Why Family Offices Are Emerging as Preferred Partners for CRED Managers
Kanebridge News
    HOUSE MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $1,694,137 (+0.07%)       Melbourne $1,032,352 (+0.13%)       Brisbane $1,180,671 (-0.55%)       Adelaide $1,049,309 (+0.70%)       Perth $1,084,212 (-0.24%)       Hobart $845,475 (+2.08%)       Darwin $854,475 (-0.20%)       Canberra $977,295 (-0.45%)       National Capitals $1,147,803 (+0.05%)                UNIT MEDIAN ASKING PRICES AND WEEKLY CHANGE     Sydney $794,556 (+0.48%)       Melbourne $547,365 (+0.09%)       Brisbane $754,072 (-0.37%)       Adelaide $572,519 (-0.29%)       Perth $640,628 (-0.82%)       Hobart $573,985 (-0.37%)       Darwin $470,510 (+2.22%)       Canberra $476,938 (-0.38%)       National Capitals $624,365 (-0.05%)                HOUSES FOR SALE AND WEEKLY CHANGE     Sydney 14,033 (+82)       Melbourne 16,031 (+18)       Brisbane 9,761 (+19)       Adelaide 3,349 (+15)       Perth 8,242 (+9)       Hobart 702 (-12)       Darwin 168 (+1)       Canberra 1,163 (-6)       National Capitals 53,449 (+126)                UNITS FOR SALE AND WEEKLY CHANGE     Sydney 9,492 (+86)       Melbourne 6,692 (-44)       Brisbane 2,164 (+15)       Adelaide 575 (-4)       Perth 1,586 (+4)       Hobart 156 (-4)       Darwin 206 (-23)       Canberra 1,237 (-1)       National Capitals 22,108 (+29)                HOUSE MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $880 (+$5)       Melbourne $620 ($0)       Brisbane $703 (-$8)       Adelaide $660 ($0)       Perth $750 ($0)       Hobart $620 (-$5)       Darwin $838 (+$8)       Canberra $730 (-$5)       National Capitals $736 (+$)                UNIT MEDIAN ASKING RENTS AND WEEKLY CHANGE     Sydney $840 ($0)       Melbourne $630 (+$60)       Brisbane $670 (-$10)       Adelaide $550 ($0)       Perth $700 ($0)       Hobart $520 (-$30)       Darwin $655 (+$5)       Canberra $590 ($0)       National Capitals $658 (+$3)                HOUSES FOR RENT AND WEEKLY CHANGE     Sydney 6,137 (-310)       Melbourne 7,411 (+17)       Brisbane 3,549 (+4)       Adelaide 1,283 (-27)       Perth 2,180 (-40)       Hobart 240 (+17)       Darwin 52 (+3)       Canberra 471 (-1)       National Capitals 21,323 (-337)                UNITS FOR RENT AND WEEKLY CHANGE     Sydney 10,130 (-68)       Melbourne 6,144 (-2,264)       Brisbane 1,981 (+9)       Adelaide 436 (+26)       Perth 732 (-32)       Hobart 67 (-13)       Darwin 112 (+5)       Canberra 769 (0)       National Capitals 20,371 (-2,337)                HOUSE ANNUAL GROSS YIELDS AND TREND       Sydney 2.70% (↑)        Melbourne 3.12% (↓)       Brisbane 3.09% (↓)       Adelaide 3.27% (↓)     Perth 3.60% (↑)        Hobart 3.81% (↓)     Darwin 5.10% (↑)        Canberra 3.88% (↓)       National Capitals 3.33% (↓)            UNIT ANNUAL GROSS YIELDS AND TREND         Sydney 5.50% (↓)     Melbourne 5.99% (↑)        Brisbane 4.62% (↓)     Adelaide 5.00% (↑)      Perth 5.68% (↑)        Hobart 4.71% (↓)       Darwin 7.24% (↓)     Canberra 6.43% (↑)      National Capitals 5.48% (↑)             HOUSE RENTAL VACANCY RATES AND TREND       Sydney 1.4% (↑)      Melbourne 1.5% (↑)      Brisbane 1.2% (↑)      Adelaide 1.2% (↑)      Perth 1.0% (↑)        Hobart 0.5% (↓)       Darwin 0.7% (↓)     Canberra 1.6% (↑)      National Capitals $1.1% (↑)             UNIT RENTAL VACANCY RATES AND TREND       Sydney 1.4% (↑)      Melbourne 2.4% (↑)      Brisbane 1.5% (↑)      Adelaide 0.8% (↑)      Perth 0.9% (↑)      Hobart 1.2% (↑)        Darwin 1.4% (↓)     Canberra 2.7% (↑)      National Capitals $1.5% (↑)             AVERAGE DAYS TO SELL HOUSES AND TREND         Sydney 35.5 (↓)       Melbourne 34.2 (↓)       Brisbane 37.6 (↓)     Adelaide 30.4 (↑)      Perth 44.4 (↑)        Hobart 29.0 (↓)       Darwin 27.9 (↓)     Canberra 35.1 (↑)        National Capitals 34.3 (↓)            AVERAGE DAYS TO SELL UNITS AND TREND       Sydney 34.1 (↑)      Melbourne 33.0 (↑)      Brisbane 37.2 (↑)      Adelaide 29.9 (↑)        Perth 42.1 (↓)       Hobart 30.2 (↓)     Darwin 48.2 (↑)        Canberra 39.1 (↓)     National Capitals 36.7 (↑)            
Share Button

