Here’s Where Family Offices Are Investing

When imagining where the ultra-wealthy invest their capital, it’s easy to picture sprawling stock portfolios or rare luxury collectibles. But here’s the truth: while those assets play a role, the lion’s share of their wealth often gravitates elsewhere. Real estate consistently anchors the portfolios of family offices, providing stability, growth, and a hedge against market turbulence.

Why Real Estate Stands Out

Unlike stocks, which are subject to volatile swings, real estate offers a mix of stability and steady appreciation. It’s a tangible asset—one you can see, touch, and even use—which adds an extra layer of security for investors managing significant wealth.

Recent data from Knight Frank shows that the ultra-wealthy allocate a staggering 53% of their portfolios to real estate: 32% in residential properties and 21% in commercial real estate. This isn’t just about returns—it’s about versatility. A beachfront estate can serve as both a vacation retreat and a long-term investment, appreciating in value while offering lifestyle perks.

Shifting Focus: Less on Stocks, More on Stability

While stocks often remain a component of ultra-wealthy portfolios, they play a smaller role than you might expect. Family offices prioritize quality, investing in top-tier companies or private equity ventures rather than broad, risky stock holdings. Bonds, traditionally seen as a safe haven, have fallen out of favor in recent years due to low yields and fluctuating interest rates.

Instead, many are doubling down on real estate, drawn by its ability to shield wealth from inflation and provide reliable returns. Even amidst economic uncertainty, the long-term growth potential of well-chosen properties is hard to match.

Real Estate’s Unique Appeal

For Family Offices, real estate is more than just an asset—it’s an anchor. Here’s why it continues to outshine other investments:

1. Inflation Protection: As prices rise, so do rents and property values, making real estate a natural hedge against inflation.

2. Consistent Appreciation: High-demand properties, particularly in prime locations, deliver steady value growth over time.

3. Psychological Security: The tangible nature of real estate offers a sense of stability and control, unmatched by equities or digital assets.

4. Dual Purpose: Many properties, such as vacation homes or mixed-use developments, offer both lifestyle benefits and income potential.

How Everyday Investors Can Learn From Family Offices

You don’t need to own a skyscraper or a luxury villa to enjoy the benefits of real estate. Multifamily investments through a trusted sponsor are one of the most effective ways to access the wealth-building strategies used by family offices and institutional investors. Here’s how you can apply these principles to your own portfolio:

• Partner with an Experienced Sponsor: Multifamily investing with a sponsor provides access to larger, institutional-grade assets that would otherwise be out of reach for individual investors. Sponsors handle the heavy lifting—like acquisitions, operations, and management—so you can focus on enjoying passive income and long-term appreciation.

• Leverage Scale from Day One: Unlike starting with a single rental property, multifamily investing through a sponsor allows you to tap into the benefits of scale immediately. Larger properties with multiple tenants create more consistent cash flow and reduce risk by diversifying income streams.

• Unlock High-Quality Opportunities: Private real estate funds and syndications managed by experienced sponsors offer access to opportunities often reserved for family offices. These deals are carefully vetted, diversified across markets, and designed to generate returns that align with family office strategies.

By investing with a multifamily sponsor, you’re not just buying into a property—you’re partnering with a team of experts who know how to navigate market cycles, maximize returns, and create value. Whether you’re looking to generate passive income, build long-term wealth, or diversify your portfolio, multifamily real estate provides a proven path to financial growth.

Start where you are, and let a trusted sponsor guide you toward the opportunities that match your goals. With the right partnership, you can achieve the same advantages family offices rely on to preserve and grow wealth for generations.

What This Means for You

The ultra-wealthy favor real estate because it does what no other asset can—it preserves and grows wealth with a blend of reliability, flexibility, and inflation resilience.

The key to building wealth like Family Offices isn’t simply mimicking their choices—it’s understanding the rationale behind them. Real estate most often delivers on the priorities that matter most: stability, resilience, and the potential for steady returns. Take a page from their playbook, and you might just find yourself building the kind of portfolio that stands the test of time.

P.S. If one of your priorities, like mine, is building and preserving your wealth through multifamily real estate investments, click here to download my new eBook: The Ultimate Guide to Creating & Preserving Your Wealth.

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Invest With Blue Lake Capital

If you are an accredited investor interested in learning more about passively investing in multifamily properties, click here to complete our investor form and schedule a call with our Investor Relations team.

About Ellie Perlman

Ellie Perlman is the founder of Blue Lake Capital, a commercial real estate investment firm specializing in multifamily investing throughout the United States. At Blue Lake Capital, Ellie partners with both institutional and individual investors to grow their wealth by achieving double-digit returns by investing alongside her in exclusive multifamily deals they usually don't have access to.

A defining factor of Blue Lake Capital’s strategy is founded in utilizing machine learning/artificial intelligence throughout the course of all acquisitions and asset management. This advanced technology enables the company to produce accurate and data-driven forecasting for all assets on a market, property, and even tenant basis. In doing so, Blue Lake is able to lead commercial investments with the full capabilities of today’s technology.

Ellie is the founding host of REady2Scale, a podcast that highlights the assets, processes, and strategies for the multiple approaches to successful real estate investing.

She started her career as a commercial real estate lawyer, leading real estate transactions for one of Israel’s leading development companies. Later, as a property manager for Israel’s largest energy company, she oversaw properties worth over $100MM. Additionally, Ellie is an experienced entrepreneur who helped build and scale companies by improving their business operations.

Ellie holds a Masters in Law from Bar-Ilan University in Israel and an MBA from MIT Sloan School of Management.

You can read more about Blue Lake Capital and Ellie Perlman at www.bluelake-capital.com.

*The content provided on this website, including all downloadable resources, is for informational purposes only and should not be interpreted as financial advice. Furthermore, this material does not constitute an offer to sell or a solicitation of an offer to buy any securities.