Specialist property lender Pallas Capital has reached $2 billion in cumulative transactions, underwriting $1.1 billion in transactions in less than 12 months.
Pallas Capital offers brokers and developers lending solutions that are tailored to their needs by offering five loan types – acquisition, pre-development, construction, residual stock and vacant land loans. It also provides flexibility to negotiate LVRs and the required level of pre-sales for construction loans.
Pallas Capital says the milestone reinforces the strength and resilience of real estate credit as an asset class among investors and borrowers alike.
“It took Pallas Capital five years to transact its first billion dollars of investments and less than a year to transact its second billion,” said Pallas Capital chief investment officer Dan Gallen (pictured). “I believe this reflects both the expertise and dedication of our staff, together with our growing reputation for professionalism and reliability.”
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The lender raised these funds from its high-net worth clients, family office and institutional investor base by introducing an array of products in the last year that responded to their diverse investment needs, propelled by the superior defensive qualities of the asset class.
The funds were allocated across a range of first and second mortgage loans across Sydney, Melbourne, Brisbane and Adelaide.
Gallen said Pallas Capital’s lending approach had significantly expanded in recent years to include everything from $2 million acquisition loans to $100 million loans for mixed-use projects.
In 2022 alone, Pallas Capital has funded a $2 million loan to assist with the acquisition of an investment property in Putney, Sydney, a $7.5 million residual stock loan to refinance a completed residential project in Adelaide, a $15 million construction loan to deliver a medium-density residential project in Sydney’s northwest and a $90 million loan to fund a large mixed-use project in Melbourne’s inner east.
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“We now have 100 staff within Pallas Group covering our lending and investment operations, and our property development side,” Gallen said.
“These teams give us an unmatched window on the marketplace for the loans and property assets which we develop, or against which we lend. I believe that our investors, borrowers, apartment buyers and commercial tenants all benefit from our unique market insights and growing transaction volumes.”