Arbor’s Innovative BTR CLO Delivers Key Competitive Advantages
First-of-its-Kind CLO Revolutionizes CRE Finance
Arbor Realty Trust, a perennial innovator in commercial real estate finance, closed a unique $802 million collateralized loan securitization (CLO) in May 2025 that cements the multifamily lender’s position at the forefront of build-to-rent (BTR) financing.
Latest Transaction Solidifies Arbor as a CLO Leader
The latest in a series of successful securitizations, Arbor’s BTR CLO uniquely includes loans financing BTR rental communities in various stages of vertical construction, post-construction lease-up, and stabilized operation.
The securitization, led by JPMorganChase, is the first CRE CLO to include not only loans issued for BTR but also the first to include loans issued for the ground-up development of any type of property.
Securitization Focuses on Fast-Growing CRE Sectors
BTR, one of the fastest-growing commercial real estate finance sectors, has increasingly attracted investment in communities nationwide as low supply continues to strain the housing market. New purpose-built communities, which often feature pools, clubhouses, and other amenities, have been generating strong returns. With demand high from lifestyle renters across generations, BTR fundamentals, including rent growth, have been strong and steady.
A BTR CLO Gives Arbor a Competitive Advantage
A CLO — a type of structured credit product that securitizes and sells a pool of loans in tranches to investors — benefits both borrowers and commercial real estate investors while providing an additional funding source to a direct lender like Arbor.
Arbor’s unique BTR CLO transaction is a significant competitive advantage that diversifies its financing platform and enhances efficiencies in many respects, including cost.
Arbor owns the loan portfolio and uses the proceeds of this securitization to repay borrowings under its current credit facilities, pay transaction expenses, and fund future loans and investments.
Arbor’s BTR CLO Complements a Diverse Financing Platform
Arbor’s BTR CLO complements its highly successful SFR financing platform, strengthening its capabilities to deliver outstanding value to borrowers.
As the demand for high-quality rental housing skyrockets nationwide, Arbor has been leading the charge in SFR/BTR lending. Launched in 2019, Arbor’s proprietary SFR platform offers an array of loan options, including:
Partner with a Top-Tier SFR Lender
When financing a rental housing construction project, it’s essential to have a partner that knows the market inside and out. Arbor Realty Trust, a leader in multifamily real estate lending for over 30 years, has the experience and expertise to customize SFR financing that fits your project’s needs and goals.
If you would like to learn more about partnering with Arbor on financing your next rental housing construction project, get in touch with our team today.
Interested in the multifamily real estate investment market? Contact Arbor today to learn about our array of multifamily, single-family rental, and affordable housing financing options or view our multifamily articles and research reports.