WEST HARTFORD:, ArborCrowd an online platform based in NYC that enables individuals to make equity investments in “institutional-quality commercial real estate,” is offering a 200-unit apartment community the Cove West Hartford, for direct online investment on its platform.
The company says the property was acquired in an off-market transaction by affiliates of ArborCrowd, CS Acquisition Group, LLC and the sponsor of the investment. CS is a real estate owner and operator with a portfolio in the Hartford area, and AMAC–a real estate private equity firm that is part of the “Arbor family” of companies.
ArborCrowd is seeking to raise $3.55 million from investors. The total capitalization of the transaction is $26.3 million, and the sponsor and AMAC will continue to own more than 50% of the total equity in this transaction.
ArborCrowd says that the investment has “a projected 14% to 17% internal rate of return and a targeted hold period of three to five years.” The company says that it has $3.6 million to “fully gut and renovate all units and overhaul the property’s common areas and multi-purpose clubhouse.”
The Cove West Hartford equity offering marks the seventh institutional-quality multifamily deal that ArborCrowd has presented to its crowd investors since its founding in 2016. Most recently, ArborCrowd’s Tower on Ryan Park deal in Mobile, Ala., raised more than $2 million in under two weeks, reflecting the high investor demand for its offerings. In total, ArborCrowd has raised more than $18 million of equity for assets valued at roughly $200 million.