Toorak Capital Partners LLC (“Toorak”), a leading capital provider to the private real estate lending industry, announced the successful closing of Toorak Mortgage Trust 2024-2 (“TRK 2024-2”), its first residential transition loan (“RTL”) securitization with an initial portfolio exclusively backed by loans secured by small balance multifamily and mixed-use properties.
The initial collateral underlying TRK 2024-2, a $166 million unrated deal, consisted of 98 RTL loans that financed approximately 1,367 multifamily units.
Performance Trust Capital Partners, LLC led the offering and served as an initial purchaser along with Deutsche Bank Securities Inc., KKR Capital Markets, and Morgan Stanley & Co. LLC.
“Completing our first RTL deal fully backed by multifamily and mixed-use loans at inception allows us to further broaden our financing capabilities for this product,” said John Beacham, Founder and CEO of Toorak. “Our securitizations for residential bridge, DSCR, and multifamily properties continue to aid in the deliverability of affordable units to the market, while bringing jobs and opportunities to neighborhoods that have often been overlooked by large investors.”
To date, Toorak has issued $3.89 billion in securitizations across 15 deals, including 2 rated and 9 unrated revolving transactions backed by RTL loans and 4 rated transactions backed by DSCR long-term investor loans on rental properties.
Toorak Capital Partners LLC (“Toorak”) is a tech-enabled investment manager of business-purpose mortgage loans backed by residential, multifamily, and mixed-use properties throughout the US and UK. Toorak sources loans through strategic partnerships with top loan originators including sister company Merchants Mortgage – responsible for over half of its 1-4 unit residential transition loan (RTL) volume – and also via direct origination including table funding.
With long-term capital commitments from credit funds and accounts managed by KKR, a leading global investment firm, Toorak has revolutionized the way private lenders of business purpose real estate loans access capital. Toorak was among the first to link small-balance commercial and residential originators with institutional capital, and recently closed the first-ever rated RTL securitization. Since inception, Toorak has provided more than $13 billion in capital and funded over 35,000 mortgage loans. Toorak-funded projects are expected to renovate, stabilize, or provide rental housing for over 50,000 families.
