Workflow
Lument Closes $198 Million in Multifamily Bridge Loans in December 2024
LFTLument Finance Trust(LFT) Prnewswire·2025-01-16 18:33

Bridge Financing and Loan Portfolio - Lument closed over 198millioninbalancesheetbridgefinancinginDecember2024,supportingthelease−up,acquisition,andconstructionofsevenmultifamilypropertiesacrosssixstates,totalingmorethan1,500units[1]−Anadditional198 million in balance sheet bridge financing in December 2024, supporting the lease-up, acquisition, and construction of seven multifamily properties across six states, totaling more than 1,500 units [1] - An additional 170 million in bridge loans are under application and expected to close in early 2025 [1][2] - Lument's bridge program targets loans of 10millionandup,securedbymultifamily,affordablehousing,orseniorshousingproperties,withinterest−only,floating−rateloansrangingfromsixto36months[3]BorrowerInterestandMarketDemand−Borrowerinterestincreasedsignificantlyduringthefourthquarterof2024,withexpectationsoffurtherdemandasnewconstructiontransitionstowardsstabilization[2]−Thebridgeprogramisseenasaneffectivewaytosupportclients′strategicobjectivesduringmarketevolution,withaseamlesstransitionintopermanentfinancing[3]LoanPortfolioandManagement−LumentInvestmentManagementmanagesanearly10 million and up, secured by multifamily, affordable housing, or seniors housing properties, with interest-only, floating-rate loans ranging from six to 36 months [3] Borrower Interest and Market Demand - Borrower interest increased significantly during the fourth quarter of 2024, with expectations of further demand as new construction transitions towards stabilization [2] - The bridge program is seen as an effective way to support clients' strategic objectives during market evolution, with a seamless transition into permanent financing [3] Loan Portfolio and Management - Lument Investment Management manages a nearly 1.2 billion loan portfolio as of September 30, 2024, with approximately 93.2% collateralized by multifamily assets [4] - The company serves as the external manager and advisor to Lument Finance Trust, Inc, a publicly traded REIT focused on commercial real estate debt investments [4] Company Overview - Lument, a subsidiary of ORIX Corporation USA, is a national leader in commercial real estate finance, offering a comprehensive set of capital solutions for multifamily, affordable housing, seniors housing, and healthcare real estate [5] - The company provides Fannie Mae, Freddie Mac, FHA, USDA, and balance sheet bridge financing, along with a full range of capital markets lending products and real estate advisory solutions [5] - Lument has over 600 employees in more than 30 offices across the United States [5] Specific Loan Examples - 60millionlease−uprefinanceforamultifamilypropertyinOlympia,WA[6]−60 million lease-up refinance for a multifamily property in Olympia, WA [6] - 37 million lease-up refinance for a multifamily property in Macon, GA [6] - 31millionphasedlease−uprefinanceforabuild−to−rent(BTR)propertyinDayton,OH[6]−31 million phased lease-up refinance for a build-to-rent (BTR) property in Dayton, OH [6] - 25 million phased lease-up refinance for a build-to-rent (BTR) property in Groveport, OH [6] - 22milliontimingrefinanceforanaffordablehousingpropertyinMiami,FL[6]−22 million timing refinance for an affordable housing property in Miami, FL [6] - 17 million lease-up acquisition financing for a multifamily property in Lafayette, IN [6] - $6 million timing refinance for an age-restricted multifamily property in Bellflower, CA [6]