NEWARK, N.J., Feb. 12, 2018 – PGIM Real Estate Finance originated $14.8 billion in financing in 2017 led by production in multifamily and industrial lending. PGIM Real Estate Finance is the commercial mortgage finance business of PGIM, the $1 trillion global investment management businesses of Prudential Financial, Inc. (NYSE: PRU).
The company also announced it has as much as $15 billion available for financing in 2018 and will look to target growth in international markets, agency business on the West Coast of the United States, industrial lending in primary markets and core plus opportunities in secondary markets.
PGIM Real Estate Finance’s overall debt lending and agriculture investment production increased 6 percent over its prior-year totals, including a 12 percent increase year over year in the fourth quarter. The increases were broad-based and included significant growth in the company’s general account international, institutional investor and agency businesses.
2017 financing highlights include:
- $13.3 billion in U.S. multifamily, industrial, office, retail and other sectors, including more than $4.5 billion in conventional and affordable multifamily loans on behalf of Fannie Mae, Freddie Mac and FHA; $770 million in agricultural debt; and $184 million in core-plus financing, a new strategy launched in the third quarter
- $1.5 billion in international markets such as Australia, Canada, Japan, the U.K. and other European nations.
“Our 2017 production totals were driven by our continued excellence in multifamily lending and bolstered by industrial opportunities that are taking advantage of the e-commerce tailwind,” said David Durning, chief executive officer of PGIM Real Estate Finance. “Looking to 2018, we hope to take advantage of our international platform to seek out attractive lending opportunities in markets such as the U.K., pan-Europe and Australia. With transaction volumes correlated closely with financing activity and the U.S. investment sales market slowing, our international and non-traditional market lending will play a key growth role in 2018.”
About PGIM Real Estate Finance
PGIM Real Estate Finance, the commercial mortgage business of PGIM, the $1 trillion global investment management businesses of Prudential Financial, Inc. (NYSE: PRU), is an international full-service, commercial and multifamily mortgage finance business with $91.2 billion in assets under management and administration as of Dec. 31, 2017. Leveraging a 140-year history of real estate finance, the company offers one of the most comprehensive lines of real estate finance products and 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.
With 15 consecutive years of positive third-party institutional net flows, PGIM, the global asset management businesses of Prudential Financial, Inc. (NYSE: PRU), ranks among the top 10 largest asset managers in the world with more than $1 trillion in assets under management as of Dec. 31, 2017. PGIM’s businesses offer a range of investment solutions for retail and institutional investors around the world across a broad range of asset classes, including fundamental equity, quantitative equity, public fixed income, private fixed income, real estate and commercial mortgages. Its businesses have offices in 16 countries across five continents.
Prudential’s additional businesses offer a variety of products and services, including life insurance, annuities and retirement-related services. For more information about PGIM, please visit pgim.com. For more information about Prudential, please visit news.prudential.com.