Ares Commercial Real Estate (Ares Commercial Real Estate) Effective Interest Rate on Debt %

: 7.46% (As of Dec. 2023)

View and export this data going back to 2012. Start your Free Trial

Effective Interest Rate on Debt % is the usage rate that a borrower actually pays on a debt. It is calculated as the positive value of Interest Expense divided by its average total debt. Total debt equals to Long-Term Debt & Capital Lease Obligation plus Short-Term Debt & Capital Lease Obligation. Ares Commercial Real Estate's annualized positive value of Interest Expense for the quarter that ended in Dec. 2023 was $121.56 Mil. Ares Commercial Real Estate's average total debt for the quarter that ended in Dec. 2023 was $1,630.29 Mil. Therefore, Ares Commercial Real Estate's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2023 was 7.46%.

Ares Commercial Real Estate Effective Interest Rate on Debt % Historical Data

The historical data trend for Ares Commercial Real Estate's Effective Interest Rate on Debt % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Ares Commercial Real Estate Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Effective Interest Rate on Debt %

5.62

4.11

3.10

4.08

6.99

Ares Commercial Real Estate Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Effective Interest Rate on Debt %																5.83	6.40	6.95	7.30	7.46

Competitive Comparison

For the REIT - Mortgage subindustry, Ares Commercial Real Estate's Effective Interest Rate on Debt %, along with its competitors' market caps and Effective Interest Rate on Debt % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Ares Commercial Real Estate Effective Interest Rate on Debt % Distribution

For the REITs industry and Real Estate sector, Ares Commercial Real Estate's Effective Interest Rate on Debt % distribution charts can be found below:

* The bar in red indicates where Ares Commercial Real Estate's Effective Interest Rate on Debt % falls into.

Ares Commercial Real Estate Effective Interest Rate on Debt % Calculation

Ares Commercial Real Estate's annualized Effective Interest Rate on Debt % for the fiscal year that ended in Dec. 2023 is calculated as

	Effective Interest Rate on Debt %
=	-1 * Interest Expense	/	( (Total Debt (A: Dec. 2022 )	+	Total Debt (A: Dec. 2023 ))	/ count )
=	-1 * -117.199	/	( (1736.566	+	1616.989)	/ 2 )
=	-1 * -117.199	/	1676.7775
=	6.99 %

where

	Total Debt (A: Dec. 2022 )
=	Long-Term Debt & Capital Lease Obligation	+	Short-Term Debt & Capital Lease Obligation
=	1031.335	+	705.231
=	1736.566

	Total Debt (A: Dec. 2023 )
=	Long-Term Debt & Capital Lease Obligation	+	Short-Term Debt & Capital Lease Obligation
=	977.172	+	639.817
=	1616.989

Ares Commercial Real Estate's annualized Effective Interest Rate on Debt % for the quarter that ended in Dec. 2023 is calculated as

	Effective Interest Rate on Debt %
=	-1 * Interest Expense	/	( (Total Debt (Q: Sep. 2023 )	+	Total Debt (Q: Dec. 2023 ))	/ count )
=	-1 * -121.556	/	( (1643.598	+	1616.989)	/ 2 )
=	-1 * -121.556	/	1630.2935
=	7.46 %

where

	Total Debt (Q: Sep. 2023 )
=	Long-Term Debt & Capital Lease Obligation	+	Short-Term Debt & Capital Lease Obligation
=	989.091	+	654.507
=	1643.598

	Total Debt (Q: Dec. 2023 )
=	Long-Term Debt & Capital Lease Obligation	+	Short-Term Debt & Capital Lease Obligation
=	977.172	+	639.817
=	1616.989

In the calculation of annual Effective Interest Rate on Debt %, the Interest Expense of the last fiscal year and the average total debt over the fiscal year are used. In calculating the quarterly data, the Interest Expense data used here is four times the quarterly (Dec. 2023) interest expense data. Effective Interest Rate on Debt % is displayed in the 30-year financial page.

Ares Commercial Real Estate (NYSE:ACRE) Effective Interest Rate on Debt % Explanation

Effective Interest Rate on Debt % measures the usage rate that a borrower actually pays on a debt.

Ares Commercial Real Estate Effective Interest Rate on Debt % Related Terms

Thank you for viewing the detailed overview of Ares Commercial Real Estate's Effective Interest Rate on Debt % provided by GuruFocus.com. Please click on the following links to see related term pages.

Ares Commercial Real Estate (Ares Commercial Real Estate) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Real Estate » REITs » Ares Commercial Real Estate Corp (NYSE:ACRE) » Definitions » Effective Interest Rate on Debt %

Comparable Companies

TRTX DX ORC ARR IVR NYMT REFI NREF KREF GPMT NLY STWD AGNC RITM BXMT ABR RC CMTG ARI LADR

Traded in Other Exchanges

41I:Germany 41I:Germany

Address

245 Park Avenue, 42nd Floor, New York, NY, USA, 10167

Website

https://www.arescre.com

Ares Commercial Real Estate Corp is a specialty finance company and a Real Estate Investment Trust providing commercial real estate loans and related investments. The company operates in one segment namely originating and managing a diversified portfolio of CRE debt-related investments. The group recognizes its revenues through the interest income it receives from loans.

Executives

Bryan Patrick Donohoe	officer: Chief Executive Officer	C/O ARES COMMERCIAL REAL ESTATE CORP., 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Anton Feingold	officer: General Counsel VP & Secretary	C/O CION ARES MANAGEMENT LLC, 2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
William Stephen Benjamin	director	C/O ARES COMMERCIAL REAL ESTATE CORP., 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Rebecca Jaisali Parekh	director	C/O ARES COMMERCIAL REAL ESTATE, 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Michael J Arougheti	director	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
James Alan Henderson	officer: President and CIO	C/O ARES COMMERCIAL REAL ESTATE CORP., 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
David A Roth	officer: President	C/O THE BLACKSTONE GROUP, 345 PARK AVE., NEW YORK NY 10154
Rand Scott April	director	C/O ARES COMMERCIAL REAL ESTATE MGMT, 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Moriarty Edmond N. Iii	director	C/O ARES COMMERCIAL REAL ESTATE CORP., 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Kirk Sykes	director	C/O ARES COMMERCIAL REAL ESTATE CORP., 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Robert L Rosen	director	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
James E Skinner	director	NEIMAN MARCUS GROUP, 1618 MAIN ST, DALLAS TX 75201
Caroline Blakely	director	ONE NORTH WACKER DRIVE 48TH FL, CHICAGO IL 60606
John Jardine	director, officer: Co-Chief Executive Officer	C/O ARES COMMERCIAL REAL ESTATE CORP., ONE NORTH WACKER DRIVE, 48TH FLOOR, CHICAGO IL 60606
Todd Schuster	director	C/O TPG RE FINANCE TRUST, INC., 888 SEVENTH AVENUE, 35TH FLOOR, NEW YORK NY 10106