Slate Asset Management closes inaugural debt investment fund

Slate Asset Management closes inaugural debt investment fund

Slate Asset Management has announced the final close of Slate Real Estate Capital I (SREC I), its inaugural debt focused investment vehicle.

Slate said SREC I today also completed the first closing with respect to the previously announced US$2.33 billion acquisition of the commercial real estate business of Annaly Capital Management, Inc.

The portion of the portfolio being acquired by Slate Grocery REIT is still pending and is expected to close in the third quarter of 2021.

The fund was oversubscribed with third-party capital commitments from a global group of new and existing institutional investors, including a preferred equity investment from Goldman Sachs Asset Management’s Vintage and Vintage Real Estate Partners Funds.

“Our primary focus at Slate is to create long-term value for our investors, and we are very pleased to be deepening and expanding our relationships with valued partners like Goldman Sachs Asset Management and other global institutional investors,” said Blair Welch, Co-founding Partner of Slate. “With the initial close of this transaction, our platform and team are now set up to capitalize on compelling and creative investment opportunities across the entire capital stack.”

“By bringing to bear scale and in-depth underwriting capabilities, Slate and the Vintage Funds were able to structure a multi-faceted investment and acquire a high-quality portfolio of real estate credit positions that combines downside protection and attractive return potential,” said Sean Brenan, Managing Director at Goldman Sachs Asset Management.

Slate said the acquisition would further expand Slate’s investment capabilities, enabling the firm to execute bridge and transitional lending, acquisitions of existing loans, investments in debt securities and provide flexible liquidity solutions to strong sponsors and assets.