debt-covenant-monitor

Automate CRE debt covenant monitoring by applying loan-document definitions to trailing financials and forward projections, calculating DSCR, LTV, occupancy, and debt yield to detect potential breaches and generate lender-ready compliance certificates.

The best way to test covenant breach scenarios is to apply forward-looking projections to your portfolio financials, simulating events like tenant departures, capex, or rate shifts to anticipate violations before they occur.

Yes, you can generate a lender compliance certificate by inputting accurate loan terms, covenant definitions, and trailing financials to produce a compliance draft along with supporting schedules for lender reporting.

Yes, debt covenant monitoring requires accurate loan terms and specific covenant definitions for metrics like DSCR and occupancy directly from the loan documents to ensure calculations match lender requirements and trigger appropriate safety checks.

Covenant calculations may not match lender certificates if the loan-document definitions for DSCR, LTV, occupancy, or debt yield are not accurately applied, making it critical to enforce safety checks using the exact covenant definitions from the loan terms.