BY JON CRONIN
Washington D.C. based real estate company Fundrise has crowdfunded yet another project in Long Island City.
This project, at 10-27 47th Rd, raised $3.1 million in online investors with an estimated sale of $6.2 million. The investors provided 80 percent of the funding needed, the firm’s partner for this project, Ascent Development, a Queens based developer, will provide the rest from the ground up construction.
The existing structure will be demolished and in its place a new three-story luxury condominium unit that will average approximately 1,580 square feet. All three units are expected to be finished with high-end appliances, hardwood floors, and walk-in closets.
Ascent Development recently sold another three-unit ground-up condominium development less than 2 blocks away from this property for asking price.
This is Fundrise’s second project of the same nature in the past six months. In the past few years they have taken the old idea of Real Estate Investment Trusts and brought it online to crowdfund projects.
“Normally people don’t get to invest in commercial real estate,” said Fundrise CEO Ben Miller.
He noted that allowing people to invest through projects on the Fundrise website they were able to cut the cost ten-fold.
They also noted on their website, “The idea is simple yet powerful. It’s caught on because it’s a good investment strategy.
Fundrise offers the first low-fee diversified real estate investment available directly to anyone online. We make the process of investing in the highest quality commercial real estate from around the country simple, efficient, and transparent.”
Miller said that about a year ago they began opening up windows online where people could invest. He’s happy to report that when they open one now they raise about $150,000 a minute for each project. The windows are open about midweek for about 20 to 30 minutes until the necessary funding for the project is achieved.
Reach Reporter Jon Cronin at (718) 357-7400 x125, firstname.lastname@example.org or @JonathanSCronin