Genesis Capital Closes Its Second Rated Residential Transitional Loan Securitization
Genesis Capital , a Rithm Capital (NYSE: RITM) company, has successfully closed NRMLT 2024-RTL2, a $450 million rated securitization backed by residential transitional loans (RTLs). This marks the second largest rated RTL securitization and the first three-year transaction for the industry. The deal received strong support from investors, including repeat participants from Genesis' first rated securitization.
This transaction brings Genesis' total issuance to over $1 billion, solidifying its position as a leader in the RTL sector. The deal's structure featured four classes of offered bonds ranging from single A to single B rated. Goldman Sachs led the offering, with Deutsche Bank Securities, Morgan Stanley, Nomura, and Performance Trust serving as initial purchasers.
Clint Arrowsmith, President and CEO of Genesis, stated that this transaction further solidifies their commitment to being a leading partner in financing development across the industry. Michael Nierenberg, Chairman, CEO, and President of Rithm Capital Corp., emphasized that this offering will enhance Genesis' ability to provide innovative, tailored capital solutions to high-quality developers.
Genesis Capital, una società di Rithm Capital (NYSE: RITM), ha chiuso con successo NRMLT 2024-RTL2, una sottoscrizione a rated da 450 milioni di dollari supportata da prestiti residenziali transitori (RTL). Questo segna la seconda maggiore sottoscrizione di RTL rating e la prima transazione triennale per il settore. L'operazione ha ricevuto un forte supporto da parte degli investitori, inclusi i partecipanti ripetuti della prima sottoscrizione rating di Genesis.
Questa transazione porta l'emissione totale di Genesis a oltre 1 miliardo di dollari, consolidando la sua posizione come leader nel settore RTL. La struttura dell'affare presentava quattro classi di obbligazioni offerte, che andavano da A a B rating. Goldman Sachs ha guidato l'offerta, con Deutsche Bank Securities, Morgan Stanley, Nomura e Performance Trust come acquirenti iniziali.
Clint Arrowsmith, Presidente e CEO di Genesis, ha dichiarato che questa transazione rafforza ulteriormente il loro impegno a essere un partner leader nel finanziamento dello sviluppo in tutto il settore. Michael Nierenberg, Chairman, CEO e Presidente di Rithm Capital Corp., ha sottolineato che questa offerta migliorerà la capacità di Genesis di fornire soluzioni di capitale innovative e personalizzate a sviluppatori di alta qualità.
Genesis Capital, una empresa de Rithm Capital (NYSE: RITM), ha cerrado con éxito NRMLT 2024-RTL2, una securitización calificada de 450 millones de dólares respaldada por préstamos residenciales transitorios (RTL). Esto marca la segunda mayor securitización calificada de RTL y la primera transacción a tres años para la industria. La operación recibió un fuerte apoyo de los inversores, incluidos participantes recurrentes de la primera securitización calificada de Genesis.
Esta transacción lleva la emisión total de Genesis a más de 1 mil millones de dólares, consolidando su posición como líder en el sector RTL. La estructura del acuerdo presentó cuatro clases de bonos ofrecidos, que van desde la calificación A a la B. Goldman Sachs lideró la oferta, con Deutsche Bank Securities, Morgan Stanley, Nomura y Performance Trust como compradores iniciales.
Clint Arrowsmith, Presidente y CEO de Genesis, afirmó que esta transacción refuerza aún más su compromiso de ser un socio líder en la financiación del desarrollo en toda la industria. Michael Nierenberg, Presidente, CEO y Presidente de Rithm Capital Corp., enfatizó que esta oferta mejorará la capacidad de Genesis para proporcionar soluciones de capital innovadoras y personalizadas a desarrolladores de alta calidad.
제네시스 캐피털(Genesis Capital)은 리드맘 캐피털(Rithm Capital, NYSE: RITM)의 자회사로, 주택 전환 대출(RTL)에 의해 뒷받침된 4억 5천만 달러 규모의 채권 발행을 성공적으로 마감했습니다. 이는 두 번째로 큰 RTL 채권 발행이자 3년 만에 최초의 거래입니다. 이 거래는 제네시스의 첫 번째 채권 발행에서 반복적으로 참여한 투자자들로부터 강력한 지지를 받았습니다.
