This is a different investment crowdfunding opportunity. The former residence of William Randolph Hearst, the original newspaper magnate, is being crowdfunded on StartEngine using Reg A+ and is hoping to raise $40 million. Hearst originally purchased the house for $120,000 back in 1947. The “Beverly House”, as it is called, has also been host to multiple well known movies including the Godfather (remember the horse head) and the Bodyguard. JFK spent part of his Honeymoon here. The house sits on 6.25 acres and has approximately 75,000 square feet of living space.
The Beverly is located just three blocks from Sunset Boulevard and the Beverly Hills Hotel so the location is quite good. The house has at least 19 bedrooms and can accommodate a mere 400 guests for a sit down dinner. Perfect for your next party.
The listing on StartEngine states that the real estate offer is only suitable for accredited investors but under Reg A+, anyone may participate. But the minimum investment starts at $125,000 so that should be a significant barrier for smaller investors.
For each unit ($125,000) an investor will receive 5% annually paid each quarter. If the Beverly House sells for more than $130 million “possible additional incentives” kick in. The offer page also says the mansion may soon be listed for $175 to $195 million. If you do happen to purchase a unit there are some perks along with the ownership in the LLC. You may gain access to exclusive events…
An article in the LATimes states that attorney Leonard Ross has listed the estate for sale at different times priced from $115 million to $165 million. It rents for just $600,000 per month today.
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