A new 62-unit apartment project in Denver's River North (RiNo) neighborhood received a $1 million infusion from Washington, D.C.-based
Fundrise, an online platform for real estate investments.
Similar to crowdfunding, Fundrise gives everyone the opportunity to invest in real estate.
"It's almost like creating a stock exchange for small commercial real estate investments," says Brandon Jenkins, the company's chief operating officer. "In the same way you can go on eTrade and buy a share of Apple, you can buy a $5,000 chunk of a $50 million investment."
The $15 million project at Larimer and 35th streets is the first investment in Colorado for Fundrise, which started four years ago with investments in Washington, D.C. and New York City. People who invest $5,000 are expected to receive a 13.2 percent return.
"We really like the underlying fundamentals of the Denver market," Jenkins says. "If it had been New York City, there would have been a big slew of private equity groups bidding on it and competing for it."
Also financed by Littleton Capital Partners, the property is within four blocks of the 38th and Blake light-rail station -- the first stop from Union Station on the East Rail Line that will connect downtown to Denver International Airport. It's also just a block from the future 35th and Downing light-rail station, part of the planned Central Corridor extension that will connect the existing Central Rail Line to the East Rail line.
Contact Confluence Denver Development News Editor Margaret Jackson with tips and leads for future stories at margaret@confluence-denver.com.
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