--News Direct--
Ballast Rock, the diversified investment management firm, announced today that it has launched the Ballast Rock Real Estate Private Credit Fund, which seeks to lend to small to medium-scale real estate and solar projects on a senior-secured basis, managed by preferred developers.
Investments in the fund, which targets raising a maximum of $50 million, will focus on senior-secured debt instruments with the potential for some equity upside.
“Ballast Rock’s long-standing track record in real estate, infrastructure development, and capital structuring gives our investment team a strong foundation to enter private credit,” said Simon O’Shea, Chief Investment Officer of Ballast Rock. “Investors in our private equity and venture capital funds have long encouraged us to explore opportunities in private credit, so we feel a fund that can benefit from our deep experience in real estate and infrastructure was a natural next step.”
The new fund will be managed by Max Jackson, who recently joined Ballast Rock Asset Management as Managing Director and Private Credit Portfolio Manager.
The Ballast Rock Real Estate Private Credit Fund will focus on four strategies:
Lot Banking. The fund will acquire parcels of land at or below market value from developers, with developers legally required to buy back the parcels when ready for construction.
Delaware Statutory Trust Financing. DST sponsors are required to provide 100% of the capital needed to acquire an asset when a DST is formed. The fund will provide short-term bridge financing to sponsors for the required capital.
Franchise Location Development. The fund will provide “last mile” development capital to preferred franchise developers, secured by the underlying property.
Commercial Solar Development. The fund will provide “last mile” development capital to solar developers, to be sold to solar owner-operators after completion.
“We believe having a focused approach to our investments, in areas where we have experience, is a differentiator in a private credit market with many new entrants,” Jackson said. “In addition, we plan to target loan sizes of $5 million or less, since we view that market as underserved.”
The fund plans to generally require a senior-secured and/or preferred position in all loans, with the goal to be the first to receive proceeds from investment monetization. The fund also expects short-term hold periods of 6 to 18 months for each investment.
The Ballast Rock Real Estate Private Credit Fund will be available to U.S. accredited investors with a minimum investment of $50,000. To learn more about the fund and to read important disclosures, please visit our Investor Portal.
About Ballast Rock Group
Ballast Rock is an integrated investment management company specializing in delivering risk-adjusted returns, accurate, and timely advice, high quality frequent reporting, and direct access to management. Ballast Rock operates Ballast Rock Asset Management, Ballast Rock Private Wealth, and Ballast Rock Capital. Ballast Rock Asset Management comprises Ballast Rock Real Estate, which includes the firm’s Sunbelt multifamily real estate funds, and Ballast Rock Ventures, comprising venture capital and private equity teams. Ballast Rock Private Wealth is a full-service registered investment advisor, with a focus on allocating into private asset classes. Ballast Rock Capital (member FINRA/SIPC) is an SEC-registered broker-dealer. Ballast Rock is committed to being a driver of positive change. The diversity of our team members brings valuable new perspectives to our industry for the benefit of our stakeholders and the broader community.
Investment Disclosure
The information contained in this press release has been prepared by Ballast Rock Holdings LLC (“Ballast Rock”) without reference to any particular reader’s investment requirements or financial situation. Potential investors are encouraged to consult with professional tax, legal, and financial advisors before making any investment into a private offering of securities. An investment in private securities would be speculative and would involve a high degree of risk. Investors must be prepared to bear the economic risk of such an investment for an indefinite period of time and be able to withstand a total loss of their investment. Please carefully consider the investment objectives, risks, transaction costs, and other expenses related to an investment prior to deciding to invest. Ballast Rock Capital LLC (“BRC”), MEMBER: FINRA / SIPC. BRC’s registered head office is 460 King Street, Suite 200, Charleston, SC, 29403. Tel: 800-204-2513. To check background information about BRC and its representatives, visit FINRA’s BrokerCheck. Please see important disclosure information in our Form CRS.
Contact Details
For Ballast Rock
Lisa Aldape, Vocatus
Company Website
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