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Intro: Investing in Commercial Real Estate with EquityMultiple

Navigating EquityMultiple - April 01, 2023

Intro: Investing in Commercial Real Estate with EquityMultiple

April 01, 2023
EQUITYMULTIPLE Staff
By EQUITYMULTIPLE Staff

Welcome to EquityMultiple, and welcome to modern real estate investing. This introductory series is intended to equip you with the requisite knowledge to invest confidently. We will cover both basic information about EquityMultiple and our investment offerings as well as relevant commercial real estate investing concepts.

Studies have shown that portfolios substantially allocated to private commercial real estate will perform better over time*. Education is key, however, and investors who are getting started with diversifying from a traditional portfolio of stocks and bonds are advised to attain at least baseline knowledge of real estate investing concepts. You may already possess CRE investing knowledge. If so, feel free to skip ahead to subsequent series on investment types or alternative asset theory. As always, please feel free to reach out to our Investor Relations Team at ir@equitymultiple.com to discuss any of these concepts or any questions regarding EquityMultiple.

why commercial real estate investing

Real estate investing can take various forms and can be complex, particularly when investments are made across the capital stack and across commercial real estate property types. Investors can more effectively diversify into real estate if they have a working knowledge of core real estate investing concepts and an understanding of the modern real estate ecosystem.

Though we strive to provide as much information and transparency as possible, and do the heavy lifting of rigorous diligence on investments, there are concepts we believe every individual should know as they evaluate real estate investments.

Let’s Dive In – An Intro to EquityMultiple & Commercial Real Estate Investing

This learning series aims to provide a base of core concepts that we believe you should have in your back pocket as you navigate the modern landscape of real estate investing vehicles. We hope you find it valuable. Please let us know if you have any questions along the way.

Table of Contents

Part I – EquityMultiple Basics

  1. EquityMultiple’s Unique Value to Investors

  2. Keep, Earn, and Grow — Investments for Every Portfolio

  3. Keep, Earn, Grow — Helping You Climb Above Uncertainty

  4. Frequently Asked Investor Questions

  5. Meet the Investor Relations Team

  6. Asset Management – What It Means, How EquityMultiple Does It

  7. SPV Structures and How We Protect Investors

  8. Fees, Carries, & Distributions

  9. EquityMultiple Tax Practices & K-1 Delivery

  10. How to Navigate EquityMultiple’s Investment Statuses

Part II – Real Estate Fundamentals

  1. Why Invest in Commercial Real Estate

  2. Contemporary Real Estate Investing Strategies

  3. Real Estate Investing Terminology

  4. Common Real Estate Metrics

  5. Real Estate Pro Formas

  6. Capitalization Rates (Rates)

  7. Leverage: LTC & LTV in Real Estate Investing

  8. DSCR – Debt Service Coverage Ratio, Explained

  9. CRE Reversions & Exit Strategies

  10. Passive Real Estate Investing — a Primer

Part III – Intermediate Real Estate Investing Concepts

  1. The CRE Capital Stack – How It Works

  2. Internal Rate of Return (IRR) in Real Estate Investing

  3. What is a Preferred Return?

  4. Preferred Equity Real Estate Investing

  5. The Real Estate Risk Spectrum

  6. Market Cycles & Real Estate Investing

  7. Real Estate Syndication: What, Why, and When

  8. The Difference Between REITs & Private, Passive Real Estate Investing

  9. The Effects of Inflation & Real Estate Investing

  10. 2023 Mid-Year Commercial Real Estate Outlook

Getting Started in Real Estate Investing

We hope that this Learning Series helps you get comfortable with real estate investing concepts as you consider a more substantive allocation to the asset class. You may also find our whitepaper – Diversifying Your Portfolio with Real Estate – useful if you are just beginning your journey.

As new real estate investing trends and strategies emerge throughout market cycles, we will make additions to this Learning Series with input from our investors and the latest research on real estate investing and finance.

If you have any questions along the way, don’t hesitate to reach out at contact@equitymultiple.com

1 Source: Blackstone

2 Source: Nareit

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EQUITYMULTIPLE Staff
EQUITYMULTIPLE Staff
EquityMultiple's team features real estate industry veterans, technology-driven analysts, and dedicated armchair economists.

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