Fundrise is expanding its operations to Australia, Canada and the UK. The announcement means that investors from these nations may invest through the US platform.
Fundrise allows investors direct access into the US commercial real estate market. Whilst most offerings are only open to accredited investors, the platform does cater for the less sophisticated customer. The company focuses on debt products, but does also offer some preferred equity offerings.
Dan Miler – co-founder and president of Fundrise – commented on the expansion:
“Until now, there has been a lack of investment opportunities for savvy investors who understand the yield and risk mitigation that investing in U.S. real estate can bring”
“Since we launched Fundrise more than three years ago, we’ve received thousands of requests from international investors, looking for ways to diversify into U.S. real estate. This is the first step in our effort to expand more broadly.”
Dan’s brother Ben – fellow co-founder and CEO of the platform – also weighed in:
“Adding international investors increases the depth of our capital base, which in turn increases the volume, consistency, and quality of investments that we are able to produce.”
“This is an overall benefit to all our users – allowing us to bring more high-quality investment opportunities, more often.”
Founded in 2012, Fundrise claims to provide best-in-class underwriting in order to provide top commercial real estate investment opportunities. By expanding internationally, Fundrise is bringing greater investment opportunities to international investors, as well as opening up a larger supply of funding for US fundraisers.
Fundrise isn’t the only real estate platform to expanding its offering in recent times. In August Patch of Land entered the commercial space and, just this week, Groundfloor became the first platform to offer debt for real estate through the new Reg. A+ legislation.
The Fundrise announcement sparks memories of Capify’s agglomeration of operations – in which the company’s US, Canadian, Australian and UK companies under one umbrella. Whilst Fundrise’s position is quite different, the goal is surely similar; to cement the company as a global force within the alternative finance industry.