A series of changes in 2026 brought Streitwise fees and shareholder liquidity into sharper focus. Direct share purchases in its office-focused real estate investment trust (REIT) were suspended in June, followed by stockholder redemptions in July, as the company began evaluating potential liquidity transactions.
Beyond these developments, the fund's 2% annualized management fee, calculated on net asset value (NAV), remains central to its cost structure. Recent financial disclosures also provide insight into property-level expenses, dividends, and how pooled REIT ownership differs from fractional real estate investing through individually selected residential properties.
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.
Key Takeaways
Streitwise's REIT has a 2% annualized asset-management fee calculated quarterly using the preceding quarter's NAV
Its historical organization and offering expense arrangement permitted reimbursements of up to 3% of qualifying share sales, with $421,615 reimbursed and approximately $1.08 million waived as of December 31, 2025
The company recorded $317,337 in property-management expenses during 2025, separate from its asset-management compensation
Direct share purchases and dividend reinvestment were suspended effective June 25, 2026, followed by suspension of the stockholder redemption program on July 1
mogul provides a property-specific ownership structure with a one-time 5% platform fee, institutional underwriting, professional management, and no ongoing rental-income fee or traditional recurring annual AUM charge against invested equity
How Streitwise's Management Fees Work
Streitwise operates through 1st stREIT Office Inc., a non-traded REIT primarily holding commercial office properties.
The company is externally managed by SW Manager, LLC, which oversees investment decisions, portfolio operations, and related management activities.
Its expenses include compensation paid to the manager, property-management costs, and other operating obligations.
The 2% Annual Asset-Management Fee
The fund's 2025 annual financial report describes an asset-management fee calculated at an annualized rate of 2% of NAV.
The charge is assessed quarterly using the company's NAV at the end of the preceding fiscal quarter.
This calculation differs from charging investors 2% of their original contributions each year.
For illustration, a 2% annual fee on an unchanged $10,000 NAV base would equal $200 over a full year. The fund's actual expense depends on its NAV and quarterly calculations.
The manager has also waived asset-management compensation attributable to certain shares owned by the company's chief executive officer.
That limited waiver does not change the broader contractual management-fee arrangement.
Organization and Offering Expenses
Streitwise's management agreement permitted reimbursement of qualifying organization and offering expenses incurred by its original sponsor.
The arrangement capped reimbursement at 3% of the value of common shares sold through the offering, subject to an overall limit of approximately $1.5 million.
As of December 31, 2025, the company reported:
$421,615 in organization and offering costs reimbursed since inception
$1,078,385 in eligible organization and offering costs waived by the original sponsor
These figures describe historical fund-level reimbursements and waivers rather than a direct 3% commission collected from every shareholder.
The distinction is important because the contractual reimbursement allowance and the amount actually paid were different.
Property-Management Fees
In addition to the REIT's asset-management fee, its underlying properties incur costs for physical property management.
The company's 2025 agreements described property-management compensation generally ranging from 1.25% to 1.90% of specified base rents, depending on the property.
These services include activities associated with leasing, tenant administration, property operations, and maintenance coordination.
The financial statements recorded $317,337 in property-management expenses during 2025, compared with $307,020 in 2024.
These amounts are separate from compensation assessed under the REIT's asset-management agreement.
Acquisition and Disposition Costs
Streitwise's disclosed fee arrangements principally emphasize its recurring NAV-based management fee and underlying property expenses.
The reviewed financial statements do not establish a single standard acquisition or disposition fee percentage charged by the manager on every transaction.
Property purchases and sales may nevertheless involve brokerage commissions, financing costs, legal expenses, and other transaction-related charges.
These costs depend on the relevant activity and should be distinguished from the manager's recurring compensation.
What Streitwise's Financial Results Reveal
The company's financial statements show how management and operating expenses fit into its overall financial performance.
They also provide context for understanding shareholder distributions and the fund's reported asset values.
Operating Expenses Reported for 2025
For the year ended December 31, 2025, Streitwise reported:
Property-management expenses: $317,337
General and administrative expenses: $691,059
Net interest expense: Approximately $1.98 million
Depreciation and amortization: Approximately $3.89 million
The company also reported asset-management fees paid or accrued to its affiliated manager.
