FirstSun Sells $890M Multifamily Loan Portfolio to Brookfield…

Event summary

FirstSun Capital Bancorp sold $890M in performing multifamily commercial real estate loans to Brookfield Asset Management.
The sale is part of FirstSun's balance sheet repositioning following its April 2026 acquisition of First Foundation.
Proceeds will be used to pay down high-cost deposits acquired from First Foundation Bank.
FirstSun expects to complete remaining loan downsizing by Q2 2026.
Brookfield's Credit Group now manages over $365B in assets.

The big picture

This transaction represents FirstSun's strategic pivot to streamline its balance sheet following its acquisition of First Foundation. The sale to Brookfield, a global alternative asset manager with significant scale in real estate credit, highlights the ongoing consolidation in commercial real estate financing. The deal also underscores the growing role of institutional investors in the banking sector's loan portfolios.

What we're watching

Balance Sheet Strategy: How FirstSun's loan downsizing will impact its overall financial flexibility and risk profile.
Integration Progress: Whether FirstSun can complete its remaining balance sheet repositioning by Q2 2026 as planned.
Market Conditions: The pace at which FirstSun can deploy the proceeds from this sale to reduce high-cost deposits.