May. 18 at 4:28 PM
$ABR
Arbor Realty Trust (ABR) redeemed
$787 million of legacy CLO 17 notes at par on May 15, 2026, and transferred
$1.21 billion of assets into existing JPMorgan Chase repurchase facilities with materially better terms:
Lower funding costs: Pricing is “well below” the old CLO 17.
Higher leverage: 76% advance rate vs. 68% in the prior CLO structure. This improves capital efficiency (more assets supported per dollar of equity).
Tangible liquidity boost: The transaction created approximately
$132.3 million of additional liquidity.
These moves directly improve returns on the transferred assets through lower interest expense and better leverage. For a mortgage REIT like ABR