South Florida Real Estate Titans Fortune International Group and The Related Group Partner On Vaster Capital

Vaster Capital, a Miami-based direct, private lender specializing in customizing bridge loan products for domestic and foreign real estate investors, has announced a new partnership with national real estate development firm The Related Group, led by Jorge Perez.

Vaster Capital was formed in 2017 by Fortune International Group, led by Edgardo Defortuna, and Rialto Capital Management, who has since been acquired by Stone Point Capital. Vaster Capital has closed more than $150,000,000 of loans on residential properties in South Florida since inception. To form the new partnership Related Group has acquired Rialto’s ownership stake. With Rialto out Vaster Capital plans to roll-out new loan programs which include lending on commercial properties as well as expanding out of South Florida markets. The partnership will also allow Vaster Capital to offer both domestic and foreign investors sophisticated hassle-free mortgage financing. Vaster is offering loans with rates as low as 7.59% and no pre-payment penalties, as well as the ability to fix rates for its borrowers for periods of up to three years. Additionally, Vaster is now lending on commercial properties and land for development. With a highly experienced team and a cutting-edge technology driven operational approach, Vaster can underwrite and close loans faster and with more efficiency. Both brokers and borrowers can easily obtain a quote, apply, and close loans in a seamless and a hassle-free manner.

“We see this new venture as a strong way to give our domestic and international buyers additional flexibility. There are no other players with our track record or level of experience and we’re confident this will not only give borrowers much-needed peace of mind, but also allow us to expand to geographic markets beyond South Florida,” said Matt Allen, Related’s Chief Operating Officer and Executive Vice President.

“Although Fortune has provided real estate services to the South Florida real estate investor for more than 30 years, Vaster Capital provides a new solution for the real estate investor, broker or developer, while filling a void in the marketplace by providing fast and accessible liquidity in closing transactions with a reliable lender who understands real estate. We look forward to continuing to evolve our business platform to become the lender of choice in the local market as well as the new markets we are lending in,” said Edgardo Defortuna, President and CEO of Fortune International Group.

Lennar to Sell Rialto to Stone Point Capital for $340 Million

Miami-based Lennar Corporation announced last week that it will sell its investment and asset management division, Rialto, to private equity firm Stone Point Capital. This move may be part of Lennar’s strategy to focus solely on homebuilding.

Rialto was created by Lennar after the recession to purchase distressed assets, but buying opportunities have been scarce as real estate prices have risen.

The company had communicated it was looking to sell off the division for months, which the Wall Street Journal reported in October. In the third quarter Rialto reported $49.5 million in revenue, less than one percent of Lennar’s total revenue.

Lennar said it will still retain one segment of Rialto — its Rialto Mortgage Finance business, which it expects to incorporate into its Financial Services business at the beginning of the 2019 fiscal year. Lennar will also retain interests in various Rialto funds, as well as investments in other legacy Rialto assets.

 Lennar reported earnings of $453.2 million in the third quarter or $1.37 per share. The homebuilding industry has struggled amongst rising supply and labor costs, which are placing pressure on its margins. Lennar, reported strong profitability, and earlier this year acquired CalAtlantic to become the largest homebuilder in the country, in a deal worth $9.3 billion.

By Katya Demina

Fortune International Group & Rialto Announce Launch of Vaster Capital to Help Foreign Nationals Close on Pre-Construction Condo Units

Fortune International Group & Rialto have announced the launch of Vaster Capital, a private bridge lender specializing in residential and commercial real estate. The goal of the company will be to fill a void in the marketplace for South Florida real estate investors seeking bridge loan products, including foreign nationals. Vaster Capital will have a major impact helping foreign nationals close on pre-construction condo units in which they are in with a 50% deposit. Fortune International Group (Fortune) is a Miami based real estate development company behind iconic towers such as Jade Signature, The Ritz-Carlton Residences, Sunny Isles Beach, and Auberge Beach Residences and Spa Fort Lauderdale; Rialto Capital Management is a Miami based real estate investment and asset management firm, which invests and manages assets throughout the capital structure in real estate properties, loans and securities, boasts a deep-rooted background in institutional lending and financial services. Vaster Capital has the ability to close loans much faster when compared to other lenders due to less bureaucracy and the use of technology. The firm plans to lend a substantial amount of capital in South Florida, with a goal to expand geographically in the near future. Vaster Capital has also formed a joint-venture with the Related Group, known as Vaster Capital II, to provide financing for buyers purchasing at Related’s portfolio of projects such as Paraiso Bay, Brickell Heights, Hyde Midtown, and SLS Lux. 

“Our goal has been to satisfy a long-standing gap within our marketplace, providing professional and customized bridge lending products while better servicing the Miami real estate investor,” said Edgardo Defortuna, President and CEO of Fortune International Group & founder of Vaster Capital. “This is a need I have always sought to address, appreciating that numerous buyers – both in the U.S. and beyond -- are interested in buying and selling real estate offerings in Miami, but do not have access to customized loan offerings that meet their specific needs.”

“Given both Rialto and Fortune’s knowledge of the real estate industry, along with Rialto’s extensive experience in real estate lending, Vaster Capital is structured to become an important lender in South Florida as well as other key markets, allowing borrowers to accomplish their financing needs through a seamless and efficient process,” said Eric Feder, Vice Chairman of Rialto Capital Management.