CIM Group Originates $2.2 Billion Real Estate Loans As BSR Real Estate Prices $60 Million Offering

Investing, Real Estate
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The U.S real estate sector has been resilient amidst the slowdown triggered by the COVID-19 pandemic. A surge in activities in the past year all but affirms solid fundamentals in the sector. Similarly, companies have continued to raise capital all in the effort of safeguarding their edge as well as long term prospects. Community-focused real estate and infrastructure owner CIM Group has already confirmed originating more than $2 billion in Commercial Real Estate Loans in 2020.

CIM Group 2.2 Billion Investment

The real estate developer owner and lender originated the $2.2 billion of commercial real estate loans through its CIM Real Estate Credit Strategies business. The firm originated mortgage, mezzanine, and construction loans of between $50 and $500 million on a variety of commercial real estate assets, including office, industrial, and hotels.

Likewise, the real estate firm has succeeded in increasing its available resources and capital for lending, having already started deploying the capital across diverse asset types. The company currently provides loans from $50 to $500 million for commercial real estate projects.

Its rich experience allows it to expand its footprint beyond traditional asset classes of office, residential retail, and industrial properties, straight into niche property types of the likes of data centers, parking, and specialty use projects.

CIM Group maintains and operates an active lending program. Amid the COVID-19 pandemic in 2020, the firm loaned out $105.5 million loans to the construction of the X Denver 3.0, an apartment community with supporting office and retail components. It also loaned out a $190 million bridge loan on International Plaza.

BSR Real Estate Investment Trust Offering

BSR Real Estate Investment Trust is another company to move and strengthen its financial standing. The firm has entered into an agreement to sell to a syndicate of underwriters led by BMO Capital Markets and RBC Capital Markets 5.4million units of the REIT.

Each unit is priced at $10.95, with the company expecting gross proceeds of approximately $60 million from the sale. The REIT has also granted underwriters the option to purchase an additional 822,000 Units at the offering price. If exercised in full, then the gross proceeds from the offering could rise to $69 million.

BSR intends to use net proceeds from the offering to repay a portion of outstanding on its credit facility. It also plans to use the funds to fund future acquisitions and for general trust purposes. According to Chief Executive Officer John Bailey, a recent acquisition and non-core asset disposition affirm BSR commitment and ability to execute on core portfolio enhancement and capital recycling program.

The Real Brokerage Inc. Expansion

Separately, The Real Brokerage Inc. has expanded its footprint into the state of Oklahoma. Expansion into Oklahoma brings to 24 the State’s in which the brokerage firm operates, inclusive of the District of Columbia.

The national powered real estate brokerage firm has already appointed a local expert Axay Parekh as the Designated Managing Broker in the state. Parekh is currently the president of the Oklahoma Association of Realtors, representing 12,000 members in the industry.


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