Crew Campus Private REIT Advisor Announces New Incentive Program

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Apr 29, 2024, 09:00 ET

Early investors accepted in Q1 and Q2 2024 will have performance fees waived during specified incentive periods.

ALISO VIEJO, Calif., April 29, 2024 /PRNewswire/ -- Crew Campus Private REIT ("Crew Campus") is announcing a performance fee waiver incentive program ("Incentive Program") to benefit early investors in their newly launched private REIT. Following Crew Campus' announcement in February 2024 celebrating the acquisition of a 297-bed seed asset located near Baylor University, investors are now poised to receive even more benefits following changes to the offering and the launch of the incentive program.

"Investors who are accepted into the Crew Campus Private REIT during incentive periods will no longer be subject to the performance fee typically earned by the advisor," comments Jeff Daly, CEO of Crew Campus. "This Incentive Program fee waiver applies to the life of the investor's investment; the original investment, as well as investments pursuant to the DRIP."

Beyond the incentive program, Crew Campus is making the following changes to the offering in its most recent supplement:

There will be no disposition fees associated with the sale of private REIT assets.
The advisor's performance allocation is being updated. The original PPM contemplated an 80/20 performance split, in favor of the investor, after achieving an 8% hurdle rate. This has been updated to 87.5/12.5 after a 5% hurdle.
The minimum investment requirement is being reduced from $25,000 to $5,000.

"Crew Campus REIT is a pure play student housing private REIT option for investors looking to build a diversified real estate portfolio," shares Daly. "These changes introduce an institutional pricing model that aligns the advisor and investors interests evenly."

Student housing remains an ascendant asset class in the early stages of institutional adoption. Both larger institutional and cross-border investors continue to be attracted to the category due to its favorable supply/demand characteristics as well as the sector's historical stability and resiliency of cash flows.

Beyond the changes to the offering comes a rebranding of the private REIT asset. The property, previously called Oso Verde Apartments has been renamed The Green at Waco, an homage to the city in which the property is located along with its proximity to Baylor University.

"We thought it was fitting to give the property a refreshed brand identity," states Blake Wettengel, CEO of Crew Enterprises. "The property has been around since 2015, and with our reinvigorated corporate identity here at Crew Enterprises, we felt a new name for our first portfolio asset was a way for us to signal to investors our ability to continuously improve our properties and the experiences we provide for tenants."

About Crew Enterprises

Crew Enterprises, by Blake Wettengel and Tanya Muro, is a real estate company specializing in acquiring and operating student and multifamily housing properties. The investment firm and its affiliated companies own or manage 35 student housing and multifamily properties located throughout the United States, totaling approximately 4,500 units and over 10,500 beds. Located in Orange County, California, Crew Enterprises has a portfolio valued at nearly $2.0 billion across 16 states and is one of the largest syndicators of real estate in the country. For more information on Crew Enterprises or Crew Campus REIT, please visit www.crewenterprises.com .

Contact Information:
Jeff Daly
(949) 247-7841
[email protected]

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The contents of this communication: (i) do not constitute an offer of securities or a solicitation of an offer to buy securities, (ii) offers can be made only by the confidential Private Placement Memorandum (the "PPM") which is available upon request, (iii) do not and cannot replace the PPM and is qualified in its entirety by the PPM, and (iv) may not be relied upon in making an investment decision related to any investment offering by an issuer, or any affiliate, or partner thereof ("Issuer"). All potential investors must read the PPM and no person may invest without acknowledging receipt and complete review of the PPM. With respect to any "targeted" goals and performance levels outlined herein, these do not constitute a promise of performance, nor is there any assurance that the investment objectives of any program will be attained. All investments carry the risk of loss of some or all of the principal invested. These "targeted" factors are based upon reasonable assumptions more fully outlined in the Offering Documents/ PPM for the respective offering. Consult the PPM for investment conditions, risk factors, minimum requirements, fees and expenses and other pertinent information with respect to any investment. These investment opportunities have not been registered under the Securities Act of 1933 and are being offered pursuant to an exemption therefrom and from applicable state securities laws. All offerings are intended only for accredited investors unless otherwise specified. Past performance are no guarantee of future results. All information is subject to change. You should always consult a tax professional prior to investing. Investment offerings and investment decisions may only be made on the basis of a confidential private placement memorandum issued by Issuer, or one of its partner/issuers. Issuer does not warrant the accuracy or completeness of the information contained herein. Thank you for your cooperation.

Real Estate Risk Disclosure:

No guarantee that any will achieve its objectives
All real estate investments have the potential to lose value;
The income stream and depreciation schedule may affect your income bracket and/or tax status. An unfavorable tax ruling may cancel deferral of capital gains and result in immediate tax liabilities;
All financed real estate investments have potential for foreclosure;
These assets are illiquid securities. There is no secondary market.
If a property unexpectedly loses tenants or sustains substantial damage, there is potential for suspension of cash flow distributions;
Costs associated with the transaction may impact investors' returns and may outweigh the tax benefits
Tax benefits are not guaranteed and are subject to changes in the tax code.

SOURCE Crew Enterprises, LLC