Companies Advertising CRE Investing Opportunities?
I was going through my email account and unsubscribing from a bunch of useless junk mail and I happened across an advertisement from [Northstar Commercial Partners](https://invest.northstarcommercialpartners.com/).  It seems like an odd way to generate investments, and inherently seems not legit.  What is the deal with companies like these? Shouldn't they have better sources of interested or accredited investors?

&amp;#x200B;

Can cross post to an investing specific subreddit too, but I figured I would try here.
[{"id": "eojibuu", "text": "The Fed's dropped many regulations on advertising private placement a few years ago, so it's kinda of the Wild Wild West.  Surprised you don't see more of it.", "replies": [{"id": "eojlnfn", "text": "Interesting.  I also don't seek it out, so probably not many ads targeted to me.", "replies": [], "depth": 2}], "depth": 1}, {"id": "eoke8kd", "text": "With the passing of Title II of the JOBS Act in September 2013, a real estate company can now file their private offering as a Reg D 506(c). This filing allows the real estate company to general solicit or market their private investment opportunities. The big caveat with a Reg D 506(c) is that the real estate company must now take \"reasonable steps\" to certify the accreditation of their investors.\n\n&amp;#x200B;\n\nIf you want to be a hit at parties, here's a quick explainer from the SEC: [SEC.gov | Rule 506 of Regulation D](https://www.sec.gov/fast-answers/answers-rule506htm.html).", "replies": [{"id": "eokge0u", "text": "Hmm they can market to \"sophisticated\" non-accredited investors, interesting.\n\n&amp;#x200B;\n\nThanks!", "replies": [{"id": "eokh2qj", "text": "Happy to help and a little clarification. For a 506(c) you can market to anybody, but those investing must be accredited.  \n\n&amp;#x200B;\n\nFor a 506(b) - you can't market your deal but you can accept up to 35 \"sophisticated\" investors in addition to accredited investors.", "replies": [{"id": "eokk0pa", "text": "Ahh, I see, thanks for clarifying.\n\nI don't think I would ever invest in some tip I got over email.  And their yields seem too good to be true for an indexer like me (and I am sure not guaranteed).", "replies": [{"id": "epp7072", "text": "What kind of yields ? They are likely quoting the projected  Internal Rate of Return , no way they can guarantee it. \n\nThe market has been hot for a while now so of course returns have been great and there\u2019s profitable exits . \n\nI didn\u2019t get the appeal of syndications before but for accredited investors that don\u2019t want to get their hands dirty and want to invest totally passive I can now see the appeal. They can likely get better returns than if they invest directly in a property with less headaches", "replies": [], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}]