How Will the Fed's Pivot to Cut Rates Impact Development, M&A?

As interest rates continue to increase, banks and other financial institutions are peeling back from commercial real estate lending. But one Atlanta private equity firm is seeing an opportunity — even in the aftermath of the March bank collapses.   Over the past 12 months, Peachtree Group has been “aggressive” in lending to groups unable to source debt for projects, CEO Greg Friedman said. The firm is also seeking to buy debt from financial institutions looking to reduce their exposure to commercial real estate.

Many pivotal moments in Greg Friedman's life occurred against the backdrop of major economic shifts. He graduated college right before the dot-com bubble burst, and coincidentally walked away from an internet company he started at the tail-end of the boom. Just after he founded Peachtree Group, the private equity firm he leads, the Great Recession began, and he and his partners had to shift their business model.   Friedman knows first hand the power of pivoting, which he says helped to lead his firm’s success more than 15 years later. Peachtree Group now counts 250 team members across all of its divisions.

Amid a market downturn, the retail space continues to defy inflationary pressures. Retailers seemingly didn’t get the memo of a softened market and are instead poised to continue opening storefronts and leasing space across the US.  How can this possibly be? Mortgage Professional America turned to Greg Friedman, founder and CEO of commercial real estate private equity investor and lender Peachtree Group for answers.