USREM Marketplace Enables Potential Liquidity for Real Estate

The USREM Marketplace enables investors to buy and sell fractional Limited Partner interests in residential and commercial real estate properties, at an agreed price, and with the sponsors’ blessing. 

Real Estate Investment Prior to USREM

According to recent surveys, family offices and high net worth private investors allocate an average of 27% of their investable funds into commercial real estate, the world’s largest asset class. The great majority of these investments are made through participation in professionally managed private real estate partnerships, or into real estate investment funds or real estate investment trusts (REITs) that are not publicly traded. Access to these long-term investments has traditionally been by invitation only, to investors already known to the sponsor or general partners of the partnership.

In most cases investments are only accepted at the initiation of the fund, before the fund manager acquires or develops properties that the partnership will hold. And because these are intended as long-term investments, the terms of partnership typically require that invested funds may not be withdrawn until the fund’s stated maturity date, often five, seven, or even ten years. Furthermore, interests in the fund or property may not be sold by the limited partner without the discretionary permission of the sponsor

This leads to two significant challenges for investors: it is difficult or impossible to invest in an existing property or partnership, and it is difficult or impossible to exit from such an investment in case of a need for liquidity. Many investors would gladly participate in such secondary transactions, but today there is little to no access to these secondary transactions. 

At USREM, we enable potential liquidity for existing real estate investors, and open up this market for new investors, all with the full support and cooperation of the fund’s sponsor, thus extending to the real estate investment market the benefits of the digital era.

How the USREM Marketplace Works…

USREM’s marketplace enables investors to buy and sell holdings in residential and commercial real estate properties, at an agreed price, and with the sponsors’ blessing. 

1

USREM partners with sponsors and together we choose qualified assets and partnerships, whose asset and performance information is made available through the marketplace.

2

The offer is presented to existing investors in the property, who individually decide whether to accept it. If there’s a match, the sponsor automatically approves the transaction, which is completed confidentially through the USREM platform.

3

The matchmaking begins. Accredited Investors make bids for opportunities. If there’s a match, the sponsor approves the transaction.

4

Investors receive updates and ongoing dividends from cash-generating deals. They can offer their interests for resale at any time for potential liquidity.

Where to Begin?

Investing through USREM is simple.

The US Real Estate Market platform is intended for institutional investors, family offices, and high net worth individuals to acquire and sell significant minority investments in income-producing, long-term, professionally managed, commercial real estate holdings. Properties listed on the platform are typically sized between $50 million and $500 million in total asset value, with a minimum transaction size of no less than $100,000.

All purchasers seeking to invest through the platform need to be classified as a Qualified Purchaser (QP) according to the rules of the US Securities and Exchange Commission. In general, this means that you must be either:

  • An individual or family business that owns $5 million or more in investments; or
  • An individual or entity that invests at least $25 million, either for their own accounts or on others’ behalf; or
  • An entity owned exclusively by qualified purchasers; or
  • A trust sponsored and managed by other qualified purchasers.

The complete definition of a Qualified Purchaser can be found in Section 2(a)(51)(A) of the Investment Company Act of 1940.

If you are a Qualified Purchaser, simply Sign Up and follow the instructions. Once you register with USREM Securities and have spoken with one of our representatives, you will have full access to the platform where you will find the list of properties that may be acquired and traded. Read through the information and when you see a property that fits your investment criteria, simply indicate the amount of your investment interest, and the annual return you would like to receive. USREM Securities will then reach out to the sponsor and existing investors to see if there is a match with one or more existing owners prepared to accept your offer. If there is, USREM Securities will facilitate a confidential, efficient, transaction for you to acquire the interests you are seeking, including the approval of the fund’s sponsor.

Questions?

We’d be happy to help you with your investments in commercial real estate, and to answer all your questions on the way. We’ve prepared a list of frequently asked questions that you can browse through here:

If you have other questions, feel free to contact us

Ready to Invest? Go ahead!

Why miss out on great Real Estate investment opportunities?

Signing up to USREM is FREE and we keep your details confidential.

Once you sign up, you’d get full access to all available opportunities on the Marketplace.