News November 06, 2020

Madison Pitches Financing to Lenders

As bank credit lines tighten, Madison Realty Capital is stepping into the gap with the introduction of Madison Realty Capital Income Vehicle, a new debt strategy to target lighter value-add and core-plus real estate transactions with a greater focus on income generation with rates of 4% to 7.5%. The new vehicle also enables MRC to provide other alternative real estate lenders with financing solutions on both a single asset and overall portfolio basis. Madison Realty Capital was founded in 2004 and has raised over $2.1 billion via its past two debt funds alone, the fifth of which has closed on more than $900 million, and complements a management portfolio worth over $5.6 billion. The new MRC Income Vehicle will fill a market gap in investment capital left by the banks, and the firm will aim for a net return in the neighborhood of 8-10% and target lower-risk investments via a lend-to-lenders strategy.