Avatar Financial Group launched a new commercial mortgage fund with a REIT structure that delivers a streamlined experience to investors including a steady deployment of capital. The new fund, Avatar Commercial Mortgage REIT LLC, will raise money through an offering of membership interests, so investors will become equity owners in the entire fund rather than only in a particular loan.
“In the past, investors have participated in Avatar-originated loans on a loan-by-loan basis,” said T.R. Hazelrigg IV, president and co-founder of Avatar. “Avatar Commercial Mortgage REIT LLC delivers investors the benefits of a debt fund with a tax-efficient REIT structure. There are true advantages of this new REIT structure and we believe this new vehicle will positively impact investors as a continuing or new investment partner with us.”