Charlotte D'Souza

At a size of $1.4bn, ACORE Credit Partners II is also the joint fourth-largest private real estate fund closed globally so far this year.

Historical trading activity and higher-than-average investor allocations have brewed a 'perfect storm' in the country's real estate market.

The US-based manager said recapitalisations can help borrowers bridge funding gaps and hold on to good assets until the market turns.