Quadrant Real Estate Advisors announced this week that it has $1.8 billion in loans closed, in-closing or under application so far this year and plans to nearly double that to $3.5 billion by year end.
There is “still plenty of capital to invest” and the firm will continue to focus on three-, five-, seven- and selective 10-year debt. “We reduced spreads in April in response to higher UST rates,” the firm said, referring to US Treasury rates. “In early May, spreads increased on lower UST rates; overall, no significant change over [the] past 45 days.”
One of the debt fund manager’s top deals involved a $250 million loan through its client AXA Equitable Life Insurance Company for the $500 million refinancing of a 29-story office building at 31 West 52nd Street in Midtown Manhattan, the other half of which was provided by Metropolitan Life Insurance Company.
The company’s CEO, Kurt Wright, told Real Estate Capital earlier this year that the company is targeting dense urban or “very dense, proven suburban locations” in major markets including Manhattan, San Francisco, Los Angeles and Boston. Quadrant is also targeting the UK and Ireland for continued opportunities.
Whole loans will range in size between $25-$300 million, while mezzanine financing on stabilized assets will stretch to $100 million and up to 80 percent loan-to-values.