We are a real estate investment trust, whose goal is to provide a professionally managed, diversified portfolio consisting primarily of high-quality office properties. You can find detailed information about the REIT and determine whether this investment fits your personal investment and risk parameters by reviewing the detailed Offering Circular.
stREITwise is an online real estate investment platform that aims to provide investors exposure to a portfolio of primarily cash flowing properties located in markets where we feel the risk-return characteristics are favorable. To get started click HERE.
To the extent returns are generated on any investment, they would be reflected through (i) distributions in the form of dividends, and (ii) potential appreciation in asset value. The timing and amount of an investor’s return is not guaranteed, and past performance is not indicative of future returns. Detailed information about our current offering is available at http://www.streitwise.com/oc.
There is an upfront 3% fee and then ongoing annual 2% management fee, all taken out before your dividend distribution. For example, last quarter we distributed 10% annualized dividends to investors and that amount is net of fees, meaning fees were taken out beforehand.
Unlike some other REITs which can be as high as 10-15%, we do not charge any acquisition, disposition, financing or performance fees, nor do we have any joint ventures with partners who may charge those fees. This is the reason why we received the Best Fees Award by the Real Estate Crowdfund Review. Full details of our compensation and fees is included in our Offering Circular.
We expect that we will declare and pay dividends on a quarterly basis, and that the dividend rate will be set at a level that we be believe will be consistent and sustainable over time. There can be no assurance as to when, if, and at what level, dividends will be paid as that is a decision our Board of Directors makes each quarter.
Since inception, we’ve delivered 10% annualized quarterly dividends. You can find more information on our historical dividends on the SEC’s website and in our Historical Performance.
The easiest way will be to start the investment process at the Start Investing page. There you will enter in your contact information, bank information, and how many shares you want to purchase. We know that trust is important so please call us first at (310) 288-1026 or view our SEC Filings before getting started.
Distributions can be sent by physical check or transferred directly into the bank account you specify in your Investor Center.
Subject to change per our public filings, but historically, and current expectations, are that dividends, if and when declared, would be paid on or around the last day of each calendar quarter.
Right now the fund consists of an office park in St. Louis featuring the Panera Bread headquarters and an office in Carmel, Indianapolis. We are currently actively pursuing additional properties. We do intend on acquiring, over time, a diversified portfolio of quality office properties. You can get more details about what’s in our Current Offering here.
stREITwise supports investments from individuals, companies (corporations, LLCs, etc.), trusts, and self-directed IRAs or 401(k)s.
Step-by-step instructions on how to enter your investment information can be found here:
For individuals
For companies
For trusts
For self-directed IRA or 401(k)
Investments in stREITwise are open to both accredited and non-accredited investors in accordance with the “qualified purchaser” requirements included in our Offering Circular.
If you are a non-accredited investor and a natural person, your investment may be no more than 10% of the greater of (i) your individual or joint net worth, excluding the value of your residence, and (ii) your individual or joint income in each of the two most recent years, as well as your expected income in the current year.
Subject to certain limitations and clearances, we are able to accept non-U.S. international investors. The process for enrolling international (non-U.S.) customers is typically done over the phone where we go through the online form with wireless payments enabled.
On-boarding of non-U.S. investors, registration and setup of the investor center, and delivery of physical correspondence may be delayed relative to domestic investors.
Go here for full details about how to get started as an International Investor.
$1,000 is the minimum initial investment. Once you’ve invested you can increase your holdings in $500 increments.
There is a 1 year lockout, then you will have a quarterly option to participate in our Stockholder Redemption Plan, subject to certain restrictions that are fully explained in the Stockholder Redemption Plan section of the circular HERE.
Yes, there are risks. Similar to investing in the stock market, there is no guarantee of a return of your investment or any return thereon when you are investing in real estate. The real estate market has economic cycles and it is difficult to know how and when the market will change. To learn more about the return targets and their associated risks, please read about the return spectrum here.
Investments through stREITwise must be reported to the IRS and be cleared for anti-money laundering checks. As such, we are required to obtain your social security number and date of birth to process the investment.
All investment documents are processed electronically on our website through technology and stock transfer agent services provided by FundAmerica and Computershare. These are both established and secure SEC-compliant platforms. This allows for an efficient and seamless investment process, while ensuring the authenticity and security of your information. Once your investment is processed and funds are received, you will be emailed a confirmation and your subscription agreement.
Yes, once you are an investor you can opt in dividend reinvestment. To enroll in dividend reinvestment, follow these steps HERE.
stREITwise is an online real estate investment platform that aims to provide investors exposure to a portfolio of primarily cash flowing properties located in markets where we feel the risk-return characteristics are favorable. To get started click HERE.
