Cadre Says It Is Making Real Estate Investing Accessible With Cutting-Edge Platform

The following post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga.

The race is on to make investing in real estate as transparent and accessible as the stock market. An influx of user-friendly investing apps paved the way for stocks, and now more real estate investment platforms are available for individual investors.

Cadre, a New York-based fintech company, says it has taken the lead with its innovative commercial real estate investing platform. Cadre leverages rich data, proprietary analytics software and comprehensive digitization to offer the individual investor efficient access to commercial real estate with transparent views of performance and the potential for liquidity through the Cadre Secondary Market.¹

Data-Driven Real Estate Market Views

One of the disadvantages some individual investors may confront is limited access to data and the data analytics needed to make informed decisions in the fast-paced, competitive real estate market.

While institutional investors have access to a wealth of private and public data, along with the tools and employee power to analyze it, individual investors typically must do their own legwork.

Cadre compiles and analyzes more than 400 million macro and fundamental data points from both public and private sources to generate forecasts and performance reports based on geographic areas and asset classes. Using 2 proprietary models — the pricing model and the growth model — Cadre can track market appreciation and growth potential to make data-driven predictions that indicate which markets in the U.S. the company believes to have the highest potential for growth. 

Individual investors have access to granular information about each of Cadre’s deals. This gives them the analytic power to spot the most promising opportunities, to quickly find all the necessary documentation for due diligence and to act quickly on the deals that best fit their investing goals. 

Automation Might Make Lower-Fee Real Estate Deals Possible

By automating more of the underwriting process, Cadre states that it is able to underwrite more deals per person than its competitors. Since July 2020, the company has implemented more than 50 workflow automation services, which have helped Cadre save 4 hours per distribution, 3 hours per deal-fee calculation, 3 hours per report generated and 30 minutes per secondary or transfer transaction.

Cadre believes that these improved efficiencies have significantly reduced its costs of human capital. Cost and time savings are essential to Cadre’s goal to reduce the barriers that have kept individual investors out of the real estate investment marketplace in the past.

Do Innovative Features Offer More Liquidity in Real Estate Investing?

Cadre says that investors can access these lower-fee deals by investing directly in the rigorously vetted deals on its Deal-by-Deal platform. For those who prefer a more passive investment option, more diversification and/or are seeking to reduce their investment horizon, the platform also offers the Cadre Direct Access Fund (CDAF) and the Cadre Secondary Market.

CDAF² is a real estate fund composed of multifamily, commercial, industrial and hospitality properties across the country. The Cadre Secondary Market is a place where investors can offer to sell their stakes in deals to other investors, and buyers can grab shares in commercial real estate properties mid-cycle. Cadre believes that the platform adds a degree of liquidity to real estate investing that has not yet existed.

¹Liquidity Not Guaranteed. Investments offered by Cadre are illiquid, and there is never any guarantee that you will be able to exit your investments on the Secondary Market or at what price an exit (if any) will be achieved.

Not a Public Exchange. The Cadre Secondary Market is NOT a stock exchange or public securities exchange, there is no guarantee of liquidity and no guarantee that the Cadre Secondary Market will continue to operate or remain available to investors.

²CDAF is a real estate investment fund seeking to create a highly diversified portfolio of multifamily, industrial, office and hotel properties across high-potential markets across the United States. Interests in the fund are only suitable for accredited Investors (as defined in applicable Securities and Exchange Commission (SEC) regulations) who are familiar with and willing to accept the high risk associated with private investments. Investing in private placements requires high risk tolerance, low liquidity concerns and long-term commitments. Investors must carefully consider their investment objectives along with the risks, charges, expenses and other factors of any investment product prior to investing. Any targeted returns, expected returns or probability projections are not guaranteed and may not reflect actual future performance. All opportunities are subject to prior placement and withdrawal, change, cancellation or modification, all without notice. Please refer to the investment opportunity and memorandum for additional information and disclaimers.

Disclaimer

Educational Communication

The views expressed above are presented only for educational and informational purposes and are subject to change in the future. No specific securities or services are being promoted or offered herein.

Not Advice

This communication is not to be construed as investment, tax or legal advice in relation to the relevant subject matter; investors must seek their own legal or other professional advice.

Performance not Guaranteed

Past performance is no guarantee of future results. Any historical returns, expected returns or probability projections are not guaranteed and may not reflect actual future performance.

Risk of Loss

All investments involve a high degree of risk and may result in partial or total loss of your investment.

Liquidity not Guaranteed

Investments offered by Cadre are illiquid, and there is never any guarantee that you will be able to exit your investments on the Secondary Market or at what price an exit (if any) will be achieved.

Not a Public Exchange

The Cadre Secondary Market is NOT a stock exchange or public securities exchange, there is no guarantee of liquidity and no guarantee that the Cadre Secondary Market will continue to operate or remain available to investors.

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.