NEW YORK, NY -- (Marketwired) -- 04/29/13 --
Resource Capital Corp. (NYSE: RSO) (the "Company") announces that it has closed a $44 million bridge loan secured by a 186,000 square foot grocery anchored retail center in Los Angeles, CA. Major tenants include a Ralph's supermarket, Orchard Supply, CVS and Bank of America. The Company has an agreement to sell an A-Note to a strategic partner and will retain a substantial mezzanine loan. The loan proceeds will fund the acquisition of the fee interest by the borrower that has held a leasehold for many years, as well upgrades to the property.
Dave Bloom, Senior Vice-President and head of the Company's Real Estate Debt business, commented, "This loan demonstrates RSO's ability to utilize its strong balance sheet and deep capital markets experience to continue to provide customized financing solutions for our clients in the larger loan space. The ability to underwrite and originate larger loans and sell off A-Notes provides RSO with access to the high-yield mezzanine loan space on a self-originated basis, and allows us to structure and price transactions and continue to control our borrower relationships. We look forward to the expansion of this aspect of our lending business."
About Resource Capital Corp.
RSO is a diversified real estate finance company that is organized and conducts its operations to qualify as a REIT for federal income tax purposes. RSO's investment strategy focuses on commercial real estate (CRE) assets, and, to a lesser extent, commercial finance assets and other investments. RSO invests in the following asset classes: CRE-related assets such as commercial real estate property, whole loans, A-notes, B-notes, mezzanine loans, CMBS and investments in real estate joint ventures as well as commercial finance assets such as bank loans, lease receivables, other asset-backed securities, corporate bonds, trust preferred securities, debt tranches of CDOs, structured note investments, and private equity investments principally issued by financial institutions.
RSO is externally managed by Resource Capital Manager, Inc., an indirect wholly-owned subsidiary of Resource America, Inc. (NASDAQ: REXI), a specialized asset management company that uses industry specific expertise to generate and administer investment opportunities for its own account and for outside investors in the real estate, financial fund management and commercial finance sectors.
For more information, please visit the Resource Capital Corp. website at www.resourcecapitalcorp.com or contact investor relations at email@example.com.
This press release includes statements that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management's control. Factors that can affect future results are discussed in the documents filed by Resource Capital Corp. from time to time with the Securities and Exchange Commission. Resource Capital Corp. undertakes no obligation to update or revise any forward-looking statement to reflect new or changing information or events.
Resource Capital Corp.
Source: Resource Capital Corp.