이번 거래로 제네시스의 총 발행액은 10억 달러를 넘어서며, RTL 분야의 선두주자로서의 위치를 확고히 하였습니다. 거래 구조에는 A 등급에서 B 등급까지 네 가지 종류의 채권이 포함되었습니다. 골드만삭스가 주관을 맡았으며, 도이치 뱅크 증권, 모건 스탠리, 노무라, 퍼포먼스 트러스트가 최초 구매자로 참여했습니다.
제네시스의 회장 겸 CEO인 클린트 아로우스미스(Clint Arrowsmith)는 이번 거래가 산업 전반에 걸친 개발 자금 지원의 주요 파트너가 되겠다는 의지를 더욱 견고히 한다고 말했습니다. 리드맘 캐피털(Rithm Capital Corp.)의 회장이자 CEO인 마이클 니에렌베르크(Michael Nierenberg)는 이번 제안이 제네시스가 고품질 개발자에게 혁신적이고 맞춤형 자본 솔루션을 제공하는 능력을 향상시킬 것이라고 강조했습니다.
Genesis Capital, une société de Rithm Capital (NYSE: RITM), a réussi à clore NRMLT 2024-RTL2, une sécurtisation classée de 450 millions de dollars soutenue par des prêts résidentiels transitoires (RTL). Cela marque la deuxième plus grande sécursation RTL classée et la première transaction de trois ans pour l'industrie. L'accord a bénéficié d'un fort soutien des investisseurs, y compris des participants récurrents de la première sécursation classée de Genesis.
Cette transaction porte l'émission totale de Genesis à plus de 1 milliard de dollars, consolidant sa position de leader dans le secteur RTL. La structure de l'accord comportait quatre classes d'obligations proposées allant de A à B. Goldman Sachs a dirigé l'offre, avec Deutsche Bank Securities, Morgan Stanley, Nomura et Performance Trust comme acheteurs initiaux.
Clint Arrowsmith, président et CEO de Genesis, a déclaré que cette transaction renforce encore leur engagement à être un partenaire de premier plan dans le financement du développement au sein de l'industrie. Michael Nierenberg, président, CEO et président de Rithm Capital Corp., a souligné que cette offre améliorera la capacité de Genesis à fournir des solutions de capital innovantes et sur mesure pour les développeurs de haute qualité.
Genesis Capital, ein Unternehmen von Rithm Capital (NYSE: RITM), hat erfolgreich NRMLT 2024-RTL2 abgeschlossen, eine bewertete Verbriefung von 450 Millionen US-Dollar, die durch Wohntransitionskredite (RTL) abgesichert ist. Dies stellt die
Diese Transaktion bringt die Gesamtemission von Genesis auf über 1 Milliarde US-Dollar und festigt ihre Position als führender Anbieter im RTL-Sektor. Die Struktur des Deals umfasste vier Klassen von Angeboten, die von A bis B bewertet sind. Goldman Sachs leitete das Angebot, während Deutsche Bank Securities, Morgan Stanley, Nomura und Performance Trust als Erstkäufer fungierten.
Clint Arrowsmith, Präsident und CEO von Genesis, erklärte, dass diese Transaktion ihr Engagement weiter festigt, ein führender Partner in der Finanzierung von Entwicklungen in der gesamten Branche zu sein. Michael Nierenberg, Chairman, CEO und Präsident von Rithm Capital Corp., betonte, dass dieses Angebot die Fähigkeit von Genesis verbessern wird, innovative, maßgeschneiderte Kapitallösungen für hochwertige Entwickler bereitzustellen.
- Successfully closed a $450 million rated securitization (NRMLT 2024-RTL2)
- Second largest rated residential transitional loan securitization in the industry
- First rated RTL securitization with a three-year term
- Total issuance exceeds $1 billion, solidifying Genesis' leadership in the RTL sector
- Strong investor support, including repeat participants from previous securitization
- None.
Insights
Genesis Capital's successful closure of a
Key points to consider:
- The strong investor support, including repeat participants, indicates market confidence in Genesis' securitizations.
- The three-year term provides Genesis with enhanced financial flexibility and access to a longer-term investor base.
- Total issuance now exceeds
$1 billion , strengthening Genesis' competitive position in the RTL sector. - The transaction's structure, featuring four classes of offered bonds with ratings from single A to single B, suggests a balanced risk profile.
