Thank you for sharing!

Your article was successfully shared with the contacts you provided.

NEW YORK CITY-Apollo Real Estate Advisors has raised additional capital for its debt investment fund, Apollo Real Estate Finance Corp. Apollo increased overall capital for AREFIN’s investment program from $621 million to $930 million through the formation of AREFIN Co-Investment Corp. According to the firm, the additional funds will provide it with the “ability to make larger investments.”

AREFIN, formed in 2006, originates loans for development, redevelopment and repositioning, and invests in whole loans, B-notes and mezzanine loans. “The continuing credit crisis has created increased opportunity for us as both a buyer and originator of debt,” says Bradford Wildauer, Apollo partner who oversees the firm’s US debt investments. “We’ve experienced an increase in the number of opportunities presented to us with more attractive returns and greater ability to structure terms that meet our lending criteria.”

Wildauer says ACC, the new vehicle, was formed to accommodate the increased deal flow and to handle loan commitments up to $250 million. “In managing AREFIN, we felt it was prudent to limit loan commitments and retained investment amounts for a single transaction,” he explains. “The new vehicle gives us the ability and the flexibility to handle large portfolio transactions.” Further comment on specific interests of the fund was unable to be answered by deadline.

As GlobeSt.com reported earlier this year, AREFIN and M&T Bank provided a $163.5 million floating-rate debt package to Taconic Partners and Square Mile Capital for the $172 million purchase of 375 Pearl St., a 1.2 million-sf office building known as the Verizon Building in Manhattan. Apollo arranged for M&T Bank to provide $110 million in senior debt financing.

Apollo has been busy. In July, it closed Apollo Value Enhancement Fund VII LP, with a total of $758 million, as GlobeSt.com reported. The flexible investment strategy of Apollo’s Value Enhancement Funds is to focus on existing, income-producing US properties which present opportunities to increase value.

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
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


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 © 2020 ALM Media Properties, LLC. All Rights Reserved.