We are a real estate investment trust, whose goal is to provide a professionally managed, diversified portfolio consisting primarily of high-quality office properties. You can find detailed information about the REIT and determine whether this investment fits your personal investment and risk parameters by reviewing the detailed Offering Circular.
For as little as a $1,000 initial investment, stREITwise gives both accredited investors and unaccredited investors alike the ability to generate passive income through an investment in a diversified portfolio of institutional-quality real estate with an ultra-low cost structure.
Additionally, the stREITwise portfolio is directed by a team of seasoned real estate investment professionals who possess considerable real estate investing experience. stREITwise’s founders have acquired and/or managed over $5.4 billion of real estate investments spanning all major property types.
We are not a platform, but a REIT that invests in a portfolio of stabilized, commercial office properties.
A Real Estate Investment Trust, or REIT, is a tax-advantaged company that owns income-producing properties and distributes the cash flow to investors in the form of dividends. Learn more about REITs HERE.
We started stREITwise because we saw an opportunity to provide access to institutional quality commercial real estate for both non-accredited and accredited investors alike, and were excited to be able bring new federal regulations and technology together to generate passive income for everyone.
We expect that we will declare and pay dividends on a quarterly basis, and that the dividend rate will be set at a level that we be believe will be consistent and sustainable over time. There can be no assurance as to when, if, and at what level, dividends will be paid as that is a decision our Board of Directors makes each quarter.
Since inception, we’ve delivered 10% annualized quarterly dividends. You can find more information on our historical dividends on the SEC’s website and in our Historical Performance.
To the extent returns are generated on any investment, they would be reflected through (i) distributions in the form of dividends, and (ii) potential appreciation in asset value. The timing and amount of an investor’s return is not guaranteed, and past performance is not indicative of future returns. Detailed information about our current offering is available at http://www.streitwise.com/oc.
Distributions can be sent by physical check or transferred directly into the bank account you specify in your Investor Center.
So far, the dividend distribution has come from free cash flow, but we cannot guarantee we will be able to maintain this level of dividend, nor can we guarantee any sort of return.
While we cannot guarantee any future performance, our most recent dividend equated to a 10% annualized dividend. You can find all the details in our Offering Circular here.. If such dividend were achieved in the future, a $1,000 investment would provide $100 of annual dividends, or $25 per quarter.
Yes, there are risks. Similar to investing in the stock market, there is no guarantee of a return of your investment or any return thereon when you are investing in real estate. The real estate market has economic cycles and it is difficult to know how and when the market will change. To learn more about the return targets and their associated risks, please read stREITwise’s article on the return spectrum here.
All investment documents are processed electronically on our website through technology and stock transfer agent services provided by FundAmerica and Computershare. These are both established and secure SEC-compliant platforms. This allows for an efficient and seamless investment process, while ensuring the authenticity and security of your information. Once your investment is processed and funds are received, you will be emailed a confirmation and your subscription agreement.
We are not a platform in the vein of most of the other online crowdfunding sites. An investment in 1st stREIT Office, Inc., is a direct investment in a REIT operating under the direction of the Board of Directors, who are the principals of our sponsor, Tryperion Partners AND stREITwise. We are not investing or administering investment in properties managed by unaffiliated third-parties. We are real estate investors first, using stREITwise as a means of raising capital, not a technology platform to raise money to invest in other groups’ real estate investments.
What that means in terms of bankruptcy protection is that there is no “site” that can go bankrupt through which you would lose the ability to administer the investment. The risk that your investment would be subject to a bankruptcy would apply to a bankruptcy of the REIT itself or the Manager/Sponsor, in which case a standard market bankruptcy process would apply. Shareholders have the ability to vote on the Board of Directors of the REIT as outlined throughout the circular (with respect to your question, not limited to Bankruptcy only).
The three founding partners of stREITwise have $75,000 total invested in the REIT, split equally. You can see more about our founding partners here.
Investments through stREITwise must be reported to the Internal Revenue Service and be cleared for anti-money laundering checks. As such, we are required to obtain your social security number and date of birth to process the investment.
The REIT launched in September 2017, but you can read all the about the management history and experience of the REIT’s Sponsor (Tryperion Partners, LLC) throughout the Offering Circular, including the Prior Performance Summary, Table V and Table VI in the appendices.
