Ladder Capital Corp Announces Ratings Upgrade and Improved Outlook from S&P

Rhea-AI Summary

Ladder Capital Corp (NYSE: LADR) received a credit ratings upgrade from S&P Global, elevating its long-term senior unsecured rating to BB- from B+. This change reflects a reduction in recourse secured debt over the past year. Additionally, S&P affirmed Ladder’s long-term corporate family rating at BB- and revised its outlook to stable. As of March 31, 2021, Ladder managed assets worth $5.4 billion, focusing on senior secured investments in commercial real estate.

Positive

• Credit rating upgraded from B+ to BB- by S&P Global.
• S&P revised the outlook to stable.
• Reduction in recourse secured debt over the past year.

Negative

• None.

Ladder Capital Corp (“Ladder” or the “Company”) (NYSE: LADR) announced a credit ratings upgrade and improved outlook by S&P Global (“S&P”) earlier today. Ladder now has a long-term senior unsecured rating of BB- from S&P.

S&P eliminated the notch between Ladder’s bond and corporate family ratings. S&P upgraded the long-term senior unsecured rating of the Company to BB- from B+ and affirmed the Company’s long-term corporate family rating of BB-. According to S&P, the credit ratings upgrade is based, in part, on Ladder’s reduction of recourse secured debt over the past year. The upgrade follows S&P’s announcement earlier this week revising its outlook on Ladder to stable.

About Ladder

Ladder Capital Corp is an internally-managed commercial real estate investment trust with $5.4 billion of assets as of March 31, 2021. Our investment objective is to preserve and protect shareholder capital while producing attractive risk-adjusted returns. As one of the nation’s leading commercial real estate capital providers, we specialize in underwriting commercial real estate and offering flexible capital solutions within a sophisticated platform.

Ladder originates and invests in a diverse portfolio of commercial real estate and real estate-related assets, focusing on senior secured assets. Our investment activities include: (i) our primary business of originating senior first mortgage fixed and floating rate loans collateralized by commercial real estate with flexible loan structures; (ii) investing in investment grade securities secured by first mortgage loans on commercial real estate; and (iii) owning and operating commercial real estate, including net leased commercial properties.

Founded in 2008, and led by Brian Harris, the Company’s Chief Executive Officer, Ladder is run by a highly experienced management team with extensive expertise in all aspects of the commercial real estate industry, including origination, credit, underwriting, structuring, capital markets and asset management. Members of Ladder’s management and board of directors are highly aligned with the Company’s investors, owning over 10% of the Company’s equity.

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FAQ

What is the new credit rating for Ladder Capital Corp (LADR)?

Ladder Capital Corp's new credit rating is BB-, upgraded from B+.

What factors contributed to the credit rating upgrade for LADR?

The credit rating upgrade was based on Ladder's reduction of recourse secured debt.

What is the current outlook for Ladder Capital Corp according to S&P?

The current outlook for Ladder Capital Corp is stable.

How much assets does Ladder Capital Corp manage?

Ladder Capital Corp manages assets worth $5.4 billion as of March 31, 2021.