RealtyMogul.com Launches MogulREIT II: Targets Multifamily Apartment Buildings
RealtyMogul.com , a leading online marketplace for commercial real estate investing, has launched the company’s second real estate investment trust or “REIT,” labeled MogulREIT II. The newest REIT was revealed in an SEC filing earlier this year. The first MogulREIT was launched in August of 2016.
MogulREIT II aims to invest in multifamily apartments across the United States that have demonstrated consistently high occupancy and income levels across market cycles. MogulREIT II also plans to invest in multifamily properties that offer value add opportunities with appropriate risk-adjusted returns and potential for appreciation objectives.
The company points to data from the US Census Bureau’s Housing and Vacancy Homeownership Report that indicates the U.S. apartment market has experienced a strong recovery in recent years.
RealtyMogul.com says that MogulREIT II is able to operate with lower fees than some of the other REIT offerings available in the market since it is able to connect with investors through RealtyMogul’s platform, thereby avoiding paying broker dealers selling commissions, which may average 7-8% of invested dollars.
Jilliene Helman, CEO of RealtyMogul, told Crowdfund Insider;
Helman said that multifamily continues to be a great sector for investment, as people of all ages are choosing to rent rather than buy a home.
MogulREIT II says its “rigorous zero-based underwriting process”, which analyzes each potential deal from scratch through is a key component for success of the REITs. RealtyMogul says it spends over $1 million annually for the use of third-party data and technology to vet each deal. The process means that fewer than 1% of the requests reviewed by RealtyMogul pass its underwriting standards.