BrickVest is a team of professionals with experience in real estate investing, technology and finance. You can learn more about us here.
BrickVest is an online marketplace for real estate investing for investors and deal sponsors (real estate investment firms, portfolio owners, operators and developers). Professional clients can invest in pre-vetted real estate investment opportunities online through a simple and secure website by creating an account, selecting an investment, signing legal documents and funding their investment. Investors have the potential to receive monthly cash flow, and proceeds once the asset is sold. Sponsors can raise equity by filling out an online application, creating an account and finalizing due diligence requests.
The BrickVest marketplace is currently open to professional clients under the Markets in Financial Instruments Directive (or MiFID). This includes individuals meeting specific qualifying criteria related to assets and understanding of the relevant financial products, as well as regulated financial institutions such as regulated fund and asset managers, banks, insurance undertakings, pension funds and other regulated financial institutions. Nothing on our website or otherwise constitutes an offer of, or the solicitation of an offer to buy or subscribe for, securities to any person to whom, or in any jurisdiction in which, such offer or solicitation is unlawful.
Sponsors are companies in charge of finding, acquiring and managing real estate assets. Sponsors are experienced real estate investment companies, operators or developers. They have the ability to underwrite and conduct due diligence on real estate assets. The Sponsor raises money from investors to acquire or develop real estate and he will typically hold a participation in the real estate asset alongside the investors. Investors derive the benefits of property ownership without having to be involved in administrative the work of acquiring the property, arranging financing (where applicable) as well as overseeing the day-to-day management.
Yes, as long as you are eligible and qualify to participate for each role independently.
Investing in real estate is high risk and there is no guarantee of future outcomes. The real estate market has economic cycles and it is exposed to wider macro-economic factors.
Some of the general risks of real estate investments are Geographical, Environmental, Regulatory and Legal, Financing and Illiquidity. Further information of the risks can be found in the Investment Offering documentation when available.
BrickVest invests pari passu with the Sponsor’s equity in each of the currently live investments.
BrickVest IM Ltd is a private limited company registered in England and Wales, registered number 09317956. BrickVest IM Ltd, the 100%-owned subsidiary of BrickVest Ltd is authorised and regulated by the Financial Conduct Authority (FRN: 737644).
You can get started as an investor on BrickVest by joining the site – it is free to join and there is no commitment fee. Once you are registered you will be able to browse through featured investments and begin investing or pledging your interest in these depending on your client classification. The investment process is conducted online. We will prompt you to provide the required information and make all acknowledgments electronically.
No, joining BrickVest and browsing the marketplace is free.
Investors can invest in pre-vetted real estate investments online through a simple and secure website by creating an account, selecting an investment, signing legal documents and funding their investment. When an investment is made, the investor’s money will be held in a ring-fenced client account. Once the investment target is met, the money is to be transferred to fulfil that specific loan or investment in property. In the event that the investment target is not met, the money raised is returned to each investor.
Generally, real estate investors will have the potential to benefit from regular cash flows as well as capital appreciation. BrickVest provides investors with the opportunity to invest in real estate assets that they would not otherwise typically have access to—traditionally, direct real estate investment requires a large single investment amount. With low minimum commitment amounts, BrickVest opens the real estate investment market to a wider audience of professional clients. BrickVest sources exclusive private market investment opportunities. We strive to make the investment process as seamless and hassle-free, allowing investors to invest online from the comfort of their homes.
Anyone who qualifies as a Professional Client under MIFID can invest with BrickVest. Qualification criteria will apply when registration is open.
All of our offerings are funded on a first-come, first-served basis. Once the investment goal is reached, the offering is closed.
Projected returns and the distribution schedule are specific to the business plan of each investment opportunity. The information will be provided in the offering documents. Returns are indicative only based on estimates by the developer and are not guaranteed. Please note that investing in real estate carries a number of risks.
