NEW YORK, NY, Feb 28, 2012 (MARKETWIRE via COMTEX) --Resource Capital Corp. (NYSE: RSO) (the "Company") announced today that it has entered into a new $150 million commercial real estate credit facility with Wells Fargo Bank, N.A. The credit facility will be used to finance the continued expansion of the Company's core commercial real estate lending business, floating rate whole loans, on lightly transitional properties nationwide. The credit facility has an initial term of 18 months with two one-year extension options at RSO's discretion.
Jonathan Cohen, President and Chief Executive officer, commented, "This new credit facility demonstrates RSO's ability to access flexible credit to support its continued growth. As a well established provider of customized real estate financing solutions, Resource Capital Corp. has a full forward pipeline of lending opportunities that will utilize the credit facility. We are excited to enter into this agreement with Wells Fargo and look forward to a productive and growing relationship over the coming years."
Resource Capital Corp. is a commercial real estate specialty finance company that qualifies as a real estate investment trust, or REIT, for federal income tax purposes. Resource Capital Corp.'s investment strategy focuses on commercial real estate-related assets and, to a lesser extent, higher-yielding commercial finance assets. The Company invests in the following asset classes: commercial real estate-related assets such as whole loans, A-notes, B-notes, mezzanine loans and commercial mortgage-related securities and investments in real estate joint ventures as well as commercial finance assets such as bank loans, lease receivables, other asset backed securities, trust preferred securities, and debt tranches of collateralized debt obligations, structured note investments and private equity investments principally issued by financial institutions.
RSO is externally managed by Resource Capital Manager, Inc., an indirect wholly owned subsidiary of Resource America, Inc. (NASDAQ: REXI), a specialized asset management company that uses industry specific expertise to generate and administer investment opportunities for its own account and for outside investors in the real estate, commercial finance and financial fund management sectors.
For more information, please visit the Resource Capital Corp. website at www.resourcecapitalcorp.com or contact investor relations at pkamdar@resourceamerica.com.
This press release includes statements that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to a variety of known and unknown risks, uncertainties, and other factors that are difficult to predict and many of which are beyond management's control. Factors that can affect future results are discussed in the documents filed by Resource Capital Corp. from time to time with the Securities and Exchange Commission. Resource Capital Corp. undertakes no obligation to update or revise any forward-looking statement to reflect new or changing information or events.
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SOURCE: Resource Capital Corp.
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