LaSalle Investment Management’s Post

Check out my colleagues Dominic Silman’s and Jen Wichmann’s insights about investing in real estate debt in Europe and the US!

WATCH/READ: https://ow.ly/lXv750SHUYc As traditional banks’ appetite for providing commercial real estate loans has declined and other lenders have moved in to fill the funding gap, we've seen increasing interest from institutional investors in real estate debt. But what is it that makes it a compelling investment? Last month, Dominic Silman, Jen Wichmann, and Hina Yamada examined the three-part case for investment, including: - Real estate debt’s place in institutional portfolios, - The role of non-bank lending, and - The debt opportunity today, which takes advantage of a looming debt funding gap and attractive pricing. Read the report, or watch the conversation with Brian Klinksiek (link above). Learn more: https://ow.ly/fZuQ50SHUYf #InvestingTodayForTomorrow #RealEstateDebt

🔔 Market Cap According to the report recently published by LaSalle, Real estate debt is becoming popular among U.S. and Europe institutional investors. With lots of debt maturing and banks pulling back due to regulations, there's a chance for other lenders to step in. The current rates make it a great time to invest in this area. Changes since the 2009 crisis have opened doors for a mix of lenders in the U.S., with similar shifts in the UK and Europe. The current pricing is very attractive compared to fixed-income assets and real estate equity returns. Key points about Real estate debt investment : 1. Real estate debt investment has a low correlation with other real estate investments and fixed-income assets, making it a beneficial addition to a portfolio. 2. Private commercial real estate debt investment offers stable cash flow and contractual returns, without relying on the rise in capital values to achieve return objectives, providing specific downside protection characteristics that safeguard lenders in uncertain market conditions. #REIT #REALESTATE #FINANCE #NTU #NBS #NANYANGBUSINESSSCHOOL #CAPITALMARKET

All We Want For Christmas...... please find attached Interpath Debt & Capital Advisory’s wishlist for the ten developments we are hoping to see in the debt markets in 2025. We’ve been in the privileged position of supporting borrowers across the broadest range of products, sectors and deal sizes in 2024 and we’ve put our heads together on the areas of the market that we think are underserved heading into 2025. Whilst there is no shortage of debt capital in the market, there remain some pockets where it is disproportionately hard to raise capital. We hope the below list serves to provide banks and credit investors with some impetus to push into new markets and products in the new year. #interpathdebtadvisory

The lack of liquidity in bank financing for #CommercialRealEstate has very much resulted in a lenders market for alternative lenders, especially those with expertise in construction and development financing. It's driving up yields and keeping loan-to-cost ratios low. That makes for outsized risk-adjusted returns. Learn more in our latest video. #AlternativeInvestments #InvestmentStrategies #PrivateCredit https://lnkd.in/eQ78qN4x

InstitutionalAssetManager's Gill Wadsworth reports on the growth in demand for private debt. The bfinance quarterly Manager Intelligence and Market Trends report published this August reveals that while private debt deployment activity is inherently more robust than other illiquid asset classes, due to the more frequent need to recycle capital into the asset class, “investors have also noted the apparent resilience of direct lending strategies and healthy spreads helped, in part, retrenchment in bank lending”. Read more here: https://lnkd.in/e8Qz75sD

Take a look at our latest article on private debt, which offers investors returns that may outpace many other asset classes, along with greater stability amid ongoing economic challenges. As the market matures, we're seeing consolidation among existing private fund managers and the establishment of new private debt funds.  #RMBLInvestments #BuildingBetterFutures #PrivateDebt #InvestmentOpportunities #Investorreturns #PrivateFunds #AlternativeInvestments https://lnkd.in/gavzuJky

For professional investors only. Capital at risk. It may be possible for private credit to enhance income portfolios through diversification, potential increased returns, and structural advantages in today’s market. Read the complete analysis in “Enhancing income portfolios with private markets - complementing direct lending with real estate debt.” #PrivateCredit #Investment #PortfolioManagement #RealEstateDebt #DirectLending #FinancialMarkets #Diversification #IncomePortfolio

In our blog 'Commercial real estate debt funds: An alternative strategy for income-seeking investors', we investigate the advantages of investing in commercial real estate debt (CRED) through a debt income fund. Continue reading to discover why many investors choose to invest in real estate private credit through a CRED fund as well as the crucial factors to consider before investing: https://lnkd.in/g5t9GKzM Why zig when you can Zagga? #investsecurely #borrowsimply #debtincomefund #investment #commercialrealestatedebt #cred #alternativeinvestments #assetallocation #privatecredit #credebt #incomeinvestments #fixedincome #alternativeassets #credpropertyfund #diversifiedfund #realestateincomefund

The asset class of private debt has grown significantly over the past several years, and our forecast of $3.5 trillion assets under management (AUM) by 2028 anticipates continued momentum. We attribute the growth of the asset class to four multi-faceted drivers: 1. Borrower preferences for more certainty of execution, flexibility and clarity on pricing – and an expanding addressable market. 2. Investor desires for portfolio diversification and increased comfort with private debt. 3. Structural shifts in the public debt and equity markets, including public debt markets now serving larger borrowers and companies staying private for longer. 4. Shifts in the bank lending ecosystem, including the opportunity for private debt to fill any potential “financing voids” resulting from regulatory considerations. Please see “Private Debt: The multi-faceted growth drivers,” for more: https://1blk.co/4d6jKdZ #PrivateCredit #PrivateDebt #DirectLending #CorporateCredit For Institutional Investors Only