Key Takeaways
- • Yieldstreet, the alternative investment platform, agreed to acquire Cadre, an online real-estate-focused investment platform serving institutional and high net worth investors; financial terms were not disclosed.
- • The two platforms report a combined investment value above $9.7 billion, with $5.3 billion allocated by investors and $3.1 billion returned to date, according to a Yieldstreet statement.
- • Together the companies serve more than 500,000 members, of which 450,000 come from Yieldstreet and 50,000 from Cadre.
- • Cadre's valuation has fallen sharply from a reported $800 million peak; The Information reported earlier in 2023 that an acquisition could value the company at around $100 million.
- • Cadre CEO Ryan Williams will remain at Cadre and lead a new institutional partnerships division as Yieldstreet's global head of Institutional Partnerships & Clients.
Summary
Yieldstreet has agreed to acquire Cadre, an online marketplace that connects accredited investors with real estate operators, according to a company announcement reported by PropTech Connect. Financial terms of the deal were not disclosed. Both companies are based in New York.
Yieldstreet, founded in 2015 by Milind Mehere and Michael Weisz, provides access to asset classes such as real estate, marine and shipping finance, legal finance and commercial loans that were previously limited largely to institutional investors. Cadre was founded in 2014 by Ryan Williams and Joshua and Jared Kushner and positions itself as offering a more transparent way to invest in commercial real estate deals. Cadre has raised more than $133 million in debt and venture funding from investors including Andreessen Horowitz, General Catalyst, Khosla Ventures, Goldman Sachs and Thrive Capital, among others.
According to a statement from Yieldstreet, the combined businesses have a collective investment value of more than $9.7 billion, defined as capitalized transaction value in real estate equity plus committed amounts across all other investments since inception. Investors have allocated a combined $5.3 billion across the platforms and received $3.1 billion in returns to date. Together the companies serve more than 500,000 members across eight institutional and retail distribution channels.
Cadre's valuation has declined substantially. The company was once valued at $800 million, but The Information reported earlier in 2023 that an acquisition by Yieldstreet could value it at around $100 million. The deal's terms have not been confirmed by either company.
Under the arrangement, Ryan Williams will remain CEO of Cadre and lead a new division focused on broadening access to institutional audiences as Yieldstreet's global head of Institutional Partnerships & Clients. Mike Fascitelli, an investor in and advisor to Cadre, will serve as global chairman of real estate and head Cadre's investment committee. Yieldstreet confirmed that all Cadre employees will remain with the company, though it did not specify headcount.
Yieldstreet, founded in 2015 by Milind Mehere and Michael Weisz, provides access to asset classes such as real estate, marine and shipping finance, legal finance and commercial loans that were previously limited largely to institutional investors. Cadre was founded in 2014 by Ryan Williams and Joshua and Jared Kushner and positions itself as offering a more transparent way to invest in commercial real estate deals. Cadre has raised more than $133 million in debt and venture funding from investors including Andreessen Horowitz, General Catalyst, Khosla Ventures, Goldman Sachs and Thrive Capital, among others.
According to a statement from Yieldstreet, the combined businesses have a collective investment value of more than $9.7 billion, defined as capitalized transaction value in real estate equity plus committed amounts across all other investments since inception. Investors have allocated a combined $5.3 billion across the platforms and received $3.1 billion in returns to date. Together the companies serve more than 500,000 members across eight institutional and retail distribution channels.
Cadre's valuation has declined substantially. The company was once valued at $800 million, but The Information reported earlier in 2023 that an acquisition by Yieldstreet could value it at around $100 million. The deal's terms have not been confirmed by either company.
Under the arrangement, Ryan Williams will remain CEO of Cadre and lead a new division focused on broadening access to institutional audiences as Yieldstreet's global head of Institutional Partnerships & Clients. Mike Fascitelli, an investor in and advisor to Cadre, will serve as global chairman of real estate and head Cadre's investment committee. Yieldstreet confirmed that all Cadre employees will remain with the company, though it did not specify headcount.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.