Type:
Real Estate
Focus:
Debt & Equity

Overall:

Platform Provided Due Diligence:

Platform Fees:

Quality of Deals:

Website - CrowdStreet

Phone888 432-7693

SEC REG - USES 506(c) - Open Investments can be advertised and publicly discussed

CrowdStreet allows accredited investors to purchase real estate investments through their platform, which is essentially syndication. Investors can from a wide variety of choices, sign legal documents online and maintain their portfolio. Unlike many sites, CrowdStreet features both debt investment and equity opportunities. These include a wide variety of projects including retail, office, industrial and land.

CrowdStreet reviews every potential opportunity and rejects those that do not meet their strict standards. At this time only accredited investors can look at the investments on CrowdStreet.

Usually, these are wealthy individuals interested in real estate investments, but are interested in combining their resources with other investors. The site benefits accredited crowdfunding investors because now they can see opportunities that were potentially only available to institutional investors were private individuals.

Because they provide wide access to new opportunities, a larger pool of real estate options becomes available. Investors can put their money into a variety of properties across a wide geographic range with a small capital outlay.

Investors see a return on their real estate investment when CrowdStreet distributes the money. Distributions depend on whether the investor has selected equity, debt or a form of hybrid investment. Investors receive distributions in the form of a share of profits for equity investors. Debt investors receive their distribution at a previously agreed-upon interest rate. Both investors would also receive distributions when a property is sold.

There is no fee to join the platform and get involved with investment opportunities. There is a minimum investment for individual opportunities, and some are very low-- in the area of $10,000.

CrowdStreet may open their platform to nonaccredited investors in the future depending on the outcome of the Security and Exchange commission's decision on updating regulations of the JOBS Act.

 

CrowdStreet announced in September of 2014 and they had received $800,000 in seed funding from a group including Green Visor Capital and Seven Peaks Ventures with additional participation from the Portland Seed Fund. They have posted crowdfunding real estate properties worth more than $100 million.

If this CrowdStreet review does no tell you what you want to know, read what investors have to say. 

 

Due Diligence & Discussions

Share your experience. Rate and comment!

T Wong

Nov 24, 2017

CS is one of the most popular portals for CRE investment.  The portal is generally well designed.  When/if I have observed "rooms for improvement", I provided them with my feedback and they are very receptive to my suggestions.  The IR (Investor Relationship) team is well staffed and they have always gone the "extra miles" to promptly response to my enquiries and/or to set up a direct and immediate connection with the sponsors.  In every deals that I have made, I have direct connection to the principals of the sponsors.  CS encourages/sets the typical minimum investment threshold to $25K reducing the financial exposure for the perspective investors getting to know the sponsors to whom they have no prior experience with.  All the above are excellent strategies / services / features of CS.  Most recently (early Oct 2017), I suggested CS to pay more attention to the quality of many deals when the sponsors only have minimal stake of equity (5% or even less).   I typically pay no attention to the deals when the sponsors do not have enough stakes (equity) in the projects.  However, knowing the business model of CS and others is to have more deals to flow through the platforms, the investors are encouraged to be more observance and selective in picking the right deals that they are comfortable with.  I'd like to see all the other crowdfunding portals can benchmark each other to identify their niches to make the crowdfunding ecosystem more healthy and vibrant.  

Kirby Loid

Nov 20, 2017

I am a member of a number of Crowd Funding websites but consistently find that I like the CrowdStreet platform best.   I do wish they had some group sharing feedback loop on sponsors and even platform.  Particulalry for sponsors 

Bill Scott

Feb 20, 2017

I have two investments on CrowdStreet and was happy with the general process and with the offerings (although deal flow has slowed). I gave a slightly lower rating on due diligence as I was less than impressed with the Alpha Fund since it had a sponsor that was new to doing a general fund and there were certainly some hiccups with that deal (which might be straightened out now).

On the actual experience being able to evaluate deals:

- Consistent placement of materials and simple layout of the deal is a big plus (edges out RealCrowd)

- A sample distribution is pretty consistently shown in the deal analysis

- Easy to find webinar (if available) and supporting material

Experience of placing an offer and going through to funding is a nice experience. BTW, CrowdStreet powers the crowd funding platform of other clients (like ArborCrowd).

 

Jack Bodden

Feb 18, 2017

CrowdStreet is arguably the best platform out there for deal volume and offering diversity.  Investors are not charged any fees and they offer a compelling technology platform for Sponsors to manage their investor communications.  I've been very pleased with their Investor Relations team on an individual level and their weekly updates are very informative.

Richard A

Feb 16, 2017

I have invested in 3 major sites, Crowdstreet, RealCrowd, and Realty Shares.  The largest percentage of my investments have been with Crowdstreet due to the following reasons: a) Their Investment Relations  Manager, Manish Arora goes beyond the call of duty, answering my questions (or getting the sponsor to answer them), and is always available to answer any questions/concerns I have.  He also is very knowledgeable in his job, b) Their deal flow in both quantity and quality is better than the others out there, c)  Their administration/accounting of your investments is far superior to RealCrowd and similar to Realty Shares, and d) I prefer the platforms that allow me to work directly with the Sponsor, although I do like some of Realty Shares deals, which is why have used them second most to CrowdStreet.

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Rated 4.0/5 based on 22 customer reviews

Website - CrowdStreet

Phone888 432-7693

SEC REG - USES 506(c) - Open Investments can be advertised and publicly discussed

CrowdStreet allows accredited investors to purchase real estate investments through their platform, which is essentially syndication. Investors can from a wide variety of choices, sign legal documents online and maintain their portfolio. Unlike many sites, CrowdStreet features both debt investment and equity opportunities. These include a wide variety of projects including retail, office, industrial and land.

CrowdStreet reviews every potential opportunity and rejects those that do not meet their strict standards. At this time only accredited investors can look at the investments on CrowdStreet.

Usually, these are wealthy individuals interested in real estate investments, but are interested in combining their resources with other investors. The site benefits accredited crowdfunding investors because now they can see opportunities that were potentially only available to institutional investors were private individuals.

Because they provide wide access to new opportunities, a larger pool of real estate options becomes available. Investors can put their money into a variety of properties across a wide geographic range with a small capital outlay.

Investors see a return on their real estate investment when CrowdStreet distributes the money. Distributions depend on whether the investor has selected equity, debt or a form of hybrid investment. Investors receive distributions in the form of a share of profits for equity investors. Debt investors receive their distribution at a previously agreed-upon interest rate. Both investors would also receive distributions when a property is sold.

There is no fee to join the platform and get involved with investment opportunities. There is a minimum investment for individual opportunities, and some are very low-- in the area of $10,000.

CrowdStreet may open their platform to nonaccredited investors in the future depending on the outcome of the Security and Exchange commission's decision on updating regulations of the JOBS Act.

 

CrowdStreet announced in September of 2014 and they had received $800,000 in seed funding from a group including Green Visor Capital and Seven Peaks Ventures with additional participation from the Portland Seed Fund. They have posted crowdfunding real estate properties worth more than $100 million.

If this CrowdStreet review does no tell you what you want to know, read what investors have to say.