Cadre, the leading technology-enabled real estate investment platform, today announced two early property sales in the Chicago area and the Atlanta metro area. With these sales, Cadre has directly returned approximately $100 million of capital to its platform investors to date. Both sales taken together delivered a greater than 20% Net IRR, representing significant outperformance relative to underwriting. Cadre’s mission is to provide more individuals with the opportunity to invest in institutional-grade real estate – a traditionally inaccessible, opaque, and illiquid asset class. The company combines its institutional experience with differentiated technology capabilities to empower investors with a greater degree of transparency, lower fees and better liquidity than traditional real estate investment platforms.
Cadre acquired Sugarloaf Trails Apartments, a 268-unit multifamily asset in suburban Atlanta, in April 2017 and Skyridge Club Apartments, a 364-unit multifamily asset in suburban Chicago, in November 2016. The sale of Sugarloaf generated returns that were 105% above original underwriting, and the sale of Skyridge generated returns that were more than 20% above original underwriting. On Skyridge in particular, Cadre was able to deliver outsized performance from a preferred equity position, which provided significant downside protection from the outset but outperformed underwriting nonetheless.
“Just over four years ago, Cadre was founded on a simple idea: to build a more transparent and liquid real estate investing model and enable more people to access institutional-grade real estate investments,” said Ryan Williams, CEO and Co-founder of Cadre. “Today, the concept has been proven as we have now returned approximately $100 million in capital to our platform investors. I am grateful to our data, product, and engineering team members who have built a truly unique platform, and also grateful to our investments team who bring extensive experience to our company. I also appreciate the tremendous partnership that we have with our operators. I am most grateful for and excited by what we have created together – excellent investment outcomes and great returns for a broader range of investors.”
Cadre operated each asset more efficiently and at a lower cost than initially underwritten, as well as also identified the opportunity to exit and sell each asset earlier than anticipated. Cadre’s investment team partnered with its data engineering team to determine the optimal time for selling based on its analysis of real-time asset performance metrics, submarket, and MSA market data.
Cadre is a technology-enabled real estate investment platform that provides qualified individuals and institutions access to fully vetted commercial real estate opportunities. Cadre has also built the industry’s first secondary market for commercial real estate enabling investors to achieve liquidity. Cadre combines its institutional experience with differentiated technology to empower investors through direct access, lower fees, and greater transparency. For more information, please visit cadre.com.