TORONTO, Dec. 07, 2023 (GLOBE NEWSWIRE) — Timbercreek Financial (TSX: TF) (the “Company”) is pleased to provide an update on Groupe Mach’s purchase of a portfolio of five Groupe Huot income-producing, multi-family projects. The transaction will result in the Company receiving repayment of all principal and interest in arrears on the associated loans. These loans were included in the Company’s Stage 3 assets as at September 30, 2023, representing a total of $146.1 million.
As part of the transaction, the purchaser paid a portion of the acquisition with cash, equating to a partial paydown of approximately $24 million of the Company’s share of the outstanding debt. The Company, along with the broader lending group, provided the purchaser with a current-pay bridge loan to its new term facility. The Company is scheduled to receive the full amount of the remaining principal outstanding by the end of Q4 2023.
“We’re very pleased with the resolution on this portfolio of loans, which represented a sizable portion of the Stage 3 loans at quarter end,” said Blair Tamblyn, CEO of Timbercreek Financial. “I appreciate the continued effort and focus of our team in actively managing these situations. As we continue to navigate through the end of the ‘one-two’ punch of the pandemic and interest rate shock, we remain focused on actively driving similar outcomes in select situations, as required. Over our 15-year history we have built a track record of doing so – recovering capital and ensuring the best outcomes for our shareholders. We look forward to redeploying our capital into a market that is providing attractive risk-adjusted returns from a lender’s perspective.”
About the Company
Timbercreek Financial is a leading non-bank, commercial real estate lender providing shorter-duration, structured financing solutions to commercial real estate professionals. Our sophisticated, service-oriented approach allows us to meet the needs of borrowers, including faster execution and more flexible terms that are not typically provided by Canadian financial institutions. By employing thorough underwriting, active management and strong governance, we are able to meet these needs while generating strong risk-adjusted yields for investors. Further information is available on our website, www.timbercreekfinancial.com.
SOURCE: Timbercreek Financial
For further information, please contact:
Blair Tamblyn, CEO
Tracy Johnston, CFO
Karynna Ma, Vice President, Investor Relations