You probably have heard about Crowdstreet Marketplace and got intrigued with its hype.
Maybe somebody told you about a commercial real estate investing platform but were clueless about it? Or, you might be needing an investment advisor but you don’t know where or how to start?
This review will go over Crowdstreet Marketplace to see if it really is the best commercial real estate investing platform out there.
You’ll learn whether a commercial real estate investing platform is the right online business for you.
And at the end, you’ll find answers to some of the most frequently asked questions regarding Crowdstreet Marketplace and commercial real estate in general.
But most importantly, you’ll see the exact system many others have used to build their own internet marketing business to over $40,000 a month in mostly passive income.
This system made them swear off commercial real estate for good because it uses some of the same skills but in a much more powerful and profitable way!
Crowdstreet is another commercial real estate investing platform. Its clients use their platform to directly invest in commercial real estate projects.
Crowdstreet does not function as a middleman, compared to a brokerage firm.
Crowdstreet Marketplace serves as an avenue for investors to select the best deal on commercial real estate investments that is fit for their strategy, time, and horizon.
You can picture Crowdstreet Marketplace as a commercial real estate market, where various real estate investing opportunities are available, from huge storage facilities, or office buildings to personal living spaces.
Crowdstreet Marketplace is a live commercial real estate platform, showcasing commercial real estate properties.
In the live session, accredited investors can select from the featured commercial real estate projects or the newest real estate investment opportunities.
An investment advisor is also available to assist potential investors.
Crowdstreet Marketplace boasts that more than 100,000 subscribers have already signed up and have accessed their commercial real estate platform, to browse a substantial listing of good quality commercial real estate properties.
Crowdstreet Marketplace also reports that there was more than 250 giant, established developers and operators who have utilized their platform in raising capital online. The Crowdstreet Marketplace also became beneficial to these large companies in terms of managing their investments and partners.
Also known as C.R.E., commercial real estate is any portion of land or property that is being used solely to generate income. It could be a property turned into an office space, a warehouse, a huge shopping mall, or a residential space. It can also be converted into hotels, restaurants, resorts, healthcare facilities, or even theme parks.
Commercial Real Estate is often leased to tenants to continuously generate funds. Landowners benefit greatly from commercial real estate investment projects as the value continues to increase.
Commercial real estate investing is a good option to gain maximum profit from your initial capital.
Commercial real estate investing is a kind of investment where the investor will deploy his capital on buying a real estate property that is intended for income generation. Commercial real estate investing remains a profitable option for new business endeavors.
This market is the avenue where commercial real estate properties are posted for sale. Investors can browse through the various listings of properties available with commercial value.
CrowdStreet co-founders are Tore Steen and Darren Powderly. CrowdStreet was founded in 2013.
Tore Steen is the CEO while Darren Powderly is the VP of Capital Markets.
CrowdStreet boasts that its leadership team has more than one hundred (120) years of combined experience in real estate, commercial real estate investing, online marketing, software development, and private equity.
CrowdStreet maintains its original office at 621 SW Morrison St #400, Portland, OR 97205, USA.
The real estate investing company, CrowdStreet Marketplace opened a second office and relocated its main headquarters in Austin, Texas in March 2021.
Their new office in Austin provides expanded support to its CrowdStreet community, as their employees and CrowdStreet advisors (or the investment advisors) are able to work remotely from home, or at the office.
The CrowdStreet Marketplace is the direct link between investors and the sponsors behind each deal. Since there is no Asset Management team on CrowdStreet, the company created this CrowdStreet Marketplace to connect the sponsors to the investors.
If you are a real estate investor who is open and considering new opportunities, then Crowdstreet is an option for your commercial real estate investments.
Crowdstreet is also for accredited investors who have a significant amount of extra capital and are willing to shell out for another investment, especially on commercial real estate properties.
Crowdstreet can also be beneficial to investors who are expanding their options, aside from buying stocks.
If you are any of the above-mentioned types of investors, and you want to expand your real estate portfolio, then you will enjoy this review.
Crowdstreet could be a good option for those who are planning their retirement. If you desire to include the acquisition of real estate assets in your real estate portfolio, the common plan would be to buy a piece of land or invest in Real Estate Investment Trust (REIT).
This is where Crowdstreet will become a game-changer. Instead of the usual purchase of a residential property or engaging in a Real Estate Investment Trust, the retiree has the new option to diversify his investment.
Crowdstreet can assist in the acquisition of commercial real estate properties, through the Crowdstreet Blended Portfolio. The company also offers consultation via its advisory service.
Technically, NO, CrowdStreet is not only for accredited investors. Anyone can join the company. Members are free to browse the Marketplace.
However, the majority of the investments through the Crowdstreet platform are considered Regulation D Rule 506© offerings. Hence, the investments are reserved for accredited investors only.
You need to become an accredited investor to be able to start investing through CrowdStreet.
Otherwise, you may want to check our reviews of Fundrise. This company allows non-accredited investors to engage in their real estate investments.
