Fraxtor Capital, a real estate co-investment online platform, has closed the equity fund-raising for its first freehold landed development project in Singapore.
The start-up aims to make real estate investing more financially accessible to individuals. The minimum investment amount required typically ranges from $10,000 to $50,000, depending on the project. The company is backed by veteran real estate developer Daniel Teo, director of Tong Eng Group and Hong How Group.
Fraxtor is restricted to offering non-capital market products to accredited investors only, and its offerings are not meant for retail investors. Accredited investors must pass various compliance checks before receiving project details on the platform.
Construction of the freehold landed project, which has a two-year investment holding period, is expected to start in November this year, and the project is expected to be completed in 2021. Co-investors will receive their potential returns when the property is fully developed and sold.
“Fraxtor was founded on the premise that Asian investors adore real estate and are adaptive to digital innovation. With the secure digital platform to buy fractional units of real estate with a mouse click, investors can gain access to a selection of niche and global real estate investment opportunities,” says Teo.
The company says it has other projects in its investment pipeline, including a property in Europe that it plans to launch soon. It is also looking for deals in the UK, Germany, Japan, and Australia.
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