On this episode of Zen and the Art of Real Estate Investing, Jonathan Greene interviews Michael Cohen, founder and managing partner of Brighton Capital Advisors. With more than 25 years of experience in commercial real estate lending, debt sourcing, restructuring, and advisory work, Michael shares what he is seeing from the front lines of the current commercial real estate cycle.

Jonathan and Michael discuss the shift from the value-correction phase to what Michael calls the "asset transfer phase," in which lenders are increasingly moving toward foreclosures, note sales, and restructurings as distressed loans work their way through the system. Michael explains why lenders were slower to act in prior years, how rising interest rates and operating costs have created pressure on multifamily and other assets, and why many borrowers are now facing critical decisions about whether to reinvest capital or exit their properties.

The conversation also dives into the complexity of CMBS and CLO loan structures and why borrowers often underestimate lenders' leverage once loans are securitized. Michael shares how proactive communication, strong advisory teams, and a realistic understanding of loan documents can dramatically improve outcomes when navigating distressed situations.

For investors, this episode highlights the importance of understanding leverage, capital reserves, and sponsor strength when evaluating real estate deals. Market cycles are inevitable, but preparation, knowledge, and disciplined decision-making can make the difference between surviving a downturn and losing an asset.

In this episode, you will hear:

Why commercial real estate is entering an asset transfer phase in the current cycle
How rising rates and operating costs created pressure across multifamily assets
Why lenders are becoming more aggressive with foreclosures and note sales
The risks and complexities of CMBS and CLO loan structures
Why capital reserves and sponsor strength matter during downturns
How proactive communication can improve outcomes in distressed loan situations

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This episode was produced by Outlier Audio.

Supporting Resources

Connect with Michael:

Website: https://brightoncapitaladvisors.com/

Facebook: https://www.facebook.com/brightoncapitaladvisors

LinkedIn: http://linkedin.com/company/brightoncapitaladvisors/

Connect with Jonathan:

Website - www.streamlined.properties

YouTube - www.youtube.com/c/JonathanGreeneRE/videos

Instagram - www.instagram.com/trustgreene

Instagram - www.instagram.com/streamlinedproperties

Zillow - www.zillow.com/profile/streamlinenj

Bigger Pockets - www.biggerpockets.com/users/jonathangreene

Facebook - www.facebook.com/streamlinedproperties

Email - info@streamlined.properties

This episode was produced by Outlier Audio.