NEW YORK, July 24, 2019 – PGIM has provided over $1.7 billion in core plus financing on behalf of institutional investors since launching its U.S. core plus lending strategy in late 2017. PGIM, the global asset management business of Prudential Financial, Inc. (NYSE: PRU), has more than $1 trillion in assets under management and is a top-10 global money manager.
The total financings have been provided across 33 separate transactions, including over $563 million across 10 deals during the first half of 2019. Representative transactions include:
“We look forward to continuing this momentum by completing additional light transitional and bridge loans for all property types in primary and secondary markets. ”
• $89 million refinance loan for an office and retail asset in New York City. Loan proceeds will be used to complete the re-leasing and light redevelopment of the property.
• $88 million acquisition loan for a medical office property in La Jolla, California. The bridge financing will be used for capital improvements, renewal tenant improvements and leasing commissions, along with the redevelopment of one building on the campus.
• $105 million bridge loan for a newly constructed multifamily asset in Boston.
“This robust loan activity demonstrates the demand for core plus real estate financing and our ability to source debt investments that will provide predictable, low risk income to our investors,” said Steve Bailey, managing director and senior portfolio manager for PGIM’s real estate debt strategies.
Marcia Diaz, head of originations at PGIM Real Estate Finance, said, “Through these financings, borrowers are now able to position their assets to ensure they remain competitive properties in an ever-changing real estate world. We look forward to continuing this momentum by completing additional light transitional and bridge loans for all property types in primary and secondary markets.”
PGIM, the global investment management business of Prudential Financial, Inc. (NYSE: PRU), is one of the largest real estate investment managers in the world, with more than $171.2 billion1 in gross real estate assets under management and administration, as of March 31, 2019. Through its PGIM Real Estate and PGIM Real Estate Finance businesses, PGIM leverages a 140-year history of real estate lending on behalf of institutional and middle-market borrowers2, a 49-year legacy of investing in commercial real estate on behalf of institutional investors, and the deep local knowledge and expertise of professionals in 31 cities around the world.
1AUA equals $33.7 billion.
2Includes legacy lending through PGIM’s parent company, Prudential Financial, Inc.
About PGIM Real Estate Finance
PGIM Real Estate Finance, the commercial mortgage business of PGIM, is an international full-service, commercial and multifamily mortgage finance business. Offering one of the most comprehensive lines of real estate finance products in the world, PGIM Real Estate Finance originates loans for Fannie Mae DUS®, Freddie Mac and specialized affordable housing programs; FHA; Prudential’s general account; and other institutional investors. For more information, please visit pgimref.com.
About PGIM Real Estate
PGIM Real Estate, the real estate investment management business of PGIM, has been redefining the real estate investing landscape since 1970. Combining insights into macroeconomic trends and global real estate markets with excellence of execution and risk management, PGIM Real Estate’s tenured team offers to its global clients a broad range of real estate equity, debt, and securities investment strategies that span the risk-return spectrum and geographies. For more information, visit pgimrealestate.com.
© 2019 PGIM is the primary asset management business of Prudential Financial, Inc. (PFI). PGIM Real Estate is PGIM’s real estate investment advisory business and operates through PGIM, Inc., a registered investment advisor. Prudential, PGIM, their respective logos as well as the Rock symbol are service marks of PFI and its related entities, registered in many jurisdictions worldwide. PFI of the United States is not affiliated with Prudential plc, a company headquartered in the United Kingdom.
Pensions & Investments, Global Real Estate Manager Survey, October 2018