Cardone Capital launches innovative new fund combining real estate's stability with Bitcoin's growth potential.
AVENTURA, FL, Dec. 26, 2024 (GLOBE NEWSWIRE) -- Cardone Capital, a leading real estate investment firm with $4.9 billion in assets under management, announced the launch of its 10X Space Coast Bitcoin Fund, combining institutional-quality real estate with Bitcoin purchases.
Grant Cardone - 10X Space Coast
The $87.5 million fund marks the first time a major real estate investment firm has paired cash-flowing multifamily properties with structured Bitcoin purchases.
"After studying Bitcoin for over eleven years, we've developed an approach that pairs the stability of cash-flowing real estate with Bitcoin's growth potential," said Grant Cardone, founder and CEO of Cardone Capital. "We will continue to target a 12%-15% IRR on our underlying real estate investments while potentially boosting total returns through this hybrid strategy."
Cardone Capital's announcement came on the same day Bitcoin's price surpassed the $100,000 milestone for the first time. Cardone notes this timing aligns with his long-term thesis on Bitcoin's evolution: "We believe Bitcoin ultimately will serve as an alternative to traditional stores of value such as gold and treasury bonds."
Cardone Capital joins notable public companies, like Elon Musk's Tesla, Inc., and Michael Saylor's MicroStrategy Incorporated, in recognizing Bitcoin's potential as a treasury reserve asset. Tesla's Bitcoin holdings are valued at nearly $1 billion, while MicroStrategy now sits on over $42 billion.
Major governments have also built significant positions, with the United States, China, and the United Kingdom now holding over $46 billion in Bitcoin combined."We're implementing a strategy that's been validated by both visionary CEOs and world governments,” said Cardone. "The difference is we're combining it with cash-flowing real estate to create something entirely new.”
The Fund will simultaneously close on the acquisition of a 300-unit, Class A multifamily asset in Melbourne, Florida, and make an eight-figure Bitcoin purchase. The Fund's real estate component will be purchased without debt and generate immediate positive cash flow. In addition, the real estate asset's monthly income will fund ongoing, strategic Bitcoin purchases.
During the first several years of the hold period, the Fund plans to place long-term debt on the properties, which, when combined with a partial sale of the Fund's Bitcoin holdings, could potentially return 100% of investors' initial capital - as a non-taxable event - while maintaining ownership of both the real estate asset and Bitcoin holdings.
"This tax-free refinancing strategy has been used by the wealthiest real estate investors and institutions for decades to build generational wealth,” said Ryan Tseko, Executive Vice President of Cardone Capital. "Our investors potentially will get their initial capital back without paying taxes while keeping their entire ownership position in appreciating assets. It's how the ultra-wealthy compound their wealth, and we're making it available to our investors.”
Cardone Capital's strategy has already garnered significant investor interest with $100 million in commitments secured within 72 hours of the initial offering. This overwhelmingly positive response stems from investor confidence in Cardone Capital's sterling track record. Since 2016, Cardone Capital has raised over $1.5 billion and distributed more than $370 million to nearly 18,000 unique investors.
The new fund launch extends Cardone Capital's momentum in 2024, during which time the firm has completed over $500 million in all-cash multifamily acquisitions and grown its portfolio to 14,000+ units.
For more information about the 10X Space Coast Bitcoin Fund, visit CardoneCapital.com.
About Cardone Capital
Cardone Capital is a real estate investment firm specializing in the multifamily sector. Founded by Grant Cardone, the firm has built a $4.9 billion portfolio of premium real estate assets encompassing 43 multifamily properties and 500,000 square feet of Class A office space.
Forward-Looking Statements
This press release may contain forward-looking statements describing future expectations, plans, results, or strategies. These statements are subject to risks and uncertainties that may cause actual outcomes to differ materially from those projected. Changes in product offerings, regulatory plans, and business strategies are potential factors influencing such differences.
Disclosure
This is not an offer; offers will be made only by means of the Regulation D Offering Documents (available at https://invest.cardonecapital.com) or the Regulation A Offering Circular (available at https://cardonecapital.com/fund), either of which may be updated or amended from time-to-time with the most recent Offering Circular or Offering Documents. The Regulation D offering under Rule 506(c) is for accredited investors only.
The acquisition of any property identified in this communication is subject to various contingencies and may not be consummated. Past performance is not an indication of future results and actual performance may vary significantly from the projections contained herein. Bitcoin is highly speculative and its actual performance may not match investor expectation. Investing in both real estate and Bitcoin involves risk and may result in partial or total loss. Prospective investors should carefully consider investment objectives, risks, charges and expenses, and should consult with a tax, legal and/or financial adviser before making any investment decision. For additional information, visit www.cardonecapital.com/disclosure
Media Contact
Ryan Tseko
305-407-0276
