BrickVest, the online real estate investment platform, has announced its first successful exit less than 18 months after it launched its platform. The investment alongside CORESTATE Capital Group, the residential portfolio and commercial real estate markets investment firm, featured a sizeable national German retail portfolio of 23 assets.
European investors who invested in the BrickVest Fund Harvest 1 LLP have achieved returns of 31%. In comparison, the FTSE EPRA/NAREIT Developed Europe Index generated return of 18% over the same period. These investors, have been able to invest on the primary market as well as on the secondary market offered by BrickVest. As a result, most active traders achieved a 40% IRR in 6 months.
The exit was initially expected to go through in Q4 2020 however the first dividend distribution was made by CORESTATE Capital Group in March this year at around 2% net yield.
Thomas Schneider, Chief Investment Officer at BrickVest, commented:
The strength of the returns speak to the quality of the investments BrickVest selects for its platform. We focus exclusively on institutional grade investments investing alongside leading real estate investment managers. For the first time ever private investors can access the same investment opportunities as large institutional investors such as pension funds and insurance companies.
Remi Antonini, Head of Ratings at BrickVest, added:
Following the successful exit, investors using the BrickVest platform have achieved a superior return from an institutional-quality fund led by a strong real estate investment manager. This attractive absolute return was realised in the context of a controlled risk profile as the fund invested in a diversified and income-producing German retail portfolio with a cautious gearing level.
Less than 18 months after its launch, BrickVest has built the only pan-European online crowd investing platform that allows its community of investors to invest directly and actively manage their investment in institutional grade commercial real estate investment opportunities.