The real estate investments you find on BrickVest are private transactions that are not traded on public stock exchanges and cannot be sold to the public. Whilst you can advertise your investment for a sale to other BrickVest users at any point, there may not be anyone willing to buy your investment at a price that you deem reasonable (or buy it at all).
Prior to investing, you should consider the likelihood that you will be holding this investment for an extended period of time and this is a long-term investment. Investors should seek independent professional advice to ensure a real estate investment is suitable. BrickVest will facilitate secondary trading of fund interest in existing assets through a marketplace, however liquidity and a price can not be guaranteed.
The terms of each investment with BrickVest are specific to each investment opportunity. Prospective investors should review in detail the offering documents provided for each investment opportunity.
BrickVest primarily focuses on acquisition of cash-flowing real estate and development across property types and across locations. BrickVest will also offer a variety of opportunities to invest in all capital structures, including debt and equity securities.
BrickVest offers access to a variety of property types, including but not limited, to residential, office, industrial, self-storage, retail, and hospitality.
Each investment will be structured as a dedicated Alternative Investment Fund under the Alternative Investment Fund Management Directive (AIFMD). Investors will have an interest in that Alternative Investment Fund (AIF) with an independent fund administrator, independent depository, independent quarterly valuation, independent clearance of conflict of interest and its sole purpose is the investment in a specific property. Investors will benefit from the economics of the property.
Investing in real estate is high risk and there is no guarantee of future outcomes. The real estate market has economic cycles and it is exposed to wider macro-economic factors.
Some of the general risks of real estate investments are Geographical, Environmental, Regulatory and Legal, Financing and Illiquidity. Further information of the risks can be found in the Investment Offering documentation when available
BrickVest curates, underwrites and rates all selected investment opportunities through its proprietary investment process and provides investors with relevant information including: property information, market data, sponsor and project on-boarding and assessment. However BrickVest makes no recommendations on investments, and expects each investor to conduct his/her own due diligence before investing and to seek independent professional advice.
BrickVest will receive the payments either directly from the sponsor or from a third party servicing company and will remit such payments directly to investors through our online technology, net of any applicable servicing or processing fees.
BrickVest investments are typically fully funded upfront. However, in the event that an investment requires additional capital, the shortfall in capital may be funded by either the sponsor or new additional equity from existing and new investors, which would dilute existing investors on a pro-rata basis assuming they do not participate in this further round. Please review the treatment of additional capital requirements in the operating agreement for each investment before investing.
The minimum investment amount is 1,000 €.
All investors have access to the BrickVest investor dashboard. Through the dashboard, investors can track how much has been invested, which transactions are active, and how much investors have earned on any investment to date. BrickVest will provide quarterly reports via both the investor dashboard and by email. In addition, deal sponsors may communicate directly to investor by posting updates regarding the status of the project on the online dashboard.
The usual investment period would be 3 – 10 years, however this is only an indication.The investment period varies widely depending on the type of investment. The investment period and other milestones will be specified in the business plan.
REITs are typically large corporations that hold a wide variety of underlying real estate investments. REIT investors have no choice over the investments made by the REIT managers and there is less transparency about the underlying investment properties.
While REITs can provide worthwhile investment opportunities, we believe with BrickVest individuals can benefit from direct access to real estate investments by selecting the markets, locations and properties they prefer. Moreover, there is a large segment of the real estate investment market that is too small for REITs to address efficiently. This gap provides an opportunity for small and medium size real estate companies, which BrickVest investors benefit from.
You should check with your own company policy to ensure you are not prevented from investing and check whether you are required to disclose your investment activity.
Your returns are net of all corporate level taxes we incur at the investment level. As you are ultimately investing into a fund, it will be useful for you to seek advice on this basis, but we do not anticipate you will be subject to capital gains taxes local to the underlying real estate asset.
