borrowers

The firm is seeking situations in which it can provide rescue equity or make other investments is an extension of the firm’s existing business.

Rising interest rates across global markets are having a cooling effect on the volume of assets changing hands and causing a lack of clarity over valuations.

Pricing is expected to reset as interest rates rise over the next 12-24 months.  

It is getting harder for New York’s mid-market office owners with maturing debt to line up new loans.

The firm is hoping to expand its equity business after a strong 2021 in which it closed more than $4.5bn across three strategies. 

Even with a more predictable lending environment, CARROLL is still expecting to see a disconnect between buyers and sellers – partly driven by the availability of debt and rates – through the end of the year.

The problem around securing interest rate caps at manageable prices is one factor affecting transaction volume in the US commercial real estate property markets.

The program was rebooted earlier this year to raise the minimum threshold for investment. 

The financing was arranged by Lotus Capital Partners on behalf of the sponsors, Miami-based manager Gencom and New York-based Mohari Hospitality.

The market will have to adjust to negative leverage by either having cap rates go up or investors willing to take a lower return.