NEW YORK, Sept. 23, 2022 (GLOBE NEWSWIRE) — New York Mortgage Trust, Inc. (Nasdaq: NYMT) (the “Company”) introduced as we speak that its Board of Directors (the “Board”) has permitted a strategic repositioning of its business by opportunistically disposing of the Company’s three way partnership fairness pursuits in multi-family properties over time and reallocating its capital away from such belongings to its focused belongings.
The Company held $265.0 million in three way partnership fairness pursuits in multi-family properties as of June 30, 2022, representing 5.7% of its whole funding portfolio. As of September 22, 2022, the Company held $336.6 million in money.
“Beginning in 2020, we saw an exciting opportunity within the multi-family property sector to utilize our sourcing network and add equity exposure to over 20 properties through joint ventures,” mentioned Jason Serrano, the Chief Executive Officer and President of the Company. “Due to various factors, the multi-family property sector recorded historical increases in per unit rent in several targeted markets resulting in opportunities that we believe will unlock value for our stockholders on an accelerated timeline. Thus, we are considering various opportunities to monetize what we believe is appreciated value within our portfolio of multi-family joint venture equity investments. We believe that through a well-navigated disposition process and discontinuing capital allocations to multi-family joint venture equity, we can rotate the portfolio over time to investments in a higher rate environment. While we will continue to invest in multi-family mezzanine lending, we see these dispositions as an appropriate step in the evolution of our portfolio positioning. We are excited about the opportunity to simplify our business and take advantage of other market dynamics that provide compelling risk-adjusted returns.”
About New York Mortgage Trust
New York Mortgage Trust, Inc. is a Maryland company that has elected to be taxed as an actual property funding belief (“REIT”) for federal earnings tax functions. NYMT is an internally managed REIT within the business of buying, investing in, financing and managing primarily mortgage-related single-family and multi-family residential belongings.
When used on this press launch, in future filings with the Securities and Exchange Commission (the “SEC”) or in different written or oral communications, statements which aren’t historic in nature, together with these containing phrases similar to “will,” “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “could,” “would,” “should,” “may” or comparable expressions, are meant to establish “forward-looking statements” inside the that means of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and, as such, might contain recognized and unknown dangers, uncertainties and assumptions. Statements concerning the next topic, amongst others, could also be forward-looking: strategic repositioning away from the Company’s multi-family three way partnership fairness portfolio, unlocking worth for stockholders and rotating the portfolio to investments in a better charge surroundings.
Forward-looking statements are primarily based on estimates, projections, beliefs and assumptions of administration of the Company on the time of such statements and will not be ensures of future efficiency. Forward-looking statements contain dangers and uncertainties in predicting future outcomes and situations. Actual outcomes and outcomes might differ materially from these projected in these forward-looking statements resulting from a wide range of components, together with, with out limitation: adjustments within the Company’s business and funding technique; adjustments in rates of interest and the truthful market worth of the Company’s belongings, together with destructive adjustments leading to margin calls regarding the financing of the Company’s belongings; adjustments in credit score spreads; adjustments within the long-term credit score scores of the U.S., Fannie Mae, Freddie Mac, and Ginnie Mae; common volatility of the markets by which the Company invests; adjustments in prepayment charges on the loans the Company owns or that underlie the Company’s funding securities; elevated charges of default or delinquency and/or decreased restoration charges on the Company’s belongings; the Company’s skill to establish and purchase focused belongings, together with belongings in its funding pipeline; adjustments in relationships with the Company’s financing counterparties and the Company’s skill to borrow to finance its belongings and the phrases thereof; adjustments within the Company’s relationships with and/or the efficiency of its working companions; the Company’s skill to foretell and management prices; adjustments in legal guidelines, rules or insurance policies affecting the Company’s business, together with actions which may be taken to comprise or deal with the impression of the COVID-19 pandemic; the Company’s skill to make distributions to its stockholders sooner or later; the Company’s skill to take care of its qualification as a REIT for federal tax functions; the Company’s skill to take care of its exemption from registration underneath the Investment Company Act of 1940, as amended; dangers related to investing in actual property belongings, together with adjustments in business situations and the final economy, the supply of funding alternatives and the situations out there for Agency RMBS, non-Agency RMBS, ABS and CMBS securities, residential loans, structured multi-family investments and different mortgage-, residential housing- and credit-related belongings, together with adjustments ensuing from the continued unfold and financial results of COVID-19; and the impression of COVID-19 on the Company, its operations and its personnel.
These and different dangers, uncertainties and components, together with the chance components described within the Company’s studies filed with the SEC pursuant to the Exchange Act, might trigger the Company’s precise outcomes to vary materially from these projected in any forward-looking statements the Company makes. All forward-looking statements communicate solely as of the date on which they’re made. New dangers and uncertainties come up over time and it’s not doable to foretell these occasions or how they might have an effect on the Company. Except as required by legislation, the Company shouldn’t be obligated to, and doesn’t intend to, replace or revise any forward-looking statements, whether or not on account of new data, future occasions or in any other case.
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