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The Impact of Rising Rates on Multifamily Real Estate
Jul 20, 2022The Federal Reserve has continued tightening monetary policy, most recently increasing the Fed Funds rate by 75 basis points. This rate-hike represents the largest Fed Funds rate increase since 1994—a tactic the Federal Reserve is using to try to cool inflation’s current 40-year-high of 8.6%. As a ...
Why Do Leading Institutions Utilize Private Real Estate and Multifamily Investments to Enhance Their Risk/Return Profile? (Part 2)
Jun 30, 2022Our previous post discussed why institutions generally allocate a significant portion of their investment portfolio to private real estate (PRE). In addition, we highlighted several ways private real estate might help improve a portfolio’s risk-return profile. In this discussion, we zero in on the ...
Why do leading institutions utilize Private Real Estate and Multifamily Investments to enhance their risk/return profile? (Part 1)
Jun 14, 2022Why do institutional investors like large pensions and why do university endowments tend to outperform individual investors? Large pensions and endowments have long advocated for owning alternative strategies—like private real estate—in their investment portfolios. Effective asset allocation is a ...
Multifamily Properties Demonstrate Inflation Sensitivity
Jun 07, 2022Our posts to this point have centered on utilizing the third largest asset class (real estate) to gain broader diversification to potentially counterbalance the increasing and corrosive impact of inflation on client portfolios. To support this, we highlighted how commercial real estate and ...
A User-Friendly Approach for Allocating to Multifamily Real Estate
May 31, 2022With the corrosive effect of inflation front and center of today’s headlines, we shared in earlier posts how private real estate has historically been an effective hedge against high inflation. We also illustrated how the multifamily sector might be better positioned compared to other property ...
Inflation Defense. Time for a New Strategy?
May 04, 2022According to economists and policymakers, stubborn and high inflation may be with us longer than expected. As a result, your client portfolios may need a fresh perspective. Staying with your allocation models when inflation appears to be transitory is one thing. It’s quite another thing when you ...
Running Hot - Is it Time to Cool Inflation's Impact on Your Client's Portfolios?
Apr 25, 2022Reality stings. In 2021, Fed Chairman Jerome Powell believed that inflation would be transitory. Now, high and persistent inflation has become a real risk for investors that cannot be ignored. As a result, your clients are looking to you for answers. You have probably already begun adjusting client ...
The contents of this communication: (i) do not constitute an offer of securities or a solicitation of an offer to buy securities, (ii) offers can be made only by the confidential Private Placement Memorandum (the “PPM”) which is available upon request, (iii) do not and cannot replace the PPM and is qualified in its entirety by the PPM, and (iv) may not be relied upon in making an investment decision related to any investment offering by the issuer, or any affiliate, or partner thereof ("Issuer"). All potential investors must read the PPM and no person may invest without acknowledging receipt and complete review of the PPM. With respect to any “targeted” goals and performance levels outlined herein, these do not constitute a promise of performance, nor is there any assurance that the investment objectives of any program will be attained. All investments carry the risk of loss of some or all of the principal invested. These “targeted” factors are based upon reasonable assumptions more fully outlined in the Offering Documents/ PPM for the respective offering. Consult the PPM for investment conditions, risk factors, minimum requirements, fees and expenses and other pertinent information with respect to any investment. These investment opportunities have not been registered under the Securities Act of 1933 and are being offered pursuant to an exemption therefrom and from applicable state securities laws. All offerings are intended only for accredited investors unless otherwise specified. Past performance are no guarantee of future results. All information is subject to change. You should always consult a tax professional prior to investing. Investment offerings and investment decisions may only be made on the basis of a confidential private placement memorandum issued by Issuer, or one of its partner/issuers. Issuer does not warrant the accuracy or completeness of the information contained herein. Thank you for your cooperation.
Securities offered through Emerson Equity LLC Member: FINRA/SIPC. Only available in states where Emerson Equity LLC is registered. Emerson Equity LLC is not affiliated with any other entities identified in this communication.
