LEX is a commercial real estate marketplace that allows investors to buy shares of commercial real estate buildings, earn income, and sell those shares without restriction. LEX connects owners with investors through a proprietary trading platform. Owners of commercial real estate buildings use the marketplace to sell equity in their property, enabling them to raise capital while retaining control.
The process is straightforward: LEX works with owners to create new publicly tradable shares in the property. Investors can buy those shares in an initial offering or in the secondary market. These shares come with the tax benefits of real estate ownership, and investors can earn income when the property owner pays distributions. No other platform offers LEX’s combination of retail investor access, publicly tradable shares, and the ability to purchase shares in individual commercial real estate buildings. Other direct real estate investment platforms require you to be an accredited investor, do not offer secondary trading, and/or only offer pooled investment vehicles such as REITs. Only LEX allows access for non-accredited investors, offers publicly tradable shares, and offers securities in individual real estate properties.
How you make money
LEX shareholders receive quarterly distributions when income is generated by the underlying real estate property. The expected distribution rate for each property is indicated on the LEX platform. The market value of LEX shares may fluctuate due to the performance of the underlying property or other market conditions and the shares can be traded on LEX ATS(Alternative Trading System).
How Lex Markets makes money
LEX platform collects a quarterly fee of 0.25% (1% annualized), based on a trailing 90 day market value. The fee is deducted from the quarterly distribution payments that are paid out by the issuer. LEX does not charge trading commissions.
Is it safe?
Each property on the LEX platform has been screened by LEX’s investment bankers based on its anticipated ability to generate stable quarterly distributions to shareholders. Nevertheless, there is no guarantee that distributions will be made at the estimated rate, or at all. Secondary trading is facilitated by LEX’s Alternative Trading System (ATS), powered by NASDAQ. Shares are issued under securities law provisions that allow unrestricted secondary trading (registered or Reg A). All investment services are offered by LEX Markets LLC, Member FINRA/SIPC