There are few signs yet of any major stress in the market, but interest rate rises and refinancing worries give some cause for concern, delegates at the PDI Europe Summit 2023 heard.
Higher interest rates could also stall efforts to refinance maturing debt.
Next thing you know, private credit will be bailing out the banking system. Past experience of crises will ‘come in handy’ says one industry professional.
One-third of the maturing loans were made by CMBS lenders a decade ago; the report also finds transaction volume in February plunged from the previous year.
GPCA report says private credit reached a record, besting private equity and venture capital, largely due to distressed opportunities.
Some sponsors are in liquidity binds because they must wait longer to get carry.
Private lender's index, report offer hope for macro 'soft landing' as pressures abate.
Robin Potts, co-head of real estate investments at Canyon Partners, talks with Real Estate Capital USA about navigating a period of historic volatility.
A confluence of factors seems to be setting up the credit markets for some rough going, and it appears that private debt won’t escape unscathed this time around.
Panellists at CREFC Europe’s London conference said uncertainty around interest rates and property values is making debt transactions difficult to underwrite.