ANNUAL UPDATE MAY 2026

2026 Market Update & Investment Opportunities

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As we move through 2026, I want to take a moment to thank the investors, partners, and families who continue to place their trust in B.E. Lending.

[PERSONAL FAMILY UPDATE FROM MICHAEL]

On the business side, the market continues to change, but our approach has not. We remain focused on disciplined underwriting, thoughtful structuring, and protecting investor capital first. Those principles have guided B.E. Lending from the beginning, and they continue to shape the opportunities we pursue today.

A Market That Rewards Discipline

Real estate markets rarely move in a straight line. Changes in interest rates, lending conditions, transaction volume, and access to traditional financing continue to create a more selective environment for borrowers and investors alike.

For B.E. Lending, that environment reinforces the importance of what we have always believed: every opportunity has to stand on its own. We are not interested in deploying capital simply for the sake of deployment. We look closely at the underlying real estate, the borrower, the structure, and the path to repayment before making a lending decision.

Periods of tighter credit can also create opportunity for private lenders with the ability to move thoughtfully and structure transactions around the realities of the deal.

ARIZONA MARKET OUTLOOK

Arizona Remains an Important Market

Arizona continues to be an important part of our business and long-term outlook. Population growth, business investment, development, and continued demand across a range of real estate sectors have helped create an active market for both borrowers and investors.

At the same time, growth alone is never enough to justify an investment. We continue to evaluate each opportunity individually and remain focused on projects, sponsors, and structures that meet our underwriting standards.

7.6M
Arizona Population
6.5% growth since the 2020 estimates base
18.4M
Sq. Ft. Under Construction
Phoenix industrial market
47.7M
Sq. Ft. Net Absorption
Phoenix industrial market over the past three years
Sources: U.S. Census Bureau, Vintage 2025 Population Estimates; CBRE Phoenix Industrial Figures, Q2 2026.
PORTFOLIO & FUND UPDATE

Our Funds & Portfolio

Across our investment activities, our focus remains on maintaining discipline as capital is deployed and returned. We continue to evaluate new lending opportunities while balancing the importance of liquidity, diversification, and appropriate risk.

Investors looking for additional information about individual B.E. Lending funds can review the current fund materials available through the Investor Hub. Those materials provide the specific terms and structure applicable to each opportunity.

Explore Fund Investments
LOOKING AHEAD

What We See Ahead

We believe the remainder of 2026 will continue to create opportunities for experienced private lenders. Borrowers still need certainty, creativity, and execution, particularly when traditional financing does not fit the timing or structure of a transaction.

For investors, our objective remains equally straightforward: identify opportunities where real estate provides meaningful underlying support, structure them carefully, and remain disciplined about how and where capital is put to work.

Thank you again for your trust in B.E. Lending. We take the responsibility of managing investor capital seriously, and I appreciate the opportunity to continue building these relationships for the long term.

Michael Bennett
Founder, Principal & CEO
B.E. Lending