Alantra has launched Alteralia Real Estate Debt Fund II (RED II), its second European real estate debt vehicle, with a target size of €200 million, following the completion of a first close, the firm said on Thursday.
The new fund builds on the track record of RED I, which Alantra describes as highly successful and which has already returned close to two-thirds of committed capital to investors. With RED II, Alantra continues to expand its private debt platform, focusing on providing tailored financing solutions to real estate owners across Europe, with a strong emphasis on capital preservation and the delivery of recurring income.
RED II will finance high-quality real estate assets and support top-tier sponsors in executing their business plans across Europe’s main markets. The strategy is designed to benefit from current market conditions, marked by tighter traditional bank lending and a growing number of opportunities to refinance existing bank loans.
According to Alantra, the fund currently has a pipeline in excess of €500 million across Europe, with several transactions already at an advanced stage. The vehicle will maintain a disciplined investment approach, characterised by moderate leverage, strong mortgage security and broad diversification by asset class, geography and number of investments.
In parallel with the launch of the fund, Alantra has strengthened its real estate debt team with the appointment of Javier Galán as Director, expanding its origination and asset management capabilities within the real estate financing space.
