Barings, one of the world’s leading investment managers, and Crebrid, the newly rebranded and rapidly growing real estate lending platform formerly known as Wildcat Lending, announced a new credit facility that will help accelerate Crebrid’s credit origination across the United States. The partnership will provide $500 million in initial capacity for residential transition lending, allowing Crebrid to expand its reach and enhance its ability to support residential real estate investors. James Fisher, CEO of Crebrid, stated, “This partnership with Barings is a significant milestone for our company.
It will provide us with the financial resources required to scale our operations and continue offering flexible and reliable lending solutions to our clients.”
Barings’ managing director, Laura Smith, remarked, “We are excited to partner with Crebrid at this pivotal time. Their innovative approach to residential lending aligns with our commitment to supporting sustainable growth in the housing sector.
This partnership marks a strategic move for both companies as they aim to address the increasing demand for residential transition loans in a dynamic real estate market. Under the agreement, Barings’ investors will take a minority equity position in Crebrid as part of the transaction.
Additionally, Barings’ investors will provide a flow purchase facility with an initial capacity of $500 million, enabling Crebrid to significantly expand its loan offerings, which are supported by its proprietary technology-driven lending platform. The specifics of the transaction were not disclosed.
Barings partners with Crebrid expansion
This partnership fortifies Crebrid’s standing as a leading player in the residential transition loan (RTL) market. It will enable Crebrid to expand its reach beyond its current focus areas in Texas, Ohio, and Tennessee, meeting the growing demand for its solutions nationwide. Initially, the company plans to allocate its growth capital to high-growth markets across the United States.
Barings’ investment was made through the firm’s Asset-Based Finance (ABF) investment strategy, which has more than $70 billion in assets under management.
Through its ABF strategy, Barings aims to develop long-term origination partnerships that provide distinct and durable access to differentiated residential, consumer, and commercial asset-backed investment opportunities for its investors. “We are excited to begin this partnership with Crebrid, which builds on our more than three-decade track record of activity within the residential whole loan sector,” said Jim Moore, Head of Asset-Based Finance at Barings. We’re looking forward to working with Tim and the Crebrid team to support their growth strategy and capitalize on the compelling investment opportunities in the RTL sector.
The announcement represents a transformational milestone for the RTL industry,” said Tim Jordan, President of Crebrid.
Barings’ capital and support will better position us to build from a $1 billion deployment target in the first year to our goal of reaching $3-5 billion in annual originations by 2030. We will achieve this by expanding into additional markets, further enhancing our technology capabilities, and continuously improving our high-touch customer service that makes us a lender of choice in our markets.