USR Patriot’s Pointe syndication “live” on leading US crowdfunding platform
Listed property fund US Residential Fund has listed its first multifamily property for syndication on the online crowdfunding platform CrowdStreet. Through CrowdStreet, accredited investors are now able to invest in Patriot's Pointe, an A-grade, 240-unit residential apartment complex set on 25 acres in North Carolina. USR anticipates the syndication delivering an initial yield of 7.2%, an average 5-year yield of 8.1% and a total 5-year internal rate of return of 15-17%.
US Residential Fund (ASX: USR “the Fund”) is pleased to announce that its first multifamily residential property syndication is now open to accredited investors through the online syndication platform CrowdStreet.
The property being syndicated, Patriot’s Pointe, is an A grade, 240-unit residential apartment complex set on 25 acres in North Carolina and purchased with attractive 30+ year fixed debt at 3.7% p.a. in place. Through the syndication, USR is seeking to deliver investors:
Initial yield 7.2%
Average 5-year yield 8.1%
Total 5-year IRR 15-17%
The CrowdStreet platform’s main focus is investors that are US citizens. However, the Patriot’s Pointe syndication includes a structure that provides non-US investors the option of participating without having to file a tax return in the US.
USR Managing Director Andrew Meakin said the Fund was delighted to offer investors an opportunity as attractive as Patriot’s Pointe, particularly in the current low return environment. “Through CrowdStreet, US and global investors will be able to undertake an extensive due diligence review on the property before deciding to commit their money,” he said.
“The structure of the syndication also makes it easy for global investors to participate, gain access to an attractive yield and get exposure to the strengthening US dollar.”
Qualified Australian self-managed superannuation funds will be able to invest in the Patriot’s Pointe syndicate through CrowdStreet.
It is expected that the listing of Patriot’s Pointe on CrowdStreet will be augmented by a listing by global crowdfunding platform, GlobalCrowd, in mid-August 2016.
For more information on how to participate in the Patriot’s Pointe syndicate, visit the US Residential Fund website.