Pallas Capital has surpassed $5 billion in cumulative loan transactions. Achieving an impressive 47 per cent growth in just 18 months, this milestone highlights Pallas Capital’s key role in the rapidly growing private credit market within the CRE debt space.
Since its establishment in 2016, Pallas Capital has arranged 739 transactions, with 417 of those loans fully repaid to date, reinforcing its track record as a leading non-bank lender.
A significant portion of this success has been driven by construction lending, with the firm funding 130 construction loans, amounting to $2.18 billion in loan limits. These loans have contributed to the delivery of real estate projects valued at over $3 billion across key metropolitan areas in Australia and New Zealand.
Pallas Capital is on track to complete over $2.0 billion in transactions in the current financial year, with lending volume further bolstered by the firm’s recent reductions in borrower rate.
Dan Gallen, Pallas Capital Executive Director and Chief Investment Officer commented: “The private credit sector has seen remarkable expansion as traditional banks restrict their exposure to construction and development lending, prompting developers to turn to non-bank lenders for more flexible funding solutions. Pallas Capital has capitalised on this shift by offering speed, certainty of execution and bespoke loan products tailored to the various funding needs of different brokers and developers.”
Australia’s CRE debt market is estimated to have reached $447 billion by mid-2024, with Pallas Capital playing a pivotal role in meeting demand for construction finance, pre-development loans, acquisition funding, residual stock loans, and vacant land loans.
Pallas Capital’s growth has been powered by a diverse investor base that includes high-net-worth individuals, family offices, and institutional investors. The company has introduced a variety of investment products that leverage the defensive nature of CRE assets, offering stable fixed or variable rate returns. Its loan portfolio is generally secured by assets valued between $2 million and $50 million, underpinned by a comprehensive due diligence process, clear exit strategies, and active loan management.
As part of the Pallas Group, alongside boutique property development manager Fortis, Pallas Capital continues to provide innovative financing and development solutions, contributing significantly to the ongoing growth and transformation of Australia’s premium real estate market.
To discuss investment or funding opportunities tailored to your needs, please contact us: https://www.pallascapital.com.au/contact-us/