The accounts will be denominated in the original deal currency. For instance, if you are a GBP account holder investing in a EUR denominated deal, a transfer in GBP will be converted to EUR at your bank’s latest offered exchange rate. Please check your bank’s foreign exchange rates if you want more information on the applicable rates/fees.
For the initial registration you have to provide your personal details for e-mail verification. Once you have confirmed your e-mail address, the next step prompts you to register as an individual or a company.
BrickVest members should seek their own tax advice specific to their personal fiscal circumstances and jurisdiction, which may be subject to change in the future, before investing. BrickVest advises that investors speak to an accountant and/or tax adviser to ensure they understand the fiscal implications of their investments.
Each investment featured on the platform entails different returns, yields and holding periods. Accordingly, it is important that investors familiarise themselves with the investment information provided in the “investments” section of the website before investing. Return projections should not be used as a guarantee for future returns.
Investors can sell their investments to users who are also on the BrickVest platform.
Yes. While most existing real estate peer-to-peer funding platforms act as a brokerage service for investors, BrickVest offers the full spectrum of investment management services: from complete deal underwriting and structuring to investment management, rating and monitoring.
Please note that fees are spelled out in the “Investments” section of the website, in each featured investment opportunity (under ‘investment summary’).
In the event of a funding shortfall, and to cover the ongoing debt interest payments or other unforeseen additional expenses, the Sponsor will seek to bring in new equity to cover the funding shortfall, diluting all existing investors on a pro-rata basis. For the current opportunities online, BrickVest investors are not liable to fund future capital calls.
Investors typically sign a “Fund” (LLP) Agreement as they are shareholders to this structure. enabling the LLP to invest into the underlying real estate asset as a single entity.
It is simple and online. To apply to raise equity, start the application process here. You’ll be asked some questions about your firm, the transaction and other relevant details. Once this is completed, a BrickVest representative will be in touch to finalize the process with you.
BrickVest focuses on small to mid-sized equity raises and debt funding, ranging from £0.5 million to £50 million.
BrickVest raises equity for a variety of property types, including but not limited to, residential, office, industrial, self-storage, retail and hospitality. We focus on properties with varying degrees of risk – from stabilized, cash yielding assets to ground-up development.
BrickVest works with the best-in-class sponsors. These sponsors have typically acquired over £100 million in real estate at their current firm and have at least 5 years of experience in acquiring, managing and reselling real estate.
Yes, BrickVest requires background, criminal and credit checks as part of our due diligence process.
BrickVest invests as a single limited member into a sponsors’ structure. BrickVest investors are pooled into the AIF which subscribes to the sponsor’s entity as a single investor. This means the sponsor is responsible only for one report and one distribution. BrickVest processes all of the underlying reports and distributions for our investors.
BrickVest requires quarterly qualitative and quantitative reporting.
No, typically all communication goes through the BrickVest website.
Depending on the business plan of the investment, BrickVest may require some control rights such as a buy/sell option. BrickVest does require manager removal for gross negligence, fraud or other deceit.
BrickVest investors typically fund all the required equity upfront with no additional capital calls. In the event that additional capital is needed to complete the project, the funding shortfall must be funded by either the sponsor or new external equity, after which BrickVest’s share in the investment will be diluted pro-rata of the additional equity investment. Alternatively BrickVest may agree to a subordinated member loan in the event that additional capital is required to complete the project.
The investor participates in a fund (the “Alternative Investment Fund” or “AIF”) managed by BrickVest (the regulated investment manager), overseen by an independent fund depository and an independent fund administrator. Your investment is isolated from BrickVest’s operations. See more details in our video.
Investors will have a share in the AIF, managed by BrickVest on their behalf, and the sole purpose of the AIF is the investment in a designated property. Investors have a legal right to the income and profit derived from the AIF regardless of BrickVest’s existence.
