Renovo Financial, a Chicago-based private lender that assists real estate investors who acquire, renovate and manage residential properties, announced it has closed an incremental $25 million commitment from Victory Park Capital (VPC), an investment firm focused on private middle-market debt and equity investments. VPC’s total investment now reaches $75 million following an existing $50 million investment which VPC closed with Renovo in March 2015.
“We’ve been impressed with Renovo’s underwriting and asset management over the past year,” said Tom Affolter, partner at VPC. “We’re pleased to reaffirm our partnership with Renovo’s experienced leadership team, and are excited to help catalyze accelerated growth as the company expands its lending activities.”
Renovo will use the additional funding to continue to aggressively grow its lending platform to provide best-in-class service to investors in this underserved marketplace. Founded in 2011 by its CEO Kevin Werner, Head of Lending Daniel Rosen and Granite Creek Partners, a Chicago-based private equity firm, Renovo offers short-term acquisition-and-construction loans as well as long-term financing for rental property investors.
Werner said, “VPC has been an invaluable partner for our business and we’re delighted to have their increased support to extend our lending activities into new markets. As we approach our fifth anniversary, we continue to be committed to serving the unique needs of residential real estate investors with tailored products, innovative technology solutions and world-class service.”
Mark Radzik, partner at Granite Creek, added, “We’re privileged to have overseen the rapid growth of Renovo’s business. VPC’s renewed commitment aligns with our belief that Renovo is uniquely positioned to further extend its market-leading position.”
Renovo is a rapidly-growing specialty finance business providing capital to residential real estate investors. Founded in 2011, Chicago-based Renovo is the premier provider of financial and strategic support for real estate investors in single-family and small multi-family properties.
Granite Creek Partners, L.L.C. is a Chicago-based investment firm founded in 2005 that provides equity and debt capital to public and private small businesses and innovative specialty finance for underserved industries. Granite Creek pursues investments in fundamentally sound U.S.-based middle market companies and seeks to accelerate the building of its portfolio companies through active oversight, add on acquisitions and access to growth capital.
Victory Park Capital Advisors, LLC (“VPC”) is an investment firm with a focus on alternative credit and a commitment to delivering attractive risk-adjusted returns and capital preservation for its clients. VPC provides privately negotiated debt and equity capital solutions to small and middle-market companies across a wide range of industries.