RXR and Liberty Mutual Investments (LMI), the investment firm for Liberty Mutual Group, said Thursday they had expanded their long-term strategic partnership. As part of this expansion, the strategic partnership will target $1 billion of credit deployments across the capital stack, including senior loans, subordinate financing, construction financing and flexible preferred equity. LMI is also serving as lead investor in RXR’s $250-million investment-grade corporate bond financing.

LMI structured and led a $250-million investment-grade bond financing for RXR’s management company, with participation from New York Life. The loan is collateralized by diversified revenue streams from RXR’s property management, asset management, development and credit business. The LMI–RXR partnership commenced in 2010.

“The market is undergoing a significant evolution, creating some of the most compelling opportunities we’ve seen in years,” said Scott Rechler, chairman and CEO of RXR. “RXR’s vertical integration and operating expertise provide a distinct advantage in sourcing investments and managing risk. With a wave of low-interest loans maturing, we’re well-positioned to step in and deliver strong, risk-adjusted returns for our investors.”