National + Finance | April 26, 2022

CEO David Finkelstein said the sale of Annaly's middle market lednig portfolio marked the latest in a series of strategic actions

Annaly Offloads Middle Market Portfolio to Ares

Annaly Capital Management, Inc. has entered into a definitive agreement to sell its middle market lending portfolio to Ares Capital Management LLC. Valued at approximately $2.4 billion, the sale represents substantially all of Annaly’s middle market Lending assets held on balance sheet along with assets managed for third parties.

The company’s middle market lending portfolio is comprised of predominantly first- and second-lien loans focused on defensive, counter-cyclical industries.

“The sale of our middle market lending portfolio represents a successful outcome for Annaly’s shareholders and marks the latest in a series of strategic actions – including the disposition of our commercial real estate business and investments into our mortgage servicing rights and residential credit businesses – that have enhanced our focus and capabilities across our core housing finance strategy,” said David Finkelstein, Annaly’s CEO & president.

The sale is expected to be completed by the end of the second quarter.

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).