NEW YORK, Feb. 27, 2024 (GLOBE NEWSWIRE) — Madison Realty Capital, a vertically integrated real estate private equity firm focused on debt and equity investment strategies, today announced the firm originated $3.1 billion in financing, originations, and performing and non-performing note purchases in 2023.
Notable highlights for 2023 include:
- Completed a total of 22 transactions and $3.1 billion in total deal volume across major U.S. metropolitan and suburban markets. The firm executed deals ranging from $17 million to $585 million across real estate asset classes, including multifamily, mixed use, retail, industrial, land, and hotel. The firm executed approximately $648 million of transactions on behalf of eight repeat borrowers.
- Originated $1.4 billion in loans for six branded hotel residences including Raffles Boston, St. Regis Residences, Boston, Four Seasons Surf Club, The Ritz-Carlton Paradise Valley, The Ritz-Carlton Residence, Palm Beach Gardens, and Hyatt/Hilton branded residences.
- Expanded its lender financing and transitional lending platforms, originating over $685 million in lender financing for four alternative lenders. The firm’s income-oriented debt investment vehicle continued to execute transactions that target lighter value-add and core-plus real estate deals with a focus on income generation.
Josh Zegen, Managing Principal and Co-Founder of Madison Realty Capital, said, “As traditional bank lenders pulled back from real estate lending and transaction volumes slowed in 2023, borrowers sought experienced lenders with proven track records lending throughout cycles. Over the course of our 20-year track record, we have developed a deep understanding of our borrowers’ needs and ability to deliver customized financing solutions with speed, certainty of execution, and strong underwriting throughout every stage of acquisition, development, and leasing. As we enter our 20th year, our business is well positioned to continue executing alternative financing solutions for both new and existing borrowers. We are pleased to continue growing our lender financing business and expanding our lending to branded hotel residences, leveraging our deep hospitality market expertise to complete significant transactions with iconic luxury hotel brands. We look forward to continuing to execute on behalf of our global investor base as we broaden our institutional relationships and further scale our business in 2024.”
Madison Realty Capital continued to be an active lender throughout 2023. Noteworthy transactions for the firm this year include:
- A $585 million loan for the completion of The Ritz-Carlton Paradise Valley, The Palmeraie and The Palmeraie, a mixed-use, ultra-luxury retail, dining and residential development in Paradise Valley, Arizona.
- A $262 million construction loan for E11EVEN Residences Beyond, an ultra-luxury, dual-tower development in Miami, Florida.
- A $340 million construction loan for The Ritz-Carlton Residences in Palm Beach Gardens.
- A $55.1 million loan for the development of Olara, a luxury waterfront condominium tower in West Palm Beach, Florida.
- A $44 million loan for The Palms at Edgewater, a 288-unit multifamily apartment complex in Summerville, South Carolina.
- A $240 million mortgage loan for the acquisition of a 526-unit vacation resort property located on International Drive in Orlando, Florida.
- A $302.5 million senior loan for Via Mizner, a downtown urban resort in Boca Raton. The loan replaced a $225 million loan originated by Madison Realty Capital in 2019.
- A $95 million mortgage loan for the development of “Encore at Tradition” – a 55+ age-restricted multifamily development in Port St. Lucie, Florida.
- An upsized $115 million construction loan for the conversion of a mixed-use property and an adjacent 277-unit multifamily development on Wilshire Boulevard in Los Angeles, California.
- A $177.5 million loan for a 451-unit multifamily property located in the Fenway neighborhood of Boston.
Since inception, Madison Realty Capital has closed on approximately $25 billion of transactions across more than 600 debt and equity positions in the multifamily, retail, office, industrial and hotel sectors.
Other notable highlights and recognitions for the firm include:
- Securing five nominations across the 2023 Private Debt Investor (PDI) Global Awards and 2023 Real Estate Capital (REC) USA Awards in the following categories:
- Americas Real Estate Debt Manager of the Year in the 2023 PDI Global Awards; and
- Alternative Lender of the Year ($5 – $15bn Real Estate AUM), Large-Ticket Lender of the Year ($100m+), Construction Lender of the Year ($100m+), and Multifamily Lender of the Year in the 2023 REC USA Awards.
- In May 2023, the firm was ranked #18 on PERE’s Real Estate Debt 50 list of largest capital raisers in the real estate debt space globally between January 1, 2018 and December 31, 2022, and in June 2023 was ranked #12 on Real Estate Capital USA’s Debt Fund 40 list of leading commercial real estate private credit managers active in the US between January 1, 2018 and December 31, 2022.
- The firm’s Managing Principals and co-founders, Josh Zegen, Brian Shatz, and Adam Tantleff were named to Commercial Observer’s Power 100 list of New York City real estate players for the eighth consecutive time since the list’s inception in 2016.
About Madison Realty Capital
Madison Realty Capital is a vertically integrated real estate private equity firm focused on US-based commercial real estate debt and equity strategies. As of September 30, 2023, the firm manages $11.7 billion in assets on behalf of a global institutional investor base. Since 2004, Madison Realty Capital has completed $25 billion of real estate transactions largely through direct lending to a wide range of borrowers, acquiring non-performing loans and preferred equity investments. Madison Realty Capital seeks to deliver value across every phase of the property lifecycle by providing customized financing solutions and strong underwriting capabilities that meet borrowers’ unique needs with speed and certainty of execution.
Headquartered in New York City, with offices in Los Angeles and Israel, the firm has 75 employees across its real estate investment, asset management, and development disciplines. Madison Realty Capital has been named to Commercial Observer’s prestigious “Power 100” list of New York City real estate players every year since 2016 and was recognized in March 2023 by PERE as the Debt Firm of the Year, North America for 2022. To learn more, follow Madison Realty Capital on LinkedIn and visit www.madisonrealtycapital.com.
Media inquiries, contact:
Nathaniel Garnick/Grace Cartwright
Gasthalter & Co.
(212) 257-4170
madisonrealty@gasthalter.com
