Fairway America has announced a $2 million commitment from Fairway America Fund VII, LP to Pathfinder Partners Opportunity Fund V, L.P. Fairway is also announcing Pathfinder’s parallel fund, Pathfinder Fund V-A, has now been listed on Fairway’s SBREFunds, a crowdfunding marketplace focusing exclusively on quality products and information in the pooled real estate asset-based investment space. Pathfinder’s Fund V and V-A have a combined raise goal of $100 million to $150 million and will co-invest with one another in deals originated by Pathfinder Partners.
The fund is said to acquire value-add, opportunistic and financially distressed real estate in mid-tier cities throughout the West — San Diego, Denver, Phoenix, Seattle, and Portland among others. The focus will target residential properties– both “for sale” and “for lease,” as well as selected entitled residential land opportunities – and secondarily on select commercial properties. Fund V is structured to attract institutional capital with higher profit splits and lower fees, while Fund V-A is geared toward high net-worth investors and requires smaller minimums.
“We’ve been investing in real estate transactions for many years, but were previously unable to publicly open up these pooled investment opportunities to accredited investors via crowdfunding platforms,” said Senior Managing Director and co-founder Mitch Siegler. “The JOBS Act changed that and we think SBREfunds.com is a great way for us to take advantage of it. Fairway’s initial contribution and continued support demonstrates their commitment to our Fund as well as their overall mission to help bring greater awareness and capital to quality operators in the SBRE fund space.”
Fairway America is building a community of SBRE fund managers through their platform by providing accredited investors with an environment to network with one another and obtain access to resources educating them about small balance real estate. Investors can anonymously review and select investment opportunities presented by fund managers inside the marketplace and contact the managers themselves if and when they prefer.
“As the only investment portal exclusively offering access to blind pooled funds, we’ve carved a lane in the crowd investment space that no one else is in,” said Matt Burk, CEO of Fairway America. “We’re now approaching just under $2 billion in total offerings for the funds listed on our portal with over $118 million in assets under management across these funds.”