Ares Commercial Real Estate Corporation Closes Three New York City Senior Portfolio Loan Commitments
$70 Million for Manhattan and Brooklyn Multi-Family Properties
Loans Finance Acquisition of Properties by Experienced Sponsors
CHICAGO--(BUSINESS WIRE)-- Ares Commercial Real Estate Corporation (NYS: ACRE) announced today that it originated three senior portfolio loan commitments totaling $70 million collateralized by multi-family apartment buildings located in Manhattan and Brooklyn. At closing, approximately $60 million was funded. The three portfolio loans consist of the following:
A $26.3 million senior loan commitment collateralized by four apartment buildings consisting of 107 units. $22.7 million was funded at closing.
A $21.9 million senior loan commitment collateralized by five apartment buildings consisting of 97 units. $18.4 million was funded at closing.
A $21.8 million senior loan commitment collateralized by four apartment buildings consisting of 95 units. $18.6 million was funded at closing.
The proceeds of the three loans were used to fund the acquisition of the portfolios by affiliates of Stone Street Properties and H.I.G. Realty Partners.
"This transaction highlights our ability to provide flexible and timely acquisition financing to support our client's closing needs and business plan requirements," said Bruce Cohen, President and Chief Operating Officer of Ares Commercial Real Estate Corporation. "We are delighted to back Stone Street Properties and H.I.G. Realty Partners' plan to transition the positioning of these attractively located units in diverse and desirable sub-markets in Manhattan and Brooklyn."
With these transactions, Ares Commercial Real Estate Corporation's loan portfolio totaled $311.8 million in outstanding principal as of November 15, 2012.
About Ares Commercial Real Estate Corporation
Ares Commercial Real Estate Corporation is a specialty finance company that originates, invests in and manages middle-market commercial real estate loans and other commercial real estate investments. Through its national direct origination platform, Ares Commercial Real Estate Corporation provides flexible financing solutions for middle market borrowers. Ares Commercial Real Estate Corporation intends to elect to be taxed as a real estate investment trust and is externally managed by an affiliate of Ares Management LLC, a global alternative asset manager with approximately $56 billion in committed capital under management as of September 30, 2012. For more information, please visit our website at arescre.com.
Statements included herein may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, which relate to future events or our future performance or financial condition. These statements are not guarantees of future performance, condition or results and involve a number of risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in our filings with the Securities and Exchange Commission. Ares Commercial Real Estate Corporation undertakes no duty to update any forward-looking statements made herein.
Ares Commercial Real Estate Corporation
Carl Drake, 404-814-5204
KEYWORDS: United States North America Illinois New York
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