StanCorp Financial Group and Soundview Real Estate Partners have acquired minority stakes in JCR Capital Investment Corporation as part of that firm’s recapitalisation effort, JCR announced in a statement Monday.
The partnership with StanCorp will allow the real estate finance specialist to expand its bridge loan origination business. Earlier this month, JCR announced that it would originate $100 million on behalf of Standard Insurance, a StanCorp subsidiary. The bridge loan programme will provide $2 million to $10 million per deal, with a focus on the US market.
Soundview committed “significant equity” and has signed on to co-lead JCR Commercial Real Estate Finance Fund III, which is expected to launch later this month. JCR previously reported its target for Fund III to be $250 million. That fund is seeking net returns in the 16 percent to 18 percent range.
“We are very excited about this transaction and our new partnership with StanCorp and Soundview,” said JCR CEO Jay Rollins in a statement. “StanCorp is a substantial player for small balance commercial loans, and this partnership provides JCR an excellent entry into the small balance bridge loan space. Soundview was a natural fit, as we have been partnering on fund transactions for over four years. Formalising the relationship with Soundview in Fund III will create numerous synergies, including increased deal flow and an East Coast presence.”
Rollins was unavailable for comment at press time.
JCR was founded in 2006. Last year, the firm closed its second commercial real estate fund on $106 million.