3650 REIT (“3650”), a nationwide lender originating and managing portfolio commercial real estate (“CRE”) loans for leading institutional investors, today announced the closing of $580 million in institutional capital commitments in its Stable Cash Flow II investment vehicle. Expanding its existing relationship with 3650, the California State Teachers’ Retirement System (“CalSTRS”) made significant lead investments in the new vehicle with large allocations from both its Fixed Income and Real Estate portfolios.

“We are excited to build on the success of our existing joint venture with CalSTRS and anticipate making further investment announcements in the near future,” said 3650 REIT Co-Founder and Managing Partner Jonathan Roth. “As a leading global investor, CalSTRS recognizes the differentiation of the 3650 platform and the investment advantages of our private, direct lending approach providing tailored portfolio financing products to best-in-class CRE owners and operators across U.S. markets.”

On behalf of its institutional partners, 3650 originates portfolio loans across U.S. CRE lending markets, from long-term first mortgages on core properties, to construction loans, mezzanine debt, preferred equity and rescue capital. 3650’s direct sourcing network targets differentiated opportunities generated by teams in Miami, New York, Los Angeles, Dallas, Chicago and Nashville managing relationships with leading owners, operators and intermediaries in markets across the country. On behalf of its institutional investors, 3650 holds and manages each loan in its portfolio through maturity, fostering responsive communication and strong relationships with professional property owners.

“Through four dislocation cycles in CRE markets over the last 30 years, we’ve identified two consistent attributes of long-term success: prudent leverage and hands-on capabilities to maintain property competitiveness through changing markets,” said 3650 Co-Founder and Managing Partner, Justin Kennedy. “These are the core values of 3650’s investment approach, and they are critical factors in our portfolio performance to date. Even as the pandemic comes under control, we and CalSTRS believe our cautious, hands-on approach through the term of each loan will be of critical value as CRE markets adjust to shifting demand across asset types and geography.”

“We built 3650 to bring portfolio lending advantages in transparent communication, flexible structuring and responsive asset management to CRE capital markets,” said Toby Cobb, Co-Founder and Managing Partner for 3650. “Our portfolio performance to date through the pandemic goes a long way in demonstrating the fundamental benefits of our lending model for both for our borrowers and investment partners. Having investors of this caliber make commitments on this scale provides additional validation that our model’s direct investment of pension capital in high-quality loan assets will bring long-sought improvements in service and alignment to borrowers and investors across CRE markets.”

Since its inception in 2018, 3650 has closed over $640 million in its bridge and event-driven lending strategy and $2.7 billion in its long-term, stable cash flow strategy. 3650 enters 2021 with a strong pipeline of origination opportunities across its platform.

About 3650 REIT

3650 (pronounced “Thirty-Six Fifty”) REIT is a nationwide commercial real estate lender originating and servicing portfolio loans for relationship borrowers. 3650 REIT’s highly differentiated lending process, national scale, vertically integrated platform and Rated Special Servicer status enable it to deliver tailored financing solutions, high-touch service and reliable, customer-focused outcomes. Co-Founders and Managing Partners Toby Cobb, Justin Kennedy and Jonathan Roth have played leading roles in the evolution of the CRE debt markets. Headquartered in Miami, Florida with offices in New York, Los Angeles, Chicago, Dallas, and Nashville. For more information, visit: www.3650REIT.com.

About CalSTRS

CalSTRS provides a secure retirement to more than 975,000 members whose CalSTRS-covered service is not eligible for Social Security participation. Members retire on average after more than 24 years in the classroom with a monthly benefit of approximately $4,547. Established in 1913, CalSTRS is the largest educator-only pension fund in the world with approximately $275 billion in assets under management as of November 30, 2020. CalSTRS demonstrates its strong commitment to long-term corporate sustainability principles in its annual Global Reporting Initiative Sustainability Report. For more information, visit CalSTRS.com.

THIS INFORMATION DOES NOT CONSTITUTE AN OFFER TO SELL, OR A SOLICITATION OF AN OFFER TO BUY, AN INTEREST IN ANY JURISDICTION.