Rithm Capital raises $500M in unsecured debt

New York-based Rithm Capital Corp., the parent of multichannel mortgage lender Newrez, on Tuesday priced a $500 million offering of senior unsecured notes due in 2031, marking another step to strengthen its balance sheet following a string of recent acquisitions.

Offered exclusively to qualified institutional buyers, the notes carry an 8.5% coupon and are expected to close on May 14, subject to customary closing conditions. Rithm plans to use the net proceeds for general corporate purposes, which may include repaying existing debt.

The notes are senior unsecured obligations, meaning they rank ahead of subordinated debt but behind any secured funding backed by specific assets, such as mortgages or servicing rights. While unsecured bond issuance typically gives mortgage and real estate finance companies more flexibility than warehouse lines or securitization vehicles, it generally comes at a higher cost.

The debt offering follows Rithm’s recent move to access the equity market. Earlier this year, the company offered $250 million in preferred stock — involving 10 million shares of Series F fixed-rate preferred stock at 8.75% — to fund future investments and general corporate purposes.

Like many of its peers, Rithm has been in aggressive expansion mode. In December, the company completed its acquisition of Crestline Management, adding $17 billion in assets under management and expanding its capabilities in direct lending, fund liquidity solutions, insurance and reinsurance.

In September, Rithm paid $1.6 billion for Paramount Group, acquiring ownership of 13 million square feet of office real estate in New York City and San Francisco. It also made investments via a $1 billion purchase of home improvement loans through fintech Upgrade, along with $1.5 billion in residential transition loans from an undisclosed institutional investor.

Rithm Capital reported net income of $109.4 million in the first quarter of 2026, up from $90.5 million in the prior quarter. As the company looks to deploy capital across mortgage, asset-backed finance and credit strategies, Newrez’s performance continues to contribute meaningfully to the parent company’s results.

Flávia Furlan Nunes reported and wrote this article with drafting assistance from HousingWire Automation, an editorial tool that helps transform announcements and industry data into HousingWire-style news coverage.