Real estate-focused crowdfunding platform Realty Mogul has bagged $9 million for its Series A funding round, a statement about the funding said.
Canaan Partners led the financing for the biggest online marketplace which allows accredited investors to pool their funds online so that they can acquire shares in buildings, apartments, retail centers and other kinds of real property. The Realty Mogul platform allows investors to search investments, investigate, invest and monitor how their investments are doing anytime of the day using the site's investor dashboard, the statement said.
In its recently-celebrated first anniversary, Realty Mogul was able to raise and put commercial real estate investment capital to properties with a value worth over $100 million. Co-Founder and Chief Executive Officer Jilliene Helman said in the statement, "Our goal is to bring the $11 trillion commercial real estate market into the 21st century. Canaan's backing will help us to enable thousands of investors to have an easy, transparent way to diversify their portfolio into commercial real estate by crowdfunding opportunities previously only available to a select few."
Those who want to join the Realty Mogul platform as an accredited investor will be required to have an annual income of $200,000 a year or have a net worth of $1 million. Once they clear the verification process, they will be able to access the commercial and residential real estate listings of the crowdfunding site. After investing, they then get a notification from Realty Mogul when the fundraising has been successful. If it is, the company then provides updates about the investment as well as distributions or shares it has made, the statement said.
Canaan Partners Principal and Realty Mogul Board Member Hrach Simonian said in the statement, "Realty Mogul will be the next disruption in a massive asset class just like LendingClub has been for the consumer credit market."
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