New Crowdfunding Fund Targets Double-Digit Returns

RealCap is located in Santa Monica.

LOS ANGELES—Peer-to-peer lending platform RealCap has launched its first fund, the Self Storage Opportunity Fund, and it has big goals. The fund will raise $10 million from accredited investors and is targeting 10% to 15% returns. RealCap is focusing on the self storage market, as the eponymous fund name suggests, and will buy value-add properties nationwide.

“We achieve our double-digit goal at acquisition. Our acquisition strategy is to identify under-performing self-storage properties,” Matt Schuberg, co-founder and CEO of RealCap, tells GlobeSt.com. “We evaluate the financials to determine if there’s upside, and look for immediate value-add opportunities, including vacancies, under-market rents, excess land for RV/Boat storage, and excess expenditures. This will give us an indication of the property’s future value, and will help us to ensure we buy at the right price point and achieve our double-digit goals. This does not including our long-term value-adds, like installing solar ports for the RV/Boat storage and/or solar roofs, while obtaining a Power Purchase Agreement from the utility companies.”