Real Estate Debt Funds Step in to Fill a Financing Void
May 2, 2023 | Beth Mattson-Teig | WealthManagement.com
Commercial real estate debt funds that thrive on disruption in capital markets are finding plenty of opportunities in the current environment as liquidity tightens.
Banks have pulled back significantly over the past 12 months for a multitude of reasons. Their diminished appetite to lend has been further exacerbated by bank failures at Silicon Valley Bank, Signature Bank, and more recently, First Republic. Banks across the board are reserving capital for existing customers, and when they do make loans, they’re lending at a lower leverage point.