Institutional Investors Are Getting In On Real Estate Crowdfunding

Pixabay

Individual investors could get pushed out of real estate crowdfunding soon, as institutional funds take a bigger slice of the action.

Real estate crowdfunding has come a long way since it was born in 2011, when platforms like RealtyShares and others focused on raising big sums from lots of little investors.

Pixabay

Now, institutional investors are starting to take note, throwing big sums into the sector, The Real Deal Reports. Ray Sturm, who co-founded RealtyShares in 2013, recently unveiled AlphaFlow, the first investment fund focused exclusively on real estate crowdfunding.

Pixabay

Other investment vehicles like London-based P2P Global Investments, which invests in crowdfunding opportunities more generally, have recently begun to focus more heavily on real estate.

Real estate crowdfunding platforms love the massive amounts of liquidity this newfound interest can provide to their end users.

However, doubts linger that the original concept—providing prime investment opportunities for smaller investors—is being forgotten amidst a deluge of big money. [TRD]

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's National Newsletters
Related Stories

Stock Sell-Off, Bond Market Jitters Signal Financing Trouble For AI Data Centers

Fannie Mae, Freddie Mac Rewrite Underwriting Standards For NYC's Rent Freeze

Starwood Launches Residential Land JV Targeting $1B In Annual Originations

RealPage Antitrust Case Ends With Nearly $360M In Settlements For Renters

ZOM Living Entity Files For Bankruptcy To Fund Fight To Overturn $323M Judgment

How Colliers Engineering Helped A Struggling Dam Move To The Head Of The Class

New Opportunity Zones May Help Finish California Projects, Not Start Them

Real Estate's Bottom Rung Is Getting Harder To Reach — And Now It Wants AI Skills

ISIF Commits €100M To IPUT's €500M Office Development Pipeline

OpenAI Plans Data Center Rebrand To Make Projects Palatable To Voters

The Geo Group To Reopen 2,329-Bed Immigration Facility In Texas

Brookfield, CPP Complete $5.2B REIT Buyout, Pick Up U.S. Logistics Assets