Asset-Based Lending in Commercial Real Estate
Why Ongoing Education Is
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Asset-Based Lending in Commercial Real Estate
Why Ongoing Education Is
A Scotsman Guide featured sponsor
Asset-based lending (ABL) has long been a foundational financing strategy within commercial real estate (CRE). By leveraging tangible assets, such as office buildings, industrial properties, multifamily complexes, or retail centers as collateral, asset-based loans provide borrowers with access to capital that is closely tied to the underlying value of their real estate. While the core principles of asset-based lending remain consistent, the commercial real estate landscape is evolving rapidly. In this environment, staying abreast of industry education is not just beneficial – it is essential for lenders, investors, and borrowers alike.
Published February 1, 2026
Asset-based lending (ABL) has long been a foundational financing strategy within commercial real estate (CRE). By leveraging tangible assets, such as office buildings, industrial properties, multifamily complexes, or retail centers as collateral, asset-based loans provide borrowers with access to capital that is closely tied to the underlying value of their real estate. While the core principles of asset-based lending remain consistent, the commercial real estate landscape is evolving rapidly. In this environment, staying abreast of industry education is not just beneficial – it is essential for lenders, investors, and borrowers alike.
Published February 1, 2026
Understanding Asset-Based Lending in CRE
At its core, asset-based lending in commercial real estate focuses less on a borrower’s credit profile or cash flow history and more on the quality, value, and marketability of the underlying asset. Loan structures are typically determined by metrics such as loan-to-value (LTV) ratios, debt service coverage, property condition, and market demand. This approach makes ABL particularly attractive for transitional properties, value-add projects, or borrowers with complex financial profiles.
Asset-based lending plays a crucial role in filling financing gaps left by traditional banks, especially in periods of economic uncertainty or tightening credit standards. Private lenders, debt funds, and non-bank institutions often lead in this space, offering speed, flexibility, and customized structures that conventional financing cannot always provide. Commercial Loan Brokers who understand asset-based lending have a leg-up in the industry as they can more easily pinpoint the best strategy as well as the direct lender that can effectively lend on the deal.
The commercial real estate industry is in a period of significant transformation. Shifts in interest rates, changing work patterns, evolving consumer behavior, and regulatory pressures have all altered how assets are valued and financed. Office properties, for example, are being re-evaluated in light of remote and hybrid work models. Retail assets must adapt to e-commerce competition, while industrial and multifamily properties continue to attract strong investor interest but face rising construction and operating costs.
These changes directly impact asset-based lending. What worked five or ten years ago may no longer apply in today’s market. As a result, education and continuous learning for brokers and lenders alike have become indispensable tools for navigating this evolving terrain.
Why Education Matters
Staying informed is critical to managing risk and maintaining competitiveness. Asset-based lending relies heavily on accurate asset valuation, market insight, and legal structuring. Misjudging any of these elements can lead to underperforming loans or losses.
Ongoing education helps brokers stay current on appraisal standards, zoning changes, environmental regulations, and market trends so that they can continue to be a valuable resource for their clients. It also enables them to better understand emerging asset classes, such as data centers, life science facilities, or mixed-use developments. As borrowers become more sophisticated, brokers who invest in education specific to asset-based lending are better positioned to structure creative solutions while protecting their downside.
Additionally, regulatory scrutiny and compliance requirements continue to evolve. Brokers who prioritize professional development are more likely to stay aligned with best practices, reducing legal and reputational risk as well as become a highly regarded professional within their network of lender contacts and prospective clients.
“Formal education builds technical expertise as well as gives students the ability to dive deeper into the curriculum by learning in a one-on-one format or in a small group environment.”
Jeff Luker
Founder, TCLBA
The Role of Industry Education Platforms and Training Programs
Education in commercial real estate lending comes in many forms: industry conferences such as the Commercial Loan Broker Association’s annual convention and expo, certification programs, webinars, trade publications, and professional associations. These platforms provide opportunities not only to learn, but also to exchange insights with peers and stay connected to emerging trends.
Formal education builds technical expertise as well as gives students the ability to dive deeper into the curriculum by learning in a one-on-one format or in a small group environment. In an industry where local market dynamics matter as much as national trends, connections to an online or in-person program often prove invaluable.
A Competitive Advantage in a Complex Market
Ultimately, education is a competitive advantage. As asset-based lending becomes more sophisticated, market participants who commit to continuous learning are better equipped to adapt. They can identify risks earlier, structure smarter deals, and respond more effectively to market volatility. A training program that consistently updates and adds content upon shifts in the marketplace is a preferred choice for those commercial lending brokers who are looking to refresh their knowledge or those who are looking to break into the industry.
In contrast, those who rely solely on past experience may find themselves unprepared for new challenges. Commercial real estate is cyclical, but it is also constantly evolving. Education ensures that professionals are not merely reacting to change, but are anticipating it and adjusting their skill set accordingly.
"Formal education builds technical expertise as well as gives students the ability to dive deeper into the curriculum by learning in a one-on-one format or in a small group environment."
Jeff Luker
Founder, TLCBA
Conclusion
Asset-based lending remains a vital component of commercial real estate finance, offering flexibility and opportunity in a dynamic market. However, the complexity of today’s CRE environment demands more than transactional expertise. It requires a commitment to ongoing education.
For brokers within the commercial real estate industry, staying informed is no longer optional, it is a necessity. Those who invest in knowledge will be better positioned to manage risk, seize opportunity, and thrive in the ever-changing world of commercial real estate asset-based lending.
The Commercial Loan Broker Academy (TCLBA) was founded in 2024 by Terry Luker, Jeff Luker, and Jon Cosentino with the goal of providing in-depth education and extensive training to potential and current Commercial Loan Brokers located across the United States. Based in Franklin, Tennessee, TCLBA provides in-person class sessions throughout the calendar year as well as offers online courses, one-on-one mentorship opportunities, extracurricular education activities, access to essential documents, and a myriad of beneficial contacts that all work synergistically to bolster the success of those looking to tap into the Commercial Loan Broker industry – as well as those wanting to further develop their skills and knowledge as a seasoned professional.
With over a century’s worth of combined experience as Commercial Loan Brokers, the founders of TCLBA take pride in their commitment to education and uplifting the entire industry where they can inspire future leaders to reach their full potential by cultivating an environment where growth and learning can flourish.
For more information, visit tclba.com.