Why Family Offices Are Emerging as Preferred Partners for CRED Managers

As Australia’s family offices expand their presence in private credit, a growing number of commercial real estate debt (CRED) managers are turning to them as flexible, strategic funding partners.

By Opinion: Faris Dedic
Fri, May 23, 2025 10:17amGrey Clock 3 min

Family offices are increasingly asserting their dominance in Australia’s private credit markets, particularly in the commercial real estate debt (CRED) segment.

With more than 2,000 family offices now operating nationally—an increase of over 150% in the past decade, according to KPMG—their influence is not only growing in scale, but also in strategic sophistication.

Traditionally focused on preserving intergenerational wealth, COI Capital has found that family offices have broadened their mandates to include more active and yield-driven deployment of capital, particularly through private credit vehicles.

This shift is underpinned by a defensive allocation rationale: enhanced risk-adjusted returns, predictable income, and collateral-backed structures offer an attractive alternative to the volatility of public markets.

The Competitive Landscape for Manager Mandates

As family offices increase their exposure to private credit, the dynamic between managers and capital providers is evolving. Family offices are highly discerning capital allocators.

They expect enhanced reporting, real-time visibility into asset performance, and access to decision-makers are key differentiators for successful managers. Co-investment rights, performance-based fees, and downside protection mechanisms are increasingly standard features.

While typically fee-sensitive, many family offices are willing to accept standard management and performance fee structures when allocating $5M+ tickets, recognising the sourcing advantage and risk oversight provided by experienced managers. This has created a tiered market where only managers with demonstrated execution capability, origination networks, and robust governance frameworks are considered suitable partners.

Notably, many are competing by offering differentiated access models, such as segregated mandates, debt tranches, or tailored securitisation vehicles.

Onshore vs. Offshore Family Offices

There are important distinctions between onshore and offshore family offices in the context of CRED participation:

  • Onshore Family Offices: Typically have deep relationships with local stakeholders (brokers, valuers, developers) and a more intuitive understanding of planning, legal, and enforcement frameworks in Australian real estate markets. They are more likely to engage directly or via specialised mandates with domestic managers.

  • Offshore Family Offices: While often attracted to the yield premium and legal protections offered in Australia, they face structural barriers in accessing deal flow. Currency risk, tax treatment, and regulatory unfamiliarity are key concerns. However, they bring diversification and scale, often via feeder vehicles, special-purpose structures, or syndicated participation with Tier 1 managers.

COI Capital Management has both an offshore and onshore strategy to assist and suit both distinct Family Office needs.

