Nov 5, 2021
Real estate is tangible property meaning it can be used or consumed.
It’s composition is made up of land as well as existing resources on said land; natural resources as well as man-made resources such as buildings. Real estate can also refer to the business of producing, buying, and selling property.
Individuals or groups buying or selling a property are engaged in real estate investing. Historically, real estate investing has proven a popular strategy for earning passive income, supporting long-term financial goals, and even contributing in a positive manner to the livelihood of others.
Real estate falls under four primary categories:
Residential Real Estate: Residential properties refer to buildings designed for people to live in. Primary and secondary single-family and multi-family homes such as condominiums, townhouses, and co-ops are all considered residential spaces. Residential properties generally make for more accessible income opportunities for investors as they typically require lower upfront costs than commercial or industrial properties. In other words, if you are looking to make your first foray into real estate investing, residential properties are an excellent starting point. Remove this?
Commercial Real Estate: Commercial real estate refers to property that is zoned for business, such as an office, hotel, warehouse, or retail-store buildings. Commercial real estate refers to any type of building used for the running of a business.
Commercial properties tend to have longer leases, typically reducing the likelihood of vacancy. In commercial ownership, involved actors must abide by zoning laws and regulations. Set guidelines exist which can even extend as so far as limiting the number of business patrons in a zoned building at a given time. You can find more information on zoning laws here (hyperlink).
In the US, there is approximately $6 trillion worth of commercial real estate alone. Commercial property is typically considered stable which in turn drives value. Certainly, the COVID-19 pandemic has shifted these assumptions. Read more about the effects of COVID-19 on commercial real estate here. In commercial real estate, profitability per square foot or meter determines the scope of one’s return on investment (aka ROI). Other metrics that set commercial real estate apart from real estate include differences in magnitude in terms of tenant down payments. The down payment on the space leased for a department store like Kohls will be higher than the down payment on a one-bedroom a mile away. Kohls will also need to commit to a longer-term lease than the renter of the neighboring bedroom. The down payment and longer lease duration are huge wins for the property owner who is constantly in search of stability and increasing value.
Industrial real estate: These are properties used for industrial-related purposes including but not limited to retail, manufacturing, and warehousing.
Vacant Properties: These include lands that are completely empty, vacant, or reclaimed.
Overall, residential and commercial properties can make for strong investment opportunities if the right market conditions are there.
By definition, an investment property is a property with the intent to generate income, profit from long-term capital appreciation, or maximize tax benefits.
An investment property is also a really fantastic opportunity to own real estate, and if done right can make you good money for a long time.
All Rights Reserved © Landa Holdings, Inc
Landa Holdings, Inc. ("Landa Holdings") operates the www.landa.app website (the "Site") and the Landa mobile application (the "App")(collectively, the “Platform”). Landa Holdings manages Landa App LLC, Landa App 2 LLC and Landa App 3 LLC (“Landa Issuers”), and raises funds and facilitates the issuance of shares for the Landa Issuers entities through the Platform pursuant to Regulation A under the Securities Act of 1933 (“Regulation A”).
Neither Landa Holdings nor any of its affiliates are a registered broker-dealer or investment advisor. All securities-related activity for the Landa Entities is conducted through Dalmore Group LLC (“Dalmore”), a registered broker-dealer and member of FINRA/SIPC, You can review Dalmore's brokercheck for Dalmore.
Landa is not a bank. Certain services are offered through Synapse Financial, Inc. and its affiliates (collectively, “Synapse”). Synapse is not a bank and is not affiliated with Landa. Brokerage accounts and cash management programs are provided through Synapse Brokerage LLC (“Synapse Brokerage”), an SEC-registered broker-dealer and member of FINRA and SIPC. Additional information about Synapse Brokerage can be found on FINRA’s BrokerCheck.
Synapse Brokerage LLC has a direct or indirect business relationship with Program Banks for the placement of deposits in the cash management program. The list can be found in the List of Program Banks.
Further, Landa Management LLC, a wholly-owned subsidiary of Landa Holdings, manages Landa Financing LLC (“Landa Financing”), and raises funds and facilitates the issuance of shares for Landa Financing through the Platform pursuant to Regulation A. All securities-related activity for Landa Financing is conducted through Dalmore Group LLC (“Dalmore”), a registered broker-dealer and member of FINRA/SIPC (for more information on Dalmore, review Dalmore’s brokercheck.
You should speak with your financial advisor, accountant, and/or attorney when evaluating any offering of securities. Neither Landa Holdings, Landa App, nor Dalmore makes any recommendations or provides advice about investments, and no communication, through this website or in any other medium, should be construed as a recommendation for any security offered on or off this investment platform. Nothing in this material should be construed as investment or tax advice, or a solicitation or offer, or a recommendation to buy or sell any securities. The Site and/or the App may make forward-looking statements. You should not rely on these statements but should carefully evaluate the offering materials in assessing any investment opportunity, including the complete set of risk factors that are provided as part of the offering circular for your consideration. We urge you to review the applicable offering circular, available here.
All securities offered by the Landa Entities and Landa Financing are deemed “Shares”. Investing in Shares involves risks, and there is always the potential of losing money when you invest in Shares. Past performance is no guarantee of future results. Investments in Shares are speculative and involve substantial risks to consider before investing, outlined in the respective offering materials and including, but not limited to, illiquidity, lack of diversification, and complete loss of capital. An investment in Shares constitutes only an investment in a particular offering and not in Landa Holdings, Landa App, or any of the underlying asset(s). Investors should carefully review the risks located in the respective offering materials for a more comprehensive discussion of risks.
All Shares will be issued in electronic form only and will not be listed or quoted on any securities exchange. After a Series’ offering has concluded, we expect that the Public Private Execution Network Alternative Trading System, or PPEX ATS (the “Secondary Trading Platform”), which is registered with the SEC and operated by North Capital Private Securities Corporation (“North Capital”), will be the only venue available for the resale of Shares. Resales of Shares will be conducted by Dalmore, as a broker-dealer member of the Secondary Trading Platform; provided, however, any such resale of Shares will be subject to federal and state securities laws and the restrictions in the Series’ Operating Agreement, and there can be no assurance that an active market for any Shares will develop on the Secondary Trading Platform, that the Secondary Trading Platform will be available to allow resales of Shares to residents of all states, or that the Secondary Trading Platform will be available at all. For these reasons, investors must be prepared to hold their Shares indefinitely.
Landa Holdings maintains this website for informational purposes only. All offerings of Series’ Shares (and information about each Series and its underlying property) are conducted exclusively on the Landa Mobile App.