With the current up and down of the stock market, it is better to just invest in a fund that is offering 10% guaranteed and 10% of the firm's profits.
Read the current issue of REIT magazine and look at the NET returns of NAREIT indexes of 17.5 years....
This puppy has an .11% expense ratio - it's the next thing to being free. I can't imagine, over the next 10 years, that very many private equity fund could have better total returns, freighted as they are with huge loads & expenses.
Private equity real estate is an expensive way of avoiding getting bad news
Private commercial real estate has:- More debt- Less transperency- Fewer options to raise capital- Less liquidity- Often (but not always) lower quality propertiesBut if you were an early invester on a new project there might be more upside.