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TPG Focuses on Loan Originations and Further Reducing Cost of Funds


TPG RE Finance Trust Inc. recently revealed its operating results for the quarter ended June 30, 2017 where the REIT showed that it had produced GAAP Net Income and Core Earnings of $25.3 million, or $0.64 per diluted common share, based on a pre-IPO weighted average share count of 39.5 million shares. The REIT had also increased net interest income to $32.1 million, up $8.8 million, or 37.6% from the three months ended June 30, 2016.

The company also revealed that it had closed $332 million of total loan commitments, lifting first half total loan originations to $676 million and owned a performing $2.7 billion high quality mortgage loan portfolio, consisting primarily of floating rate, first mortgage loans, with a weighted average LTV of 60.2%

Greta Guggenheim, CEO of TPG RE Finance Trust, stated: “We maintained our strong origination pace in the second quarter, closing $332 million of quality first mortgage loans. We did so while simultaneously working toward our July IPO, which is a testament to the strength of our team and the quality of our loan pipeline.”

She adds that “With the IPO successfully concluded, we are entirely focused on loan originations and further reducing our cost of funds. With an enlarged and strengthened capital base we expect to make deeper inroads in the large-loan commercial mortgage market nationally. We are pleased with our originations pace and are rigorously evaluating a $3.0 billion loan pipeline for more quality originations. In this environment, we expect our concentration on property-specific dynamics and our strict adherence to rigorous credit standards will continue to deliver attractive risk-adjusted returns to our shareholders.”

TPG RE Finance Trust Inc. is a commercial real estate finance company, operating as a real estate investment trust, that focuses primarily on directly originating, acquiring, and managing commercial mortgage loans and other commercial real estate‐related debt instruments for its balance sheet.