January 11, 2019 - 8:33 AM EST
ACRES Capital Lends ~$500 Million in 2018
ACRES Capital Lends ~$500 Million in 2018


Middle-market lender continues to expand its’ nationwide lending platform

Adds commercial real estate finance veterans Jonathan Gilfillan and Peter Hills to support growth

ACRES Capital Corp. (together with its subsidiaries, “ACRES”), a leading commercial real estate middle-market lender, is pleased to announce that it enjoyed a banner year in 2018 with approximately $500 million in transaction volume.

“In a highly competitive lending environment, we managed to grow our origination volume and cultivate new borrower relationships—all without sacrificing our rigorous underwriting criteria,” said Mark Fogel, CEO and President of ACRES. “The significant progress achieved in 2018 is a testament to the competitive advantages of our unique debt platform and advances our mission of becoming the nation’s premier commercial real estate middle-market lender.”

Reflecting the depth of its national platform, ACRES’ customized bridge loans have been provided to a growing roster of high-quality sponsors and are secured by a geographically diverse collection of multifamily, student housing, office, retail, hospitality and industrial properties. Representative deals include the following:

  • $30.5 million first mortgage loan to finance the acquisition and conversion of an existing residential rental building to an upscale, full-service, boutique hotel located in the historic district of Los Angeles, CA
  • $29.0 million construction loan for the ground-up development of a 50,398 square foot, 21-story, 100-room boutique hotel in Downtown Brooklyn
  • $45.0 million first mortgage loan to finance the redevelopment of a 93-unit residential condominium community in Fremont, CA
  • $35.3 million first mortgage loan to finance the development of a Class A, 194-unit, 592-bed, student-oriented townhome and mid-rise apartment complex near University of Louisiana – Lafayette

To support its continued growth, ACRES recently opened a new office in Chicago, IL which is led by Jonathan Gilfillan, Managing Director of Originations in the Midwest Region. In his new role, Mr. Gilfillan heads the ACRES Midwest office by providing both strategic and operational leadership in response to a growing demand for alternative lending. He joins commercial real estate finance veterans Don Sherman and Peter Hills as Managing Directors in ACRES nationwide originations efforts. Messrs. Sherman and Hills will operate out of ACRES’ Los Angeles and Westbury, New York offices, respectively. The expansion is part of ACRES’ business strategy of continued commitment for creative, flexible financial solutions, developing and nurturing business relationships and growing its nationwide balance sheet platform.

Prior to joining ACRES, Mr. Gilfillan was a Senior Vice President for the Chicago/Wisconsin region at Huntington Bank f/k/a First Merit Bank, where he grew their portfolio of commercial real estate loans from less than $100 million to $500 million assets under management (AUM) in a three-year period.

Prior to joining ACRES, Mr. Hills contributed to the development and management of finance platforms in the Americas, Europe and Asia for Morgan Stanley, JPMorgan Chase and Credit Suisse. At ACRES, he oversees originations and sponsor relations in the Atlantic region.

Since its inception in 2012, ACRES has raised more than $1.25 billion in capital across ACRES company balance sheet and a variety of investment vehicles including commingled closed-end funds, sub-advised funds and separately managed accounts. ACRES, which employs a team of more than twenty-five commercial real estate finance professionals, expects its overall originations to exceed $800 million in 2019.

About ACRES Capital

ACRES is a balance sheet lender and SEC-registered investment adviser that provides debt capital solutions for the commercial real estate industry on a nationwide platform. ACRES seeks opportunities in the $5 million to $75 million range on stabilized and transitional properties including multifamily, retail, office, hospitality, and industrial. As of December 31, 2018, ACRES has over $850 million of assets under management.

Jason Chudoba

Source: Business Wire (January 11, 2019 - 8:33 AM EST)