NEW YORK CITY-Canopy Investment Advisors LLC and the Carlyle Group have formed a joint venture, to create a small-balance lending program. The venture expects to start investing this quarter, originating loans of $5 million to $15 million against all asset types in markets across the US.
The program's focus will be on income producing assets that are not fully stabilized, with loan terms generally between two and five years. In announcing the JV, Canopy and Carlyle did not say how much capital had been committed to the program, and a spokeswoman for Carlyle declined to comment.
“Financing for small balance commercial real estate loans represents an undercapitalized opportunity in the current market,” says Robert Stuckey, managing director at Carlyle and head of all its US real estate funds. “We are pleased to partner with Canopy to launch a new lending program drawing on their commercial real estate lending and capital markets expertise.”
Carlyle has raised more than $8 billion to invest in commercial real estate in North America, of which $1.5 billion has been committed to debt investments. Founded in 2011, Canopy specializes in CRE debt and currently manages over $300 million of capital for institutional investors.
Led managing principals Jackie Brady and Meg Blakey, Canopy's senior team worked together together as investment managers for commercial real estate debt funds at Capmark Financial Group and BNY Mellon. The team has originated and structured more than $3.5 billion in commercial real estate debt since 2005.
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