Real Estate Risk Disclosure:
• There is no guarantee that any strategy will be successful or achieve investment objectives including, among other things, profits, distributions, tax benefits, exit strategy, etc.;
• Potential for property value loss – All real estate investments have the potential to lose value during the life of the investments;
• Change of tax status – The income stream and depreciation schedule for any investment property may affect the property owner’s income bracket and/or tax status. An unfavorable tax ruling may cancel deferral of capital gains and result in immediate tax liabilities;
• Potential for foreclosure – All financed real estate investments have potential for foreclosure;
• Illiquidity – These assets are commonly offered through private placement offerings and are illiquid securities. There is no secondary market for these investments.
•Reduction or Elimination of Monthly Cash Flow Distributions – Like any investment in real estate, if a property unexpectedly loses tenants or sustains substantial damage, there is potential for suspension of cash flow distributions;
• Impact of fees/expenses – Costs associated with the transaction may impact investors’ returns and may outweigh the tax benefits
• Stated tax benefits – Any stated tax benefits are not guaranteed and are subject to changes in the tax code. Speak to your tax professional prior to investing.
BrokerCheck Information:
• Check the background of this firm on FINRA's BrokerCheck.
• Check the background of this investment professional on FINRA's BrokerCheck.
The contents of this communication: (i) do not constitute an offer of securities or a solicitation of an offer to buy securities, (ii) offers can be made only by the confidential Private Placement Memorandum (the “PPM”) which is available upon request, (iii) do not and cannot replace the PPM and is qualified in its entirety by the PPM, and (iv) may not be relied upon in making an investment decision related to any investment offering by the issuer, or any affiliate, or partner thereof ("Issuer"). All potential investors must read the PPM and no person may invest without acknowledging receipt and complete review of the PPM. With respect to any “targeted” goals and performance levels outlined herein, these do not constitute a promise of performance, nor is there any assurance that the investment objectives of any program will be attained. All investments carry the risk of loss of some or all of the principal invested. These “targeted” factors are based upon reasonable assumptions more fully outlined in the Offering Documents/ PPM for the respective offering. Consult the PPM for investment conditions, risk factors, minimum requirements, fees and expenses and other pertinent information with respect to any investment. These investment opportunities have not been registered under the Securities Act of 1933 and are being offered pursuant to an exemption therefrom and from applicable state securities laws. All offerings are intended only for accredited investors unless otherwise specified. Past performance are no guarantee of future results. All information is subject to change. You should always consult a tax professional prior to investing. Investment offerings and investment decisions may only be made on the basis of a confidential private placement memorandum issued by Issuer, or one of its partner/issuers. Issuer does not warrant the accuracy or completeness of the information contained herein. Thank you for your cooperation.
Securities offered through Emerson Equity LLC Member: FINRA/SIPC. Only available in states where Emerson Equity LLC is registered. Emerson Equity LLC is not affiliated with any other entities identified in this communication.
Real Estate Risk Disclosure | 1031 Risk Disclosure
• There is no guarantee that any strategy will be successful or achieve investment objectives including, among other things, profits, distributions, tax benefits, exit strategy, etc.;
• Potential for property value loss – All real estate investments have the potential to lose value during the life of the investments;
• Change of tax status – The income stream and depreciation schedule for any investment property may affect the property owner’s income bracket and/or tax status. An unfavorable tax ruling may cancel deferral of capital gains and result in immediate tax liabilities;
• Potential for foreclosure – All financed real estate investments have potential for foreclosure;
• Illiquidity – These assets are commonly offered through private placement offerings and are illiquid securities. Because 1031 exchanges are commonly offered through private placement offerings and are illiquid securities. There is no secondary market for these investments.
•Reduction or Elimination of Monthly Cash Flow Distributions – Like any investment in real estate, if a property unexpectedly loses tenants or sustains substantial damage, there is potential for suspension of cash flow distributions;
• Impact of fees/expenses – Costs associated with the transaction may impact investors’ returns and may outweigh the tax benefits
• Stated tax benefits – Any stated tax benefits are not guaranteed and are subject to changes in the tax code. Speak to your tax professional prior to investing.
BrokerCheck Information:
• Check the background of this firm on FINRA's BrokerCheck.
• Check the background of this investment professional on FINRA's BrokerCheck.