High-Yield Opportunity • Alternative Real Estate Strategy
Real Estate Credit Funds
A real estate credit fund pools capital from investors to act as a lender, originating or purchasing debt instruments that are secured by property assets. The fund's primary objective is to generate income for its investors from the interest and fees collected on these real estate loans.
Investment Strategy Focus
Inflation Hedge
Generates Income
Lower Volatility
Low Correlation
Diversification
Liquidity
Strategy Overview
Diversification. Income. Liquidity.
Individual investors frequently seek high yield strategies, but aim to mitigate potential downside risks of high yield investments such as defaults, drawdowns, and volatility. This alternative category has been expanding in size in the last decade, as the low interest rate environment drove investors to seek higher nominal yields. Today, investors have continued investing in the category in search of real yields (to mitigate the effect of today’s high inflation rate). However, this category has been historically limited to institutions because of large investment minimums.
Search for Meaningful Income and Attractive Risk-Adjusted Returns
Many clients seek investment categories that have demonstrated asymmetrical reward profiles: attractive total return with potential for lower volatility. Many investors believe that the alternative credit asset class fits this description: differentiated, alternative strategies that target equity-like total return potential and meaningful income while offering individuals access to investments typically only available to institutions.
Notable Advantages in Today’s Uncertain Market
Credit has minimal price sensitivity to rising interest rates, given its floating rate nature. This acts as a potential hedge to inflation, given that the interest rates adjust upwards as the Federal Reserve increases the Fed Funds rate.
Credit has higher income potential, especially when compared to equivalent yields for publicly available asset classes. Expected income generation metrics are significantly higher for credit securities than the rate for even high yield bonds.
Credit has a low correlation to broader markets. This is a characteristic that is especially important in today’s volatile and uncertain environment and where the traditional “60/40” portfolio has recently shown reduced ability to generate meaningful returns or in reducing risk.
Explore Available Investment Properties From Baker 1031 Investments
Introducing
The Customized Exchange Platform
A new platform designed for 1031 exchanges ranging from $5 million to $40+ million.
Annualized cash flows of 5.75% to 6.00%+ paid out monthly.
All aspects of exchange coordinated for you
Structured to provide a no-obligation offer to acquire your asset(s) within 1-3 years at pre-agreed price.
Your Investment. Our Solutions.
Unleash your real estate portfolio's potential by exploring opportunities to diversify, improve the quality of your holdings, and stop managing properties yourself—all without sacrificing potential income and value appreciation. Work with us to invest alongside leading institutions into personalized, diversified portfolios of properties designed for income generation and overall value appreciation.
Institutional-Quality Properties: Most real estate investors can’t afford to build a diversified portfolio of multimillion-dollar properties. Our strategies allow investors to acquire partial ownership in properties that otherwise would be out of reach.
Lower Minimum Investments: Our investment offerings can accommodate much lower minimum investments. Minimums often are $100,000 or less.
Assumable Financing: In some of our offerings, you can acquire debt to meet 1031 exchange requirements without having to qualify for or take responsibility for the loan. The debt won't appear on your credit report or affect your credit score, yet you can still deduct your share of the interest payments. It's debt without the liability.
Institutional Investments for Individual Investors
Work with Jerry Baker and Baker 1031 Investments to gain the distinct advantage institutions have in real estate. We bridge the gap by partnering with leading players, giving you access to their opportunities. Diversify your portfolio, upgrade asset quality, eliminate management burdens, and secure attractive, non-recourse financing—all without sacrificing what matters most to individual investors.
Transparent Investment Offerings: Receive due diligence materials upfront, transparent fees and expenses (with no hidden costs), audited financials, and verified Sponsor track records.
Optionality & Flexibility: Investment offerings with flexible holding periods, enhanced tax benefits, unique features, and numerous exit and reinvestment options.
Tax-Advantaged: Benefit from 1031 exchanges, depreciation, cost segregation, depletion allowances, interest expense deductions, and more.
Have you thought about Oil & Gas for your 1031 exchange?
Explore oil & gas to add potentially higher income, new tax benefits, and diversification to your real estate portfolio.
Want to learn more?
"Not sure where to start? Have a specific question? I've been there before. Reach out to me with any questions!"
Call/Text: +1 646 389 1810 | Email: [email protected]
Call/Text: +1 646 389 1810
Email: [email protected]
Baker 1031 Investments • +1 646 389 1810 • [email protected]
The information herein has been prepared for educational purposes only and does not constitute an offer to purchase or sell securitized real estate investments. Such offers are only made through the Sponsor’s Private Placement Memorandum (PPM) which is solely available to accredited investors and accredited entities. DST 1031 properties are only available to accredited investors (generally described as having a net worth of over $1 million dollars exclusive of primary residence) and accredited entities only. If you are unsure if you are an accredited investor and/or an accredited entity, please verify with your CPA and Attorney.
There are material risks associated with investing in DST properties and real estate securities including liquidity, tenant vacancies, general market conditions and competition, lack of operating history, interest rate risks, the risk of new supply coming to market and softening rental rates, general risks of owning/operating commercial and multifamily properties, short term leases associated with multi-family properties, financing risks, potentially adverse tax consequences, general economic risks, development risks, long hold periods, and potential loss of the entire investment principal. Potential cash flows/returns/appreciation are not guaranteed and could be lower than anticipated. Diversification does not guarantee a profit or protect against a loss in a declining market. It is a method used to help manage investment risk. Because investor situations and objectives vary this information is not intended to indicate suitability for any particular investor. This material is not to be interpreted as tax or legal advice. Please speak with your own tax and legal advisors for advice/guidance regarding your particular situation.
Securities offered through Aurora Securities, Inc. (ASI), member FINRA/SIPC. Baker 1031 Investments (Baker 1031) is independent of ASI. To access Aurora Securities’ Form Customer Relationship Summary (CRS), please click HERE. Baker 1031 Investments, Jerry Baker, and (ASI) do not offer legal or tax advice. Please consult the appropriate professional regarding your individual circumstances.
Client examples are hypothetical and for illustration purposes only. Individual results may vary.
This site is published for residents of the United States only. Representatives may only conduct business with residents of the states and jurisdictions in which they are properly registered. Therefore, a response to a request for information may be delayed until appropriate registration is obtained or exemption from registration is determined. Not all services referenced on this site are available in every state through every advisor listed. For additional information please contact +1 646 389 1810 or email [email protected].