RAIT Financial Trust (Resource Asset Investment Trust) is a real estate investment trust owned by Fortress Investment Group that manages commercial real estate loans and properties. It is headquartered at 130 West 42nd Street, New York City.[1]
History
RAIT was founded in August 1997 by Resource America, Inc. at which time it was led by Betsy Z. Cohen.[1][2]
In January 1998, the company became a public company via an initial public offering.[3]
In December 2006, the company merged with Taberna Financial Realty Trust.[4]
In August 2007, during the subprime mortgage crisis, the company suffered due to its exposure to American Home Mortgage.[5]
In July 2009, the company sold its residential mortgage portfolio to Angelo Gordon for $15.8 million and took a $62 million loss on the sale.[6]
In March 2014, Urban Retail Properties became a subsidiary of the company.[7]
In November 2015, the company signed a lease to move its offices from the Cira Centre.[8]
In May 2017, the company sold UBS Plaza for $14 million.[9]
In December 2018, the company sold PlazAmericas.[10]
In August 2019, after defaulting on its bonds, RAIT filed bankruptcy and agreed to be acquired by Fortress Investment Group for $174.4 million.[11]
Magnetar Capital, a hedge fund, made a competing offer to acquire the company but the offer was rejected by a judge in December 2019.[12]
References
- Overview RAIT Financial Trust^
- Natalie Kostelni. Housing misery hits RAIT American City Business Journals, September 10, 2007^
- IPOs for the fearless CNN, January 12, 1998^
- RAIT merger complete American City Business Journals, December 11, 2006^
- Kemba J. Dunham. Home-Loan Woes Hit Commercial REITs The Wall Street Journal, August 15, 2007^
- Natalie Kostelni. RAIT unloads loans, takes loss American City Business Journals, July 22, 2009^
- RAIT Financial Trust Acquires Retail Centers for $50.8 Million Business Wire, September 18, 2014^
- Natalie Kostelni. RAIT Financial Trust leaving Cira Centre, wants to be back in Center City American City Business Journals, November 13, 2015^
- Mark Reilly. UBS Plaza in St. Paul sells fetches $14 million in sale American City Business Journals, May 26, 2017^
- Olivia Pulsinelli. Houston real estate firm buys former Sharpstown Mall American City Business Journals, December 21, 2018^
- Becky Yerak. RAIT Financial Trust Files for Bankruptcy The Wall Street Journal, August 31, 2019^
- Becky Yerak. RAIT Financial Shareholders Fail to Derail Fortress Bankruptcy Bid The Wall Street Journal, December 5, 2019^