Data Centers

Private capital is cementing its structural role in real estate credit, but with capital shifting toward multifamily and data centers and rate uncertainty persisting, lenders say underwriting discipline, not rate calls, is what sets the winners apart.

As banks retreat from parts of the market, private lenders are filling the gap with flexible capital and through greater interaction with public markets, argue PIMCO’s Roman Kogan and Seray Incoglu.

Data centers are big business and require big finance, writes JC Russell.

Against an ever-changing macroeconomic environment, lenders have to be prepared for opportunities and challenges that arise. That means constantly evolving a strategy that is structured to be successful throughout an entire economic cycle.

Real estate credit is in fashion, but today’s uncertain macro environment demands conservatism and patience, says Derby Lane founder Adam Piekarski.

The multibillion-pound financing is one of the largest-ever UK data center deals.

Crestline Management recently closed its $625m European Capital Solutions Fund II, eyeing Spanish residential development.

North America dominated both funds closed and funds in market.

The Canadian firm’s Prashant Raj and Derek Richter explain why Europe’s real estate private credit market is a match for pension fund capital.

With $1.8trn of ZIRP-era loans now maturing, the market is shifting from extend-and-pretend to disciplined resolution, and abundant capital is bifurcating sharply between prime assets and distressed pockets.