Assess sponsorship
Evaluate credibility, relevant experience, liquidity, and capacity to respond to adversity.
Inside the Credit Room
A practical, case-based course for the professionals who underwrite, approve, administer, and manage construction loans.
In preparation for institutional delivery. Inquiries are welcome; scheduling and delivery arrangements are confirmed individually.
The credit decision at every stage
Construction credit requires a defensible decision at each stage of the project. This course connects the original underwriting to equity funding, construction execution, disbursement controls, completion, and actual repayment.
Participants work through the evidence, calculations, and judgment needed as project risks change, with a shared approach across origination, credit, and administration.
What participants will practice
Work through the questions that connect the project, the sponsor, the loan structure, and the bank’s decision.
Evaluate credibility, relevant experience, liquidity, and capacity to respond to adversity.
Connect scope, budget, schedule, market assumptions, and repayment expectations.
Translate underwriting conclusions into equity requirements, completion support, and usable controls.
Test draw requests, remaining costs, available funds, and emerging credit weaknesses.
Size permanent-loan proceeds and quantify gaps using LTV, DSCR, and debt yield.
Specify supporting evidence, conditions, decision owners, and fallback actions.
Course progression
Each day builds on the prior decision and tests what changes as the project moves toward repayment.
Evaluate sponsorship, financial capacity, market feasibility, leverage, and the proposed exit. Separate verified facts from assumptions, and identify what must be resolved before commitment.
Practice: Sponsor capacity, sources and uses, and an initial credit recommendation.
Reconcile budgets, contracts, schedules, and third-party reports. Work through equity funding sequence, completion support, contingencies, interest reserves, and closing conditions.
Practice: Budget gaps, insurance-recovery timing, and interest-reserve sensitivity.
Connect the approval to administration. Test draw evidence, retainage, stored materials, change orders, and cost to complete. Reassess sponsor support and escalate funding gaps.
Practice: Draw calculations, completion funding, and an adverse-credit update.
Distinguish physical completion, legal closeout, stabilization, and cash repayment. Test refinancing and sale proceeds, evaluate extensions and workouts, and defend a committee recommendation.
Practice: Takeout gaps, collateral releases, and an integrated committee decision.
A continuing fictional case
Follow a multifamily development from the initial request through cost increases, funding pressure, completion, and a stressed repayment decision.
Teams calculate, challenge assumptions, and explain what the evidence supports. Additional exercises address insurance recovery, reserves, collateral releases, and portfolio liquidity.
All case names, amounts, and scenarios are fictional teaching assumptions.
Format and delivery
The 12-hour scheduled format includes 11 hours 20 minutes of instruction and activities, plus 40 minutes of breaks. Institutional policies, authorities, and legal requirements remain specific to each organization.
Developed by
Managing Partner, LakeRock Capital
Derek’s experience spans enterprise CRE credit risk leadership, Federal Reserve examination, commercial real estate lending, and workouts.
The course brings these perspectives into practical questions about sponsorship, execution, governance, and repayment, while recognizing differences in institutional policy and decision authority.
View Derek’s professional background →The full course is designed as four three-hour sessions. Shorter workshops and focused sessions can be tailored to your institution’s priorities, participant experience, and available time. Topics, case studies, and depth of coverage are agreed upon during planning.
Institutional course inquiries
Share your audience, approximate participant count, training goals, and preferred timing using the inquiry form below. LakeRock welcomes inquiries from institutions, associations, and professional education partners.
The course is being prepared for institutional delivery. An inquiry starts a discussion about scope, customization, scheduling, and delivery arrangements.
Share who will attend, the approximate group size, and what you want participants to learn. LakeRock will follow up to discuss course fit, customization, and delivery