The world’s top three private debt investors – Lone Star, Oaktree Capital and Apollo Global Managers – have raised a staggering $73bn ( £44.4bn) in the past five years, according to a new survey by Private Debt Investor.
The giant pools of capital have become one of the biggest sources of investment in global real estate debt, with at least $40.2bn (£24.4bn) of the total amount raised by the top three specifically targeting property, according to analysis by Estates Gazette.
The scale of the capital raising suggests there is still strong appetite for distressed real estate debt opportunities – despite perceptions that banks have already dealt with much of the bad debt on their balance sheets.
In fact, European banks and asset managers still have an estimated £465bn to be worked through, according to Cushman & Wakefield’s latest European Loan Sales Market update. This suggests the ocean of capital chasing opportunities will continue to wash up on our shores for a long time yet.
Here EG looks at the main funds raised by the big three and on what they are spending all that money.
sophia.furber@estatesgazette.com
