yeah. on the one hand, glad ReSeed exists. the iteration on Greystar's model will be an empowering vehicle for ReSeed's cadre of local GPs, who otherwise would be working a soulless corporate job.
However, the *perpetual* ISA will cause an adverse selection problem. entrepreneurs who believe in themselves to be capable of starting 9 to 10 figure dollar real estate businesses would never sign a perpetual ISA like this, vs OpCo-PropCo or Co GP relationships, which to my knowledge are not an ISA tied to *you as a person* vs the entities being funded.
so the ReSeed ISA makes sense for the outcomes they're shooting for (sub 50 mil) but there's still money on the table for financing innovation to target more ambitious real estate entrepreneurs imo.
yeah. on the one hand, glad ReSeed exists. the iteration on Greystar's model will be an empowering vehicle for ReSeed's cadre of local GPs, who otherwise would be working a soulless corporate job.
However, the *perpetual* ISA will cause an adverse selection problem. entrepreneurs who believe in themselves to be capable of starting 9 to 10 figure dollar real estate businesses would never sign a perpetual ISA like this, vs OpCo-PropCo or Co GP relationships, which to my knowledge are not an ISA tied to *you as a person* vs the entities being funded.
so the ReSeed ISA makes sense for the outcomes they're shooting for (sub 50 mil) but there's still money on the table for financing innovation to target more ambitious real estate entrepreneurs imo.