Thursday, March 2, 2017

Does CrowdStreet only do equity deals? If so - why is your focus on equity rather than debt, or both?

“The CrowdStreet Marketplace offers the following types of real estate investment structures:

1. Equity, which is often referred to as “joint venture equity”

2. Preferred equity

3. Mezzanine Debt (debt that is subordinate to the senior loan)

4. Senior debt (typically offered via a fund structure) It is important to note that, because the CrowdStreet Marketplace offers investors the ability to invest directly with an operating company, any debt investments will be offered and managed by a lender.

For this reason and for additional reasons inherent to the direct-to-operator approach, the majority of investment opportunities on the CrowdStreet Marketplace are structured as equity or preferred equity.”


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