X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ROCKVILLE, MD-Criimi Mae Inc. has committed to an investment agreement with an affiliate of private funds management firm Brascan Real Estate Financial Partners in an effort to recapitalize and refinance the commercial mortgage company. The BREF affiliate will acquire 10% of outstanding shares of Criimi Mae common stock, and it has agreed to take on as much as $40 million of subordinated debt. The deal also calls for the affiliate to pursue as much as $300 million in secured financing.

For its part Criimi Mae will bring aboard BREF’s Barry Blattman as the company’s chairman of the board and CEO. Current chair William B. Dockser will resign, and president H. William Willughby has agreed to relinquish his roles as president and board member. “This transaction combines two ingredients–financial strength and dynamic new leadership–that will allow Criimi Mae to maximize shareholder value,” Dockser notes in a prepared statement.

The deal brings other noted advantages to Criimi Mae. During an investors conference call today, company EVP David Iannarone explained that the agreement allows for an additional $200 million in funding from a repurchase transaction for the purpose of investing in commercial mortgage-backed securities, thereby bolstering the company’s re-entry into the CMBS market.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.