Our Deal Screening Process

Providing Access to a Range of Deals 

Our Investments team is on the ground in many regions of the U.S., looking for experienced sponsors and their deals. Our team understands that investors have their individual goals, strategies and preferences when it comes to where they put their money. That’s why we work to bring a variety of investment opportunities to the CrowdStreet Marketplace.  We like to describe the offerings on our Marketplace as curated because our teams carefully and diligently gather, review, and present deals that investors otherwise may not know about or have access to. Our Marketplace affords investors the opportunity to build a real estate portfolio that works for them. Roughly 5% of deals that we review ultimately end up on our Marketplace. Put another way, out of every 100 deals, about five make it onto the platform. 

Our deal review process consists of three main steps:

  1. Sponsor Screening
  2. Deal Review
  3. Document Review
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Evaluating the firm

With the goal of bringing reputable, experienced Sponsors to our Marketplace, our team puts each firm through an objective review process:

  1. Background check: Using vendors and technology, we conduct in-depth background checks on the Sponsor and its principals.
  2. Sample reporting review: We review a sample quarterly report for all new Sponsors, ensuring that the report meets necessary requirements and aligns reasonably with investor expectations.
  3. Financial vetting: We require Sponsors to provide two years of financial statements.
  4. Track record review: We review Sponsors’ experience to execute on similar business plans on their proposed Marketplace offering, considering the asset type, asset size, investment profile, and project location.


Sponsor Screening:

Our team evaluates potential sponsors by conducting reviews that may include:

  • Background checks
  • Investor reference checks for new sponsors
  • Public record searches
  • Anti-money laundering (“AML”) checks
Track record review:

Track record review: We review the Sponsor’s track record to ensure it is complete and current.

Are you a sponsor looking to raise capital on the CrowdStreet Marketplace?
Contact our Investments Team for more information.



Evaluating the property

When reviewing a potential deal, our team reviews property attributes and the Sponsor’s business plan for the asset. Through Sponsor interviews and document review, we seek to answer the following questions:

  • Is the project within a core competency of the sponsor?
  • Are the deal assumptions supported by relevant market data?
  • Does the project align with investor preferences in terms of asset type and location?

We’re looking for deals in markets across the U.S. with certain economic and demographic trends. Our team reviews the deal and relevant third party data in relation to the business plan and any underlying assumptions. Our team works to gather information that includes information on the sponsor key deal points, the capital stack, and co-investment structure. That information is reviewed by the Managing Director who determines if the deal is right for the Marketplace.

To help us answer these questions, we ask that Sponsors provide us with certain information, which may include:

  • Project overviews
  • Pro Formas
  • Historical operating statements
  • Rent rolls
  • Market data
  • Sales comparables
  • Feasibility studies
  • Appraisals
  • Third-party data reports
  • Lease comparables

The team reviews the deal’s terms and associated documents against market deal term criteria.


Evaluating the deal materials

Our goal in reviewing deal materials is to ensure no inconsistencies or discrepancies exist in the content and financial information. Our team discusses details with the Sponsor prior to joining the Marketplace.


We collect standard third party reports and deal documents to confirm pro forma assumptions, capital structure, and the feasibility of the business plan. Depending on the type of transaction, our team collects and reviews items that may include:

  • Property Management Agreement
  • Loan Documents
  • Zoning Report
  • Purchase and Sale Agreement
  • Property Condition Report
  • Construction Budget and Contract
  • Lender Term Sheet
  • ALTA Survey
  • Environmental Report

We believe that informed investors are empowered investors. Our team uses the information we collect to create the detail page for a deal so investors can have access to various information and conduct their own due diligence before investing in a deal.

Browse The Marketplace


Updated August 2023. This content was written by an employee of CrowdStreet, Inc. ("CrowdStreet") and has been prepared solely for informational purposes. The information on this page is not a recommendation of, or solicitation for, the subscription, purchase or sale of any security or offering. The material CrowdStreet reviews for sponsor screening and due diligence purposes is provided by the Sponsor of the investment opportunity. Though CrowdStreet believes the information has been obtained from sources believed to be reliable, they make no guarantee, warranty or representation of it. CrowdStreet disclaims any liability concerning the material provided by the Sponsor directly, including the data used to satisfy items contained on this page. CrowdStreet is not responsible for the accuracy, legality or for the verification of subsequent facts provided by the Sponsor directly.

Investors are advised to conduct their own due diligence and verify the information. All investing involves risk, including the possible loss of money you invest. All investors should consider such factors in consultation with a professional advisor of their choosing when deciding if an investment is appropriate.

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