Ellington Properties sells first crowdfunded apartment
Investors started receiving their share of return in October 2020 after successful sale in Dubai
Ellington Properties says it has been able to start the return of investment process to individuals who took shares in its first-ever crowdfunded apartment within its Eaton Place development.
The property developer added that the launch of its “elegantly designed apartments” on SmartCrowd, the first regulated online real estate investment platform, sets a new a model in the UAE’s real estate industry.
Via the platform, individual investors can commence, build, and start earning income from their real estate portfolio investments, “before deciding whether to fully own the apartment. UAE-based and international investors can now co-own an Ellington Properties home through the new digital initiative”, explained the developer in a statement.
Ellington Properties listed the one-bedroom Eaton Place apartment on SmartCrowd at the end of August. With co-ownership shares starting from AED 5,000, the developer said the sale of the first apartment was fully funded within one month of listing.
“In the new reality, we look at new ways to create value for our investors. Crowdfunding and tokenisation in real estate is a fast-evolving sector, and we are honoured to take the lead in digitising our processes and offering investors not only attractive and cost-competitive ways to co-own an Ellington apartment but also earn higher rental yield,” said Robert Booth, managing director, Ellington Properties.
“We are offering customers the opportunity to invest in Ellington Properties, starting at a small budget before moving to own an apartment. We have recorded robust response from investors to the new initiative, underlined by the successful sale of the Eaton Place apartment through crowdfunding. We are committed to offering digital-first initiatives that will contribute to strengthening Dubai’s real estate sector, which has been among the first to gain traction since the pandemic.”
Siddiq Farid, Founder and CEO of SmartCrowd, added: “As a regulated digital platform that allows investors to co-own properties in Dubai in just four easy steps, we are transforming the property landscape of Dubai in tune with the new reality. We see tremendous potential for Dubai’s property sector, and through our crowdfunding model, more people can benefit from the long-term returns that real estate offers. Ellington’s design-centric homes appealed to our investors, and the quick sale of the Eaton Place apartment is testament to the confidence of investors in Ellington Properties.”
