Private REITs have become one of the most in-demand investment options for people seeking stable income, inflation-resistant returns, and real estate exposure without owning property directly. Over the last decade, the private REIT market has grown rapidly as investors look beyond traditional stocks and bonds, especially during periods of market volatility.

Today, private REITs offer access to professionally managed commercial properties, institutional-grade assets, and income-focused real estate portfolios traditionally reserved for wealthy or institutional investors. This guide highlights the best private REITs, explains how they work, outlines benefits, provides real-world examples, and shows you how to buy them easily.

Understanding Private REITs

What Private REITs Are

Private Real Estate Investment Trusts (REITs) are non-publicly traded investment vehicles that own and manage income-producing real estate. Unlike publicly traded REITs listed on stock exchanges, private REITs are not exposed to market volatility. Their share prices are based on underlying property performance rather than daily stock market movements.

Through private REITs, investors gain access to commercial real estate assets such as multifamily apartments, industrial warehouses, data centers, and medical office buildings. These assets generate rental income, which is distributed to investors in the form of regular dividends.

Private REITs typically have long-term investment horizons and are managed by experienced real estate firms that conduct underwriting, market research, acquisitions, property management, and rent optimization.

How Private REITs Work

Private REITs pool investor capital to purchase and operate income-producing real estate. These trusts follow a structured model that includes acquisition, value-add improvements, tenant management, rental income generation, and eventual property sales. Investors receive dividends from cash flows and benefit from appreciation when assets increase in value.

Because private REITs are insulated from the stock market, they often provide higher income stability. Their performance depends on factors like occupancy rates, rent growth, portfolio diversification, and asset management technology.

In many cases, private REITs use sophisticated technology such as AI-powered underwriting, real-time occupancy dashboards, and predictive analytics to improve performance and reduce risk. These modern tools allow managers to maximize rental pricing, reduce operational inefficiencies, and identify strong acquisition opportunities.

Benefits of Private REITs

Stability and Insulation from Market Volatility

Since private REITs are not publicly traded, their value does not fluctuate daily. Instead, share prices are based on the trust’s real estate performance, not market sentiment. This makes them a preferred investment for individuals who want income consistency and long-term security.

Private REITs perform well even during stock market turbulence because real estate rental income tends to remain steady regardless of short-term market cycles. Investors seeking protection from stock-based volatility use private REITs as a core portfolio component.

Technology-Enhanced Portfolio Management

Modern private REITs use advanced technology to manage assets more efficiently. This includes:

• AI-driven acquisition modeling

• Automated rent optimization

• Smart building technology for energy efficiency

• Predictive maintenance software

• Real-time investor dashboards

These technological tools improve asset performance, reduce operating costs, and increase overall returns. Because of such advancements, private REITs can outperform traditional income-producing investments with less operational risk.

Top 5 Best Private REITs in 2025

Below are five of the best private REITs that provide income stability, institutional-grade real estate exposure, and long-term growth potential.

Blackstone Real Estate Income Trust (BREIT)

BREIT is one of the most popular and well-established private REITs in the United States. Managed by Blackstone one of the world’s largest private equity firms BREIT focuses heavily on income-producing real estate such as logistics facilities, multifamily communities, hotels, data centers, and student housing.

Blackstone leverages advanced analytics, market research, and global economic insights to acquire properties in high-growth markets. Because of its large capital base, BREIT has access to institutional-quality deals that individual investors cannot secure independently.

Benefits of BREIT

BREIT’s biggest advantage is its diversification across property types and markets. It consistently provides stable income because its portfolio is supported by long-term leases, essential tenant categories, and high-demand residential communities. In addition, BREIT uses technology to monitor occupancy, forecast rent growth, and optimize asset management.

This technological capability helps BREIT minimize risk and maximize cash flow, giving investors a smoother experience than they would get from stock-based REITs.

Use Case: Who Should Invest in BREIT

BREIT is ideal for investors seeking monthly passive income, long-term appreciation, and portfolio stability. It solves the problem of inconsistent returns by offering professional management, diversified assets, and advanced risk-management technology.

How to Buy BREIT

You can purchase BREIT through registered investment advisors or brokerage firms.

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Starwood Real Estate Income Trust (SREIT)

SREIT, managed by Starwood Capital Group, is a top private REIT specializing in multifamily housing and industrial properties. Starwood targets markets experiencing high population growth, strong job creation, and increasing rental demand.

The portfolio includes apartment communities, e-commerce industrial warehouses, and hospitality assets located in major metropolitan areas with resilient rental metrics.

