Scott Rechler, Chairman and CEO of RXR, discussed the recent private credit boom with Commercial Observer. Rechler highlighted that he has been able to view the emergence of private credit through the lens of being both a borrower and a private lender. RXR launched a $1 billion CRE credit strategy in 2023, and argued that banks like to be lenders to non-banks due to favorable credit treatment and better collateral.
“What we’re seeing is an interesting simpatico, where everyone is finding their home and it works for all pieces. And, so, that is a good development that will create somewhat more permanent capital for the borrower and re-equitize the CRE space.”
