The largest fundraise in the history of CrowdBnk has application deadline extended.
The East London Property Bond, from property group LMSL, has had a great reaction since going live on CrowdBnk and has so far raised more than £6 million which has resulted in the platform extending the application period until 30th November. The extension should give LMSL enough time to reach their £9 million target.
Only last week we investigated this offering in our latest Bondwatch and demand has continued to increase for the five-year initial fixed-term mini bond, which offers 10% gross interest per annum for investments from £1,000.
Ayan Mitra, Chief Executive, CrowdBnk, said:
“We’ve seen considerable investor interest on the platform in recent days, and we’re already fast approaching our target as a result.
“Given the number of investors who have contacted us to express their interest, in our view it simply doesn’t make sense to close off this opportunity earlier than is necessary.”
As well as the annual income on offer, the mini-bond is also secured against the Barking Magistrates’ Court residential site, providing an additional element of security for investors.
The mini-bond is structured so that investors have first claim over the Barking Magistrates’ Court development, a site which is independently valued at £10.25 million by Lambert Smith Hampton.
Lahrie Mohamed, Chief Executive, LMSL, commented on the extension:
“In partnership with CrowdBnk we have set an ambitious target for the mini-bond, but one which we believe is achievable, and we are delighted that we’ve seen so much interest over recent days.”