CWCapital (formerly known as Continental Wingate Capital), a major U.S.-based real estate lender, announced today that it has been purchased by a group led by its management and Cadim, a real estate advisor and investment member of CDP Capital, CanadaÂ's largest asset manager with more than US$83 billion of assets on five continents.
'This relationship will create many synergies,' explained Andre Collin. It provides for us a well managed, U.S. multifamily and commercial real estate lender with strong senior management, a solid reputation, national reach, well established infrastructure, and a large mortgage-servicing base. In sum, CWCapital represents an ideal vehicle in the U.S. real estate debt markets for our institutional asset and fund management strategy. 'We are especially excited about CWCapital plans to create a series of managed funds, which will provide investors with opportunities to invest in higher yielding assets.'
'This alliance provides CWCapital with the opportunity to grow our business through the expansion of existing offices, the opening of new offices and the strategic acquisition of mortgage banking and other lending companies,' said Michael Berman, President of CWCapital. 'We fully expect to triple the companyÂ's annual production volume as well as our servicing portfolio.'
CWCapital plans to enhance its growth opportunities by using CDP CapitalÂ's support to add new lending products - such as B piece funds, bridge loans and mezzanine loans. At the same time, CWCapital will add master servicing and special servicing capabilities for Commercial Mortgage Backed Securities (CMBS). Current expansion plans focus on Southern California, Texas, the Mid-Atlantic and Mid-West. The companyÂ's lending activities are currently focused on three products: HUD (multi-family and seniors housing), Fannie Mae DUS (multi-family housing of all kinds - affordable, seniors, student, manufactured) and commercial conduit (office, retail, industrial, self-storage and hotel).
'This arrangement emerges from CadimÂ's trust in our expertise in U.S. markets, certainty that there will be continuity of management as well as the knowledge that our philosophy and business interests are perfectly aligned. CadimÂ's capital and real estate investment philosophy will be merged with CWCapitalÂ's longstanding experience in lending, loan servicing and asset management,' said Schuster. 'We are confident that this alliance will propel us to the very top of real estate lenders in the country,' said CWCapitalÂ's CEO Schuster.
Cadim, a member of CDP Capital, is active in real estate-related investment banking and fund management. Generally operating with strategic partners, the Company invests in a wide range of debt and equity products on public and private markets, with a focus on opportunity products and all types of properties. Assets under management, diversified in the Americas, Europe and Asia, total over CA$5.2 billion (US$3.3 billion). For more information: www.cdpcapital.com/cadim/eng
CDP Capital has more than CA$133 billion (US$83.3 billion) in total assets under management and oversees the activities of CDP Capital - World Markets, CDP Capital - Private Equity and CDP Capital - Real Estate Group, which is the worldÂ's fifth largest asset manager in real estate ownership. With its experienced managers in global markets, CDP Capital provides CDP and other clients in Canada and around the world with the most comprehensive range of products and fund management services. For more information: www.cdpcapital.com.
CWCapital, which incurred no debt in the transaction, has been in business as a lender since 1971. Its loan officers work with mortgage brokers and borrowers throughout the U.S. It has closed over $2.5 billion of commercial and multifamily loans in the past five years, with $1 billion of loans under application and estimates closing over $800 million of loans in 2002. CWCapital services nearly $4.5 billion of multifamily and commercial real esta