Whirlwind of Activity for Apollo Commercial
- Oct 06, 2016
By Barbra Murray, Contributing Editor
New York—Apollo Commercial Real Estate Finance has been quite busy of late. The debt investments REIT recently closed four loan transactions worth a total of $325.5 million.
Talk about diversity, Apollo’s recent activities covered a lot of ground in terms of property types. Apollo provided a $105 million first mortgage loan secured by the brand-new, 612-key DoubleTree Times Square West hotel in Manhattan. The company financed another New York City asset, closing a $7.5 million first mortgage loan collateralized by a 6,500-square-foot retail property in Brooklyn. But it wasn’t all about the Big Apple.
Outside Washington, D.C., in Manassas, Va., Apollo completed an $80 million first mortgage loan secured by a data center that will soon get underway. Much of the property has already been pre-leased to a credit tenant under a long-term agreement. And with a 735,000-square-foot office building in Chicago as collateral, the REIT closed a $133 million first mortgage loan for the redevelopment of the tower into a mixed-use destination.
“Over the past few months, ARI built a strong pipeline of commercial real estate debt investments in anticipation of the approximately $400 million of investable capital the company generated from the acquisition of Apollo Residential Mortgage Inc. and the subsequent sale of AMTG assets. As a result, ARI had a very active September,” Scott Weiner, CIO of Apollo Commercial Real Estate Finance Inc., said in a prepared statement.
There’s more. Apollo just entered into a master repurchase agreement with Deutsche Bank AG to provide a credit facility of as much as $300 million of advances related to the financing of first mortgage loans. The facility comes with a one-year term and the option for two one-year extensions. And the news just keeps on coming. Apollo also reported that over the last couple of months, loan repayments and condominium sales have yielded the REIT $122.9 million. To top it off, the company has also agreed to acquire Apollo Residential Mortgage for roughly $641 million, as previously reported by Commercial Property Executive.