The separate residential mortgage REITs of TPG and Cherry Hill are set to merge in a $117.5m (£86.9m) deal.

TPG Mortgage Investment Trust (MITT) is set to acquire Cherry Hill Mortgage Investment Corporation, it announced on 10 August.

Upon completion, the combined company will continue to operate as TPG Mortgage Investment Trust, led by MITT’s existing management team, including T.J. Durkin as president and chief executive, the firms said.

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“We are excited to bring together two highly complementary portfolios to significantly enhance the scale of MITT’s residential mortgage platform, which we believe will generate meaningful operational efficiencies and deliver accretive earnings growth for the benefit of all stockholders,” said Durkin.

The combined company is expected to benefit from an expanded investor base, as well as greater trading liquidity and volume, according to the firms.

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MITT is managed by AG REIT Management, an affiliate of alternative asset manager TPG, which has $327bn in assets under management. Cherry Hill is a real estate finance company.

The transaction is expected to close in the fourth quarter of 2026.

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