The growth of real estate debt

28 November 2023

Since the beginning of the year, the number of managers adding real estate debt to their product arsenal has increased significantly.

The current market environment, characterised by diminishing credit supply, rising interest rates, and higher margins, has led to what many managers believe to be a unique opportunity in real estate debt, not seen in the last decade. 

In this article we highlight the growth in funds dedicated to this strategy and what is driving this, share insights on the opportunities for alternative lenders and investor demand for the strategy, and consider some of the barriers to entry.