Jason KernCHICAGO–LaSalle Investment Management has entered into an agreement to buy a majority stake in the $1.2 billion debt fund business of Latitude Management Real Estate Investors. The transaction, subject to customary closing conditions, is expected to be completed during the first quarter of 2019.
Latitude is a US-based commercial real estate lender that provides short term, floating rate loans against middle-market commercial real estate assets. Its primary focus has been originating bridge loans for value-add and transitional properties.
When the deal closes, the Latitude debt business will become part of LaSalle's North America Private Equity platform, which comprises $21 billion of the company's total $60 billion in assets under management and is led by Americas CEO Jason Kern. “Latitude's lending model targets a differentiated market segment that has enabled them to grow significant share in the value-add, transitional asset space, while avoiding the risks associated with development lending or higher leverage strategies,” Kern says.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
