Invest in pre-vetted projects from experienced real estate companies

 The Basics

Minimum InvestmentVaries by investment, but can be as low as $5,000
Property TypesCommercial
Accredited Investor Only?Yes
Can Invest Through
Self-Directed IRA?
Yes
Deal TypesSyndicated Debt, Equity, Preferred Equity
Typical TermSyndicated Debt: 6-24 months,
Equity: 2-5 years, Preferred Equity: 1-3 years

The Details

Team Experience: While similar platforms are generally backed by venture capital companies, with no particular focus on commercial real estate, EquityMultiple is backed by a real estate company – Mission Capital, which is a nationally recognized leader in commercial real estate debt & equity finance. According to their website, EquityMultiple’s team has closed over $75 billion in real estate transactions.

Deal Focus: Looking at EquityMultiple’s investment thesis, they seek out deals with the following characteristics:

  • Commercial properties in thriving markets with current cash flow
  • Short term loans and preferred equity investments
  • Value-add projects with construction components and more aggressive business plans

How It Works:

  1. EquityMultiple identifies national and regional lenders with significant experience and real estate companies with strong track records who operate in key markets. Among these companies are long-time clients of EquityMultiple’s real estate team, or their strategic partner – Mission Capital.
  2. After vetting the project Sponsor, EquityMultiple evaluates the market and key metrics, leveraging their decades of in-house experience and data. Each deal must pass their proprietary due diligence process and match the elements of their investing thesis listed above, before moving forward.
  3. For projects that pass the first round of due diligence, EquityMultiple takes a deeper look under the hood, stress testing underwriting assumptions, reviewing key legal documents and third party reports and considering the transaction structure. Fewer than 10% of submissions end up on their platform.
  4. EquityMultiple only works with accredited investors, so if you meet this criterion, you can sign up and go through the online verification process to view their current deals.

Past Properties