1 rich Libsyn https://www.libsyn.com 90 600 Wes Carpenter, Managing Partner at Stormfield Capital, joins Kevin Kim in this episode of Lender Lounge. With a background in multifamily investing and over a decade in private lending, Wes shares the unique story of building Stormfield into a contrarian, institutional-grade lender. Unlike many of its peers, Stormfield operates as a true balance sheet lender with no structural leverage or loan sales, holding over $750 million in AUM. Wes discusses the evolution from syndicating hard money deals to launching a fully audited, institutional fund, highlighting their focus on durability, disciplined underwriting, and investor-first principles. The conversation covers market shifts, the rise of securitization, and the long-term outlook for residential and commercial lending. Bullet Points: [00:00:00] Introduction [00:01:07] Wes Carpenter introduces Stormfield Capital and their lending strategy. [00:02:32] The firm's origin story and how it differs from other lenders. [00:04:24] From syndicating loans to launching their first fund in 2016. [00:07:06] Why Stormfield committed to being a balance sheet lender. [00:10:06] Avoiding correspondent lending in favor of business independence. [00:12:20] Wes's early background in multifamily and discovering bridge lending. [00:14:23] Strategic CRE lending only when risk is asymmetrical. [00:15:24] Borrower evolution from fix-and-flip to long-term investing. [00:17:18] Transitioning Stormfield into an institutional asset manager. [00:19:52] Staying unlevered and resisting the temptation of selling loans. [00:22:05] Building the fund with full audit and third-party admin from day one. [00:24:30] Avoiding structural leverage to ensure durability in down markets. [00:26:03] Stormfield’s growth during periods of market dislocation. [00:28:14] Reaction to widespread leverage and securitization in the market. [00:31:03] Questioning if bond investors are being adequately compensated. [00:33:05] Disconnect between pension/endowment capital and direct originators. [00:34:04] Why RTL’s short-term nature challenges traditional securitization. [00:36:57] SMAs may be a more viable path for institutional entry. [00:38:17] Recognition of self-originated securitizations gaining better pricing. [00:40:03] Stormfield’s continued commitment to residential lending. [00:42:14] Reducing Florida exposure due to insurance and demographic shifts. [00:44:36] Stormfield’s contrarian approach and resisting mainstream trends. [00:46:19] Declining DSCR offerings to stay focused on core strategy. [00:48:42] Gaining traction with endowments through early planning and access. [00:50:08] The hidden challenges and risks of institutional capital. [00:53:33] HNW investors provide stability compared to large institutions. [00:57:20] Wes’s market outlook: multifamily trough and market reset. [01:00:59] The lack of permanent agency financing as a long-term concern. [01:01:06] Regional variations and pricing corrections in residential real estate. [01:02:09] Competitive pressure from aggressive lenders versus discipline. [01:02:09] Kiavi's real advantage is borrower experience, not just price. [01:04:34] Tech investment and borrower UX need more industry focus. &amp;nbsp; Links: Learn more about Stormfield Capital at https://www.stormfieldcapital.com/ Learn more about Geraci Law Firm at https://www.geracilawfirm.com Subscribe to the Lender Lounge newsletter for episode notifications and exclusive content at https://www.geracilawfirm.com/lender-lounge-podcast Subscribe to the Geraci Law Firm newsletter at https://www.geracilawfirm.com/sign-up Follow Lender Lounge with Kevin Kim on LinkedIn and YouTube Lender Lounge with Kevin Kim https://fortralaw.com/lender-lounge-podcast/ <iframe title="Libsyn Player" style="border: none" src="//html5-player.libsyn.com/embed/episode/id/38578655/height/90/theme/custom/thumbnail/yes/direction/forward/render-playlist/no/custom-color/88AA3C/" height="90" width="600" scrolling="no" allowfullscreen webkitallowfullscreen mozallowfullscreen oallowfullscreen msallowfullscreen></iframe> https://assets.libsyn.com/secure/content/194202105