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RAIT Financial Trust Sells Apartment Property in Fort Collins, Colorado

^{Published on 2010-12-06 14:30:17 - Market Wire}
 

PHILADELPHIA--([ BUSINESS WIRE ])--RAIT Financial Trust (NYSE:RAS) (aRAITa) announced that it sold an apartment property for $12.95 million, realizing a gain on sale of approximately $1.0 million after costs and full repayment of the underlying debt. The property is a class aB+a, garden style, 167 unit apartment community located in Fort Collins, Colorado. The sale is part of RAITa™s previously announced strategy to increase funds available for re-investment through RAITa™s commercial real estate securitizations. The sale closed in December of 2010.

RAIT originally sourced, funded and held the first mortgage and mezzanine loan on the property. In February 2009, as the economic and financial crisis negatively impacted the propertya™s performance, RAIT chose to take control of the property and converted its loan position into direct ownership.

As an owner and operator, RAIT utilized its experience with the support of Jupiter Communities, LLC (aJupitera), RAITa™s multi-family property management subsidiary, to successfully transition the property. Jupiter re-positioned the property resulting in an increase in the propertya™s occupancy and net operating income from the time RAIT took control of the property through its disposition. RAIT refinanced the property with Freddie Mac in February of 2010. The property was classified as an asset held for sale at September 30, 2010.

About RAIT Financial Trust

RAIT Financial Trust manages a portfolio of real estate related assets, provides a comprehensive set of debt financing options to the real estate industry and invests in real estate related assets. RAIT's management uses its experience, knowledge and relationship network to seek to generate and manage real estate related investment opportunities for RAIT and for outside investors. For more information, please visit [ www.raitft.com ] or call Investor Relations at 215.243.9000.