Fort Lee-based Cross River Bank announced on Monday that it completed a significant $288 million Commercial Mortgage-Backed Securities (CMBS) transaction.
This deal marks Cross River as one of the first technology-driven banks to successfully securitize a pool of seasoned commercial real estate assets, cementing its role in the capital markets arena. The securitization converts a pool of commercial real estate loans originated by the bank’s Commercial Banking Group (CBG) into bonds, which were purchased by a range of institutional investors.
The transaction is a major step in Cross River’s strategy to diversify its funding sources beyond traditional deposits, creating a consistent channel for accessing capital markets. By removing the seasoned loans from its balance sheet, the bank frees up capacity to support continued loan origination and manages its growth more efficiently.
“This transaction is a major step forward in our capital and funding strategy,” Shimon Eisikowicz, executive vice president, chief lending officer, and head of the Commercial Banking Group at Cross River said. “It showcases our ability to originate, structure, and bring institutional-quality assets to market, while creating new avenues to support our clients and manage growth.”
The senior tranches of the CMBS received a ‘AAA’ rating from both Moody’s and Morningstar DBRS, reflecting strong confidence in the transaction’s structure and the quality of the underlying credit.
Cantor Fitzgerald served as the sole lead manager and sole bookrunner for the transaction, with Greystone Structured Products acting as the advisor.
Cross River’s Commercial Banking Group specializes in real estate and business lending, with its Commercial Real Estate division focusing on diverse asset classes—including multifamily, retail, mixed-use, and industrial—across the New York, New Jersey, Connecticut, and Pennsylvania metro areas.
