User:Krarra/Crowdestate

Crowdestate (founded in 2014) is a crowdfunding platform for real estate which offers verified investment opportunities in real estate, commercial, and mortgage loans. The company’s CEO and founder is Loit Linnupõld.Crowdestate was the first real estate crowdfunding platform in Estonia and is one of the platforms in Europe where everyone has the opportunity to invest. The relationships Crowdestate has with experienced real estate developers give access to many off-market real estate investments. Only options that pass the rigorous due diligence process are disclosed for investment.

History
Crowdestate was founded in Estonia in 2014. It took four months to get from the idea to the first project, and although the first project to buy one floor in Stroomi Residents did not raise enough capital, CEO Loit Linnupõld managed to attract enough investor attention and find the first few hundred interested parties to help Crowdestate finance its second investment opportunity, Sipelga 3.

49 investors participated in Crowdestate’s first working project and funded the development of the Sipelga 3 apartment building at Mustamäe.

In 2016, Crowdestate exited a project – Kesk tee 17, Tallinn, Estonia – for the first time. The funding goal of the project was 800,000 euros, it had a total of 127 investors, and the internal rate of return (IRR) was 48.07%.

In 2016, Crowdestate expanded to Latvia and opened an office in Riga. The first investment opportunity was Briezu iela 7a, Riga, Latvia (an apartment building in a suburb of Riga) with a funding goal of 750,000 euros. 422 investors participated in the project and the internal rate of return (IRR) was 15.77%.

In 2017, Crowdestate funded its biggest crowdfunding project so far. The project involving 1.5 million euros was Mustakivi tee 25, 13917 Tallinn, Estonia (Endover Kinnisvara), the largest residential development project of Project Vega in Tallinn and all of Estonia. The project brought together 1,036 investors with an internal rate of return (IRR) of 15.22%.

In 2018, Crowdestate expanded to Italy and opened an office in Milan. The first investment opportunity was Esterle, Milan, Italy (a private residential development project with 11 studio apartments).

In 2019, Crowdestate expanded to Georgia and Romania, and the team is growing rapidly. The first project in Romania was funded in November 2019 – 27 Lebedei str., Avantgarden3, an apartment building with 73 apartments.

By the end of 2019, the Crowdestate platform will have more than 40,000 investors, with more than 200 projects funded and more than 80 million euros in capital raised.

Company structure
Crowdestate is a real estate crowdfunding platform which connects real estate developers with investors around the world. Investment opportunities vary in length, risk profile, and return. The minimum amount of a single investment is 100 euros and investments can be made at 100-euro intervals. A secondary market has been created to exit an investment earlier.

Entrepreneurs looking for co-financing or additional financing for real estate related business ideas can present their business plan on Crowdestate’s platform and raise the missing capital if investors are interested.

Successful projects
Kesk tee 17, 75305 Jüri – Crowdestate’s first successful project, a universal industrial building. 1,112,166 euros returned to investors, final interest rate 48.07%, period of nine months.

Mustakivi tee 25, 13917 Tallinn, Project Vega, Lasnamäe’s new development – With the help of investors, 1.5 million euros were raised. 1,755,621 euros returned to investors, final interest rate 15.22%, period of 39 months.

Kesk tee 17, 75305 Jüri – The most profitable project, a universal industrial building. 1,112,166 euros returned to investors, final interest rate 48.07%, period of nine months.[I1] [I1] lõik praktiliselt kordub

Jõe 23, 79801 Kohila – The financing for the purchase of an industrial building was raised by the investors in one minute and 20 seconds. 115,398 euros returned to investors, final interest rate 18.08%, period of 12 months.