Remuda seeks to generate stable risk-adjusted returns for our investors across a myriad of investment types with short investment horizons.
Remuda is not a fund, which gives investors the flexibility of choosing the deals they want to participate in.
Diversify your investment portfolio with passive income backed by commercial real estate. With multiple income streams such as rental income and asset appreciation, commercial real estate can serve as an effective hedge against inflation. Short-term investments such as those Remuda offers, can also mitigate the effects of inflation.
Private real estate tends to be less volatile than publicly traded real estate stocks such as public REITs and Debt Funds that are subject to daily fluctuations in the stock market and typically move in tandem with broader equity markets.
Commercial real estate can provide healthy risk-adjusted returns as compared with traditional investments such as stocks and mutual funds. Private debt secured by real estate can provide immediate cash flow in the form of interest payments and fees with Net IRRs ranging from 9-11%, and offering a relatively low risk profile. Equity investments reward additional risk with higher yields, and can include profit participation with the project sponsor, reaching Net IRRs in the high teens and above.
First to be repaid, Senior Debt offers a lower risk profile, while producing immediate cash flow in the form of interest payments. Our team has extensive experience across the entire CRE lending process from Term Sheet to payoff, including all property types.
Mezzanine lending typically takes the form of a loan to the equity owner and is secured by a pledge of equity interests. It is subordinate to senior debt, and therefore, earns a higher return. Unlike equity, in the event of default by the borrower, the 'mezz' lender can foreclose on the equity and assume ownership and control of the property.
Remuda provides preferred equity alongside experienced sponsors for acquisition, development, or value-add transactions. Remuda also offers preferred equity for recapitalization and partner buyouts.
This layer is often introduced after an existing deal is already closed, providing additional equity for projects that need recapitalization. However, some sponsors favor Preferred Equity as opposed to JV Equity, paying a fixed preferred return to investors while retaining all of the project's upside potential.
JV Equity is the last layer in the capital stack and last to be repaid, but with the highest upside potential. Remuda partners with sponsors seeking JV Equity that need additional capital in the form of limited partners, sharing the project's profits.