Red Tower Capital
Overview
Red Tower Capital is a private real estate lending and investment firm headquartered in San Francisco, California, with approximately $80M in assets under management. The firm specializes in bridge loans, bespoke lending solutions, and alternative real estate investments, delivering audited net-to-investor returns of 9+% annualized over a competitive 10-year track record focused on California loans.
Platform Overview
Continuously operating since 2011
502+ non-bank real estate loans originated, totaling nearly $300M in principal
10-year audited track record averaging 9.7% annualized investor returns
Established as a top non-bank real estate lender in the San Francisco Bay Area
California DRE #01912381 | NMLS
#951838
Performance History
2025 Q1: 48.00% weighted avg LTV, 9.42% investor returns
2024: 51.31% weighted avg LTV, 9.42% investor returns (9.75% compounded quarterly)
2023: 49.64% weighted avg LTV, 9.06% investor returns (9.37% compounded quarterly)
2022: 50.04% weighted avg LTV, 9.01% investor returns (9.32% compounded quarterly)
2021: 56.05% weighted avg LTV, 9.14% investor returns (9.46% compounded quarterly)
2020: 49.51% weighted avg LTV, 9.23% investor returns (9.55% compounded quarterly)
Red Tower Capital has consistently outperformed the average of audited California mortgage funds by approximately 2% annually across its track record.
Leadership
Solomon Gorlick, Founder & President: 20+ years of real estate lending experience across private lending, investments, and development. Licensed California Real Estate Broker. BA from UC Berkeley
Linda Baldwin, Director of Finance & Back Office: 21+ years of fund accounting experience with deep expertise in lending operations and real estate. BA from Rutgers
John Lowman, Business Development: 28-year track record growing real estate, media, and beverage businesses. Studied Public Administration at San Diego State University
Investment Strategy
Red Tower Capital focuses on originating and managing senior secured bridge loans backed by improved real estate, with an emphasis on first-position security, conservative loan-to-value ratios, and defensible underwriting. The firm's strategy centers on protecting principal while achieving superior risk-adjusted yields through disciplined lending across California and select nationwide opportunities.
Core Approach
First-position security: Loans are primarily structured in first-position to provide senior payment priority within the capital stack
Conservative LTV discipline: Underwriting standards typically target loan-to-value ratios below 70%, with the current portfolio averaging 48%
Short to mid-term duration: Loans typically structured with 6-24 month terms, allowing continuous portfolio cycling and active risk management
Improved real estate focus: Lending concentrated on non-land investment real estate including residential (SFR, 2-4plex, multifamily), commercial, retail, and industrial properties
Responsible leverage: Fund equity combined with modest secured credit facility leverage to enhance capital efficiency while maintaining a conservative overall risk profile
Underwriting Standards
Security: Primarily 1st position
Loan-to-value: Usually less than 70%
Loan amount: Typically $250,000 to $2M
Rate: 8% to 13% per annum
Location: Nationwide with California focus
Property type: Non-land investment real estate
Investor Alignment
8% preferred return paid to investors before any performance fee to the sponsor
50/50 split over the preferred return, aligning sponsor compensation with investor performance
1% management fee on total fund size
Quarterly distributions with annual third-party audits
Mortgage REIT structure designed to optimize after-tax returns for investors across account types, including IRAs and qualified retirement plans
