Mack Real Estate Launches Lending Platform

NEW YORK CITY—Mack Real Estate Group said Wednesday that it had expanded the sphere of its debt activities via the launch of a lending platform for transitional and distressed assets. Managing this business will be the newly formed Mack Real Estate Credit Strategies, with MREG CEO Richard Mack heading the new venture along with CIO Peter Sotoloff, formerly of the Blackstone Group.

Mack cites three reasons for launching MRECS. “First, we believe that the returns currently available for loans secured by transitional assets in the US, and for almost all European assets located outside of the very few top-tier cities, will be superior to most other real estate investments, on a risk-adjusted basis,” he says.