For Advisors
Single-Asset Real Estate Securities For RIAs
Allocate your clients into high quality, single-asset real estate securities with no lockups while retaining your AUM and advisory fees.
Our Value to RIAs
What LEX Does For You
Provide New Product
Invest client funds in individual commercial real estate properties to provide them a tax-advantaged yield-based investment
Retain AUM
Retain AUM and advisory fees because LEX securities can be held at your current custodian
Sell when Needed
- LEX shares can be listed for sale on the secondary market at any time if a client liquidity need arises. Liquidity is not guaranteed.
Why Real Estate?
Benefits of Real Estate
Yield
Real Estate continues to offer attractive absolute and relative yield. Distributions are not guaranteed.
Diversification
Diversification beyond stocks, bonds, mutual funds, and ETFs.
Tax Advantages
- Direct RE ownership affords clients tax advantages other vehicles simply do not. Additional details here.
Why Choose LEX Real Estate Assets?
LEX Real Estate Assets Offer
CUSIPs & Custody
Keep your clients’ assets at your existing custodian. All LEX property offerings are DTC-eligible securities that are assigned a ticker symbol and CUSIP number upon their IPO. LEX securities can be held by your existing custodian. LEX securities are already held at Schwab, Merrill Lynch, Fidelity and others.
Transparency
See the tenants, loan information, and other details of each building. Know exactly what your clients are investing in, with a far greater level of asset-level information than any other tradable real estate investment.
Tax Advantages
LEX securities are structured as Publicly Traded Partnership (PTP) Interests. This allows many of the tax benefits of direct commercial real estate ownership to pass through to investors. Investors will receive a K-1 at the end of the year, not a 1099.
Passive Income
Offer clients a means to earn passive income via a yield-focused equity investment. LEX securities are expected to generate quarterly distributions quarterly as the tenants of the buildings pay rent. Distributions are not guaranteed, but sponsors are required to pay distributions to shareholders pro-rata if they take distributions themselves.
Liquidity
LEX securities trade on the LEX ATS and OTC Markets’ ATS, a secondary market exists if an investment needs to be exited. Liquidity is not guaranteed. The equity shares held by your clients will be trading and consistently priced on the secondary market. If an asset sells, shareholders receive their share of the proceeds as a cash distribution. Returns are not guaranteed.
Institutional Sponsor
In all LEX offerings, the original sponsor of the building retains substantial equity in the building, so their interests are aligned with yours. While the sponsor of the building retains control to operate the building without interference as they know the asset best, investors are offered various shareholder protections (e.g. against inflated management fees or an insider sale).
For Your Clients
Upcoming Assets
Learn More About
LEX’s real estate offerings and how you can use LEX to create value for your clients’ portfolios
Schedule a call