
Seth Priebatsch (Groma) on On-Chain Real-Estate (EP.466)
On The Brink with Castle Island
Regulatory Aspects of Raising Capital for Real Estate Vehicles
Raising capital for real estate vehicles involves navigating various regulatory considerations such as Reg D and Reg CF. Initiating with a private offering for accredited investors only, the process gradually evolved to allow general solicitation through a 506c private offering. This transition enabled marketing partnerships with platforms like Republic, enhancing accessibility while still being restricted to accredited investors. Future plans include exploring Reg CF to involve non-accredited community investors, broadening accessibility. Despite the complexities and costs involved, following regulatory rules meticulously ensures compliance while delivering value to all stakeholders.