Congratulations to ServiceTitan on their successful IPO. Learn more
Private credit
An opportunistic strategy for income-focused investors
Our new private credit investment strategy capitalizes on the changed economic environment, offering some of the most attractive potential risk-adjusted returns of the past decade.
My private credit
A once-in-a-decade lending environment
The Federal Reserve raised interest rates at record-breaking speeds in 2023 in an attempt to tame inflation. This policy shift has destabilized markets, leading to broad dislocations, increased strain across the system, and a potential liquidity crisis that presents a risk to the global economy.
Simultaneously, those factors have combined to create what we believe is arguably the most attractive environment for credit investments in a generation.
What is private credit
Private credit (or private lending) is an asset class that consists generally of loans, fixed-income, or other structured investments that aim to deliver higher yields with lower overall risk when compared to equity investments. In other words, investors in private credit are lending money to borrowers in exchange for a fixed rate of return (often captured in the form of an interest rate or preferred return) but typically do not have any equity ownership or upside participation.
Similar to other private market assets, private credit differs from publicly traded credit or fixed-income investments, such as bonds or asset-backed securities, because it is illiquid and consequently aims to deliver a higher relative return.
Our track record
Billion-dollar experience
While this strategy is newly calibrated for this environment, we’re able to draw on a deep well of executional experience. Since 2012, we’ve acquired or financed over 37,000 residential units and have made more than 71 unique mezzanine and preferred equity investments in real estate.
$516M
Capital Deployed into Debt Projects
90+
# Of Deals.
20,194
# Of Units
10.8%
# Avg. Net Interest Rate
Our Philosophy
Investing isn’t about beating others at their game. It’s about controlling yourself at your own game.
Kevin Robert
Co-Founder
Futured fund
Income Fund
Our Income Real Estate Fund is designed to deliver high current yields from a diversified portfolio of our most favored real estate backed fixed income strategies, which is primarily gap financing to stabilized and ground-up multifamily and to the acquisition and development of housing in the Sunbelt. The Income Real Estate Fund is also heavily focused on capitalizing on the current dislocation in real estate credit markets, as described in depth by our Great Deleveraging thesis.
$575M
Net asset value (NAV)
7.50%
Annualized distribution rate
7.6%
Annualized return since inception
Way Point
As part of our new private credit strategy, we’ve invested roughly $20.8 million to provide financing in the form of preferred equity for the development of the Mason at Daytona Beach, a 300-unit multifamily community on 65.4 acres of centrally located land in Daytona Beach, Florida. Under the terms of the investment agreement, the borrower has agreed to pay us a 13.5% fixed annual rate that will accrue for as long as it takes to finish the project, and our investment will be paid back upon its completion.
Add private credit to your portfolio
No matter who you are, if you were active in business over the past several years then you were inevitably borrowing to some extent