• Fundrise

  Participated · Series A · May 2014

  Fundrise is a real estate investment platform that offers non-listed REITs to the public using the Reg A+ exemption. The platform acquires and manages commercial real estate assets, including an industrial portfolio used for warehousing, distribution and manufacturing. Fundrise says it purchased that industrial portfolio between February 2022 and June 2023 and will use a newly secured $125 million loan to renovate those properties in the U.S. Southwest. The company reports the properties are approximately 95% leased to three tenants. Fundrise states it is leaning into new acquisitions and expects 2024 to be the "best investment environment since 2008," planning to aggressively expand its portfolio. For Q1 2024 Fundrise reported its Income Fund had an annualized distribution rate of 7.91% and its Flagship Fund generated a return of 2.46%. Fundrise is an online investment platform that specializes in real estate assets. The company reports over $3 billion in assets under management and more than two million users. It primarily focuses on residential developments, with a portfolio highly concentrated in southern U.S. states. Fundrise typically uses Reg A+ to sell property-based securities to all investors and has expanded into early-stage investing by offering private securities funds. The firm received a $770 million credit facility from JP Morgan to finance 35 purpose-built rental communities (about 4,000 build-for-rent units) in the U.S. sunbelt, including Georgia, Tennessee, and the Carolinas. The facility is expected to almost double its existing build-for-rent portfolio. Fundrise operates an online crowdfunding marketplace that lets members invest in real-estate opportunities. The company opened direct investment in itself via an "iPO" (Internet Public Offering) allowing users to buy shares through the Fundrise website. In its first iPO Fundrise raised $14.6 million, with over 2,300 members participating and the offering reaching 146% of its target in 24 hours. The move is framed as aligning the company’s interests with its users by making members partners in the business. Fundrise says the iPO is part of a broader effort to democratize investing and create an alternative funding model enabled in part by Title III of the JOBS Act. Cofounder and CEO Ben Miller commented that the iPO furthers the company’s mission to use technology to offer private-investment access previously limited to institutions and the ultra-wealthy. Fundrise operates an online real estate crowdfunding platform that enables individual investors to invest in specific properties. Founded in 2010 by Ben Miller and Dan Miller and based in Washington, D.C., the company also has offices in New York and San Francisco. The site permits investments ranging from as little as $100 per share up to $10M. Historically, Fundrise has delivered returns in the 12%–14% range. The company has raised additional capital in its Series A and now has $38M in the round. It intends to use the funds to further expand the platform throughout the United States. Fundrise operates a leading online real estate crowdfunding site that offers true equity ownership in local and commercial properties and accepts investments ranging from $100 up to $10,000,000. Founded in 2010 by brothers Ben and Daniel Miller, the company has positioned itself as an early mover in equity crowdfunding and says it raised more capital in its Series A than any other equity crowdfunding company in a first round worldwide. Fundrise reports it is raising nearly $1M a week on its platform and has raised over $15 million to date from more than 1,000 online investors, with members invested in 30 real estate deals across the country. Its platform serves both high-net-worth and small-scale investors and enables developers to raise investment online through a full-service web interface. With the recent financing, Fundrise plans to expand offerings to institutional investors and increase its presence in major U.S. cities, with new offerings planned in New York, Los Angeles, Chicago, Detroit, San Francisco and Washington, DC in 2014.

No current team members are available.