Real estate investment trust Redwood Trust (RWT)announced the closing of a $291 million securitization of mezzanine loans and commercial real estate debt investments, sponsored by Redwood Commercial Mortgage Corporation.
An aggregate of $172 million of debt was issued with Redwood Trust, retaining the equity interested in the portfolio. The fixed interest rate of the notes was 5.62%.
The notes are rated triple B and triple-B minus by Moody's Investors Service and Kroll Bond Rating Agency, respectively.
The offering of the note was effected in accordance with a private placement. The notes were secured by a portfolio of 30 collateral interests tied to 76 underlying properties including office, hospitality, retail, self-storage, mixed-used properties and multifamily.
Redwood Trust is a publicly traded real estate investment trust. RCMC is a wholly owned subsidiary of Redwood Trust and provides the industry with financing options including mezzanine loans, preferred equity and first mortgages.