As we continue to drive investment activity, this credit facility will provide efficient financing to selectively lever our debt investments and further diversify the NorthStar Income II portfolio.
New York, NY (PRWEB) July 17, 2014
NorthStar Real Estate Income II, Inc. (NorthStar Income II) announced today that it has entered into a $100 million credit facility with Deutsche Bank. NorthStar Income II will use the credit facility to finance first mortgage loans and senior loan participations secured by commercial real estate. This transaction brings NorthStar Income II’s total credit facility capacity to $200 million, including its existing facility with Citibank, N.A.
“This facility represents a core component of our business strategy and highlights the importance of our sponsor’s established relationships with institutional financing partners,” said Daniel R. Gilbert, chief executive officer and president. “As we continue to drive investment activity, this credit facility will provide efficient financing to selectively lever our debt investments and further diversify the NorthStar Income II portfolio.”
NorthStar Income II’s portfolio consists of four senior mortgage loans with a combined principal amount of $157.2 million as of July 16, 2014.
About NorthStar Real Estate Income II, Inc.
NorthStar Income II is a public, non-traded real estate investment trust (REIT) sponsored by NorthStar Asset Management Group Inc. (NYSE: NSAM). NorthStar Income II was formed to originate, acquire and asset manage a diversified portfolio of commercial real estate debt, select equity and securities investments.
This press release contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are generally identifiable by use of forward-looking terminology such as “will,” “expects,” “intends,” “plans,” or other similar words or expressions. These statements are based on NorthStar Income II’s current expectations and beliefs and are subject to a number of trends and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements; NorthStar Income II can give no assurance that its expectations will be attained. Forward-looking statements are necessarily speculative in nature, and it can be expected that some or all of the assumptions underlying any forward-looking statements will not materialize or will vary significantly from actual results. Variations of assumptions and results may be material. Factors that could cause actual results to differ materially from NorthStar Income II's expectations include, but are not limited to, the ability to satisfy the covenants contained in NorthStar Income II’s credit facilities and related agreements, the ability to meet the conditions to financing with respect to any particular asset, the ability to use credit facilities to finance first mortgage loans and senior loan participations secured by commercial real estate, the ability to execute NorthStar Income II’s business plan, the ability to drive investment activity, the ability to further diversify NorthStar Income II’s portfolio, the availability of investment opportunities, the ability to benefit from the sponsor’s relationships with institutional financing partners, the impact of any losses from our investments on cash flows and returns, property level cash flows, changes in economic conditions generally and the real estate and debt markets specifically, availability of capital, the ability to achieve targeted returns, changes to generally accepted accounting principles, policies and rules applicable to REITs and the factors specified in in Part I, Item 1A of NorthStar Income II’s Annual Report on Form 10-K for the fiscal year ended December 31, 2013, as well as in NorthStar Income II’s other filings with the Securities and Exchange Commission. The foregoing list of factors is not exhaustive. All forward-looking statements included in this press release are based upon information available to NorthStar Income II on the date of this press release and NorthStar Income II is under no duty to update any of the forward-looking statements after the date of this press release to conform these statements to actual results.