There is no public market available to trade the investments, and as such there can be no guarantee that a price or any liquidity will exist
Achievement of rental and capital returns will depend on a range of factors including the property asset as well as the wider economy. Past performance is not an indication of future performance, and investors should be aware that they might not recover the amount invested. You should ensure that you understand the effects of exchange rate fluctuations and taxation on your investment return.
Real estate investments can perform in a cyclical way, and values may increase or decrease accordingly. Economic, political and legal issues can affect values as they would other asset classes. Any future downturn in the real estate market could materially adversely affect the value and income generated from a property investment. Investors are to individually assess and establish their level of comfort with this risk from the outset.
Real estate investments featured on BrickVest constitute private transactions. As such, they are not publicly traded on stock exchanges and may not be rapidly sold or traded. Whilst you can advertise your investment for sale to other BrickVest users at any point, the platform provides no guarantee to match your sale with a buyer.
Prior to investing, you should consider the likelihood that you will hold an investment for its full lifecycle, and as such it is a long term investment.
Each investment offering includes a business plan outlining the expected hold period of the property. In the event that market conditions at the time of maturity of the investment are poor, a commercial decision may be taken as to whether to extend the holding period. Any such decision would be taken jointly by BrickVest and the Sponsor, and would be taken only if called for by such market conditions and with the aim of avoiding a property resale value substantially lower than the initial purchase price.
Conversely, an investment may also be sold before maturity if this accelerated sale is deemed by BrickVest IM Ltd. to be in the best interest of all shareholders.
The cyclical nature of the real estate industry means it is sensitive to economic conditions both nationally and more locally. These factors can include consumer confidence, employment, income and some others that are considered below.
From time to time, vacancies can be expected to arise in the operation of real estate assets. In some cases, sizable vacancies may mean there is less cash available for distribution to investors.
In the event of a tenant failing to meet its obligations to the owner of the property, investors will experience a fall in the cash receipts and cash available for distribution to them. Bankruptcy laws can be used by a tenant at any time for their protection, and this can mean that their lease is terminated and rejected. As a result, the tenant may no longer make any more payments on time, or any payments under its lease at all.
Competition in real estate is prevalent amongst both real estate owners and tenants.
It cannot be guaranteed that there are no environmental liabilities, that no environmental liabilities may at some point occur, that some material environmental condition was made by a previous owner that is unknown to the property owner, or that changes in the future will not mean the property owner will incur liability, for example and without limitation, to changes in environmental laws. In the case of remedial action whereupon environmentally harmful substances must be removed, the costs associated with doing so may be very high. Further, the value of the Property and/or the property owner’s aggregate assets may be far exceeded by the cost of any required remediation. Failing to carry out the required remediation removal of environmentally hazardous substances may result in it being more difficult for the Company to sell the affected real estate. Additionally, the Company’s ability to use the real estate as collateral to borrow may also be adversely affected.
The management of the Company, provided by the Managing Entity, alongside the Property’s management, will impact the success of the underlying property owner. Should one or more persons from senior management leave, or become inactive, the operations of the Company may be adversely affected.
Adequate Company cash for distribution to investors cannot be guaranteed in any given quarter.
Tax risks can be significant, and investors should be wary. When investing, there are different tax rules to take into consideration by each individual investor. Prospective investors are strongly advised to consult with tax professionals as to their specific tax situation, relating to the purchase, ownership and disposition of investments and possible changes in the tax laws or the regulations.
Investors should note that market and currency ups and downs can affect the value of one’s investments, and the income they earn which may rise or fall as a result.
As an international investor it is important to recognise the risk of currency fluctuations alongside other investment risks spelled out herein.
BrickVest goes to great lengths to ensure the security of all of our members’ and our own data. We use Secure Sockets Layer (“SSL”), a standard security technology for establishing an encrypted link between a web server and a browser. This link ensures that all data passed between the web server and browsers remain private and integral. SSL is an industry standard and is used by millions of websites in the protection of their online transactions with their customers. We are also regularly audited by third party security firms to ensure compliance with the most rigorous security standards.