Alternative Investments
Private Equity
Investment Management Services
Amalgamated Bank offers investment management and fiduciary services for clients' Private Equity investment programs. We seek to provide superior, long term returns through careful selection of a diversified portfolio of high quality managers. We are qualified to serve as a Qualified Professional Investment Manager (QPAM) and assist clients in developing and implementing a Private Equity investment program. We provide monitoring and reporting services as well as the coordination of capital calls and distributions. We currently manage over $1.4 billion of private equity commitments for our clients.
LongView Private Equity Strategies
LongView Private Equity strategy is a closed-end investment vehicle for investing in a diversified set of private equity strategies and is seeking a long-term return in excess of public equity markets. The strategy was established in 2006 and is closed to new investors.
LongView ULTRA Construction Loan Investment Fund
The LongView ULTRA fund was created to provide a sound means to invest in a portfolio of high-quality, short-term construction loans secured by the projects being built. All projects financed by LongView ULTRA use 100% union labor and have created over 3.0 million hours of union labor. This fund is available to all qualified pension plans.
Learn more about LongView ULTRA:
History of LongView ULTRA
Amalgamated Bank's construction loan strategy began in November 1998 and the first project closed in August 1999. As of December 31, 2011, the fund had 35 projects with a fund value of $567.6 million. The Fund is a commingled trust established under the laws of the State of New York. The trustee, investment manager, and custodian are Amalgamated Bank.
Controlling the Risks
We offer:
- Commingled participation
- Diversification of loan type and location
- Aggressive due diligence
- Conservative underwriting
- Extensive network of borrowers
The process
Lending Criteria:
- In addition to the underwriting criteria established by Amalgamated Bank, all projects financed by LongView ULTRA must be constructed using 100% union labor, no exceptions.
- The loan amount cannot exceed 80% loan to value (value at completion and stabilization) and the developer must have real equity of ten percent in the project. Land value may be considered in determining equity. Personal guarantees are generally required.
- Loan Rates and Commitment Fees are based on market rates and are competitive with both local and national banks.
- LongView ULTRA policy requires that a project have an exit strategy. The specific type of exit strategy depends on the property type.
- LongView ULTRA has normal due diligence requirements for any construction loan. These requirements include an independent appraisal, an initial review of the plans and specifications and hard cost budget by LongView ULTRA's consulting engineer, and environmental review by LongView ULTRA's environmental consultant, and an internal market review.
Loan Approval:
An Investment Committee established by Amalgamated Bank reviews all LongView ULTRA loans. The Investment Committee includes Amalgamated Bank's Chief Credit Officer, the Executive Vice President and Senior Vice President of the Bank's Commercial lending group, Chief Trust Officer, and Chief Investment Officer, the LongView ULTRA Portfolio Manager, Credit Risk Senior Vice President and an independent real estate consultant. There is a three-step loan approval process.
- An initial review of the proposed loan is discussed with the developer. If the Bank, as trustee of LongView ULTRA, decides to proceed, the loan is presented to the investment committee for a concept approval. If approval is given, the Bank then begins final negotiations with the borrower using a detailed discussion tern sheet. Once the deal is structured, the borrower submits a loan application containing all of the negotiated details and a deposit of cover the due diligence expenses.
- After LongView ULTRA accepts the application, a detailed loan recommendation memorandum is prepared and presented to the Investment Committee. The due diligence process begins during this step.
- If the Investment Committee approves the loan, the loan is recommended to the Trust Committee of the board of Directors of Amalgamated Bank for final approval. After final approval, the process for loan closing begins.
Contact Us
LongView ULTRA Portfolio Manager, Senior Vice President & Chief Real Estate Officer James T. Freel has over 30 years in the real estate business. He is based in our New York, NY office and can be reached at:
James T. Freel, Senior Vice President & Chief Real Estate Officer
Amalgamated Bank
275 7th Avenue
New York, NY, 10001
Direct Telephone: 212-895-4934
Email: jamesfreel@amalgamatedbank.com
