Tremont Realty Capital Executes Seventh loan for RMRM
Portfolio now exceeds $175 Million in Total Commitments
RMR Mortgage Trust (Nasdaq: RMRM) today announced the closing of a $54.6 million first mortgage bridge loan it provided to refinance two manufactured housing communities comprised of approximately 1,200 home sites located in Ohio.
This first mortgage bridge loan includes an initial funding of approximately $44.6 million and a future funding allowance of approximately $10.0 million for capital improvements to further enhance these communities. The loan is structured with a three-year initial term and two, one-year extension options, subject to the borrower meeting certain requirements.
Tom Lorenzini, President of RMRM, made the following statement:
“We are pleased to close our largest loan to date and our seventh loan overall, which reflects continued momentum executing RMRM’s new business strategy as a commercial mortgage REIT. RMRM’s portfolio now exceeds $150 million of invested equity and $175 million of committed capital. This investment underscores the ability of our manager, Tremont Realty Capital, to work with owners of middle market commercial real estate and address their financing needs.”
RMR Mortgage Trust (Nasdaq: RMRM) is a real estate finance company that originates and invests in first mortgage loans secured by middle market and transitional commercial real estate. RMRM is managed by an affiliate of The RMR Group Inc. (Nasdaq: RMR). Substantially all of RMR’s business is conducted by its majority owned subsidiary, The RMR Group LLC, which is an alternative asset management company with more than $32 billion in assets under management and more than 30 years of institutional experience in buying, selling, financing and operating commercial real estate. For more information about RMRM, please visit www.rmrmortgagetrust.com.
Tremont Realty Capital, on behalf of its capital sources, Tremont Mortgage Trust (Nasdaq: TRMT) and RMR Mortgage Trust (Nasdaq: RMRM), is a direct lender that invests in loans secured by middle market and transitional commercial real estate. Tremont Realty Capital is the trade name of Tremont Realty Advisors LLC, which is an affiliate of The RMR Group (Nasdaq: RMR). For more information about Tremont Realty Capital please visit www.tremontcapital.com.
WARNING CONCERNING FORWARD-LOOKING STATEMENTS
This press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws. Also, whenever RMRM uses words such as “believe”, “expect”, “anticipate”, “intend”, “plan”, “estimate”, “will”, “may” and negatives or derivatives of these or similar expressions, RMRM is making forward-looking statements. These forward-looking statements are based upon RMRM’s present intent, beliefs or expectations, but forward-looking statements are not guaranteed to occur and may not occur. Actual results may differ materially from those contained in or implied by RMRM’s forward-looking statements as a result of various factors. Forward-looking statements involve known and unknown risks, uncertainties and other factors, some of which are beyond RMRM’s control. For example:
This press release references recent loans closed and momentum in executing RMRM’s new business as a commercial mortgage REIT, which may imply that RMRM will close additional loans and that its business will continue to improve as a result. However, RMRM’s business and ability to execute loans are subject to various risks, including the competitive nature of the industry in which it operates, as well as other factors, many of which are outside its control, such as the current COVID-19 pandemic. These risks and other factors may prevent RMRM from successfully closing additional loans and executing its new business. Further, once RMRM invests or commits its remaining capital, its ability to continue to grow and fund loans will be subject to its ability to obtain additional cost-effective capital or its redeploying proceeds from repayments of its loan investments.
The information contained in RMRM’s filings with the SEC, including under “Risk Factors” in RMRM’s periodic reports or incorporated therein, identifies other important factors that could cause RMRM’s actual results to differ materially from those stated in or implied by RMRM’s forward-looking statements. RMRM’s filings with the SEC are available on the SEC’s website at www.sec.gov.
You should not place undue reliance upon forward-looking statements.
Except as required by law, RMRM does not intend to update or change any forward-looking statements as a result of new information, future events or otherwise.
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Kevin Barry, Manager, Investor Relations