Here are a few highlights from the event:



• The Fed engaged in an unprecedented level of tightening, which has led to unintended consequences such as bank failures
• A larger banking crisis was averted, but credit will remain tight
• Fewer deposits mean less ability to lend and bank A&D loans will be difficult to obtain
• Rise of private lenders and higher borrowing costs
• A BAG/Encore affiliate has committed $200 million in acquisition & development loans in the last 3 months
• The Fed is using the housing sector and high mortgage rates to slow the economy
• Mortgage rates aren’t expected to come down substantially
• The U.S. is approaching a recession, expected towards the end of 2023 with uncertainty on hard or soft landing and length
• The 11 largest builders generated over $9.0 billion in free cash flow over the previous 12 months
• Potential acquirers are well-capitalized for M&A with lower leverage
• International capital continues to invest with builders and developers