Private Credit Pioneer: How Josh Zegen Built the Debt Frontier with Madison Realty Capital

Season 8, Episode 5:

How did Madison Realty Capital grow from a $10M fund into one of the most active private credit platforms in real estate?

Today, we sit down with Josh Zegen, Co-Founder and Managing Principal of Madison Realty Capital, to break down how MRC built its lending business before private credit became an institutional asset class. Josh shares how the firm survived the GFC, became vertically integrated, and scaled into a major capital source for sponsors when banks pulled back.

Whether you’re interested in distressed debt, construction lending, office-to-residential conversions, or today’s maturity wall, this episode is a must-listen. Join us as we dive into how Madison thinks about risk, rescue capital, borrower relationships, and finding opportunity in a volatile market.

Shoutout to our sponsor, Lennar Investor Marketplace. New construction rental investments with comps, returns, and underwriting built in.


TOPICS

00:00 – Introduction to Josh Zegen and Madison Realty Capital
05:00 – The Early Private Credit Opportunity
10:53 – Surviving the GFC and Taking Over Assets
15:45 – Becoming a Construction Lending Powerhouse
19:00 – Back Leverage and Lending to Lenders
24:12 – Distress, Rescue Capital, and Loan Workouts
31:24 – Fundraising, Insurance Capital, and Investor Demand
35:44 – The Pfizer Office-to-Residential Conversion
42:40 – West Palm Beach, Florida, Texas, and Hot Markets
48:12 – Recaps, Volatility, and Building Through the Cycle




For more episodes of No Cap by CRE Daily visit https://www.credaily.com/podcast/


Watch this episode on YouTube: https://www.youtube.com/@NoCapCREDaily



About No Cap Podcast

Commercial real estate is a $20 trillion industry and a force that shapes America’s economic fabric and culture. No Cap by CRE Daily is the commercial real estate podcast that gives you an unfiltered ”No Cap” look into the industry’s biggest trends and the money game behind them. Each week co-hosts Jack Stone and Alex Gornik break down the latest headlines with some of the most influential and entertaining figures in commercial real estate.



About CRE Daily

CRE Daily is a digital media company covering the business of commercial real estate. Our mission is to empower professionals with the knowledge they need to make smarter decisions and do more business. We do this through our flagship newsletter (CRE Daily) which is read by 65,000+ investors, developers, brokers, and business leaders across the country. Our smart brevity format combined with need-to-know trends has made us one of the fastest growing media brands in commercial real estate.