Individual Investors Have Earned An Average 17.3% Annual Return Through This Real Estate Investing Platform

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The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

CrowdStreet is a popular real estate crowdfunding platform that offers investors institutional-quality commercial real estate investment opportunities. The platform offers the ability to analyze, compare and choose real estate offerings for individual buildings, managed funds or a tailored investment portfolio that comprises both.

How CrowdStreet Works: CrowdStreet is a crowdfunding platform at its core. Investment firms and developers submit deals to the platform after CrowdStreet conducts thorough due diligence on both the sponsor and the deal itself. 

Although CrowdStreet is more receptive to a delicate trade with a high upside than a traditional bank, the platform isn't asking investors to make big bets on poor deals. Less than 5% of the deals submitted meet the platform’s requirements and get posted to the CrowdStreet marketplace. 

CrowdStreet Historical Returns: CrowdStreet has a demonstrated track record of lucrative returns. Since 2014, CrowdStreet investors have successfully funded over 540 deals, with 63 of them being fully realized to date at an average internal rate of return of 17.3%. 

Investor returns are earned through a combination of cash distributions from rental income and the equity multiple that results from the property later selling for a profit. The average holding period for CrowdStreet’s fully realized deals so far is 2.4 years with an average equity multiple of 1.41x.

Current CrowdStreet Offerings: New offerings are added to CrowdStreet’s Marketplace almost every week. These offerings range from speculative commercial real estate developments to stabilized multifamily properties and even a variety of managed funds. 

As of this writing, offerings currently being funded on the platform include:

  • Artisan Flats Birmingham: A multifamily development project with a 19.8% target return. 
  • Sunbelt Multifamily GP Fund: A portfolio of multifamily properties with a 21% target return. 
  • New Era Medical Investment Fund IV: A fund aimed at acquiring, developing and redeveloping health care properties with an 18%-20% target return.
  • 10 Federal Self Storage 3: An investment company acquiring multiple self-storage facilities with a target return of 14%-16%.

How to Invest: Accredited Investors can sign up on the CrowdStreet platform to view details and due diligence documents on each offering and fund investments. 

Want To Be The First To Know About New Investment Opportunities? Gain access to the same investment offerings on which institutions and billionaire investors are earning 20%-30% or higher annual returns.

While real estate crowdfunding is giving individual investors access to private deals that have historically been out of reach, many of the most lucrative deals are fully funded before the average investor ever has a chance to get involved.

Sign up here for free alerts to find out about new offerings before they go live.

Photo: StockSnap from Pixabay

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.

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