chi-lux24 Lux24 in Chicago’s West Loop; Origin took what had been a failed condo project, and in three years transformed it into a lucrative apartment building.

CHICAGO—Origin Investments has just raised $2.75 million in capital through a convertible note offering. The Chicago-based private equity firm plans to use the funds for partner acquisition and marketing initiatives. Raising money this way is a method typically used by early-stage firms that have not yet established a track record, so the move is a bit unusual for Origin, which was founded in 2007 and has generated 28% average returns for its investors. But David Scherer, a co-founder of the firm, tells GlobeSt.com that the strategy isn’t just about raising capital.

“This is a way for investors to further partner with us and benefit from the growth of the firm,” he says. In all, 37 private individuals, including longtime investors and current Origin employees, invested in this round. Both Scherer and Michael Episcope, the company’s other cofounder, put a lot of their own money into its funds, and having people in turn invest directly in the company creates “tremendous alignment between us and our investors. We want to have direct relationships.”  

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Brian J. Rogal

Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.

More from this author

GlobeSt. Multifamily Fall 2024Event

Join the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.