NEW YORK--(BUSINESS WIRE)--Apr. 4, 2017--
Apollo Commercial Real Estate Finance, Inc. (the “Company” or “ARI”)
(NYSE:ARI) today announced the Company recently closed four loan
transactions totaling $261.0 million, bringing total transaction volume
to $455.0 million year-to-date. In addition, ARI amended both of the
Company’s primary credit facilities to finance first mortgage loans,
increasing the combined borrowing capacity by $325.0 million and £45.0
Commenting on the recent activity, Scott Weiner, the Chief Investment
Officer of ARI’s manager, stated: “ARI had an extremely active start to
2017, completing over $455.0 million of new commercial real estate loan
investments to date, representing a mix of geographies and property
types. The Company continues to expand its footprint in the
floating-rate first mortgage loan market, as six of the eight loans
closed were first mortgages. We continue to build a robust investment
pipeline, as the economic climate remains favorable for ARI’s business.
As such, we have expanded our credit facilities to provide us with
additional capacity to finance new first mortgage loans.”
ARI closed a $34.0 million first mortgage loan secured by a recently
renovated 163-key boutique hotel located on South Beach in Miami, FL.
The floating rate loan has a two-year initial term, with three one-year
extension options and an appraised loan-to-value (“LTV”) of
ARI closed a $77.0 million first mortgage loan ($72.2 million of which
was funded at closing) secured by a recently renovated 763-key hotel
located in downtown Atlanta, Georgia. The floating rate loan has a
three-year initial term, with two one-year extension options and an
appraised LTV of approximately 70%.
ARI closed a £60.0 million ($75.1 million) pari passu interest in
a £125.0 million first mortgage loan secured by a 290,000 square foot
shopping center and adjacent retail and residential property in Central
London, U.K. The floating rate loan has a 15-month initial term, with a
six-month extension option and an appraised LTV of approximately 52%.
ARI closed a $75.0 million interest in a $100.0 million mezzanine loan
secured by a pledge of the equity interests in a four building office
campus with retail space located in the DUMBO neighborhood of Brooklyn,
NY. The mezzanine loan is part of a $425.0 million financing, which
consists of a $325.0 million first mortgage loan and the $100.0 million
mezzanine loan. The floating rate loan has a one-year initial term, with
one six-month extension option and an appraised LTV of approximately 73%.
ARI amended and restated the Company’s master repurchase agreement with
JPMorgan Chase Bank, N.A., which ARI primarily uses to finance first
mortgage loans. The amendment increases the borrowing capacity from
$800.0 million to $975.0 million (plus a pre-existing $143.0 million
asset specific financing) and extends the maturity date, including
extension options, from January 2019, to March 2020.
ARI also amended and restated the Company’s master repurchase agreement
with Deutsche Bank AG, which ARI uses to finance first mortgage loans.
The amendment increases the borrowing capacity from $300.0 million to
$450.0 million, plus £45.0 million, and extends the maturity date,
including extension options, from September 2019, to March 2020.
About Apollo Commercial Real Estate Finance, Inc.
Apollo Commercial Real Estate Finance, Inc. (NYSE: ARI) is a real estate
investment trust that primarily originates, invests in, acquires and
manages performing commercial real estate first mortgage loans,
subordinate financings, commercial mortgage-backed securities and other
commercial real estate-related debt investments. The Company is
externally managed and advised by ACREFI Management, LLC, a Delaware
limited liability company and an indirect subsidiary of Apollo Global
Management, LLC, a leading global alternative investment manager with
approximately $191.7 billion of assets under management as of December
Additional information can be found on the Company's website at www.apolloreit.com.
Certain statements contained in this press release constitute
forward-looking statements as such term is defined in Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended, and such statements are intended to be
covered by the safe harbor provided by the same. Forward-looking
statements are subject to substantial risks and uncertainties, many of
which are difficult to predict and are generally beyond the Company's
control. These forward-looking statements include information about
possible or assumed future results of the Company's business, financial
condition, liquidity, results of operations, plans and objectives. When
used in this release, the words "believe," "expect," "anticipate,"
"estimate," "plan," "continue," "intend," "should," "may" or similar
expressions are intended to identify forward-looking statements.
Statements regarding the following subjects, among others, may be
forward-looking: the return on equity; the yield on investments; the
ability to borrow to finance assets; and risks associated with investing
in real estate assets, including changes in business conditions and the
general economy. For a further list and description of such risks and
uncertainties, see the reports filed by the Company with the Securities
and Exchange Commission. The forward-looking statements, and other
risks, uncertainties and factors are based on the Company's beliefs,
assumptions and expectations of its future performance, taking into
account all information currently available to the Company.
Forward-looking statements are not predictions of future events. The
Company disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by law.
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Source: Apollo Commercial Real Estate Finance, Inc.
Apollo Commercial Real Estate Finance, Inc.