Onsite Inspections Throughout the Loan Lifecycle

While financial models and third-party reports provide important insight, onsite inspections allow DLP Capital’s credit team to evaluate each property as it exists at the time of inspection—ensuring business plans and capital deployment align with real-world conditions. In many cases, this process is about validating progress, confirming quality, and deploying funds properly.

Each inspection includes a comprehensive review of building exteriors, common areas, and site improvements. Major systems such as HVAC, electrical, plumbing, and life safety components are evaluated, as well as general ADA considerations, including accessible routes, parking, and building access. Observations are then documented to create a clear snapshot with detailed coverage of buildings, representative units, and amenities.

Unit-level review and deferred maintenance analysis

During inspection, the team attempts to access and document a representative mix of units, with the goal of reviewing each unit type. Interior evaluations focus on finishes, fixtures, in-unit systems, and overall condition, assessing consistency and identifying unit-specific or systemic concerns.

Going beyond surfacing unexpected capital needs mid-project, these observations extend beyond initial underwriting, providing ongoing validation as the business plan is executed. Capital planning and broader cost considerations are established up front, with onsite visits scheduled to confirm that execution is tracking. When adjustments arise, they are supported through formal documentation, rather than isolated field observations.

All observed deferred maintenance is incorporated into a comprehensive cost analysis that identifies items requiring immediate attention and those that can be addressed over the life of the loan. This distinction helps clarify both near-term and long-term risk associated with the asset.

Informing decisions through real-time insights

The duration of an onsite inspection varies based on property size and scope, but most visits are completed within a few hours. Timely reporting follows, delivering a complete inspection report within three to five business days of the inspection date. Findings are shared across acquisitions, asset management, and operations to support a coordinated approach to decision-making.

This collaboration is central to how DLP operates. By maintaining alignment, inspection results are consistently reflected in financial models, credit memos, and ongoing asset strategy.

Onsite inspections directly reinforce and refine the execution process. Insights gathered in the field can influence how credit evaluates timing, progress, and the release of funds, ensuring alignment between what was planned and what is being executed. In many cases, onsite insights uncover conditions that are not evident through underwriting alone, allowing potential

risks to be identified early and addressed during the life of the loan.
The process is complemented by a review of lease files, rent rolls, management operations, and current market conditions. This holistic approach provides a well-rounded perspective that connects physical observations to operational and market realities when finalizing credit decisions.

Ultimately, onsite inspections are about stewardship. Through consistent presence, detailed observation, and cross-functional collaboration, DLP Capital can underwrite with confidence, respond proactively to risk, and uphold the trust investors place in the firm.

In an environment where many lenders remain distant from the assets they finance, this level of involvement underscores DLP Capital’s commitment to disciplined underwriting and stewardship.

By combining boots-on-the-ground inspections with rigorous underwriting and cross-functional collaboration, the firm strengthens its ability to navigate complexity, adapt, and deliver consistent outcomes while protecting investor capital across market cycles.