Stock.estate has been approved to operate as a securities crowdfunding provider in Romania. The company has been approved by the Romanian Financial Supervisory Authority (ASF) and is described as the first “crowdlending” platform in Romania. Stock.estate will provide loans to real estate developers for periods of up to five years.
In a report by Ziarul Financiar (translated), founder and CEO Vicentiu Vlad explained their goals:
“Our mission is to facilitate quick and easy access to capital for real estate developers and to provide proven real estate investment opportunities with attractive returns for investors. In short, we aim to democratize real estate investments, putting the two parties in direct contact in a safe and regulated digital environment. With the contribution of the team and reliable partners with experience in real estate and beyond, we reduce the barriers to access to real estate opportunities. We believe that the time is right for such a platform, given that real estate developers are beginning to face the reluctance of banks to grant financing, and Romania is a place where investors have a higher appetite for real estate investments than other countries in the region.”
Stock.estate will be able to solicit investors across all EU member states under the new ECSPR regime, which allows platforms to raise up to €5 million from anyone.
Currently, there are three securities offerings live on the platform, with loans ranging from 12 to 24 months and an expected rate of return from 10% to 14%.
Stock.estate notes that securities offered on their platform are secured by the real estate. Developers raising funding on the platform have the option to provide loan insurance or other guarantees to investors.
The firm’s website states:
“We are focused and specialized on real estate investing, we help developers to raise capital up to ten time faster than traditional financial institutions with less red tape and lean due diligence. We create value for investors through low entry barrier to our opportunities, well defined guarantees, attractive yields, portfolio diversification and a fully digitalized investment process.”