Mubadala and Barings launch $500m global real estate debt partnership

Dubai: Mubadala Investment Company and Barings have launched a $500 million global real estate debt partnership aimed at expanding private credit investments across major international markets.

The partnership brings together Mubadala, the Abu Dhabi-based sovereign investor, and Barings, a global investment manager and subsidiary of MassMutual. Mubadala will invest alongside MassMutual, with Barings responsible for managing the joint venture.

The vehicle will focus on senior and subordinated real estate loans across multiple property sectors in the US, Europe, and Asia-Pacific. The partners said the strategy is designed to deliver credit solutions backed by institutional-grade real estate assets.

The venture builds on an existing strategic relationship between Mubadala and Barings. It also supports Mubadala’s goal of diversifying its real estate debt exposure while reinforcing Barings’ position in global real estate investing.

Barings will deploy its real estate debt platform, which manages more than $30 billion in assets globally, to source and manage investments for the partnership.

Better access

Omar Eraiqaat, Deputy CEO of Credit and Special Situations at Mubadala, said the partnership expands access to global real estate credit opportunities and aligns with Mubadala’s long-term investment strategy.

He said Barings’ origination capabilities, portfolio management experience, and track record complement Mubadala’s approach to building resilient credit portfolios.

Mike Freno, Chairman and CEO of Barings, said the joint venture deepens the firm’s relationship with Mubadala and combines both organisations’ strengths to pursue opportunities created by shifting market conditions.

The partners said the launch comes as global real estate debt markets adjust to reduced bank lending, rising refinancing needs, and increased demand for private credit solutions.