Alicia Villegas
The pandemic has accelerated lender diversification, with alternative debt providers gaining in prominence. Meanwhile, investor interest continues to rise due to attractive risk-adjusted returns.
The covid-driven need to improve or convert assets, alongside increased dry powder in the value-add space, has created the perfect storm for lenders.
Through its latest vehicle, focused primarily on investing in whole loans secured against UK commercial property, the firm has already committed £455m across 10 transactions.
Domestic banks are under pressure to reduce their bad loans and are on track to meet their targets.
The vehicle will primarily lend against PRS and student accommodation assets in Spain and the UK.
The joint venture partners expect to hold a second close for their third senior property credit vehicle by December, targeting €400m.
The asset management firm has raised €250m for its maiden property debt fund and has deployed €180m across six loans in France, the Netherlands, Spain and Italy.
The Italian insurer is planning to open the platform to third-party investors and raise an additional €500m over the next two years.
CBRE’s head of loan advisory expects an increasing number of non-performing retail loans to hit the market in the next two years.
The asset manager has committed an initial £70m of lending through its debut UK-focused vehicle across five loans.