Winner of our Top Fundraiser Momentum Award for 2024, Prime Finance has achieved the highest year-over-year percentage increase in fundraising among firms using Juniper Square’s fundraising solution. We recently spoke with Chris Miers, Principal, Head of Investor Relationships of Prime Finance, to learn how the firm’s strategy has contributed to their fundraising success and market resilience.
Q: Chris, thanks so much for taking the time, and congratulations to Prime Finance for winning the Momentum Award! Please tell us a bit about Prime Finance’s history and your strategy.
A: Prime Finance was founded in 2008, focusing on commercial real estate credit. Over the years, we've built a reputation as a consistent, reliable lender—even through market cycles. Our strategies center on providing credit solutions across the capital stack, guided by rigorous underwriting and a disciplined approach to risk. We originate commercial real estate loans across asset types nationwide and specialize in mid-market-sized loans. We also invest in conduit CMBS B-pieces and provide bespoke financing solutions through our special situations strategy. Each strategy is a core part of our platform, designed to serve borrowers needing flexibility and investors looking for exposure to U.S. commercial real estate credit.
Q: Considering Prime Finance was started in 2008, how related was its founding to that recessionary period? Prime Finance has seen two significant and unpredictable market cycles—the Great Recession and the post-COVID period. From Prime Finance’s perspective, what is fundamentally the same and different about both market cycles?
A: We're celebrating our 17-year anniversary this year. We were born in the global financial crisis—it was part of the thesis. Although the founders didn't know there'd be a global financial crisis, they saw, while at their prior firms, that liquidity issues were coming into the marketplace—that there was distress on the horizon. So, our founders partnered in late 2007 and early 2008 to raise capital to invest in commercial real estate credit.
Prime Finance entered the global financial crisis with a clean balance sheet and dry capital. Our first fund was a special situations-type fund. We originated rescue capital and acquired loans from banks. That evolved into our middle-market bridge lending business, our longest-standing strategy. Subsequently, we added our conduit CMBS B-Piece strategy and returned to our roots with our dedicated special situations strategy, now with a dedicated team and capital.
We closed fundraising for our special situations strategy last year and are actively investing that capital into compelling opportunities. It’s focused on finding deals, such as buying loans at a discount from regional banks that’ve pulled back and originating rescue capital. We believe the fundamentals in real estate are still fairly solid, but the capital stack in the current interest rate environment could use our capital.
Q: In your capital raising efforts this past year, was there a strategy, solution, or targeted asset type that LPs found distinctly exciting? Was “special situations” a big component of this past year’s fundraising?
A: Actually, no. We had our final close for our most recent special situations fund, which contributed to our successful year. Special situations was certainly an area of interest given the evolving market environment, because investors have been keen on opportunities that let them step in as a solution provider, whether that means recapitalizations, rescue financing, or capital restructuring. At the same time, there's been a steady demand for our core mortgage lending strategy, fueled by the broader pullback from traditional banks. We think investors like that strategy because it prioritizes a strong current pay and recognizes that in a higher interest rate environment, predictable cash flow is critical to portfolio construction. Our mortgage lending platform, focused on well-structured loans and backed by high-quality assets, aims to offer the attractive current income and overall risk-adjusted returns that LPs are eagerly seeking.
Q: Your website touts that nearly 50% of investments are from repeat borrowers. Similarly, was much of your capital-raising effort this past year kept within your existing LP base versus bringing in new partners? And, for existing LPs that subscribed once more, what do you think has kept your LP base loyal to Prime Finance, outside of durable returns?
A: We always prioritize long-term relationships, whether they’re with borrowers or investors. A significant portion of our fundraising has come from existing LPs who continue to allocate to our strategies. Having said that, we are fortunate that an increasing number of investors are allocating to commercial real estate credit through our long-tenured platform. Performance matters—we have a consistent track record. Having multiple strategies is an advantage for us, for our borrowers, and for our investors. So, strong re-ups are a vote of confidence that we greatly appreciate, but it is gratifying to welcome new investors as partners.
Beyond performance, we believe consistency keeps LPs engaged. Investors want a manager who is time-tested—we've been tested for 17 years through different cycles. We believe our long-term performance is rooted in the strength of the platform we have built, which is stable, consistent, and focused.
