Ready Capital Corp., a New York City-based real estate and business lending firm, today announced originating $1.2 billion in commercial real estate and small business lending volume during the second quarter, according to Mortgage Professional.
The firm says the growth was fueled by successful capital raising and securitization activity, and says that its Bridge lending platform led its commercial real estate segment with $839 million originated. It also noted that volume for its Freddie Mac Small Balance Loan, Bridge-to-Small Balance Agency and CMBS programs generated $229 million during Q2.
“With market conditions growing more challenging for mortgage REITs, the strength of our capital resources gives us a measurable advantage in this environment. Given the robustness of our $1 billion pipeline, we anticipate healthy deal flow for our lending programs into next year,” said Thomas Capasse, CEO of Ready Capital.
In addition to its Bridge product, Ready Capital’s affordable housing-based subsidiary, Red Stone, also originated $153 million for the quarter.
This positive earnings report follows a recent merger agreement with MREC Management LLC (Mosaic Manager), a $754.2 million CRE collateralized loan obligation that consists of 25 first-lien floating rate loans, set to secure 75 properties.
As part of that deal, Ready Capital agreed to acquire structured opportunities funds with a focus on construction lending, and says that it expects to further expand its portfolio with construction assets.
“We believe that this transaction is a compelling opportunity for Ready Capital to acquire a market leading commercial real estate investment platform focused on providing differentiated capital solutions across the middle market sector with an emphasis on construction lending,” Capasse said.
“We are excited to integrate the Mosaic team and origination platform and we believe the diverse portfolio of construction assets with attractive portfolio yields will further differentiate Ready Capital’s financing solutions for borrowers and investors.”
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