Transaction expected to bolster the expansion of its lending business
Sachem Capital, a real estate financing firm operating as a mortgage REIT, has completed a $200 million master repurchase financing facility with Churchill MRA Funding.
Under the terms of the deal, Sachem has the right, but is not obligated to, sell mortgage loans to Churchill, a subsidiary of NYC-based Churchill Real Estate. Churchill also has the right, but not the obligation, to buy those loans.
The master repurchase financing facility is expected to reduce the overall cost of Sachem’s capital and finance the continued expansion of its lending business and other general corporate purposes, the company said in a statement.
“We believe the size and favorable terms of this facility reflect our growth as an organization and the strength of our loan portfolio,” said John Villano, chairman and CEO of Sachem Capital.
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“This transaction demonstrates Churchill’s continued commitment to real estate market opportunities related to fix-and-flip financing. We look forward to continuing our relationship with Sachem Capital, one of the leaders in this space,” said Derrick Land, managing partner at Churchill Real Estate.
Janney Montgomery Scott LLC acted as sole lead arranger in the transaction.
