Investors with a retirement account can now allocate to one of our most high-demand asset classes, commercial real estate equity, without negative tax implications.
Real Estate equity typically generates both income and capital appreciation, generating potential unrelated business taxable income (UBTI). Unless structured appropriately, the income generated can create negative tax implications for retirement accounts.
We’ve developed a structure for real estate equity investments that blocks any UBTI. As a result, distributions received by investors will be net of corporate taxes owed, removing potential liability for IRA accounts to pay tax on distributions.
To utilize this structure, new real estate equity investments will typically have two launches:
Target returns for the investors in the IRA edition of real estate equity will be lower than the taxable editions as the payment of the corporate income tax is the responsibility of the entity rather than the investor.
Yieldstreet has partnered with Equity Trust, one of the largest self-directed IRA providers, to be the custodian for retirement accounts opened on Yieldstreet. Create an account to add Yieldstreet investments to your IRA with ease.
Yieldstreet provides access to alternative investments previously reserved only for institutions and the ultra-wealthy. Our mission is to help millions of people generate $3 billion of income outside the traditional public markets by 2025. We are committed to making financial products more inclusive by creating a modern investment portfolio.