A couple quick highlights:
a. As of the date of the offering circular, the principals of Tryperion have collectively underwritten and/or managed the acquisition, ownership and disposition of over $1.7 billion of real estate equity investments valued in excess of $5.4 billion spanning all major asset classes. Since 2013, Tryperion has sponsored two value-add closed-end funds that successfully raised a total of over $100 million of equity capital, of which, as of December 31, 2016, approximately 92% has been invested.
b. Tryperion has sponsored two value-add closed-end funds targeting all commercial property types. Through these vehicles, Tryperion acquired over $285 million of real estate in various U.S. markets and property types.
stREITwise is owned by the principals of Tryperion Partners, LLC (the REIT’s Sponsor), and engages a wholly-owned subsidiary of the Sponsor to manage 1st stREIT Office, Inc. Tryperion was founded in 2013 and is a private real estate investment firm that provides investment management services to a range of foundation and high net worth clients. As such, managing stREITwise and its REITs are not a standalone source of income. Rather, it is an extension, under a different brand/umbrella/structure, so that we can expand the breadth of investors beyond accredited investors exclusively. That’s why we’re able to run and fund stREITwise without taking outside capital, it’s an extension of an existing business. I will also add that we don’t only have the shares sold through 1st stREIT Office Inc under management, but also 2,070,000 operating partnership units, which are combined with the REIT shares under management for total assets in the stREITwise umbrella.
The tax advantage is that the company’s earnings are NOT taxed at the corporate level.
Unless your investment is held in a qualified tax-exempt account, your dividends will generally have tax implications. Dividends will typically come in three forms – (i) return of capital dividends (which are generally not taxed and instead reduce your tax basis for future capital gain consideration), (ii) capital gain dividends (which are generally taxable at long-term capital gain rates), or dividends from current or accumulated earnings or profits (which are generally taxed at ordinary income rates). However, because each investor’s tax considerations are different, we recommend that you consult with your tax advisor.
Your Form 1099-DIV tax information, if required, will be provided by January 31 of the year following each taxable year.
IRS Form 1099-DIV is sent to investors annually and provides the tax character of any distributions (dividends and any other distributions) paid to you during the tax year.
There is a 1 year lockout, then you will have a quarterly option to participate in our Stockholder Redemption Plan, subject to certain restrictions that are fully explained in the Stockholder Redemption Plan section of the circular HERE.
You will be able to redeem your shares after one year through our share redemption program and subject to certain restrictions that are more fully described in our offering circular here. However, we encourage all investors to take a long term approach to their investment with stREITwise.
There is no stated term on the investments/the REIT, but as each of our investments reach what we believe to be its optimum value during the expected life of the Company, we will consider disposing of the investment and may do so for the purpose of either distributing the net sale proceeds to our stockholders or investing the proceeds in other assets that we believe may produce a higher overall future return to our stockholders. We anticipate that any such dispositions typically would occur during the period within approximately ten years from the termination of this offering (subject to pursuing alternative means of providing liquidity). You can find additional details on the disposition policies on P. 73 of the Offering Circular as well as potential alternatives to liquidation on P. 74.
Yes. Following a one year waiting period, you will have a quarterly option to participate in our Stockholder Redemption Plan, subject to certain restrictions that are fully explained in the Stockholder Redemption Plan section of the circular.
Right now the fund consists of an office park in St. Louis featuring the Panera Bread headquarters and an office in Carmel, Indianapolis. We are currently actively pursuing additional properties. We do intend on acquiring, over time, a diversified portfolio of quality office properties. You can get more details about what’s in our Current Offering here.
Yes.
An investment in the REIT means an ownership interest in all currently owned properties as well as all future acquisitions.
While we cannot describe the pipeline in detail given the preliminary nature of the opportunities, we are currently seeing a pipeline to acquire high quality office properties in markets where we feel that the risk-return characteristics are favorable. We do intend on acquiring, over time, a diversified portfolio of quality office properties.
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Right now the fund consists of an office park in St. Louis featuring the Panera Bread headquarters and an office in Carmel, Indianapolis. We are currently actively pursuing additional properties. We do intend on acquiring, over time, a diversified portfolio of quality office properties. You can get more details about what’s in our Current Offering here.
You can find a detailed understanding of how we approach leverage in our Offering Circular. As a good place to start, I will point you to Q&A p.5: “Our targeted portfolio-wide leverage, after we have acquired a substantial portfolio, is between 40-60% of the greater of cost (before deducting depreciation or other non-cash reserves) or fair market value of our assets.
During the period when we are acquiring our initial portfolio, we may employ greater leverage on individual assets (which will also result in greater leverage of the interim portfolio) in order to quickly build a diversified portfolio of assets. Our Manager may from time to time modify our leverage policy in its discretion.” Please see “Investment Objectives and Strategy” for more details.
It’s not a waterfall structure. Just the fees listing in the Offering Circular which are the upfront fee and the asset management fee.
Financial and acquisition updates are filed with the SEC and can be found on the EDGAR website.