Why Commercial Real Estate?

There’s a lot of benefits to investing in CRE. Here’s a few of them:

Affordable Housing

We strictly invest in Class B and C Multifamily assets across the Eastern half of the United States This gives us a strong footing in good times and bad times, since affordable, workforce housing is almost always in demand.

Hedge Against Inflation

Shorter terms in multifamily rental leases mean that average rents can be strengthened by the management team to keep pace with inflation. This way, your cash flow increases with, and sometimes faster, than inflation. This protects you from the devaluation of your money.

Historically Stable Investment

During the recession of 2008, the default rate for residential mortgages was 4.6%. The rate for commercial mortgages was just 0.9% at the same time.

Extraordinary Tax Benefits

Passive income from multifamily investments is taxed at a lower rate than regular income tax rates. There are also tax deductions that can be taken on paper that aren’t actual costs. Depreciation, the main one, can allow a cash flowing investment to become a tax loss.

The Power of Leverage

As a ‘Limited Partner’ in a multifamily syndication, investors benefit from leverage by pooling funds with other investors into prestigious properties. Currently, interest rates are near all-time lows, which makes investments very attractive. At the current rate of inflation, the banks essentially pay you to take out a loan.

Passive Income

Although it seems like a buzzword today, investing in multifamily provides significant passive income. Quarterly distributions can be sent out via bank deposit, so you don’t even have to go to the bank to deposit a check.