WASHINGTON, DC—Days after Fundrise's eREIT went to market and became 403% oversubscribed within four hours, the company has announced it is opening another window for investors, or at least those that have joined the company's waiting list.
On Thursday at mid-day it announced it would open a $2.2 million window. "We expect to begin processing sales again tomorrow midday, with first access given to users on the waitlist," it said.
The company also announced it has selected its first asset for the eREIT: A senior loan that will be used to acquire and renovate an existing building into a two-unit luxury condo renovation in Long Island City, NY.
The initial eREIT investment for the acquisition is $1.28 million and the total eREIT commitment for the project is $1.9 million, which is equal to roughly 80% of the total projected budget. The remaining 20% of the total projected budget will be provided by the sponsor (who is also the developer of the project) up-front at the initial closing of the property.
If the eREIT's debut is any indiction that mid-day window won't be open for long. Investors grabbed subscriptions at a rate of $21,428 per minute.
Fundrise announced it was launching an eREIT in a regulatory filing at the end of November. In the filing, it described the eREIT as a non-exchange traded REIT offered directly to investors solely over the Internet -- and available to both accredited and non-accredited investors.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
