The SEC handed CRE developers the keys to the kingdom in November 2020, with the new crowdfunding rules. Commercial real estate crowdfunding – especially crowdfunding equity capital as early as the conceptual phase – is now going mainstream and you can access a systemic approach to executing your CRE crowdfunding that includes a full array of supporting crowdfunding consulting services from Rainmaker Analytics.
The new rules provide the framework for creating a laddered series of crowdfunding raises to fund up to $75 million in non-recourse financing.
The cost?
The real cost of issuance could be less than 2% out-of-pocket to fund a major project. What’s a major project? Just about anything over $10 million. Imagine funding up to $75 million for a new construction CRE transaction and doing it with all equity, yet creating the opportunity for an IRR to the developer in the deal in excess of 100% per annum on something as mundane as rental Class A multifamily.
The new rules have created a pathway to capital that threatens to completely change your odds of a successful outcome.
Do Do Due Diligence
Learn how the game can now be played and the multiple closing opportunities the rules provide.
Get Cost Data
Get a good-faith cost estimate on your transaction that puts the potential costs on the table.
Win Your Race
Once you know what you are doing and what it may reasonably cost, get out of the gate.