Forum Partners, a global real estate investment and asset management firm, and its portfolio company TSCG, announced the launch of TSCG Credit Opportunities I, LLC, a private credit fund seeking to raise up to $25 million from accredited investors, with the option to “increase the maximum offering amount to $50 million.”
Forum Partners is a private equity firm and investment manager focused on investing in various initiatives and sector-focused real estate companies.
The fund reportedly aims to utilize the proceeds to issue small-balance loans to current or returning TSCG clients seeking to “increase property values through tenant improvements, leasing and development efforts.”
The minimum capital contribution is $25,000 and interests will be offered to accredited investors pursuant to Regulation D, Rule 506(c) under the Securities Act of 1933, as amended.
As explained in the announcement, members shall reportedly be entitled to an annual “9% cumulative, non-compounding preferred return, which will be paid in cash monthly in arrears, with an unlimited upside opportunity as a result of the fund’s unique waterfall structure.”
As noted in the update, TSCG is a vertically integrated commercial real estate investment and advisory firm.
With four distinct business segments, TSCG offers an assortment of advisory services to tenants, landlords, developers and financial institutions, as well as investment “opportunities to investors throughout the U.S.”
TSCG’s ability to originate, underwrite and service loans in-house represents a significant barrier to “entry in the small balance lending market.”
The company’s investment management arm has a history of helping its institutional investors “acquire, finance and manage more than $2 billion in assets across core, value-add, development and debt allocation strategies.”
TSCG’s portfolio spans 62 national markets with “60 million square feet leased and/or managed and more than 560 exclusive tenant assignments.”
TSCG and Forum Partners formed a partnership in 2022.
They co-manage and co-sponsor TSCG Credit Opportunities I, LLC. TSCG is the sponsor and investment manager “for the fund, and an affiliate of Forum Partners will oversee capital-raising efforts and investor relations.”
Forum Partners is a global investment manager focused on investing in real assets and real estate companies.
Forum has deployed appr. $7.7 billion of capital “across 24 countries and over 100 investments.”
The company explained that its strength lies in identifying a catalyst for unlocking asset and enterprise value and “tailoring investments accordingly.”
Forum’s portfolio of operating companies and affiliates directly or indirectly own or manage more than $14 billion of “commercial real estate in the United States and worldwide.”