Midland Helps ARCs Manage Data and Documents

PNC ARCs, a commercial mortgage lender, and Midland Loan Services, a commercial mortgage servicer and technology provider, are both members of the PNC Financial Services Group, so it's little surprise that PNC ARCS has bought into Midland's technology and shared servicing concept.

But the extent of their partnership may point toward the evolution of commercial mortgage servicing, in which loan administration specialists come to the aid of lenders that retain ownership of the customer relationship.

PNC ARCS completed the conversion of its servicing platform to Midland's Enterprise! loan management system in February, bringing the management of its $13 billion portfolio of Fannie Mae and Freddie Mac-backed multifamily loans onto the system. Enterprise! integrates loan accounting, servicing, asset management, customer service and investor reporting into a single system. Midland delivers the technology to clients on a hosted basis through "shared servicing," which gives clients the option of outsourcing selected activities while retaining responsibility for customer service, credit administration and/or asset management activities.

In a recent interview, Cynthia Jankowski, head of loan administration for PNC ARCS, singled out the system's imaging and document retrieval functionality as one of the benefits derived from the partnership with Midland.

Using Enterprise! allows the people at PNC ARCS to focus on "customer-facing and investor-facing functions," Ms. Jankowski said.

"The more scale we get in this specialized product, the more features and functionality we are able to add," he said.

The system is built on as a very large relational database, he said, and covers all aspects of servicing activity including asset management and credit administration.

That gives users access to data embedded in the system, including the borrower, guarantor and property manager. Contact information for those entities can be tracked and maintained without resorting to documents or systems outside of Enterprise!, he said.

In addition, the process management built into the system is accessed through Microsoft Explorer, so it looks and feels like a website, allowing simple navigation and links that do not require screen numbers.

Stacy Berger of Midland said imaging is becoming increasingly prevalent in commercial mortgage servicing, just as it is in residential servicing. Users of Midland's system can pull documents right on their computer screen as they need them, he noted. In addition, the system allows users to search for a document using keywords such as "loan assumption" and then scroll through documents related to that task or issue. (c) 2008 Mortgage Servicing News and SourceMedia, Inc. All Rights Reserved. http://www.mortgageservicingnews.com/ http://www.sourcemedia.com/