Neighborhood Ventures is a Phoenix-based crowdfunding company that finds investors willing to put up $5,000 or $10,000 each. In exchange for their investment, they receive 12% of the total amount back and get their original investment returned when the property sells. Six out of Neighborhood Ventures’ 15 projects have been successfully liquidated and investors were paid back with returns on investments. According to The Phoenix Business Journal, the company has invested in value-add strip center projects but prefers multifamily properties.
Currently Neighborhood Ventures is raising $1.4 million for 30 apartment units located in East Phoenix which will be upgraded with approximately $20,000 per unit; this will result in an additional rental rate increase of around $400 per month once complete.. Additionally they are also raising money for a real estate investment trust (REIT) that actively invests across multiple assets already generating cash flow income .
