EquityMultiple

EquityMultiple is a real estate crowdfunding platform that provides accredited investors access to professionally managed commercial real estate investments across the US. Founded in 2015, the company is based in New York City and focuses exclusively on institutional-grade commercial properties, offering a diverse range of investment opportunities, including equity, preferred equity, debt, and funds.

EquityMultiple takes a rigorous approach to vetting potential investments, employing a multi-stage due diligence process. Only about 5% of the deals evaluated make it onto the platform, ensuring that investors have access to thoroughly scrutinized and high-quality opportunities. The company partners with experienced real estate firms and lenders, aligning its interests with those of its investors.

EquityMultiple structures its offerings into three pillars: "Keep," "Earn," and "Grow." The "Keep" pillar features short-term, high-yield products like the Alpine Note, offering attractive interest rates and liquidity options. The "Earn" pillar focuses on income-generating investments, such as senior debt and preferred equity, targeting returns between 8% and 14%. The "Grow" pillar encompasses equity and opportunistic investments with significant upside potential, targeting net internal rates of return (IRRs) above 18%.

Minimum investment amounts vary depending on the investment type, ranging from USD 5,000 for Alpine Notes to USD 10,000 or more for direct investments and funds. EquityMultiple charges fees that are in line with industry standards, typically ranging from 0.5% to 1.5% annually for equity investments and around 1% for debt and preferred equity deals.

Key customers and partnerships

EquityMultiple's customer base is comprised solely of accredited investors, as defined by the SEC. These investors must meet specific income or net worth requirements to participate on the platform. The company partners with a network of experienced real estate firms, lenders, and sponsors across the country to source and vet potential investment opportunities.

EquityMultiple has a notable partnership with Mission Capital, a leading national real estate capital markets firm. Several of Mission Capital's senior executives have invested in EquityMultiple, further aligning their interests with the platform's success.