Real estate investment platform EQUITYMULTIPLE has raised $3m in its latest venture round of funding.
The investment was led by Knight Trading founder and former board member of NASDAQ Ken Pasternak. Other backers to the round included a selection of real estate and finance executives.
EQUITYMULTIPLE is a commercial real estate investment business which opens up the market to individual investors. Users can create a diversified portfolio of real estate projects, which can be split between markets, asset types, cash flow profiles and debt and equity opportunities.
A user has the choice to invest through syndicated debt, preferred equity and equity.
Until now, the company has focused on building partnerships with key players within the real estate industry and building up its investor base organically. Following this new line of capital, EQUITYMULTIPLE is looking to fuel its growth and innovation by scaling its team, expanding its product offerings, and developing its technology.
Since the platform launched in 2015, its user base has invested more than $700m in commercial real estate transactions through the platform. The company is expecting to hit $1bn in volume by the end of the year. Total investment through EQUITYMULTIPLE have already doubled during 2018.
EQUITYMULTIPLE co-founder and CEO Charles Clinton said, “Traditionally real estate investing has been largely limited to institutions, which has caused enormous market inefficiencies and unfulfilled demand among individual investors,”. “Our goal is to make commercial real estate part of every investor’s portfolio, providing diversification outside of the public markets to an asset class with historically strong uncorrelated returns. This funding round brings us one step closer to that goal.”
The company previously raised a seed round which was led by Mission Capital.
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