These expenses arose from different activities. Property management relates to operating real estate, while interest costs reflect financing obligations and depreciation is a noncash accounting expense.
Consequently, the 2% management rate should not be interpreted as the company's complete operating expense ratio.
Management Fees and Dividends in the First Half of 2026
The June 2026 semiannual report, filed on September 4, recorded $268,561 in asset-management fees during the first six months of the year.
During the same period, the company declared $146,416 in dividends on its common shares.
Although the management-fee amount exceeded the common-share dividend amount, the figures represent different financial measures.
Asset-management fees are expenses incurred by the fund, while common-share dividends represent amounts declared for shareholders.
Their comparison does not establish the percentage of fees paid by an individual investor or measure the total returns generated by the properties.
How the Dividend Changed
Streitwise has historically declared quarterly dividends based on its financial results and available funds.
The company's reported distributions included:
Second through fourth quarters of 2024: $0.13 per common share each quarter
First quarter of 2025: $0.03 per share
Second through fourth quarters of 2025: $0.04 per share each quarter
First and second quarters of 2026: $0.04 per share each quarter
The June 2026 dividend declaration confirmed the $0.04 quarterly amount for the period ending June 30.
Annualizing that quarterly distribution produces $0.16 per share, equivalent to approximately 1.6% of a $10 original purchase price or 2.3% of the reported $6.96 NAV.
These percentages describe an annualized distribution rate based on that quarterly payment, not a guaranteed future yield or realized total return.
Streitwise's 2026 Liquidity Changes
Two important operational changes took effect during the summer of 2026.
Both related to the company's review of possible strategic alternatives intended to provide liquidity to shareholders.
Share Purchases Were Suspended in June
The board suspended the distribution-reinvestment and direct stock-purchase plan effective June 25, 2026.
The June operational announcement explained that management was evaluating potential transactions, including a business combination or another event that might provide shareholder liquidity.
Before the suspension, the share-purchase plan had already been restricted to existing shareholders.
The announcement did not confirm that a transaction had been completed or establish a date when new share purchases would resume.
Redemptions Were Suspended in July
The stockholder redemption program was suspended effective July 1, 2026.
Under the historical plan, shareholders generally had to hold their shares for at least one year before becoming eligible to request redemption.
The redemption-price schedule was based on the company's NAV:
One to two years: 90% of NAV
Two to three years: 92.5% of NAV
Three to four years: 95% of NAV
Four to five years: 97.5% of NAV
Five years or longer: 100% of NAV
Redemptions were also subject to quarterly and annual limits, with requests potentially processed on a proportional basis.
These percentages describe the former redemption arrangements. They do not represent a currently available exit mechanism while the program remains suspended.
Outstanding Redemption Requests
The June 2026 semiannual report identified 454,594 shares still subject to redemption requests as of June 30, 2026.
The company had approximately 1.80 million common shares outstanding at that date, meaning the outstanding requests represented roughly one-quarter of shares.
These figures reflect requests recorded under the historical program.
They do not establish that all shareholders intended to exit or that the company had committed to fulfilling every request by a particular date.
The liquidity characteristics of non-traded REITs include potential restrictions on redemptions and dependence on future property transactions.
For Streitwise, the announced strategic review did not establish a guaranteed liquidity event or shareholder payment schedule.
How Streitwise's NAV Changed
Net asset value is another important measure in understanding the company's investment structure.
Unlike publicly traded securities, non-traded REIT shares do not have an exchange-established market price.
The $6.96 Per-Share Valuation
Streitwise originally offered shares at $10 each.
Its manager later calculated a NAV of $6.96 per common share as of March 31, 2026.
That valuation became the announced purchase price effective July 1, 2026.
The difference between $10 and $6.96 represents approximately 30.4% of the original price.
However, this change should not be interpreted as every shareholder's realized investment loss.
An individual's total return depends on the original purchase price, dividends received, investment timing, and eventual exit proceeds.
What NAV Represents
The company's NAV calculation incorporates estimated property values, liabilities, cash balances, and other relevant financial information.
Property valuations may involve assumptions about rental income, comparable sales, capitalization rates, interest rates, and market conditions.