In terms of commercial real estate investing, we included this comparison for you to have a quick peek at which commercial real estate investing platform is better for you. Check below points of comparison:
To invest through the CrowdStreet Marketplace, you must fulfill the following requirements:
If you are not a U.S. Citizen or Resident, but would like to invest via a U.S.-based entity (either a corporation or an LLC), that entity must:
However, the company also emphasized that even if you have met the above criteria, a sponsor’s approval is still required prior to becoming an investor.
No. Crowdstreet does not charge investor’s fees for joining. Anyone can easily join the company, sign up for free, and browse the Marketplace free of charge.
There is also no fee to access the investment opportunities.
The real estate investment company mainly charges fees to sponsors, and not directly to investors nor to accredited investors. However, the CrowdStreet advisors or the investment advisors will.
Although Crowdstreet does not charge investor’s fees for joining, there are still some fees being charged for their business to continue existing. The real estate investment company mainly charges fees to sponsors, and not directly to investors.
To become a sponsor, you need to pay the subscription fee for the software from Crowdstreet. This software is a good real estate tool for managing multiple investors and get more deals.
Crowdstreet leveraged technology to raise money faster via the Crowdstreet platform. Sponsors are required to pay a fee to be able to access the platform.
The above-mentioned fees being charged to sponsors have no direct fees charged to investors. However, as mentioned earlier, if you secure their advisory service, the Crowdstreet Advisors are charging a fee for the extra help the Crowdstreet Advisors extend to the investors.
There is a varying minimum investment in Crowdstreet. The minimum investment depends on the investment opportunity.
Crowdstreet Marketplace has a majority of offerings with a minimum of $25,000. Note also that there are some offerings that may range up to $100,000.
The CrowdStreet’s crowdfunding platform is user-friendly, even for new members. It is very easy to use and navigate, and the company made sure the members will not have trouble using it.
You can choose from a wide array of listings for both equity and debt investment opportunities. Options like retail, industrial, office, multifamily, and land opportunities are among the features of CrowdStreet for commercial real estate properties.
A “basket” of desired commercial real estate assets can also be included in the other investment offerings of CrowdStreet featuring the structured investment tools offered by professional real estate companies.
This option to invest means you will contact directly with the property sponsors. You will be given as many offerings as you desire, and then choose the best one you think is fit for you. In this way, you are able to establish your real estate portfolio as you select the real estate investment options.
Sometimes, investing one by one can be too risky on your part. CrowdStreet has already thought about a solution to equip you in this scenario.
CrowdStreet has the Blended Portfolio, which serves as a mutual fund for your commercial real estate investment.
Real estate investors who have no issue with the amount required for the initial capital will benefit from CrowdStreet. In such a case, the company will take charge of the dirty works for these types of real estate investors.
CrowdStreet advisors will plan out the best options to set up your capital to maximize your investment goals. In this case, you need to prepare to invest at least $250,000 in capital to begin with managed investing options, while the management fee is 2% to 2.5% of assets in the 1st year (0.25% in subsequent years).
CrowdStreet Advisors will pool your initial capital into an LLC or alternative investment basket.
CrowdStreet Marketplace offers a convenient real estate platform for accredited investors to put commercial real estate projects into their portfolios. However, commercial real estate investors must also do their own due diligence and be prepared to lock up their money for years at a time.
Where these Real Estate Crowdfunding investments fall short in my opinion is scalability.
Because in order to make a good amount of money with real estate, you have to own several different houses.
And who has that kind of capital to start?
But what if you went local?
With Local Lead Generation, you will be getting service requests from multiple sites at every minute of the day from people who are willing to pay a lot of money for what you can provide them.
I was watching a YouTube video once where the host made a comment that it isn’t about making a lot of money from one website… it’s about making a little bit of money from lots of different websites.
So, think of it this way….
What if you could have streams of investment income where you operated 10 rental units that you could charge anywhere from $750-1,000 per month?
That’s $7,500-10,000 per month in passive income!
What If You Invested Into 100 Rental Units?
But instead of spending $Millions to build houses or apartment complexes… you spend a couple hundred dollars to build websites.
You then get those websites ranked in the search engines for specific home-based services that customers are searching for.
Next, you offer your lead generation system to local business owners who are looking for customers and are willing to pay you for their information.
You’ve just created a Digital Real Estate Investment Empire that is potentially earning you 4-5 figures in PASSIVE INCOME on a monthly basis without spending a single dime on ads.
With conventional digital real estate, you have to compete with thousands, if not millions of others who are selling the SAME product to the SAME customers.
Once the training program is completed you will also have access to a Facebook group much better than the Real Estate Crowdfunding Investment group in our opinion. This group is much more active.
Unlike CrowdStreet, where you’re profiting maybe $250 per property, you could be getting 5-10X THAT.
With Local Lead Generation, the competition is virtually nothing and your profit margins are 85-90%.
Now, I could go on and on, but I’m sure you have tons of questions about how to create Digital Real