What Saluda Grade does

Saluda Grade is an independent alternative investment firm founded in 2019 and headquartered in New York, with additional offices in Aspen, Atlanta, and Boston. The firm specializes in asset-based credit with a primary focus on residential real estate, managing $4.4 billion in assets under management as of January 1, 2026 across income-oriented funds, levered credit strategies, structured solutions (securitizations), and customized institutional solutions. As of January 2026, Saluda Grade employs 56 professionals and is registered with the SEC under the U.S. Investment Advisers Act of 1940.

The firm operates a vertically integrated asset-based credit platform that spans the full investment lifecycle: sourcing and acquiring investments, securitizing them through its GRADE shelf (Saluda Grade Alternative Mortgage Trust and Unlock HEA Trust vehicles), and actively managing them. Saluda Grade has sponsored over 47 alternative mortgage asset securitizations totaling approximately $11.4 billion in cumulative volume, including the first A(low)-rated home equity agreement (HEA) securitization. Its product suite spans Residential Transition Loans, Second Lien Mortgages, HEAs, DSCR loans, Home Improvement Loans, and Multifamily Bridge Loans. Through affiliated platforms Gradient Mortgage Capital (DSCR and Small Balance CRE wholesale lending) and HELIX (digital mortgage lending launched via the Homebridge Financial Services merger in April 2026), plus the Hillcrest Finance acquisition (June 2025) which added commercial real estate capabilities, the firm has expanded beyond residential into CRE and direct digital origination.

Revenue is generated through three primary streams: (1) management fees on $4.4B of AUM across income-oriented and credit funds, securitization vehicles, and customized solutions; (2) performance/carry fees on investment returns; and (3) securitization spread income from sponsoring and structuring deals, plus growth equity returns from a 12+ company portfolio of minority investments in alternative credit originators and fintech platforms. The go-to-market is enterprise-field-sales driven, targeting large institutional investors (pension funds, insurance companies, family offices, sovereign wealth funds) directly, while sourcing differentiated deal flow through a curated network of non-bank lenders and growth equity partners such as Unlock Technologies, Momnt, Homeward, Figure, AvantStay, and Builders Capital. The firm has been recognized with the 2024 GlobalCapital US Securitization Awards for RMBS Issuer of the Year and RMBS Deal of the Year.

Name

Saluda Grade

Legal name

Saluda Grade

Website

https://saludagrade.com

Company type

Private

Founded year

2019

Operating status

Operating

Headcount range

11–50 employees

Short description

Saluda Grade is an independent alternative investment firm founded in 2019 that manages $4.4 billion in asset-based credit strategies, primarily residential real estate, serving institutional investors through securitizations, credit funds, and customized solutions sourced via a curated network of non-bank lenders.

Ownership category

akta.pro rank

Product category

Alternative Asset Management

NAICS

Portfolio Management and Investment Advice (523940), All Other Financial Investment Activities (52399), Other Financial Vehicles (52599)

SIC

Asset-Backed Securities (6189), Mortgage Bankers & Loan Correspondents (6162)

akta.pro primary industry

Private Credit — Structured Credit (CLOs, ABS, Private Securitizations) (FSAHAJAH)

akta.pro secondary industries

Comprehensive/Full-Service RIAs & Independent Wealth Managers (FSAAACAA), Structured Credit (CDO/CLO Tranches, Credit Opportunities) (FSAAAHAH)

Keywords

• Alternative credit investing
• Asset-based credit
• Mortgage securitization
• Real estate credit
• Institutional investment management

Headquarters

HQ city

New York

HQ country

United States

HQ region

North America

Offices4 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Technology or R&D, Operations, Marketing or Sales, Infrastructure

Revenue model

1. Asset Management Fees: Management fees charged on assets under management across income-oriented and credit funds, securitization vehicles, and customized solutions. Estimated AUM of $4.4 billion as of January 2026.
2. Performance/Carry Fees: Performance-based fees from investment returns generated for institutional investors across credit funds and customized solutions.
3. Securitization Spread Income: Income generated through sponsoring and structuring alternative mortgage asset securitizations, harvesting excess spread between asset yields and securitization funding costs.
4. Growth Equity Investment Returns: Returns from minority equity investments in early-stage alternative credit originators and fintech platforms at Series A or B stage.

