Despite an uptick in the state of the residential market, the commercial sector — which includes the multifamily market — continues to wane.

The combination of lower rental rates and rising vacancy rates is causing values to decrease, resulting in losses for holders of multifamily debt and equity.

“The situation will continue to worsen long after the recession ends and is predicted by some to persist until 2015,” said Caldera Asset Management.

In response to the growing need for experts who specialize in the complex multifamily market, Caldera Asset Management launched an Independent Asset Management Company for multifamily lenders, owners and equity providers.

“Multifamily is a specialized asset class which requires extensive experience to successfully manage turnaround situations. Transactions are increasing in size, complexity and cost,” says Mike Kelly, president and co-founder of Caldera Asset Management.

Kelly says in order for property lenders, owners and equity investors to make good decisions, they need to fully understand the issues with the underlying operations, sponsors, markets and financing options in such a fast-shifting environment.

Write to Kelly Curran.