Middle Market Lending In Commercial Real Estate
Sound Mark Partners is a women-owned and led private credit firm focused on commercial real estate. Started in 2013 as a team lift out of CBRE, the largest commercial real estate services firm in the world, Sound Mark provides directly originated mezzanine loans and preferred equity to owner-operators throughout the United States. Sound Mark focuses on the Middle Market of commercial real estate, defined as deals valued $50M or less. The Middle Market represents over 90% of transactions by volume though just 55% of transactions by total market value. Compared to the hypercompetitive top end of the market, Middle Market deals exist in a much less efficient space, and that inefficiency creates opportunities. Join us as we explore how the yield premium for smaller deals has grown since the Global Financial Crisis, why subordinate loans are attractive to borrowers, and where investors can find opportunities in the fragmented middle market.
- What is subordinate lending and why does it exist?
- What are the advantages of an open-end fund structure?
- What is the current outlook?
Event Recording
Middle Market in Lending Commercial Real Estate
Speaker
Chrystalle Anstett
- Title
- Head of Capital Formation @
- Company
- Sound Mark Partners LLC
- Role
- Speaker
Ms. Anstett is the Head of Capital Formation for Sound Mark Partners. In this role, she is responsible for supporting the firms limited partners through proactive, insightful and transparent communications, and for continuing to develop new investor relationships, distribution channels and capital sources. Ms. Anstett has over 20 years of institutional investment experience, spanning roles in research, capital strategy and investor relations. Prior to joining Sound Mark, Ms. Anstett was the Co-Head of Private Credit for Eaton Partners, a global capital advisory firm, where she led the origination and underwriting of the firm's credit-related offerings. Prior to joining Eaton Partners, Ms. Anstett helped build the business development and investor relations group at QFS Asset Management, a $1.4 billion systematic global macro hedge fund. Previously, she held several roles at Goldman Sachs Asset Management, beginning in the Business Development Services group and later joining the Fixed Income Product Management team. She began her career at Lazard Asset Management in accounting and later joined the institutional marketing group. Ms. Anstett is the author of several articles and white papers on institutional investment strategies, which have been featured in Absolute Return, Bloomberg Markets and HFM Investor Relations. She is a frequent speaker on trends in institutional investing. Ms. Anstett graduated cum laude from New York University Stern School of Business, where she received a BS in Economics and International Business and was a Stern Scholar. She is a Chartered Financial Analyst.
About
Sound Mark Partners LLC
Sound Mark Partners LLC (Sound Mark or the Firm) is a women-owned and led private credit firm focused on commercial real estate. The Firm was established in 2013 as a team lift-out from CBRE Group, the largest commercial real estate services company globally. Led by Jenna Gerstenlauer, former Chief Investment Officer of CBRE and a 25-year commercial real estate veteran, the Sound Mark team has been investing together for over 10 years. Sound Mark focuses on making directly originated subordinate loans (mezzanine and preferred equity) to local owner-operators of commercial real estate. The Firm targets small deal sizes ($5M - $40M) in high-growth primary and secondary US locations, and emphasizes areas designated as Innovation, Eds and Meds districts. Based in Greenwich, CT, the Firm has deployed $400M across the flagship Sound Mark Horizons Fund (the Fund) and separate account vehicles.