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As banks seek to address commercial real estate exposure, alternative lenders are stepping in to acquire or help restructure loans.
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New vehicle is the firm's first commingled fund for its global commercial real estate credit business.
The firm is responding to a pullback from bank lenders, chairman and chief executive Barry Sternlicht said on Starwood Property Trust’s Q4 earnings call.
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The yield on the 10-year Treasury topped out at 5 percent in October before falling to less than 3.8 percent at the end of 2023.
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Florida-based manager looks to elevate $750 million fund to capitalize on private lending opportunities.
Sustainable office properties are gaining favor with tenants, but financing the conversions remains difficult for small- and mid-market owners.
Demand for C-PACE financing is set to increase as US cities introduce stricter environmental rules for real estate.
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The index was at 21.07% in November, up from 20.9% in October.
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