Morning Calm Management has set up a $500m (€458m) US office real estate debt fund with an unnamed global investment manager.

The real estate management firm said it has launched Morning Calm Office Finance (MCOF) with the $50bn global manager to provide office owners and investors with flexible financing solutions.

MCOF will originate and acquire structured office debt investments including senior and mezzanine loans, B-notes and preferred equity.

Morning Calm said MCOF will invest across the US’s top 30 metropolitan statistical areas, “focusing on class-A office properties in high-barrier markets supported by strong fundamentals” as it targets loan sizes ranging from $25 to greater than $100m.

Mukang Cho, CEO and managing principal at Morning Calm Management, said: “We decided to enter the debt business with the launch of MCOF to serve as a reliable source of capital for experienced borrowers and capitalise on the opportunity created by legacy lenders pulling back.

“We believe this strategy provides a win-win scenario for all parties involved.”

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