Sep 2, 2015
According to a recent article in Bloomberg, New York’s first real estate project financed significantly though crowdfunding is set to open. The AKA United Nations is an extended-stay hotel-condominium on Est 46th Street will start taking guests on Sept 10th. The crowdfunding campaign drew 116 backers, pledging at least $20,000 each. They can expect a return on their investment of 19 percent to 23 percent, mostly from sales of the units and some from hotel fees, according to the mangers. Another interesting aspect is that 90 percent of the crowdsourced money came from outside the U.S. According to experts, amassing small contributions for real estate is still a very small part of the real estate finance industry, but it has huge growth potential. Joining the broadcast to discuss real estate crowd funding is AdaPia d’Errico, Chief Marketing Officer at Patch of Land. Patch of Land (POL) is a leading alternative solution for real estate financing that brings borrowers and lenders together through a simple online interface. As Chief Marketing Officer at Patch of Land and the company's earliest employee, AdaPia drives brand, messaging and positioning, as well as marketing strategy and initiatives. Having joined in the first three months of the company's product launch, she is responsible for public facing initiatives, and leading strategic partnerships and business development. She's been an integral part of the company's stellar growth, from bootstrapped start-up to venture-funded leader in its category.