Go-to-market motion2 records

Distribution channels4 records

Marketing channels5 records

Core offering

Saluda Grade is an independent alternative investment firm that manages a vertically integrated asset-based credit platform focused on residential and commercial real estate. The firm invests across securitizations, income-oriented and credit funds, growth equity, and customized solutions, while partnering with a curated network of non-bank lenders to source proprietary deal flow. As of January 2026, the firm manages approximately $4.4 billion in assets under management and has sponsored over 47 alternative mortgage asset securitizations totaling approximately $11.4 billion.

Product overview

Saluda Grade is an independent alternative investment firm offering a vertically integrated asset-based credit platform. The company manages $4.4 billion in assets across three core investment strategies: Asset-Based Credit (including Income Strategy, Levered Credit Strategy, Structured Solutions, and CRE Solutions), Growth Equity, and Customized Solutions. Its product suite includes multiple residential loan products (RTLs, Second Liens, HEAs, DSCR, Home Improvement Loans, Multifamily Bridge Loans), supported by securitization vehicles including Saluda Grade Alternative Mortgage Trust and Unlock HEA Trust. The firm also operates affiliated platforms including Gradient Mortgage Capital and HELIX, and expanded into commercial real estate through its Hillcrest Finance acquisition.

Differentiator

Problem solved

Functional benefit

Brands

• Hillcrest Finance: Commercial real estate financing subsidiary of Saluda Grade, providing first mortgage and subordinate credit solutions

Products and services

• Income Strategy
• Levered Credit Strategy
• Structured Solutions
• CRE Solutions
• Growth Equity
• Customized Solutions
• Gradient Mortgage Capital
• HELIX
• Hillcrest Finance
• Saluda Grade Alternative Mortgage Trust
• Unlock HEA Trust

Quantifiable outcome

• 47+ alternative mortgage asset securitizations totaling approximately $11.4B sponsored as of January 2026
• +3 more outcomes

Named customers9 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

13 partnerships are on record, tiered core and minor.

