Apollo Commercial Real Estate Finance, Inc. Completes $160 Million of New Investments
February 02 2017 - 8:30AM
Business Wire
Apollo Commercial Real Estate Finance, Inc. (the “Company” or
“ARI”) (NYSE:ARI) today announced the Company closed three
commercial real estate loan transactions totaling $160 million,
including two first mortgage loans and one mezzanine loan.
Commenting on the investment activity, Scott Weiner, Chief
Investment Officer of the Company’s manager, said: “ARI has had a
strong start to 2017, closing $160 million of loans in January. The
Company continues to build a healthy investment pipeline, as demand
for mortgage financing on commercial real estate assets remains
robust and credit quality remains stable. Given ARI’s recent
capital raise, the Company is well positioned to capitalize on
opportunities that offer ARI attractive, risk adjusted
returns.”
Investment Activity
ARI closed a $60.0 million first mortgage loan secured by a
recently renovated 250-key hotel located on South Beach in Miami,
FL. The floating rate loan has a three-year initial term with two
one-year extension options and an appraised loan-to-value (“LTV”)
of approximately 41%.
ARI closed a $57.0 million first mortgage loan secured by a
recently renovated 917-key hotel located in downtown St. Louis, MO.
The floating rate loan has a two-year initial term with three
one-year extension options and an appraised LTV of approximately
61%.
ARI closed a $42.5 million mezzanine loan for a mixed-use
property comprising a 1.3 million square foot office tower, a
400-key hotel and a parking garage in downtown Cleveland, OH. The
mezzanine loan is part of a $262.5 million financing which consists
of a $220.0 million first mortgage loan and ARI’s $42.5 million
mezzanine loan. The fixed rate loan has a ten-year term, with two
years of interest only payments followed by eight years of
amortization, and an appraised LTV of approximately 72%.
In addition, ARI funded an incremental $42.4 million during
January for previously closed transactions.
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 $189
billion of assets under management as of September 30, 2016.
Additional information can be found on the Company's website at
www.apolloreit.com.
Forward-Looking Statements
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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Apollo Commercial Real Estate Finance, Inc.Hilary
Ginsberg, 212-822-0767Investor Relations
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