Faris Dedic

Impact on the Broader CRED Market

The influx of family office capital into private credit markets has several systemic implications:

  • Family offices, deploying capital in significant tranches, have enhanced liquidity across the mid-market CRE sector.

  • Their ability to move quickly with minimal conditionality has contributed to yield compression, particularly on low-LVR, income-producing assets.

  • As a few family offices dominate large allocations, concerns emerge around pricing power, governance, and systemic concentration risk.

Unlike ADIs or superannuation funds, family offices operate outside the core prudential framework, raising transparency and risk management questions, particularly in a stress scenario.

So what is the answer? Are Family Offices the most Attractive?

Yes—family offices are arguably among the most attractive funding partners for CRED managers today. Their capital is not only flexible and long-term focused, but also often deployed with a strategic mindset.

Many family offices now have a deep understanding of the risk-return profile of CRE debt, making them highly engaged and informed investors.

They’re typically open to co-investment, bespoke structuring, and are less bogged down by institutional red tape, allowing them to move quickly and decisively when the right opportunity presents itself. For managers, this combination of agility, scale, and sophistication makes them a valuable and increasingly sought-after partner in the private credit space.

For high-performing CRED managers with demonstrable origination, governance, and reporting frameworks, family offices offer not only a reliable source of capital but also a collaborative partnership model capable of supporting large-scale deployments across market cycles.

Faris Dedic is the Founder and Managing Director of DIG Capital Advisory and COI Capital Management



MOST POPULAR

The 1860s Darlinghurst mansion Stoneleigh could become Sydney’s most expensive home ever sold under the hammer when it goes to auction. Clint Ballard is giving buyers a $28 million guide for the heritage-listed mansion on Darley Street, opposite Iona, the former home of Hollywood royalty Baz Luhrmann. Stoneleigh is being offered for sale for the …

Set on one of the city’s last absolute riverfront sites, The Riversdale by Mosaic combines irreplaceable waterfront ownership with one of Brisbane’s most significant residential opportunities.

Related Stories
Money
Wall Street Is Counting on Nvidia to Keep the AI Party Going
By David Uberti and Krystal Hur 24/08/2026
Money
China Is Opening the First Regular Cargo Route Through the Arctic
By 18/08/2026
Money
Central Banks Are Stuck in a Rinse-and-Repeat Cycle of Crises
By James Mackintosh 17/08/2026
Wall Street Is Counting on Nvidia to Keep the AI Party Going

Nvidia’s earnings will test Wall Street’s confidence in the AI boom.

By David Uberti and Krystal Hur
Mon, Aug 24, 2026 3 min

Chip makers are fighting to assure investors that the artificial-intelligence boom is racing forward. Wall Street might not believe it until Nvidia’s NVDA -0.98%decrease; down pointing triangle Jensen Huang says so.

When Huang steps up to the mic for his company’s earnings call Wednesday, he will have the world’s attention. What he says about Nvidia’s present will preview the future of AI, dictate the path forward for a tech-crazed stock market and influence an American economy increasingly tethered to hopes that the boom won’t go bust.

The $5 trillion chip maker has provided the key building blocks for AI since the launch of ChatGPT in 2022 set off a race for dominance among OpenAI, Anthropic and established Silicon Valley giants. Now, as Nvidia backstops sprawling data-center projects and an exotic money pipeline to boost chip demand, the company’s influence is arguably bigger than ever.

But there are signs of trouble ahead. Political pushback to AI is growing. A bond selloff propelled borrowing costs to their highest levels in years. The hyperscalers that include some of Nvidia’s key customers—once cash-printing machines—are relying more on debt. OpenAI recently told investors its revenue rose by a tepid 18% in the second quarter while its losses deepened.

Nvidia is increasingly stepping in to shore up potential weak points across the market. Earlier this month, the company teamed up with six of Wall Street’s biggest firms on a $500 billion AI-financing plan, pledging to backstop lending to customers that can’t afford its chips otherwise. The chip maker last week also took a stake in Cloverleaf Infrastructure, which arranges power for data centers, and struck a $6 billion deal with startup Poolside aimed at developing a powerful open-weight AI model.

