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non-traded REITs

The New York-based firm’s latest vehicle is effectively a non-traded REIT within a 1940 Act wrapper, but the wrapper is where the innovation lies.
The New York-based private equity firm’s KREST could democratize access to institutional real estate through a number of ‘investor-friendly’ features.
JLL Income Property Trust is the second product of its kind to sell through multiple wirehouses.
Blockchain and other innovations could help to remove some of the hurdles in reaching individual investors.
The property doyen, who built several of the biggest publicly-traded REITs, told NYU’s real estate conference, ‘you don’t have billionaires running these [non-traded] funds and they don’t own any part of it themselves.’
With Oaktree becoming the latest private equity firm to launch a non-traded REIT, the market could see the number of competitors double in the next two years, said the president of a competing vehicle.
As traditional fundraising cools, institutional fund managers are lining up to access retail capital through the strategy
The TIAA subsidiary plans to join Blackstone and Starwood Capital Group with a US-focused permanent capital vehicle that could raise up to $5bn.
On the heels of Blackstone’s successful capital raise for its permanent capital vehicle, Starwood is launching a similar product.

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