Madison Realty Raising Biggest Fund With $2.25 Billion Goal (1)

Madison Realty Capital is raising a $2.25 billion real estate debt fund, the firm’s largest, as higher interest rates present lenders with opportunities for bigger returns.

The new fund, the firm’s sixth, has pledges for $914.4 million toward its goal, according to a securities filing this month. A spokesperson for New York-based Madison Realty declined to comment.

After a record start to 2022, US commercial real estate lending is expected to fall about 18% this year to $733 billion as transactions slow and lenders pull back amid concerns about the economy, according to a July forecast by the Mortgage Bankers ...