For RITM investors, this development potentially signals increased revenue streams and market share in the business purpose lending space. However, it's important to monitor the performance of these securitizations and their impact on RITM's overall financial health in the coming quarters.
The successful closure of Genesis Capital's second rated RTL securitization reflects broader trends in the residential housing sector and alternative lending markets. This transaction's significance lies in its timing and structure:
- It comes during a transformative year for residential housing, potentially indicating growing demand for renovation and construction financing.
- The
$1 billion in active rated securitization capacity positions Genesis as a leader in the RTL space, which could lead to increased market share. - The three-year term is an industry first, potentially setting a new benchmark for RTL securitizations and attracting a different investor profile.
For the wider market, this transaction may signal increased investor appetite for alternative real estate financing products. It also suggests that despite challenges in the traditional mortgage market, there's strong demand for financing solutions in the residential development and renovation sectors. Investors should watch for potential ripple effects on other lenders and REITs operating in similar spaces, as well as any shifts in the competitive landscape of business purpose lending.
Offering is the Second Largest Rated RTL Securitization and First Three-Year Transaction for the Industry
As the second rated RTL securitization for Genesis, the transaction received strong support from the investment community, including multiple repeat participants from Genesis’ first rated securitization.
This transaction marks the second largest rated residential transitional loan securitization, surpassed in size only by the company’s April 2024 close of the largest ever rated RTL securitization (NRMLT 2024-RTL1), extending Genesis’ track record of executing on novel and innovative transactions. It is also the first rated RTL securitization in the industry to feature a three-year term, granting Genesis more financial flexibility and tapping a longer tenor investor base. The securitization brings Genesis’ total issuance to over
The deal’s structure featured four classes of offered bonds ranging from single A rated to single B rated bonds.
Goldman Sachs led the offering and served as an initial purchaser along with Deutsche Bank Securities, Morgan Stanley, Nomura, and Performance Trust.
"This has been a transformative year for the residential housing sector, and this transaction further solidifies our commitment to being a leading partner in financing development across the industry,” said Clint Arrowsmith, President and CEO of Genesis. “Following the successful close of our second rated RTL securitization, Genesis now has nearly
“This transaction is an important step in our commitment to expand capacity in the burgeoning business purpose lending sector through our market leading, sponsor-driven Genesis platform,” said Michael Nierenberg, Chairman, Chief Executive Officer and President of Rithm Capital Corp. “This offering will further enhance Genesis’ ability to provide innovative, tailored capital solutions to high-quality developers. As demonstrated by its track record of completing pioneering rated securitizations, the team has done an outstanding job scaling the platform to bring more capital into the residential ecosystem, and we look forward to supporting the Genesis team in meeting strong nationwide demand for residential construction and renovation financing.”
This press release does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.
ABOUT GENESIS CAPITAL
Genesis Capital is the preferred capital partner for professional real estate investors seeking prompt and innovative financing solutions that support the full life cycle of their residential projects. The company leverages its expertise, proprietary data and long-term borrower relationships to deliver both agility and speed as well as reliable, integrated high-touch customer service. Headquartered in
ABOUT RITHM CAPITAL
Rithm Capital Corp. (NYSE: RITM) is a global asset manager focused on real estate, credit and financial services. Rithm makes direct investments and operates several wholly-owned operating businesses. Rithm’s businesses include Sculptor Capital Management, Inc., an alternative asset manager, as well as Newrez LLC, and Genesis Capital LLC, leading mortgage origination and servicing platforms. Rithm seeks to generate attractive risk-adjusted returns across market cycles and interest rate environments. Since inception in 2013, Rithm has delivered approximately
FORWARD-LOOKING STATEMENTS
This communication contains forward-looking statements related to Genesis within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, some of which are beyond Genesis’ control. Expectations for Genesis’ future necessarily involve a number of assumptions, judgments and estimates, and various factors could cause actual results to differ materially from the expectations expressed in these and other forward-looking statements. Forward-looking statements contained herein speak only as of the date hereof, and each of Genesis and Rithm expressly disclaims any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the expectations with regard thereto or change in events, conditions or circumstances on which any statement is based. New risks and uncertainties emerge from time to time, and it is not possible for Genesis or Rithm to predict or assess the impact of every factor that may cause their actual results to differ from those contained in any forward-looking statements.
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FAQ
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