Toorak Capital Completes $400M Residential Bridge Loan Securitization

The company stated its latest securitization drew investor orders significantly in excess of the quantity of notes offered, and the offering was upsized by 33% during the marketing period.

The $400-million securitization was oversubscribed, despite volatile market conditions.

SUMMIT, NJ—Locally-based Toorak Capital Partners has reported the successful pricing of a $400-million securitization of residential bridge loans, which it termed was the largest ever issuance in the asset class.

Toorak’s securitization, Toorak Mortgage Trust 2020-1, is the fourth residential bridge loan securitization issued by the company. The completed transaction brings Toorak’s cumulative securitization volume to $1.25 billion. Each of Toorak’s securitizations represented the largest transaction size for the asset class at the time of issuance, the company stated.

The company stated its latest securitization drew investor orders significantly in excess of the quantity of notes offered, and the offering was upsized by 33% during the marketing period.

“Our success in this market is a direct result of our commitment to maintaining the highest credit standards. We appreciate the support of our investors which enabled us to upsize the offering, especially during a period of high volatility in the financial markets,” said John Beacham, CEO of Toorak.

The transaction features a two-year revolving period, during which time loan payoffs can be reinvested in new loans.

Toorak has completed more than $3.0 billion of investments across more than 10,000 loans in 47 states and the United Kingdom. The company has received more than $550 million in capital commitments from entities managed by the global investment firm KKR. In addition to residential bridge loans, Toorak’s lending platform also facilitates financing options for small balance multifamily bridge and long-term single-family rental loans.