Key Takeaways
- • Saluda Grade, a New York-based alternative investment firm focused on residential real estate asset-based finance, has acquired Hillcrest Finance, a minority- and women-owned commercial real estate (CRE) credit manager, according to a Business Wire release.
- • The acquisition lifts Saluda Grade's assets under management to $2.5 billion as of May 31, 2025.
- • The deal follows Saluda Grade's passive minority stake in Hillcrest, acquired in June 2024, and brings the entire Hillcrest full-time team into Saluda Grade.
- • Founder and CEO Ryan Craft says the move expands the firm's access to opportunities across the U.S. real estate landscape while keeping its residential focus.
- • Hillcrest co-leaders Kathy Corton and Sharon Ann "Samm" Miller, each with over 35 years of institutional CRE experience, are joining Saluda Grade.
Summary
Saluda Grade, an alternative investment firm specializing in asset-based finance with a focus on residential real estate, announced on June 3, 2025 that it has acquired Hillcrest Finance ("Hillcrest"), according to a Business Wire release. Hillcrest is a minority- and women-owned investment firm with expertise in commercial real estate. The acquisition follows a year after Saluda Grade acquired a passive minority stake in Hillcrest in June 2024. As a result of the transaction, Saluda Grade's assets under management have increased to $2.5 billion as of May 31, 2025.
Saluda Grade founder and CEO Ryan Craft said the deal is a natural progression of the relationship built over the past year. He stated that while the firm's focus on residential real estate will remain, the company sees a compelling opportunity in CRE finance, and that the complementary platforms will broaden the solutions offered to clients.
Hillcrest was founded in December 2013 by Kathleen "Kathy" Corton and has been jointly led by Corton and co-CEO Sharon Ann "Samm" Miller since early 2015. Corton previously led CRE debt originations nationwide at Nomura and led debt investing at Brickman. Miller began her career in CRE lending at TIAA-CREF and later specialized in institutional real estate equity at The Connor Group, J.P. Morgan Asset Management, Hart Advisers, Trammell Crow, and Rockwood Capital. Corton, Miller and Hillcrest's entire full-time team are joining Saluda Grade. Hillcrest specializes in originating and managing middle-market first mortgage and subordinate (mezzanine and preferred equity) credit on behalf of institutional investors.
Miller said Saluda Grade has demonstrated a commitment to client service and innovative solutions, and that the transition will let the team grow within a dynamic organization while preserving the Hillcrest investment approach investors rely on. Corton said the combination will allow the firm to build and scale a synergistic CRE platform at Saluda Grade on behalf of its lending partners and borrowers.
Saluda Grade was founded in 2019, is headquartered in New York City with a secondary office in Aspen, and its leadership team has worked together for over 15 years. The firm's stated capabilities span structured credit, specialty finance, mortgage-backed securities and growth equity.
Saluda Grade founder and CEO Ryan Craft said the deal is a natural progression of the relationship built over the past year. He stated that while the firm's focus on residential real estate will remain, the company sees a compelling opportunity in CRE finance, and that the complementary platforms will broaden the solutions offered to clients.
Hillcrest was founded in December 2013 by Kathleen "Kathy" Corton and has been jointly led by Corton and co-CEO Sharon Ann "Samm" Miller since early 2015. Corton previously led CRE debt originations nationwide at Nomura and led debt investing at Brickman. Miller began her career in CRE lending at TIAA-CREF and later specialized in institutional real estate equity at The Connor Group, J.P. Morgan Asset Management, Hart Advisers, Trammell Crow, and Rockwood Capital. Corton, Miller and Hillcrest's entire full-time team are joining Saluda Grade. Hillcrest specializes in originating and managing middle-market first mortgage and subordinate (mezzanine and preferred equity) credit on behalf of institutional investors.
Miller said Saluda Grade has demonstrated a commitment to client service and innovative solutions, and that the transition will let the team grow within a dynamic organization while preserving the Hillcrest investment approach investors rely on. Corton said the combination will allow the firm to build and scale a synergistic CRE platform at Saluda Grade on behalf of its lending partners and borrowers.
Saluda Grade was founded in 2019, is headquartered in New York City with a secondary office in Aspen, and its leadership team has worked together for over 15 years. The firm's stated capabilities span structured credit, specialty finance, mortgage-backed securities and growth equity.
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