REVIEW

CrowdStreet

An easy way into real estate investing including large-scale commercial projects without buying the entire building.
Invested
$3.95B
Deals Funded
737+
Min. Investment
$25,000

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Overview

CrowdStreet is an online platform that connects investors with commercial real estate investment opportunities. The platform allows accredited investors to invest in various types of real estate, including multifamily properties, office buildings, retail spaces, and industrial facilities. CrowdStreet provides a new way for investors to access commercial real estate investments that were previously only available to institutional investors.

CrowdStreet is well established and trusted

One of the standout features of CrowdStreet is their due diligence process. CrowdStreet’s investment team conducts a thorough review of each project before it is listed on the platform. This includes reviewing the sponsor’s track record, the project’s financial projections, and the underlying property’s market and competitive analysis. This process ensures that only high-quality investment opportunities are listed on the platform.

CrowdStreet also provides investors with access to the sponsor’s quarterly financial reports, which include updates on the project’s financial performance, occupancy rates, and other key metrics. Investors can use this information to make informed decisions about their investments and track their progress over time.

An advantage of CrowdStreet is the platform’s low fees. Unlike traditional commercial real estate investments, which often require high minimum investments and charge hefty fees, CrowdStreet’s platform allows investors to invest with as little as $25,000 and charges no upfront fees.

CrowdStreet also provides investors with access to a network of experienced real estate sponsors. These sponsors have a proven track record of success in the commercial real estate industry and are responsible for managing the projects listed on the platform. This means that investors can benefit from the expertise of these sponsors without having to take on the day-to-day responsibilities of property management.

Some drawbacks to consider

Compared to many of its competitors, CrowdStreet has a relatively high minimum investment requirement with projects staring at $25,000. While some real-estate investment platforms may have lower minimum investment options, it’s important to note that these may be accompanied by other fees or restrictions, and may not provide the same level of access to institutional-quality investments. The higher minimum allows CrowdStreet to attract more experienced and sophisticated investors as well as allow for larger and more complex projects to be funded.

A potential downside of CrowdStreet is the lack of liquidity. Real estate investments are generally illiquid, meaning that investors may not be able to sell their shares quickly or easily. This can make it challenging for investors who need to access their funds quickly or who want to make changes to their portfolio. While this isn’t unique to CrowdStreet, it’s worth calling out.

Finally, it’s worth noting that CrowdStreet is only available to accredited investors. This means that the platform is not accessible to all investors, including those who may be interested in commercial real estate investments but do not meet the accreditation requirements. Learn more about how to become an accredited investor.

6 key reasons why CrowdStreet might be a great fit for you

Diversification: CrowdStreet offers 2 types of investing, a single quick & easy diversified portfolio fund, or access to individual deals which include a diverse range of commercial real estate projects, including multifamily properties, office buildings, retail spaces, and industrial facilities. By investing in multiple projects across different asset classes, investors can spread their risk and potentially earn higher returns.

High-Quality Investments: CrowdStreet’s investment team conducts a thorough due diligence process for each project listed on the platform, ensuring that only high-quality investment opportunities are available to investors. This process includes reviewing the sponsor’s track record, the project’s financial projections, and the underlying property’s market and competitive analysis.

Low Fees: CrowdStreet charges no upfront fees and has low ongoing fees compared to traditional commercial real estate investments, which can be costly and require high minimum investments.

Experienced Real Estate Sponsors: CrowdStreet provides investors with access to a network of experienced real estate sponsors who have a proven track record of success in the commercial real estate industry. These sponsors are responsible for managing the projects listed on the platform, allowing investors to benefit from their expertise without having to take on the day-to-day responsibilities of property management.

Transparency and Access to Information: CrowdStreet provides investors with access to the sponsor’s quarterly financial reports, which include updates on the project’s financial performance, occupancy rates, and other key metrics. This information allows investors to make informed decisions about their investments and track their progress over time.

Ongoing Investor Education: CrowdStreet provides ongoing education and resources for investors, including webinars, podcasts, and other educational materials. This education is designed to help investors make informed decisions about their investments and stay up-to-date on the latest trends and developments in commercial real estate.

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CrowdStreet Investments

Diversified Multi-Asset Fund

Fund options include medical real estate, manufacturing facilities, and CrowdStreet advisor favorite growth-oriented projects.
Min. Investment
$25000
ANN Fees
0.5-2.5%
ANN Target Return
18%
term
2-6 yrs
Accredited
Yes

Single Commercial Property

Options include a luxury apartment high-rise in DC, storage facilities, distribution centers, and Marriott hotel.
Min. Investment
$25000
ANN Fees
0-2.5%
ANN Target Return
21.5%
term
2-7 yrs
Accredited
Yes

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