In my role, I focus on investor relationships. From my perspective, our drive for continuous improvement in a dynamic and evolving sector is what supports the growth of our various credit strategies. That involves engaging with our investors, refining our messaging, and ensuring our platform remains strong—both from an investment and operational standpoint. It also means transparent communication—listening to our investors, understanding their needs, and committing to providing a solution for them.
Continuity, transparency, solid performance, and strong, consistent returns keep existing investors coming back and have helped us attract new investors, who are so critical to our growth and an important validation of our strategy and market positioning. As our LP base grows, referrals continue to play a key role in expanding our network. Many of our investors come from referrals. Investors who like partnering with us often recommend us to their peers, thereby broadening our capital base and bringing in the perspectives of sophisticated investors who recognize the opportunities in real estate credit. The combination of long-term partnerships and new relationships reflects our platform’s durability and the increasing appeal of commercial real estate credit to investors.
Q: Now that we're a few months into 2025, do you expect it will be harder or easier to raise capital for commercial real estate this year? Why?
A: The outlook for 2025 has many important factors to consider—market stabilization, interest rate trends, and broader capital flows, for instance. While some uncertainties may ease, we expect macro volatility to persist, keeping investors thoughtful and selective in their allocations. I think fundraising will remain competitive with LPs continuing to prioritize managers who demonstrate a strong track record, a clear strategy, and a differentiated approach. In this environment, capital will continue to flow, but only to those who can provide compelling opportunities with strong downside protection and consistent execution.
Considering volatility, we generally think of the tail ends. We typically expect about a 5% tail risk on either side—today, that is possibly more like 20%. That could bring some very good things and, frankly, some not-so-good things this year. I also think the volatility created by numerous domestic and geopolitical factors will favor credit. Investors have realized their portfolios could benefit from reliable income. We've consistently delivered income and returns to our investors over the years, so, hopefully, we're a bright spot in our investors’ portfolios.
Q: Based on your experience successfully raising capital in a market with challenging macros—especially in commercial real estate—what time-tested advice would you offer to other firms or fund managers?
A: I spent 13 years of my career as an investment consultant, sitting on the other side of the table listening to managers pitch me on their businesses. I know our peers well—that helps. I also understand what an LP base looks for in their portfolios. Different investors have different sticking points—those points should inform how you approach them. You have to speak to investors in a way that resonates with them. Consistency and transparency go a long way, too. Investors appreciate managers who communicate well and regularly, articulate what differentiates them, set realistic expectations, and demonstrate a clear investment thesis. It's also important to stay adaptable. Markets evolve—so do investors’ priorities. Firms that can pivot their approach while staying true to their core strengths tend to have the most success. We offer multiple solutions for investors—our broad platform brings a lot to bear.
Q: This has been awesome, thank you again Chris. Final question: How does Juniper Square’s fundraising solution help you with the fundraising process? How does it compare to past tools/platforms?
A: Juniper Square has been invaluable, especially in the fundraising process. If I had to pick three features that matter most to me, they’d be the CRM, the data room, and digital subscriptions. The CRM allows us to efficiently track investor interactions, manage pipeline activity, and maintain real-time visibility into the progress of the fundraise. The data room simplifies document sharing, ensuring all investors have seamless access. It also maintains security and version control. Digital subscriptions has significantly reduced friction in the closing process, making it easier for investors to complete, and have improved accuracy and efficiency on our end. Our high-net-worth investors in particular seem to love it.
Some of the bigger institutions have processes that still require them to push paper around, collecting signoffs from multiple people internally, but we're seeing growing adoption. Frankly, I hope more institutions adopt digital subscription documents. Compared to past tools, Juniper Square provides a well-integrated and user-friendly experience.
Disclaimer: This Q&A does not constitute an offer or solicitation of any kind with respect to the purchase or sale of any security and should not be considered advertising materials or any offer of investment advisory services by Prime Finance Advisor, L.P. or any of its affiliates (collectively, “Prime Finance”). The views and opinions expressed herein are those of Chris Miers and do not necessarily reflect the views or positions of Prime Finance.
Prime Finance was featured as one of Juniper Square's 2024 Top Fundraisers, based on our analysis of the capital raised by our clients using digital subscriptions. Digital subscriptions is one of Juniper Square's digital fundraising tools, helping GPs deliver a better investor experience and raise more capital.