I would like to know if you guys think this is a good investment. My company is offering an opportunity to place some of our 401k funds in a REIT. The REIT would be in an IRA. This REIT buys large apartment complexes of 200-500 units throughout the mid west. TX, OK, KS, MS, IL, OH etc.
They renovate them and rent them out. They plan to sell this package in 4-5 years to a hedge fund or insurance company. They say average return is 7%.
[quote=raty4R]It’s named Steadfast Income REIT or the Steadfast Companies. It’s a non-traded REIT.[/quote]
Decent operators. Operating fees to affiliates are way too high to ever make good money without huge appreciation of assets. It’s set up to make a lot of money for sponsors, not investors. I’d stay away.
Thanks for the info gentlemen. Their price to general public is $10.24. My 401k transfer price is $9.73. Their best efforts offering $1,5000,000,000 in shares.
Where or how did you guys find your information? I did several searches and mostly came up with PR and analyst comments but no concrete values.
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