMS, a leading cloud-based valuation, risk and portfolio management software for the commercial real estate (CRE) finance industry.

Developed by Radley Associates, a London-based CRETech company, the ProMS software platform is an easy-to-use, advanced analytics engine that tracks loan attributes, measures commercial real estate loan and property performance, and enhances modeling to support balance sheet risk management and regulatory reporting. The cloud-based software tool streamlines the credit review process, improves loan and property cash flow modeling, and can be leveraged to structure and price individual deals while measuring expected losses at every stage of the market cycle.

“The ProMS software platform provides an innovative analytics solution for the global commercial real estate finance industry,” said Situs CEO Steve Powel. “When you consider the sheer volume of assets Situs reviews on behalf of its clients, and the growing concerns about regulatory and economic uncertainty, a solution that improves risk and value analysis and accelerates access to critical CRE attributes and assumptions is a significant value-add for our clients.”

Clients can use the ProMS cloud-hosted solution or they can self-host the application. ProMS is designed to enhance Situs’ CRE risk services, valuation, and model risk management solutions. Leveraging ProMS, Situs’ clients can augment existing CRE data elements and risk analytics, including benchmarking for losses over the life of the collateral in accordance with Current Expected Credit Loss (CECL) guidance.

Radley Associates CEO Dr. Howard Radley said, “We are very excited to be working with a forward-thinking firm such as Situs. By combining Situs’ exceptional risk and analytics services with the ProMS advanced analytics engine, Situs’ CRE clients and staff will have access to unique and powerful tools to improve risk management and corresponding profitability.”

Over the last several years, Situs has made significant investments in its risk management functions. Earlier this year, Situs acquired MountainView Financial Solutions, an established advisory, risk management and analytics firm offering solutions for both sides of the balance sheet and income statement, including stress testing, CECL services, loan and structured finance valuations, financial model development, and model validation. The ProMS platform will provide Situs’ clients with new CRE solutions such as automated loan underwriting tools, automated valuation models (AVM), advanced risk metrics, and CRE CECL compliance solutions.

Today, Situs employs over 800 full-time professionals with a wide range of credentials, including CPAs, PhDs, MAIs, and CFAs. It provides CRE underwriting and due diligence on over 5,000 commercial assets per year, and delivers extensive real estate intelligence through its market-leading reports. Through its recent acquisition of MountainView Financial Solutions, the company also validates 150+ models annually and provides monthly valuations on more than $29 billion of esoteric loans and residential loan servicing rights, and more than 3,500 unique bond CUSIPs. Situs RERC, our valuation management business, reviews over $200 billion in CRE valuations quarterly.

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