Profile: Northstar Realty Finance Corp (NRF)
29 Jun 2016
NorthStar Realty Finance Corp., incorporated on October 21, 2004, is a commercial real estate company. The Company invests in multiple asset classes across commercial real estate (CRE). Its portfolio consists of healthcare, hotel, manufactured housing communities, net lease and multifamily properties. The Company also invests in other opportunistic real estate investments, such as indirect interests in real estate through its investments in private equity funds (PE Investments). The Company also acquires and operates hotel and certain healthcare properties. The Company's segments include Real Estate, Commercial Real Estate Debt (CRE debt), Commercial Real Estate Securities, N-Star CDOs and Corporate. Its real estate equity investments that operate under the REIT Investment Diversification and Empowerment Act (RIDEA) structure generate resident and hotel guest related income from short-term residential agreements. The Company is externally managed and advised by an affiliate of NorthStar Asset Management Group Inc.
The Company's real estate business concentrates on various types of investments in commercial real estate located throughout the United States that includes healthcare, hotel, manufactured housing communities, net lease, multifamily and multi-tenant office properties. In addition, the segment includes certain healthcare properties located outside of the United States and PE Investments diversified by property type and geography.
The Company's healthcare properties consist of a portfolio of medical office buildings, senior housing, skilled nursing and other healthcare properties that are structured under net leases to healthcare operators. In addition, the Company owns senior operating facilities, which include independent living facilities and healthcare properties that operate through management agreements with independent third-party operators, primarily through RIDEA structures. The hotel portfolio consists of extended stay hotels and branded select service hotels located in metropolitan markets with the majority affiliated with hotel brands. The manufactured housing portfolio consists of communities that lease pad rental sites for placement of factory built homes located throughout the United States. In addition, the portfolio includes manufactured homes and receivables related to the financing of homes sold to residents. The net lease properties are primarily industrial, office and retail properties typically under net leases to corporate tenants. The multifamily portfolio primarily focuses on properties located in suburban markets. The real estate business also includes investments (directly or indirectly in joint ventures) owning PE Investments managed by institutional quality sponsors and diversified by property type and geography. The Company focuses on the acquisition of multi-tenant office properties in the western United States.
Commercial Real Estate Debt
The CRE debt business is focused on originating, acquiring and asset managing senior and subordinate debt investments secured by commercial real estate and includes first mortgage loans, subordinate mortgage, and mezzanine loans and participations in such loans, and preferred equity interests. The Company is focuses on monetizing its CRE debt investments through sales.
Commercial Real Estate Securities
The CRE securities business consists of N-Star collateralized debt obligation (CDO) bonds and N-Star CDO equity of deconsolidated N-Star CDOs and includes other securities. The Company also invests in opportunistic CRE securities, such as an investment in a B-piece commercial mortgage-backed securities (CMBS). The Company sponsors over nine CDOs, over three of which are collateralized by CRE debt and over six of which are collateralized by CRE securities. In addition, the Company has equity interests in two CRE debt focused CDOs, the CSE RE 2006-A CDO (CSE CDO) and the CapLease 2005-1 CDO (CapLease CDO). The Company owns the equity interests in all of its N-Star CDO financing transactions.
The Company originates or acquires CRE debt and securities investments that are financed through permanent, non-recourse CDOs. The Company invests in a range of CRE assets. The Company receives collateral management fees related to administrative responsibilities for deconsolidated N-Star CDO financing transaction, which are recorded in its N-Star CDOs segment.
Northstar Realty Finance Corp
399 Park Ave Fl 18
NEW YORK NY 10022-4968
Company Web Links
- NorthStar Asset Management, Colony Capital, NorthStar Realty to merge
- UPDATE 2-NorthStar Asset Management, Colony Capital, NorthStar Realty to merge
- NorthStar Asset Management, Colony Capital and NorthStar Realty Finance to merge
- BRIEF-Northstar Asset, Colony Capital, Northstar Realty finance announce merger
- BRIEF-Northstar Realty Finance Corp Q1 loss per share $0.79