NEW YORK, April 08, 2026 (GLOBE NEWSWIRE) -- S3 Capital (“S3” or “the firm”), one of the most active private construction lenders nationally,¹ today announced a record year of investment activity, originating $2.62 billion across 137 loans during 2025. The results mark the most active calendar year in the firm’s history and underscore S3’s role as a key liquidity provider to multifamily residential developers during a time when traditional lending sources have pulled back from the market.

Construction loans accounted for over $2.4 billion across 116 transactions, with the balance consisting primarily of land loans expected to convert to construction financing or bridge loans for projects already underway. Since its founding in 2013, S3 has originated more than 840 loans totaling over $8.5 billion, establishing a long-standing track record in residential construction and development finance.

“S3’s performance this year reflects the strength and scalability of our platform coupled with strong demand for construction lending across our target markets,” said Joshua Crane, Co-Founder of S3 Capital. “As the national multifamily delivery pipeline contracts, the case for new construction and new construction lending will only get stronger."

S3’s growth has been driven by its focus on transit and community-oriented residential developments, including multifamily rental, condominium, and mixed-use projects. The firm’s vertically integrated platform and in-house construction monitoring team enable it to fund construction draws within one to two weeks, allowing borrowers to advance projects materially faster than through traditional lenders. In many cases, S3’s approach has helped developers complete projects months ahead of schedule. S3’s in-house construction team completed over 950 unique site visits in 2025, a testament to their hands on approach to asset management.

Notable 2025 Transactions

• $300M construction loan in Astoria, New York (26 story tower and three additional mid-rise buildings comprising a 731-unit multifamily project on the East River)
• $255M construction loan in Edgewater, New Jersey (25 story, 381-unit apartment tower along the Hudson River)
• $210M construction loan in Brooklyn, New York (28-story high-rise comprising 497 units in Sunset Park)
• $112M construction loan in Miami, Florida (250-unit luxury condominium project taking shape along the coast of Hallandale Beach)
  
  

In addition to its primary focus on large scale investment projects, S3 continued to expand its small-balance construction lending strategy, an area historically underserved by institutional capital. During 2025, the firm closed $730 million worth of construction loans under $25 million, supporting public-private partnerships in residential ground up development and meeting the needs of a wide range of borrowers to improve housing affordability for all.

While S3 has consistently ranked among the most active non-bank construction lenders in New York City,² the firm has continued to expand prudently into other Tier-1 US markets, supported by a new origination office in Miami. Across geographies, S3’s underwriting and active construction oversight have enabled the firm to preserve capital through market cycles.

“As demand for housing remains elevated and interest rates continue to decline, we anticipate continued growth in borrower activity for construction loans,” added Robert Schwartz, Co-Founder of S3 Capital. “Our focus continues to be on multifamily and condo construction loans that offer a strong margin of safety, and less competition in markets with attractive fundamentals. Our investors value our ability to grow our origination volumes while maintaining a focus on safety, consistency, and risk-mitigation.”

About S3 Capital
S3 Capital is a national real estate lender specializing in construction and bridge loans for multifamily development. With experienced and dedicated teams focused on origination, underwriting, and construction management, they take an active and hands-on approach to lending that aims to mitigate risk both before and during the life of the loan. Since launching its credit business in 2013, S3 has originated over 850 loans totaling more than $8.5 billion. With a focus on multifamily residential in and around Tier-1 markets, S3 seeks to achieve equity-like returns that are both resilient and current income-oriented. S3 Capital is wholly owned by Spruce Capital, founded in 2007, which also owns Spruce Properties, an owner of approximately 5,000 multifamily units primarily based in the Midwest and Sunbelt.

Media Contacts
Doug Allen/Jansel Murad
Dukas Linden Public Relations
S3Capital@DLPR.com
+1 (646) 722-6530

Disclosures:
This document does not constitute an offer to sell or a solicitation of an offer to buy any securities. Any such offer or solicitation will be made only by means of the appropriate Fund’s confidential offering documents, including related subscription documents (collectively, the “Offering Documents”) that will be furnished to prospective investors. Before making an investment decision, investors are advised to carefully review the Offering Documents, and to consult with their tax, financial and legal advisors. This document contains a depiction of the activities of S3 Capital (“S3” or the “Firm”), and the funds S3 provides advisory services to (the “Funds”), which are subject to further amendment or modification and is qualified in its entirety by the Funds’ Offering Documents. The Firm’s investment program for the Funds is subject to significant risks. Certain of these risks are described in the Offering Documents.

MSCI's Top Construction Lenders of 1H 2025 is independently determined by MSCI, Inc. MSCI's Top Construction Lenders of 1H 2025 was given in August 2025 based on the volume of S3's construction lending during the first half of 2025. The Real Deal’s NYC Top Lender Ranking is independently determined by The Real Deal. The NYC Top lender ranking was given in November 2025 based on an analysis of mortgages over $10k filed in ACRIS between August 2024 and August 2025. Both rankings were independently sourced and S3 does not pay a fee for selection or inclusion. References made to rankings are not an endorsement by any third party to invest with S3 and are not indicative of future performance. Investors should not rely on rankings for any purpose and should conduct their own review prior to investing.

Do not rely on any opinions, predictions, projections or forward-looking statements contained herein. Certain information contained in this document constitutes “forward-looking statements” that are inherently unreliable and actual events or results may differ materially from those reflected or contemplated herein. S3 does not make any assurance as to the accuracy of those predictions or forward-looking statements. S3 expressly disclaims any obligation or undertaking to update or revise any such forward-looking statements. The views and opinions expressed herein are those of S3 as of the date hereof and are subject to change based on prevailing market and economic conditions and will not be updated or supplemented.

Any reproduction or distribution of this document, as a whole or in part, or the disclosure of the contents hereof, without the prior written consent of the Firm, is prohibited

Performance estimates contained herein are without benefit of audit and subject to revision. Past performance does not guarantee future results. Future returns will likely vary, and investment results will fluctuate.

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¹ MSCI, “Capital Trends: US Big Picture”, August 2025
² The Real Deal, “NYC Top Lender Ranking 2025”, November 2025