TSCG and Forum Partners Unveil New Private Credit Fund with Attractive Returns

TSCG and Forum Partners Launch Exciting New Private Credit Fund

In a significant move for the investment landscape, Forum Partners, a leading name in real estate investment and asset management, teams up with its portfolio company, TSCG, to introduce TSCG Credit Opportunities I, LLC. This private credit fund is designed to tap into the wealth of opportunities within the real estate sector while aiming to secure an attractive 9% preferred return for investors.

Fund Overview

The initiative seeks to raise up to $25 million initially from accredited investors, with a possibility of extending this amount to $50 million. The proceeds from this fund are earmarked to finance small-balance loans aimed at enhancing property values for TSCG's existing or returning clients. This is especially crucial for those looking to make tenant improvements, engaging in leasing activities, and pursuing developmental projects.

Sam Latone, co-CEO of TSCG, emphasizes the unique market position this fund holds. He notes, _"Many of our retail clients have opportunities to improve their centers but have been underserved by the traditional sources of capital."_ This fund springs from a desire to bridge that gap, allowing investors not only to support real estate advancements but also to gain a stake in the evolving retail landscape.

Investment Details

Investors looking to participate must contribute a minimum of $25,000. The structure of the fund complies with Regulation D, Rule 506(c) under the Securities Act of 1933. One of the compelling aspects of this offering is the commitment to an annual 9% cumulative, non-compounding preferred return. This return is distributed monthly in arrears, providing a steady cash flow, along with an exciting unlimited upside potential derived from the fund's innovative waterfall structure.

TSCG's Expertise

With a robust history stretching back 40 years, TSCG stands out in the commercial real estate investment and advisory realm. The company operates through four key segments, providing comprehensive advisory services not only for tenants and landlords but also for developers and financial institutions. Moreover, TSCG’s investment management division boasts a successful track record of managing over $2 billion in assets, which speaks volumes about their operational capabilities and market insights.

Currently, TSCG manages a diverse portfolio spanning across 62 national markets, comprising an impressive 60 million square feet of leased and managed space along with more than 560 exclusive tenant assignments. By originating, underwriting, and servicing loans internally, TSCG positions itself advantageously within the small-balance lending sphere, creating substantial roadblocks for competitors.

Strategic Partnership

The alliance between Forum Partners and TSCG was forged in 2022, aiming to co-manage and sponsor this private credit fund effectively. TSCG takes on the role of sponsor and investment manager while an affiliate of Forum Partners will oversee the crucial capital-raising efforts and manage investor relations.

About Forum Partners

Established in 2002, Forum Partners is a global investment manager that specializes in real assets and premier real estate companies. Their impressive portfolio indicates a focus on unlocking asset value, having deployed around $7.7 billion of capital across 24 nations and over 100 investments. Currently, Forum Partners manages or holds interests in more than $14 billion in commercial real estate, showcasing their extensive reach and investment acumen.

With TSCG Credit Opportunities I, LLC, investors now have a unique avenue to explore real estate investments coupled with the stability of preferred returns, all while positively impacting the retail property landscape. As the market evolves, this fund aims to transform challenges into promising lending opportunities, reflecting the dynamic nature of real estate finance today.