After watching shares in other chip makers and the so-called Magnificent Seven tech companies swing wildly in recent months, Wall Street is hoping Nvidia can beat expectations—again. The countdown is on.

“It’s kind of becoming more and more like the World Cup final than the Super Bowl at this point,” said Brian Mulberry, chief market strategist at Zacks Investment Management. “It’s just gotten to be that big.”

The company has smashed analysts’ earnings estimates for each of the 14 quarters since the AI boom kicked into high gear. Nvidia posted 210% annual growth in net income in its last three-month period, according to FactSet, making Wall Street’s 126% projection look pedestrian.

Expectations for a blowout second quarter have risen rapidly over the course of this year. All Nvidia will have to do to beat this target: outrun 95% annual earnings growth to more than $51.5 billion. Analysts project the chip maker will report record sales of $92 billion for the period, up from a forecast of $78 billion at the start of this year.

In July, big-tech earnings sparked volatility. Concerns about runaway capital spending spread across the sector after Alphabet’s and Tesla’s results, driving a $890 billion wipeout that contributed to the unwind of hedge fund Situational Awareness. Microsoft posted the largest one-day gain in market capitalization by any company, ever, after a quarter proving that it could still show investors the money. SpaceX rocketed higher after a record-breaking initial public offering, only to see $1 trillion in value evaporate.

Surging memory prices and borrowing costs have fueled fears that those and other companies will be unable to keep plowing more money into supplies including Nvidia chips. Shaia Hosseinzadeh, founder of OnyxPoint Global Management, has recently bought dips in AI-infrastructure stocks when Wall Street has strained to absorb massive debt issued by Silicon Valley.

“The macro data is really quite robust,” he said. “Of course, there’s a level at which everything breaks.”

Investors have kept pumping money into the AI trade despite concerns around chip consumers—and to the benefit of chip producers. That is why Nvidia’s outlook for semiconductor demand could send ripples through counterparts such as Micron Technology and Sandisk, developers of the data centers in which their chips reside, and a supply chain of power producers, contractors and other specialists that underpin the globe-spanning AI build-out.

“We joke internally that we’re all Nvidia analysts now,” said David Lefkowitz, head of U.S. equities at UBS Global Wealth Management.

The irony is that investors have tended to sell Nvidia stock immediately after blockbuster earnings, with shares falling each trading session after its four past quarterly reports. Some are betting that will be the case this time around, too.

The options market is pricing in a 5.3% swing, higher or lower, in Nvidia shares during the session following earnings, according to Option Research & Technology Services. That is higher than the 4.8% average move in Nvidia’s stock over the last 12 months after the company reports quarterly results.

In recent days, some of the most actively traded Nvidia options have been put contracts tied to the stock falling from its Friday value of $214.75 to $205 and $210 apiece, according to Cboe Global Markets data. Put options give the right to sell a stock by a set price and typically represent a bearish wager.

Many analysts remain optimistic. Frank Lee, global head of tech hardware and semiconductor research at HSBC Global Investment Research, recently raised his price target for Nvidia shares to $360 from $325, citing, among other things, Nvidia’s strategic partnerships with suppliers and its role as a top contributor to open-source AI.

MOST POPULAR

French luxury-goods giant’s results are a sign that shoppers weren’t splurging on its collections of high-end garments in the run-up to the holiday season.

Sydney Children’s Hospitals Foundation CEO Kristina Keneally says Australia’s culture of large-scale philanthropy is becoming more sophisticated as Gold Dinner raises $75.5 million for children’s health, research and innovation.

Related Stories
Money
Capital Haus buys Baker Young in billion-dollar push to reshape Australian wealth advice
By Jeni O'Dowd 01/12/2025
Property
A German Prince’s Palm Beach, Florida, Retreat Sells for $30.27 Million
By CHAVA GOURARIE 14/07/2026
Property
Castle in surburban Melbourne on the market
By Kirsten Craze 24/10/2025
0
    Your Cart
    Your cart is emptyReturn to Shop