How Reg CF Performed in 2022

Hello GowerCrowders!

We’ve got a lot of good stuff in the newsletter this week, including two new deals, one from newsletter-stalwart CrowdStreet and one from family office Galvin Capital.

Plus, there’s a new deal from Bravante Farm Capital that is taking waitlist reservations. Their last offering fully subscribed in under 48-hours so click here to learn more about the Viscarra-Savage Ranches opportunity and to join the waitlist.

We’ll also take a look back at Reg CF in 2022 with Crowdfund Insider, and the latest issue of AcreTrader’s newsletter “Lay of the Land.” Finishing things off, we’ll cover Week 5 of GowerCrowd’s exclusive SEC Filing Report data, and a new podcast from The Real Estate Syndication Show.

Let’s get into it. 

New Crowdfunding Platform Deals

Private real estate and family office investment firm Galvan Capital has a new deal this week. The firm, which specializes in recession-resistant passive income streams, is offering a St. Petersburg, Florida Multifamily property with a 25-30% IRR, 15% preferred return, in a Class A area. 

CrowdStreet also has a new multifamily opportunity, the Union & Carroll project in Brooklyn, NY. The property sits in the #1 rated opportunity zone for investment as highlighted by Crain’s magazine, and boasts over 40% land appreciation since purchase and more than $75 million in development credit and tax savings. Check it out, here.

General Crowdfunding Industry News

In a subject that is near and dear to my heart, Crowdfund Insider recently covered the past year in Reg CF. The verdict? Real estate investment crowdfunding did decline as the economy slowed, but from the perspective of many insiders and analysts, the future still looks bright for many sectors within the real estate crowdfunding world. In 2022, Reg CF issuers grew slightly, from 1563 in 2021 to 1584 in 2022. 

Either way you look at it, that’s a huge increase from the 188 firms that raised capital under the exemption in the same period in 2016- showing the remarkable growth of Reg CF over the past 8 years. Get the rest of the scoop at Crowdfund Insider, here.

In a similar vein, Crowdfund Insider’s JD Alois covered developments in Reg A and Reg D data, including a brief overview of the history of the space. He also takes a holistic view of the Regulation Crowdfunding space, explaining in detail the immense value and opportunity presented in the sector- both to investors and to the economy as a whole. Read this piece on Crowdfund Insider, here.

Crowdfunding Platform Updates

AcreTrader recently released the February issue of “Lay of the Land,” their monthly newsletter for investors interested in agricultural and land investments. They cover all of the biggest news in productive farmland. This week, they covered several national stories involving farmland, including a look at land purchases by Bengals QB Joe Burrow and Celtics player Blake Griffin. Read this month’s issue of “Lay of the Land,” here.

SEC Filings Graphs

I’ve also got an update on our Week 5 Crowdfunding SEC Filing Report, built with proprietary data you can only find on GowerCrowd. The number of Reg D(b) deals was the same as Week 4, with the total number of Reg D(c) deals rising to 9 from 7 last week. The total amount raised for Reg D(b) and Reg D(c) also rose significantly, from $0.19 billion in Week 4 to a healthy $0.72 billion in Week 5. 

Texas was the leader in new deals last week, with 9, followed by California with 4. Most of the deals from last week were relatively small, with 15 deals for less than $10 million and 10 medium-large sized deals, which ranged between $10 and 50 + million. Access our proprietary deal data, here.

Multimedia Links (Videos, Podcasts, etc.)

Finishing things off, we’ll look at a new podcast, “Technology for Real Estate Business,” by the fine folks over at The Real Estate Syndication Show. In the episode, DJ Scruggs of REI DAO and Badri Malynur of Avestor discusses the value of tech and strategic thinking skill sets in the real estate business, how syndicators can use their innovative new platform, and the myriad benefits offered by diversification in real estate- and for your portfolio as a whole. You can listen to their discussion for yourself on Listen Notes, here.

That’s it for now- but I will see you soon with more news stories, crowdfunding deals, real estate-oriented podcasts, and more. See you then!