DENVER-Locally based fund manager JCR Capital has reached an agreement to originate, underwrite and manage commercial real estate bridge loans in a $100 million separate account for a large institutional investor. The new product will be marketed as “JCR’s Classic Bridge Loan” program, and will complement its current distressed and opportunistic finance programs.
According to JCR, who tells GlobeSt.com that it cannot divulge the identity of the investor, loans for the new program will be non-recourse and will span a wide variety of property types including: multifamily, industrial, office, retail, condominium, and non-performing loan pools, and will target yields of 6% to 9% prior to transaction fees. The focus will be to provide bridge financing to properties that need more time to complete their business plan, with the ultimate exit strategy being a refinance or sale.
According to a prepared statement, the product brings the JCR management team of Jay Rollins and Maren Steinberg, back to their roots at GMAC Commercial Mortgage, where they managed a successful portfolio of over $1.6 billion of similar investments on GMAC’s balance sheet from 1999 to early 2006.
JCR’s president & CEO Rollins points out that “Our robust origination platform was generating a lot of bridge loans that offered attractive returns on a risk-adjusted basis, but did not meet the return requirements for our existing opportunity funds. This new partnership will enable us to capitalize on the dislocation in the bridge loan market, and will complement our fund product. It also represents another step in building out the JCR platform to be a full service capital provider to middle market commercial real estate sponsors.”
JCR Capital closed on its first fund in 2010, which is now fully invested. In addition, JCR is currently in the market with the JCR Commercial Real Estate Finance Fund II LP, which is focused on financing distressed and opportunistic investments and will have its first close later this month. As GlobeSt.com previously reported, the company launched that fund, with a target capitalization of $100 million—to focus on financing distressed, opportunistic, and value added investments; as opposed to being a buyer of real estate assets.
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Natalie Dolce
Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.
