Doug Cornelius on compliance for private equity real estate
Fee simple ownership of the “bricks and mortar” of real estate is not a securities transaction. “The offer of real estate as such, without any collateral arrangements with the seller or others, does not involve the offer of a security.” As you move further away from that model, you move closer and closer to the … Continue reading “When is Real Estate a Security?”
Previously, I went through the analysis that a fund manager is considered an investment adviser. But left open the question of “what is a security?” That’s a key question for fund managers with alternative investments, like real estate. The Investment Advisers Act gives a very broad definition of a security: any note, stock, treasury stock, … Continue reading “What is a Security? Is Real Estate a Security?”