Benefits of SREIT

SREIT’s strength lies in its exposure to multifamily and industrial sectors—two of the highest-performing real estate categories in the United States. Starwood uses advanced underwriting tools to evaluate demographic trends, rent growth forecasts, and asset performance indicators. As a result, SREIT enjoys consistent income and long-term appreciation.

Use Case: Who Should Invest in SREIT

SREIT is ideal for investors who want exposure to the residential and industrial markets without owning property directly. It solves the challenge of hands-on tenant management and provides a passive, professionally managed investment experience.

How to Buy SREIT

Investors can purchase SREIT through authorized financial advisors.

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Fundrise Real Estate Income Fund

Fundrise has become one of the most accessible private REIT platforms for individual investors. The Fundrise Real Estate Income Fund focuses on debt and income-producing real estate. It provides loans to developers, acquires cash-flowing properties, and issues interest-based distributions.

This private REIT blends real estate equity and credit investments, allowing investors to earn steady income while gaining exposure to high-growth markets.

Benefits of Fundrise Income Fund

Fundrise uses advanced technology, including AI-powered underwriting, automated reporting tools, and real-time investment dashboards. These tools make the platform far more transparent and user-friendly than traditional private REITs.

The Income Fund is particularly attractive because it offers predictable returns, lower volatility, and a simple online investment process.

Use Case: Who Should Invest in Fundrise

This fund is ideal for non-accredited investors seeking consistent cash flow and real estate exposure. It solves the problem of high minimum investment requirements typically associated with private REITs.

How to Buy Fundrise

You can buy it directly on the Fundrise website.

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JLL Income Property Trust

JLL Income Property Trust is a private, non-listed REIT focused on long-term, income-producing commercial assets. Managed by Jones Lang LaSalle (JLL), a global real estate leader, the trust invests in logistics centers, medical office buildings, apartments, and grocery-anchored retail.

The trust emphasizes income stability and uses global market intelligence to select properties in high-demand regions.

Benefits of JLL IPT

JLL provides deep market research, occupancy forecasting, and risk modeling. This helps the trust maintain high occupancy levels and strong rental performance. JLL IPT is known for its conservative approach, making it a safe choice for income-focused investors.

Use Case: Who Should Invest in JLL IPT

Investors seeking low-volatility real estate exposure and long-term income often choose JLL IPT. It solves the issue of unpredictable market returns by providing stable cash flows backed by high-quality tenants.

How to Buy JLL IPT

You can purchase shares through financial advisors and brokers.

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RealtyMogul Income REIT

RealtyMogul operates one of the top private REITs available to both accredited and non-accredited investors. The Income REIT invests in multifamily housing, office buildings, retail centers, and industrial properties across the United States.

RealtyMogul’s investment team uses a strict underwriting process, market analysis tools, and cash-flow modeling to evaluate each opportunity.

Benefits of RealtyMogul Income REIT

The REIT delivers consistent monthly income while maintaining a diversified property mix. Its focus on cash-flow stability makes it appealing for investors who want predictable returns without volatility.

Use Case: Who Should Invest in RealtyMogul

RealtyMogul is ideal for investors looking for a low-barrier entry into private real estate. It solves the problem of limited deal access by offering well-vetted, professionally managed commercial assets.

How to Buy RealtyMogul

Investors can buy shares directly through the RealtyMogul platform.

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Why People Need Private REITs

Private REITs solve several key investment problems:

• They provide steady dividend income, even during stock market downturns.

• They offer lower volatility than publicly traded REITs.

• They allow access to institutional-grade real estate without direct ownership.

• They use advanced technology to optimize property performance.

• They enable passive investing without the need for landlord responsibilities.

Because of these advantages, private REITs have become essential tools for investors seeking long-term financial stability and passive income.

How to Buy the Best Private REITs

You can purchase private REITs through:

• Online investment platforms like Fundrise or RealtyMogul

• Financial advisors (BREIT, SREIT, JLL IPT)

• Broker-dealer networks

• Sponsor websites for accredited investors

Before investing, consider:

• Minimum investment requirements

• Fee structure

• Dividend history

• Portfolio composition

• Liquidity and redemption policies

• Your risk tolerance

By evaluating these factors, investors can choose the best private REITs that match their income goals and long-term strategy.

Frequently Asked Questions (FAQ)

Q1. Are private REITs safe investments?

Private REITs are generally considered stable because they are backed by income-producing real estate. However, they are less liquid than publicly traded REITs and may require longer holding periods.

Q2. Can non-accredited investors buy private REITs?

Yes. Platforms like Fundrise and RealtyMogul allow non-accredited investors to gain access to private REIT products with low minimum investments.

Q3. How long should I expect to hold a private REIT?

Most private REITs recommend a holding period of five to seven years, although some offer redemption programs. Long-term investors typically see the best results.