Self-storage operator Reliant Real Estate Management LLC has launched a $75 million equity fund, Reliant Self-Storage Fund III, through RealCrowd, a real estate crowdfunding platform. The fund will target value-added, stabilized self-storage acquisitions in Colorado and the Southeast. He has already bought 13 properties, with a plan to increase that number to 20, according to the source.
The fund will focus on value-added opportunities in the secondary and tertiary markets, targeting properties with room for expansion as well as those requiring better rental management and ancillary income, the source said. Reliant intends to hold the Fund III portfolio for six years before seeking to sell to a publicly traded real estate investment trust or institutional buyer.
The RealCrowd platform allows users to invest directly with the sponsor rather than acting as an intermediary, according to the crowdfunding site. The minimum investment for Fund III is $50,000, with a target internal rate of return of 12%.
Reliant ran its first equity fund from May 2019 to March 2020, while its second ran from April 2020 to October 2021, according to an investment summary posted on the company’s website. The $50 million Fund II was also available to investors through RealCrowd.
Founded in 2010 and based in Roswell, Georgia, Reliant operates 55 facilities in multiple states, primarily under the Midgard and Storesmart Self Storage brands.
Benzinga, RealCrowd launches a new offering for a self-storage fund with a value-added strategy
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RealCrowd, Reliant III Self-Storage Fund