NEW YORK, July 12, 2013 /PRNewswire/
-- AllianceBernstein L.P. (AllianceBernstein) announced today
that it has successfully launched its first commercial real estate
debt fund (the "Fund") as part of the firm's ongoing efforts to
broaden its alternative investment offerings. The first-time Fund
raised more than $700 million and
will primarily focus on $15 to $75
million first mortgage loan investments secured by
high-quality, transitional properties throughout the U.S. The
Fund seeks to capture yield opportunities that have resulted from a
liquidity gap as many traditional providers are unable to
underwrite transitional credit. Its seasoned investment team will
manage downside risk through a rigorous credit process focusing on
fundamental real estate underwriting and control of servicing of
its loan investments.
The Fund marks the next evolution for AllianceBernstein's Real
Estate Group, which was formed in September
2009 to build out a leading private equity real estate
investment platform leveraging the firm's infrastructure. Just over
one year ago, the Group closed its first private equity real estate
fund, which secured capital commitments of $680 million in the face of a challenging
fundraising environment. Roger
Cozzi, who joined AllianceBernstein this year, will lead the
Fund and AllianceBernstein's newly formed Commercial Real Estate
Debt Group.
"As we look to grow and diversify our client offerings, moving
into commercial mortgage debt is the next logical step for us,"
said Jay Nydick, Co-CIO of the
AllianceBernstein Real Estate Group. "With the expertise Roger
brings in transitional loan investments, together with our robust
existing infrastructure in real estate and credit analysis, we
think we can take advantage of unique opportunities in the
commercial mortgage market that hopefully should provide clients
with attractive risk-adjusted returns."
Cozzi has more than 20 years of experience in the transitional
first mortgage and mezzanine loan market. Most recently, Cozzi was
CEO of Gramercy Capital Corp. (NYSE: GKK), a NYSE listed public
REIT. He previously held senior investment positions at iStar
Financial, Starwood Capital Group and Goldman Sachs.
"We are pleased to have the right team in place and have closed
this fund at what we see is a favorable time to invest in
commercial mortgages," said Roger
Cozzi, CIO of Commercial Real Estate Debt at
AllianceBernstein. "By focusing on situations that require
creative, relationship-oriented debt capital, we believe we can
capitalize on this stage of the credit cycle and meet the needs of
our clients looking for diversified sources of yield."
About AllianceBernstein
AllianceBernstein is a leading global investment management firm
that offers high-quality research and diversified investment
services to institutional investors, individuals and private
clients in major world markets.
At March 31, 2013,
AllianceBernstein Holding L.P. owned approximately 38.0% of
the issued and outstanding AllianceBernstein Units and AXA, one of
the largest global financial services organizations, owned an
approximate 64.2% economic interest in AllianceBernstein.
Additional information about AllianceBernstein may be found on
our website, www.alliancebernstein.com.
Cautions Regarding Forward-Looking Statements
Certain statements provided by management in this release are
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995. Such forward-looking
statements are subject to risks, uncertainties, and other factors
that could cause actual results to differ materially from future
results expressed or implied by such forward-looking statements.
The most significant of these factors include, but are not limited
to, the following: the performance of financial markets, the
investment performance of sponsored investment products and
separately-managed accounts, general economic conditions, industry
trends, future acquisitions, competitive conditions, and current
and proposed government regulations, including changes in tax
regulations and rates and the manner in which the earnings of
publicly-traded partnerships are taxed. AllianceBernstein cautions
readers to carefully consider such factors. Further, such
forward-looking statements speak only as of the date on which such
statements are made; AllianceBernstein undertakes no obligation to
update any forward-looking statements to reflect events or
circumstances after the date of such statements. For further
information regarding these forward-looking statements and the
factors that could cause actual results to differ, see "Risk
Factors" and "Cautions Regarding Forward-Looking Statements" in
AllianceBernstein's Form 10-K for the year ended December 31, 2012. Any or all of the
forward-looking statements made in this release, Form 10-K, other
documents AllianceBernstein files with or furnishes to the SEC, and
any other public statements issued by AllianceBernstein, may turn
out to be wrong. It is important to remember that other factors
besides those listed in "Risk Factors" and "Cautions Regarding
Forward-Looking Statements," and those listed below, could also
adversely affect AllianceBernstein's financial condition, results
of operations and business prospects.
SOURCE AllianceBernstein L.P.