A reported NAV therefore represents an estimate under the company's valuation methodology rather than a guaranteed amount available upon redemption.
This distinction is particularly relevant when a redemption program is suspended.
The latest reported share valuation and an investor's ability to sell shares are separate considerations.
Streitwise's Office Property Portfolio
The underlying real estate portfolio influences the REIT's rental income, operating expenses, financing obligations, and estimated asset values.
As of December 31, 2025, Streitwise reported three property holdings comprising four office buildings across Missouri and Indiana.
Properties Held by the REIT
The portfolio included:
Laumeier II and IV: Two office buildings forming one property holding in the St. Louis, Missouri, area
Allied Property: An office building in Carmel, Indiana, that also contains a retail component
MJ Property: An office building in Carmel, Indiana
The portfolio's geographic and property-type exposure reflects its office-focused investment strategy.
Operating results depend on factors such as occupancy, leasing activity, financing arrangements, property expenses, and changes in real estate values.
Pooled REIT Ownership
Through Streitwise, shareholders own interests in a managed REIT holding several underlying real estate investments.
The manager coordinates property acquisition, financing, operations, and disposition decisions.
Shareholders participate in the company's financial results under its governing arrangements rather than selecting individual buildings directly.
The different types of REIT structures vary in liquidity, investment strategy, portfolio composition, and reporting requirements.
These structural differences are relevant when comparing pooled funds with property-specific fractional ownership.
Comparing REIT Fees With Property-Specific Ownership
The way an investment vehicle holds real estate influences how fees are calculated and reported.
A pooled REIT and a property-specific LLC can both provide professionally managed property exposure, but their financial arrangements differ.
Annual NAV-Based Fees Versus Capitalized Fees
Streitwise's management fee is calculated periodically using the REIT's NAV.
A capitalized acquisition fee, by contrast, is assessed in connection with purchasing or preparing an underlying property.
These charges use different financial bases.
For example, an annual percentage of fund NAV cannot be directly compared with a one-time percentage of an individual property's purchase price without accounting for the actual capital structure and relevant expenses.
The impact of fees over time depends on their timing, calculation bases, and frequency.
Property Operating Expenses
Operating costs remain an important part of real estate ownership under either structure.
These may include:
Property management and leasing
Maintenance and repairs
Property taxes and insurance
Financing expenses
Capital improvements
Legal and accounting services
Such expenses differ from platform compensation because they relate to acquiring, financing, maintaining, or operating the underlying assets.
A complete financial comparison considers both the investment entity's compensation arrangements and the properties' operating requirements.
Tax-Reporting Differences
REIT ownership and property-specific LLC interests can also produce different tax documentation.
REIT shareholders may receive dividend information through Form 1099-DIV.
Investors in LLCs taxed as partnerships may instead receive Schedule K-1 information reporting their allocated share of applicable income, deductions, credits, and other tax items.
The relevant treatment depends on the investment entity's tax classification and individual circumstances.
Why mogul Offers a Property-First Approach to Real Estate Investing
mogul provides fractional real estate ownership opportunities centered on individually selected residential properties, institutional underwriting, and professionally coordinated management.
Founded by former Goldman Sachs real estate professionals with more than $10 billion in combined transaction experience, mogul brings institutional expertise to residential property sourcing, evaluation, and operations.
Its investment-club structure gives members access to specific properties through dedicated LLC arrangements, supported by detailed financial information.
Transparent Fees Built Into Property Acquisitions
mogul uses a one-time platform fee capitalized into the initial property transaction.
Its current platform fee information describes:
One-time 5% platform fee: Calculated using the property's purchase price and capitalized into the initial transaction
No ongoing rental-income fee: mogul does not charge a recurring platform fee on collected rental income
No traditional annual AUM fee: No recurring asset-management percentage assessed against invested equity
The one-time platform fee equals 5% of the property's purchase price and is capitalized into the initial transaction.
Management, maintenance, reserves, and other property operating expenses are incorporated into the financial arrangements of each investment.
This approach gives members visibility into acquisition-related costs alongside the underlying property's operating economics.
