According to Preqin’s latest survey of more than 100 private real estate fund managers, lenders have returned to the market, giving managers the confidence to secure debt financing – which Preqin notes is often relied upon for value-added and opportunistic investments.
Leverage is also used to enhance returns in less risky core strategies.
Seventy percent of respondents said the availability of debt financing is better today than it was 12 months ago. One-quarter of those surveyed said there was no change, and 5% said lending conditions were worse than a year ago.
