It is also anticipating an additional $350 million in closings
Peachtree Group said it is making progress in its credit investment activities amid fluctuations in the debt market.
The Atlanta-based firm, which specializes in diversified commercial real estate investments, announced on Monday that it has closed approximately $660 million in credit investments since December 1, 2023.
It is also expecting an additional $350 million in closings within the next 30 to 45 days, according to a news release.
“We are witnessing heightened activity in response to the anticipation of sustained elevated interest rates and continued reductions in bank exposure,” said Greg Friedman, managing principal and CEO of Peachtree Group.
“The pressing need to refinance maturing debt, estimated at $2.8 trillion in US commercial real estate debt by the end of 2028, is a growing concern. Commercial real estate stakeholders are grappling with the challenges of increased capital costs and constrained liquidity, particularly in securing capital for acquisitions, recapitalizations and development initiatives.”
Peachtree’s recent ventures encompass a broad range of properties, including hotels, multifamily residences, industrial spaces, and student housing.
In February, the firm secured one of its largest credit deals with a $102.9 million loan for the recapitalization of a 350-room Marriott dual-brand AC Hotel Sunnyvale Moffett Park and TETRA Hotel, Autograph Collection (pictured) in Sunnyvale, California.
Other significant transactions closed by Peachtree in the past 90 days include a $40.8 million first mortgage loan for a dual-branded Residence Inn and Home2 Suites in Montgomery, Alabama; $46 million in CPACE financing for the Thompson Hotel in Palm Springs, California; and multiple first mortgage loans ranging from $17.5 million to $40.6 million for various commercial properties across the US.
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