Real estate can deliver consistent cash flow—even during economic downturns

Why invest in real estate?

Historically, real estate has delivered stable, consistent returns for decades. When unexpected inflation strikes, real estate tends to preserve its value.

When unexpected inflation strikes, real estate tends to preserve its value. Across all major real estate sectors (retail, industrial, apartment, and office), property values tend to rise and produce consistent income, enabling real estate investors to outpace inflation while turning a profit. This is often true even in severe market downturns (with some exceptions, like the 2008-2009 financial crash).

Additionally, real estate values tend to rise with time. In highly coveted markets, like New York City and San Francisco, the real estate boom of the last few decades has produced a surplus of homeowner wealth.

And for those looking to avoid volatility, real estate tends to produce more consistent returns than the stock market. By avoiding cyclical ups and downs, many real estate owners enjoy financial stability unheard of in the stock market. Investing in real estate can provide much-needed diversification for anyone’s portfolio.

Many people ‘invest’ in real estate by owning a home, which has made real estate the most common and most trusted type of alternative investment. But there are other, dynamic ways to invest in real estate.

What is syndication (fractional ownership) in real estate?

Most investors may be unable to drum up the capital needed to invest in an entire office building or apartment complex.

Fortunately, you can join a group of real estate investors who enter into deals together. This is called syndication (or fractional ownership), where each investor owns a “fraction” of the building. Syndications are often crowd-sourced ventures, wherein projects are proposed and investors pool together capital.

By divvying up the equity, there is less risk for any given investor in syndication. This allows investors to diversify with less risk by taking part in multiple syndicated real estate opportunities. This creates a more diversified real estate portfolio, also reducing risk.

Our exclusive real estate investment opportunities

At HUDSONPOINT Capital, we provide our investors with access to private real estate deals and exclusive developer opportunities.

For most investors, we offer two types of real estate investments:

1. Stabilized, mature assets: Through syndication, you can purchase a fractionalized share in a real estate asset with high occupancy (i.e., rental income). Whether commercial or residential, these types of opportunities give risk-averse investors a foot in the door of a project that is already generating consistent, predictable income from tenants.
2. Value-added, opportunistic assets: Also, through syndication, we offer investment opportunities in properties that are either highly undervalued or have low-cost, high value-add possibilities. These properties are for investors seeking higher returns. Because these properties may not have pre-existing occupancy rates of more stabilized, mature assets, the higher potential reward comes with higher risk.