November 19, 2024
Trez Capital Continues Strategic Focus on Residential Portfolio Amid Economic Shifts
Vancouver, B.C. – CNW – November 19, 2024 – Trez Capital, a leader in North American commercial real estate investments, reports its Q3 2024 results, underscoring the Firm’s strong market position and stable portfolio growth. With assets under management (AUM) of $5.4 billion CAD, Trez Capital hits over $20 billion CAD in loans funded since inception.
Corporate Update: Leadership Strengthening Risk and Origination Focus
In Q3, Trez Capital reinforced its leadership structure in both Canadian and United States (U.S.) offices, officially appointing Christian Skogen, Chief Risk Officer, and Alec Barry, Executive Managing Director, U.S. Origination, to the Executive Leadership Team. Both executive leaders bring deep expertise to support Trez Capital’s focus on disciplined risk management and key submarket investment focus in the U.S. market.
Economic & Investment Strategy Update
As interest rates eased in Canada and the U.S., Trez Capital strategically focused on lot development and multi-family construction loans to repeat sponsors in regions with strong economic fundamentals, particularly in Texas and Arizona.
A significant equity investment made in the third quarter includes the Nobella project for Trez Opportunity Fund #8 (TOF VIII). The development comprises of 549 lots in the Phoenix metropolitan statistical area (MSA), specifically located in Surprise, Arizona. This project is strategically positioned to meet the strong housing demand in the area, which is supported by an annual population growth rate of nearly 2.0% and significant U.S. in-migration. The development features a diverse range of lots, including pre-sold options, with properties designed for both ‘for sale’ and ‘build-to-rent’ purposes. This approach caters to renters and buyers alike while aligning with Trez Capital’s residential development strategy, which focuses on delivering high-quality housing in economically and demographically strong markets
Phoenix’s strong job market and ongoing economic growth further reinforce long-term demand and stability for this lot development project. Nobella has already attracted substantial interest from local and national builders. The projects phased development approach is designed to take advantage of favourable market conditions while delivering a wide range of housing options to meet the evolving needs of Phoenix’s expanding population.
This investment highlights Trez Capital’s strategic agility in capitalizing on resilient markets, setting the stage for continued growth into 2025.
“Trez Capital has successfully navigated a highly stressed environment for real estate investors through robust risk management practices, diligent management of liquidity and strong, trusted relationships with our investors, borrowers and financing partners,” said John Maragliano, Chief Financial Officer & Chief Operating Officer. “We have selectively focused on the best deployment opportunities for our investors’ capital and are optimistic about the future as we turn the corner on this interest rate cycle.”
For further details, access the full Q3 2024 report here.
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About Trez Capital
Founded in 1997, Trez Capital is a diversified real estate investment firm and preeminent provider of commercial real estate debt and equity financing solutions across North America. Trez Capital offers private and institutional investors strategies to invest in a variety of opportunistic, fully secured mortgage investment funds, syndications and joint-ventures; and provides property developers with quick approvals on flexible short- to mid-term financing.
With offices throughout North America, Trez Corporate Group has over $5.4* billion CAD in assets under management and has funded over 1,800 transactions totalling more than $20 billion CAD since its inception. For more information visit www.trezcapital.com. (*Trez Corporate Group AUM includes assets held by all Trez-related entities as well as $3.0 billion Manager AUM (Trez Capital Fund Management Limited Partnership)).
For more information please contact: media@trezcapital.com.
These materials are for informational purposes only and do not constitute an offer to sell or a solicitation to buy securities. Past results are not indicative of future performance. Forward-looking statements are included. Actual results, performance and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained above. Such forward-looking statements are based on a number of assumptions which may prove to be incorrect including, but not limited to: the ability of the Funds to acquire and maintain a portfolio of mortgages capable of generating the necessary annual yield or returns to enable the Funds to achieve their investment objectives, the ability of the Funds to establish and maintain relationships and agreements with key financial partners, the maintenance of prevailing interest rates at favorable levels, the ability of borrowers to service their obligations under the mortgages, the ability of the Manager to effectively perform its obligations to the Funds, anticipated costs and expenses, competition, and changes in general economic conditions. While the Funds anticipate that subsequent events and developments may cause its views to change, the Manager specifically disclaims any obligation to update these forward-looking statements, except as required by applicable law.