Rithm Capital Corp., the parent company of Newrez LLC, said Tuesday it will acquire Paramount Group Inc. (NYSE: PGRE) — a New York- and San Francisco-focused real estate investment trust with a 13-asset Class A office portfolio — for approximately $1.6 billion in cash.
Under the agreement, Paramount shareholders will receive $6.60 per share, representing full cash consideration. The deal, expected to close in late in the fourth quarter of 2025 pending stockholder approval, adds more than 13.1 million square feet of prime office space to Rithm’s platform, 85.4% of which is leased as of June 30.
“This acquisition is a generational opportunity that will serve as a springboard to build out our commercial real estate and asset management platform,” said Michael Nierenberg, Rithm’s chairman and CEO. “The Paramount portfolio is situated in cities where we have a strong conviction in the recovery of office market fundamentals.”
Paramount Lead Independent Director Martin Bussmann added that Rithm can provide the “financial scale needed to improve our fundamental operating performance,” delivering “immediate, full and fair value” to shareholders.
Broader Expansion Strategy
The Paramount deal is the latest move by Rithm to diversify beyond mortgage lending and servicing.
Earlier this month, announced plans to acquire Crestline Management, a $17 billion alternative investment manager, expanding into private credit, insurance, and reinsurance. That transaction, paired with its 2023 acquisition of Sculptor Capital Management, brings the firm’s combined platform to $98 billion in assets under management.
On the mortgage side, Rithm’s Newrez subsidiary continues to post strong growth. In Q2 2025, Newrez originated $16.3 billion in loans, a 38% increase over the prior quarter, with Non-QM production forecasted to double from $2 billion in 2024 to $4 billion in 2025.
Together, these acquisitions and lending results highlight Rithm’s strategy of pairing mortgage market leadership with broader asset management and commercial real estate growth.
