Successfully cultivating investment opportunities for a private capital network involves carefully balancing the desire for strong investment returns against the risk inherent in achieving those returns. Risk is increased in times of uncertainty, and the current economic situation has investors asking how to effectively (and safely) allocate their capital. We believe that with the right sponsor partners, strong execution in the form of comprehensive underwriting, deal evaluation, and favorable investment structures, investors can find Alpha – excess return above the market - in a variety of different market conditions. This article explains how Alpha Investing is structured to source high-caliber sponsors and provide strong risk-adjusted opportunities to its members.

Real estate syndication makes it possible for multiple parties to pool their resources together and invest in properties that would otherwise be either too expensive for them to buy individually or nearly impossible to find due to lack of access.

Anyone interested in investing in commercial real estate should understand that they are one of several players involved in bringing a project to fruition. The most critical player, though, is the deal’s “sponsor”.

Most commercial real estate sponsors will tout their ability to achieve superior “risk-adjusted returns” for investors – but what does that even mean?