Posting Policy

CrowdStreet posts institutional-­quality commercial real estate investments with defined business plans from reputable and proven Sponsors. The following is a guideline of our screening criteria:

Sponsor: We work with well-­known, reputable real estate operating companies whose principals have a 10+ year track record of success and have completed ten or more private investment real estate offerings. CrowdStreet Sponsors have an existing network of repeat accredited investors and institutional investors, along with affiliations with national associations like ULI, NAIOP, CCIM, SIOR, or IREM.

Project/Property Type: We post commercial and investment real estate in the United States including retail, office, industrial, mixed-­use, multi­family, hospitality, senior housing and storage.

Single Asset Property or Fund: CrowdStreet accepts both real estate funds and single asset opportunities. In both cases, we require a complete Business Plan.

Offering Type: CrowdStreet is a listing platform for private offerings that fall under the SEC’s Regulation D, Rule 506(c). At this time, only verified Accredited Investors are permitted to invest via CrowdStreet.

Offering Structure: While CrowdStreet is open to a variety of deal structures, the following are currently most suitable for the platform:

  • Common or JV equity
  • Preferred equity
  • Mezzanine or 2nd position debt

Property Status: We will consider the following offering types:

  • Stabilized with predictable cash flow
  • Value-­add, redevelopment or repositioning
  • Ground up development or build to suit

Offering Documents and Business Plan: We require the Sponsor to provide all legal documents to be signed by the Investors including a Subscription Agreement and partnership documents. Additional Project documentation including a Private Placement Memorandum, Offering Memorandum, Prospectus, Investment Offering, Pro­Forma, etc. are highly encouraged.

Professional Management: All properties featured on CrowdStreet require professional property management. The Sponsor may serve the role as property manager provided it possesses demonstrated capability to do so.

Property Value Range: The target property value range is between $2,000,000 and $25,000,000. There is no maximum property value.

Fundraising Goal: Sponsor’s target fundraising goals from CrowdStreet typical range from $500,000 to $2,000,000.

Investor Returns: Sponsors are expected to offer returns that will spur investor demand while being commensurate with the Project risk profile.

Leverage: We believe a moderate (50­-75% +/­ LTV) use of leverage is prudent. It’s helpful to know that a commercial lender has also underwritten a Project. We request all relevant commercial lender documents related to a Project.

Sponsor Equity: CrowdStreet Sponsors are required to co-invest alongside CrowdStreet investors. Sponsor co-investment amounts may vary (depending upon numerous factors such as providing recourse debt guaranties) but typically range from 5% - 15% of total equity.

Risk: Investing in real estate is risky. Sponsors are required to fully disclose the risk profile of particular property or fund. A sponsor generated Private Placement Memorandum (PPM) is strongly encouraged or required depending on the Offering.

Target Markets: CrowdStreet targets primary, secondary and tertiary markets across the Unites States that demonstrate positive economic and demographic trends.

Investor Reporting: Sponsors are required to provide quarterly reports to Investors via the CrowdStreet Investor Dashboard. In addition, Sponsors are responsible for Investor distributions and tax matters.

Emerging Sponsors: Emerging Sponsors are defined as experienced commercial real estate principals who have invested through their current entity for fewer than ten years and, as a result, may not meet all aspects of CrowdStreet’s standard Posting Policy. As a result, Emerging Sponsors must demonstrate the following:

  1. Strong leadership / strength of experience
  2. Unique and/or compelling product offering
  3. Favorable investor terms
  4. Demonstrated experience in managing high net worth investors
  5. Higher sponsor co-investment and/or credit enhancements (e.g. loan guaranties)
  6. Prior experience in geographic market(s)

To submit a Project for consideration, please submit a request or call (888) 432­7693.