A Coral Gables-based developer has launched a private crowdfunding platform focused on sub-$1 million equity raises for its market-rate multifamily projects. The developer, Metronomic, is attempting to raise $650,000 to $900,000 for both a smaller rental project in Little Havana and a mixed-use building in Coconut Grove. The projects are slated for first quarter 2016 groundbreakings. Smaller equity raise challenges According to Ricky Trinidad, president of Metronomic, launching the private funding platform was a reaction to the difficulties associated with smaller equity raises. "Getting the sub-$1 million piece is hard," Trinidad said, explaining that private equity firms typically have a minimum investment threshold of $2 million to $5 million. Metronomic previously qualified a project with Fundrise; however, the amount the developer wanted to raise was below the platform's required minimum raise of $1 million. The developer's recently launched platform can be acces...
- Minimum investment required per project is $2,000.
- Sub-$1M equity raises can be hard for developers.
- Developer is concentrating on market-rate multifamily projects in Little Havana and Coconut Grove.