Institutional Underwriting Behind Property Selection
mogul evaluates residential opportunities through a structured underwriting process informed by its founders' institutional real estate experience.
Its property selection process examines market fundamentals, purchase economics, financing, rental income potential, and property condition.
The company reports that fewer than 1% of reviewed properties pass its diligence process.
The evaluation includes:
Market analysis: Assessing employment activity, population changes, housing demand, and rental conditions
Acquisition underwriting: Reviewing purchase prices, financing assumptions, operating expenses, and potential income
Property diligence: Evaluating inspections, building condition, and anticipated capital expenditures
Operating preparation: Establishing reserves and property-management arrangements
Investment alignment: mogul reports committing its own capital alongside members in properties available through the platform
This process connects detailed market research with individual property selection and professional operating oversight.
Professionally Managed Residential Ownership
Through mogul's investment-club model, members acquire fractional interests associated with specific residential properties held through LLC arrangements.
The platform coordinates sourcing, acquisition, and management, while local operating teams support tenant services, maintenance, and other property responsibilities.
Members gain access to:
Individual property selection: Residential investments supported by property-specific underwriting
Monthly rental income potential: Distributions when sufficient distributable cash flow is available
Appreciation participation: Exposure to potential changes in the value of selected properties
Property-level reporting: Financial information, valuations, and investment updates
Potential tax benefits: Applicable property-level tax documentation and allocations
Professional property management: Coordinated operations without direct day-to-day landlord responsibilities
mogul also incorporates operating reserves into property capitalization, with allocations determined by the needs of each asset.
The resulting ownership structure combines individual property exposure with professionally managed operations and digital reporting.
A Growing Investment Club With Property-Level Access
mogul's company information reported approximately $90 million in platform assets and more than 40,000 users as of June 1, 2026.
Its platform provides access to professionally evaluated residential investment opportunities through an online investment experience.
Members can explore specific assets through mogul's property marketplace, including investment details and underlying financial information.
The investment property calculator also illustrates how rental income, financing assumptions, expenses, and holding periods influence potential real estate investment outcomes.
Together, mogul's institutional experience, property-specific selection, transparent capitalized fees, and professional management provide an accessible approach to fractional residential real estate ownership.
Disclaimer: The information provided in this guide is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult with a licensed professional before making any financial or investment decisions.
Frequently asked questions
What annual management fee does Streitwise charge?
Streitwise's management agreement provides for a 2% annualized asset-management fee calculated using the REIT's NAV at the end of the preceding fiscal quarter. The fee is assessed quarterly at the fund level rather than billed as a separate 2% charge against every shareholder's original contribution. The company also incurs property-management expenses and other operating costs.
What organization and offering fees did Streitwise disclose?
Streitwise's historical arrangements permitted reimbursement of eligible organization and offering expenses up to 3% of qualifying common-share sales, subject to an overall cap. By December 31, 2025, approximately $421,615 had been reimbursed since inception, while $1,078,385 had been waived by the original sponsor. Those amounts reflect historical fund-level expenses rather than a universal upfront commission assessed against every shareholder.
Can Streitwise shareholders redeem their shares in 2026?
The company suspended its stockholder redemption program effective July 1, 2026, after suspending direct share purchases and dividend reinvestment on June 25. Its board disclosed that it was evaluating strategic alternatives intended to provide liquidity, including a potential business combination or another transaction. The available announcements did not establish a guaranteed liquidity event or the date when ordinary redemptions would resume.
How are mogul's fractional real estate investment fees structured?
mogul charges a one-time 5% platform fee calculated using the property's purchase price and capitalized into the initial transaction. It does not charge an ongoing rental-income fee or traditional recurring annual AUM-based management fee against invested equity. Applicable property-management, maintenance, operating, and reserve expenses remain part of each investment's financial structure.
How does mogul differ from Streitwise's REIT model?
mogul offers fractional ownership interests associated with individually selected residential properties through LLC arrangements, while Streitwise provides shares in a managed commercial real estate REIT. mogul members can explore specific property underwriting, acquisition costs, rental assumptions, and financial information, with professional management coordinated through the platform. The model also provides opportunities for monthly rental income distributions and potential property appreciation based on the performance of selected assets.