Groundfloor is making an important update to Flywheel’s real estate credit portfolio investing experience. Current Flywheel investments will continue earning interest as their underlying loans mature, but Flywheel will close to new investments, including automatic reinvestments, beginning July 7, 2026.
During this transition, current Flywheel investors will receive exclusive access to the 8.5% APY Groundfloor Bridge Note, a limited-time investment option designed to help eligible investors keep repaid capital working while Groundfloor develops the next-generation Real Estate Credit Portfolio.
This page explains what is changing, what is not changing, and what actions Flywheel investors may choose to take.
What Is Changing With Flywheel?
Flywheel is being upgraded into the next-generation Groundfloor Real Estate Credit Portfolio. While that work is underway, Flywheel will be permanently closed to new investment.
Nothing is wrong and this is a positive change; as we retool the real estate portfolio investing experience, Flywheel must naturally close to new investments during the transition.
This means investors will no longer be able to add new capital to Flywheel or automatically reinvest repayments back into Flywheel after July 7, 2026.
Existing Flywheel holdings are not being cancelled or removed. They will continue performing according to the underlying loans. As those loans mature and repay, your capital and interest will be distributed to your Groundfloor cash account on a monthly basis.
Key Points: What Flywheel Investors Need to Know
- Flywheel is closing to new investments on July 7, 2026 while Groundfloor develops the next-generation Real Estate Credit Portfolio.
- Current Flywheel investments will continue earning interest as their underlying loans mature. No action is required for existing holdings.
- After July 7, repayments will be distributed monthly instead of weekly and deposited into your Groundfloor cash account as investible cash.
- Current Flywheel investors will have access to the exclusive Bridge Note, offering 8.5% fixed APY with a one-month term. You must actively choose the Bridge Note from your account; repayments will not move into it automatically.
What Is Not Changing?
Your existing Flywheel investments remain active. Loans already held in Flywheel will continue to mature and repay normally. Your current investments will continue earning interest as those loans mature. No action is required for your existing holdings to continue working.
The key change is how repayments are handled going forward. Instead of weekly repayments, Flywheel repayments will move to a monthly schedule and will arrive as investible cash in your Groundfloor cash account on the 15th of each month.
How Monthly Repayments Will Work
After July 7, Flywheel repayments will be distributed monthly instead of weekly.
When repayments are made, they will be deposited into your Groundfloor cash account as available cash. From there, you decide what to do next.
You may choose to:
- Invest in the Bridge Note, if eligible
- Invest in another available Groundfloor Note
- Leave the funds as cash
- Withdraw available cash
- Any combination of the above
This change gives investors more direct control over where repaid capital goes next.
What Is the Bridge Note?
The Bridge Note is a limited-time Note available exclusively to current Flywheel investors to keep cash working while we retool our real estate portfolio.
It offers an 8.5% fixed APY with a one-month term length. Interest is paid at the end of each one-month term. At that point, investors may choose to roll over the Note to continue earning, or withdraw available funds.
The Bridge Note is intended to provide a flexible, high-yield, highly liquid option during the period when Flywheel is closed to new investment and Groundfloor is developing the next-generation Real Estate Credit Portfolio.
The Groundfloor Notes program has a perfect track record, repaying every investor in full and on time since inception in 2018. To date, Groundfloor has paid Notes investors over $36.5M in interest alone.
How the Bridge Note Works
The Bridge Note is designed to work similarly to Groundfloor’s one-month Note structure.
Eligible Flywheel investors can invest using repaid Flywheel cash, new capital, or both. The minimum investment is $1, and there is no cap tied to your previous Flywheel balance.
The Note rolls over automatically unless you cancel when prompted. If it rolls over, your capital continues into the next one-month term. If you cancel, funds become available in your cash account at the end of the current monthly term.
Investors must actively direct their investible cash into the Bridge Note when it become available on or after July 1, 2026. Flywheel repayments will not be automatically moved into the Bridge Note, because it is a separate investment vehicle and requires its own election.