• Gradient Mortgage CapitalcoreStrategic or Co-development Partner · 4 May 2026Gradient Mortgage Capital is an affiliate of Saluda Grade that operates a wholesale mortgage banking platform supporting DSCR and Small Balance Commercial Real Estate lending. The platform enables mortgage brokers to structure deals for investor residential properties and stabilized commercial assets using property cash flow qualification.
• Homebridge Financial ServicescoreStrategic or Co-development Partner · 20 April 2026Homebridge Financial Services, one of the nation's largest privately held non-bank mortgage lenders, has signed a merger agreement with an affiliate of Saluda Grade to launch HELIX, a new digital mortgage lending platform integrating home equity and first lien lending.
• Unlock TechnologiescoreStrategic or Co-development Partner · 19 November 2025Unlock Technologies is a fintech company specializing in home equity agreements. Saluda Grade serves as sponsor for Unlock's home equity agreement securitizations, having completed six securitizations including the largest at $303 million. The partnership enables Unlock to access institutional capital while providing Saluda Grade with deal flow in the emerging HEA asset class.
• Hillcrest FinancecoreStrategic or Co-development Partner · 3 June 2025Saluda Grade acquired Hillcrest Finance to expand its real estate investment platform into commercial real estate. Hillcrest Finance, founded in 2013, is a commercial real estate investment firm that joined Saluda Grade bringing senior leadership including Kathy Corton and Sharon Ann Miller as Co-Heads of CRE.
• WrightwellcoreStrategic or Co-development Partner · 2 December 2024Wrightwell, formerly Vantage, is a vertically integrated real estate services and property management platform. Saluda Grade partnered with Bain Capital to invest up to $300 million in U.S. housing through Wrightwell, which operates five core business lines: Brokerage, Construction, Property Management, Asset Management, and REO Management.
• MomntcoreStrategic or Co-development Partner · 11 January 2024Momnt is a fintech platform for embedded lending and payment solutions in home improvement. Saluda Grade has invested in Momnt through its growth equity strategy and the companies formed a joint venture that closed a $200 million warehouse facility from Macquarie Group. Saluda Grade also served as sponsor for Momnt's inaugural securitization.
• AvantStayminorStrategic or Co-development PartnerGrowth equity investment in AvantStay, a high-end hospitality platform offering short-term rental property management. Portfolio company with operations in over 100 cities and AUM of more than $2B.
• Builders CapitalminorStrategic or Co-development PartnerGrowth equity investment in Builders Capital, a leading private lender focused on partnering with builders, developers and real estate investors for construction and transitional lending solutions.
• CV3minorStrategic or Co-development PartnerGrowth equity investment in CV3 Financial Services, a business purpose mortgage alternative asset originator. The founding team previously ran Civic Financial Services where they funded more than $10 billion in business purpose loans. CV3 originated over $1 billion in loans in its first year.
• FigureminorStrategic or Co-development PartnerGrowth equity investment in Figure, a HELOC lender leveraging blockchain, artificial intelligence and advanced analytics to reduce costs and improve underwriting.
• HomewardminorStrategic or Co-development PartnerGrowth equity investment in Homeward, a tech-enabled residential real estate transaction platform founded in 2018, operating a B2B2C model with products including Sell Before You List, Buy Before You Sell, and Buy With Cash.
• JubileeminorStrategic or Co-development PartnerGrowth equity investment in Jubilee, a residential ground lease originator based in California that purchases land underneath homes to lower down payments and monthly expenses for home buyers.
• Spring EQminorStrategic or Co-development PartnerSaluda Grade Ventures successfully exited its investment in Spring EQ via Cerberus acquisition in September 2023. Spring EQ provides homeowners HELOCs and Closed End Seconds through a simplified platform.

Scale indicators7 records

Recent moves7 records

Expansion highlights6 records

Direct peers

• Angel Oak Capital Advisors: Specialist in alternative mortgage credit (non-QM, RTL, securitizations). Competes with Saluda Grade for the same originator network and ABS shelf economics in residential alternative credit.
• Waterfall Asset Management: Independent structured credit and asset-based investment manager with the same broad private credit / structured product focus as Saluda Grade. Directly comparable business model; Co-CIO Patrick Lo joined Saluda Grade from Waterfall in 2026, underscoring the tight overlap.
• AG Mortgage Investment Trust: Mortgage REIT focused on residential mortgage credit (residential, RTLs, NPL/RPL). Competes for similar institutional capital allocations and tracks similar asset classes.
• Verus Mortgage Capital (Ares Real Estate Group): Non-QM / residential transition loan originator and securitizer; once part of Ares' real estate platform. Head-to-head competitor for residential alternative credit deal flow and securitization shelf business.
• Chimera Investment Corporation: Mortgage REIT investing across RMBS, residential credit, and structured products. Comparable investment mandate and customer base (institutional yield-seeking investors).
• Ellington Management Group: Mortgage credit–focused investment manager that runs structured product strategies in RMBS and residential credit — same securitization-driven playbook targeting similar institutional LPs.
• Pretium Partners: Alternative investment firm focused on housing and residential credit, including home equity agreements and single-family rental — directly analogous to Saluda Grade's HEA and RTL strategies.

Broad incumbents

• Ares Management (Real Estate Group): Large alternative asset manager with a substantial real estate debt franchise (including Verus Mortgage Capital). Operates overlapping capabilities but at much greater scale and across a broader portfolio.
• KKR Real Estate Credit: Global real estate credit platform within KKR's real estate group — competes with Saluda Grade in the market for institutional commitments to alternative real estate credit strategies.
• Blackstone Real Estate Debt Strategies: Largest private real estate debt manager with broad residential and commercial mortgage credit strategies. Directly comparable product set but at multi-hundred-billion AUM scale and institutional reach.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/saluda-grade

Compliance2 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles26 records

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A1 record

Investments7 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Saluda Grade