Real estate investment platform launches bespoke secondary market to boost investor liquidity

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Shojin, an FCA-regulated online property investment platform, has launched its unique offering in the secondary market to accommodate bespoke offerings as the rise of fintech continues to lower barriers to entry into the market. online real estate investment market.

Once the investment opportunity in a Shojin product has closed, the investor will then have the option of listing their investment on the secondary market, setting the number of units they are looking to sell and the price per unit. What makes the Shojin Secondary Market unique is that it will operate in a peer-to-peer format, like Ebay, where a buyer and seller negotiate directly through offers and counter-offers to arrive at an acceptable price.

Shojin’s current investment threshold is £5,000, but the introduction of a secondary market will lower the minimum investment ticket amount to £100, allowing more people around the world to create wealth by investing a tiny amount in real estate projects.

Sellers will have the ability to exit projects early freeing up capital for upcoming or unforeseen expenses, rather than staying in projects for the full term. Buyers will be able to participate in projects they may have missed on the main Shojin market and invest in different stages of project risk.

Both parties can be opportunistic and seek to strike a mutually beneficial deal based on their appetite for risk and return, as well as real estate market sentiment. Shojin’s secondary market trading ability facilitates all of these benefits which will ultimately increase investor confidence.

Jatin Ondhia, CEO of Shojin Property Partners, said, “As a company, we are always looking for new ways to lower the barriers to entry into real estate investing. Introducing a secondary market not only brings more potential investors into the fold, but it means they can enter the market with a lower initial investment, while simultaneously increasing liquidity for existing investors.

“Adding new investment opportunities to our platform is extremely exciting for us. As a company, we are at a significant inflection point in real estate investing. Having made our first investment outside the UK and with substantial resources in place, we are ready to pursue our global expansion plans.

The secondary market launch follows the raising of Shojin’s first Series A tranche of £3m through a global pool of investors for a company valuation of £49m. Earlier in the year, Shojin secured a £5m underwriting facility provided by a London-based family office with a provision to increase it to £10m as the pipeline develops.

Having focused exclusively on the UK property market until recently, closing its first non-UK property investment in Malaysia, the launch of the secondary market will help create liquidity to attract new investors as Shojin targets new investment opportunities worldwide. .

This article is published in partnership with City Road Communications, an MVI company.

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