Madison Realty Capital closes new debt investment vehicle up to US$1 billion

KUALA LUMPUR, Nov 11 -- Madison Realty Capital, a New York City-based real estate private equity firm focused on debt and equity investment strategies, recently closed on a new debt investment vehicle with up to US$1 billion in investing capability. (US$1 = RM4.11)

Madison, with US$5.6 billion of gross assets under management, will deploy this new debt strategy to target lighter value-add and core-plus real estate transactions with a greater focus on income generation with rates of four per cent to 7.5 per cent.

The new strategy adds another solution to Madison Realty Capital’s comprehensive lending and investment platform and allows the firm to provide an even greater variety of options to its deep relationships of real estate owners, operators and lenders.

Accordingly, the firm will originate and acquire senior loans and mezzanine loans as well as make preferred equity investments backed by a diversified pool of transitional real estate assets.

The new vehicle also enables Madison Realty Capital to provide other alternative real estate lenders with financing solutions on both a single asset and overall portfolio basis.

“Expanding our product offering is consistent with Madison’s approach of developing financing solutions to meet the evolving needs of our borrowers and to capture more income-oriented opportunities we might have otherwise had to forego,” Madison Realty Capital Managing Principal and Co-Founder, Josh Zegen said in a statement.

-- BERNAMA