How to Invest in the Bridge Note
Once you have available cash in your Groundfloor account, you can choose the Bridge Note from your account on or after July 1, 2026.
The process is simple:
- Sign in to your Groundfloor account.
- Go to your cash account.
- Review your available investible cash.
- Select the Bridge Note.
- Choose how much you want to invest.
- Confirm your investment.
You may also add new capital if you want to invest more than your repaid Flywheel balance.
Do You Need to Take Action?
No action is required for your current Flywheel investments to continue repaying.
Your existing holdings will continue earning interest as their underlying loans mature. The action only applies when repayments begin arriving in your Groundfloor cash account and you decide where to invest next.
To earn the 8.5% fixed APY through the Bridge Note, you must actively select the Bridge Note from your account. It will not happen automatically.
What Happens to Auto-Invest?
If you previously used automatic reinvestment with Flywheel, that process will end after July 7.
Repayments will no longer be automatically reinvested into Flywheel. Instead, they will arrive monthly in your Groundfloor cash account as available cash.
From there, you can decide whether to invest in the Bridge Note, another Groundfloor Note, or another available option.
What Comes Next for Flywheel?
Groundfloor is developing the next-generation Real Estate Credit Portfolio. The goal is to provide the same core real estate credit exposure with greater clarity, more control, and an improved investor experience.
Groundfloor will share more details when the new portfolio is ready.
When the next portfolio becomes available, Flywheel investors will receive information about how to review it. Investing in the new portfolio will be a separate choice; you will need to elect to invest in the new Groundfloor Real Estate Portfolio. It will not happen automatically.
Frequently Asked Questions
Why is Flywheel closing to new investments?
Flywheel is being upgraded into the next-generation Groundfloor Real Estate Credit Portfolio. While that work is underway, Flywheel is permanently closed to new investments, which includes auto-investments.
Are my current Flywheel investments still active?
Yes. Existing Flywheel investments remain active and will continue earning interest as their underlying loans mature.
Will I still receive repayments?
Yes. Repayments will continue as loans mature. After July 7, repayments will be distributed monthly on the 15th and deposited into your Groundfloor cash account.
Why are repayments moving from weekly to monthly?
Repayments are moving to a monthly schedule to create a clean and predictable distribution process and give investors more control over how and when repaid capital is used.
What is the Bridge Note?
The Bridge Note is a limited-time investment option available only to current Flywheel investors. It offers an 8.5% fixed APY with a one-month term.
Is investment in the Bridge Note automatic from my repayments?
No. Investors must actively choose the Bridge Note. Flywheel repayments will arrive as cash first, and each investor decides where their cash goes.
How much can I invest in the Bridge Note?
Eligible investors may invest as much as they like. There is no cap tied to your Flywheel balance. You may use repaid cash, add new capital, or both when the Note becomes available on July 1, 2026.
Can I withdraw from the Bridge Note?
Yes. The Bridge Note has a one-month term. You may cancel before the next monthly rollover and withdraw available funds at the end of the current term.
Is this different from Groundfloor’s one-month Note?
The mechanics are similar. The Bridge Note offers a one-month term, pays interest at the end of each term, and can roll over. The key difference is that it is offered exclusively to current Flywheel investors at high-yield, 8.5% fixed APY.
When will the new Real Estate Credit Portfolio open?
Groundfloor will share details when the next-generation portfolio is ready. There is no action required today, and any move into the new portfolio will require a separate opt-in.
Key Takeaway
Flywheel is permanently closing to new investments while Groundfloor develops the next-generation Real Estate Credit Portfolio. Existing Flywheel holdings will continue earning interest as their underlying loans mature, and repayments will move to a monthly schedule.
As repayments arrive in your Groundfloor cash account, you can decide where to put that capital next. For current Flywheel investors, the Bridge Note provides a limited-time option to earn 8.5% fixed APY with a one-month term while maintaining monthly flexibility.
Questions can be sent to [email protected].
