Fractional Commercial Real Estate
Pool capital to buy part of a commercial asset and receive pro‑rata income.
PassivePlatform riskLock‑in
Structures
- SPV-based ownership; platform manages tenant and distributions
- Typical lock-in 3–5 years; exit via platform resale or asset sale
What to Evaluate
- Tenant quality, lease tenor, escalations
- Occupancy, WALE, location micro-market
- Fees (acquisition, management, exit), governance
Pros & Cons
Pros
- Access Grade‑A CRE
- 8–12% yields
- Professional management
Cons
- Illiquid vs REITs
- Platform/regulatory risk
- Lock‑ins
Education only; not investment advice. Real estate is illiquid and location-specific; do independent due diligence.