Ares Management Seals $564M CMBS SASB Refi

Ares Management (ARES) — acting through its subsidiary Ares Industrial Real Estate Income Trust (Aireit) — has secured $563.9 million commercial mortgage-backed securities (CMBS) investment to refinance a 37-property, 7.4 million-square-foot industrial portfolio. 

Commercial Mortgage Alert first reported the financing. 

A trio made up of Morgan Stanley (MS), Deutsche Bank and Goldman Sachs (GS) originated the five-year, floating-rate CMBS loan, which carries a term of two years and includes three one-year extensions. 

The financing was arranged by the CBRE (CBRE)’s Tom Rugg, Tom Traynor, Mark Finan, Steve Roth, Mark Fluent, Bill Moyer and David Milestone. 

The loan will be securitized in the ARES 2025-INDC-3 single-asset, single-borrower transaction. 

The portfolio stretches across nine states and targets 12 markets that include Dallas, Atlanta, Chicago, Indianapolis and Las Vegas. It comprises 22 multi-tenant and 15 single-tenant properties, with tenants that include Mondelez International leasing 986,000 square feet at Northlake Logistics Crossing 1, an industrial property in Northlake Texas, and C.H. Robinson leasing 754,000 square feet at 4241 Plainfield Road in Indianapolis. 

Assets within the portfolio — which were acquired by Aireit between 2019 and 2024 — have an aggregate collateral value of $911 million, and a net operating income underwritten at $45.6 million, according to Bloomberg Data. The loan-to-value of the $565 million CMBS package comes out to 61.9 percent. 

The closing of the $564 million CMBS loan comes just weeks after the closing of another large CMBS SASB deal, BX Commercial Mortgage Trust, 2025-SPOT, a $1.3 billion financing of industrial properties and data centers across five states that closed on March 20. In both cases, the AAA bond class within the CMBS originations priced at 150 basis points over the Secured Overnight Financing Rate (SOFR), which indicates investors were predisposed to the latest Ares CMBS financing, as it comes at a time of market turbulence sparked by federal tariff policies. 

Since March 20, the S&P 500 has declined 12 percent, while the Dow Jones Industrial Average has declined 11 percent. 

This is one of several large CMBS financings Ares Management has engaged in over the last year. Ares secured $590 million in CMBS from Citigroup, Barclays, and J.P. Morgan Chase last June — securitized in ARES 2024-IND — and $475 million from J.P. Morgan, Morgan Stanley and Natixis — securitized in ARES 2024-IND2. 

Aireit currently has $9.5 billion worth of assets. 

Ares Management, Morgan Stanley, Deutsche Bank and Goldman Sachs did not respond to requests for comment. 

Brian Pascus can be reached at bpascus@commercialobserver.com