The buzzworks 15-50 Investor Program
On a project-per-project basis, buzzworks will present real estate investment opportunities. Meant to attract investors with an amount between $15,000 and $50,000 (per investor), these fundraising rounds will range between $300,000 and $1,000,000 per project, and will help fund the development of projects ranging in total development costs between $1.5 and $4 million.
The 15-50 Investor Program provides a structured approach to investors that wish to invest smaller amounts as an alternative to their current stock investments, or to provide a source for diversification. In some cases, a particular group may pool their funds to co-invest in commercial real estate development and renovation projects that would not normally be availed to these types of investors.
Our current investor profiles include: fellow stakeholders in the same development zone where buzzworks has driven values historically; small business owners that want to remain focused on their core business while diversifying a portion of their investments into commercial real estate; professionals in the architectural, legal, accounting and medical fields; advisors to high net worth family funds, and more.
Our investors are a diverse group of people that share our vision of "doing well while doing good" and we are eager to share our history of making great changes in our urban districts, and with a 14 year track record of delivering solid returns along the way.
Particular to the project and investment opportunity, buzzworks will have purchased the investment building(s), arranged the debt financing, and performed basic due diligence such as environmental check-off and clean status reports, surveys, underground utility checks, zoning and use options for the project, and more.
Buzzworks will also perform the same role as it has historically across the current portfolio in providing architectural services, renovation improvements, lease-up and ongoing property management, representing a one-stop shop for our investor family.
Each investment opportunity will quote a specific financial return objective, with targets between 10 and 15% annualized returns. As an example, a $25,000 investment would yield between $2,500 and $3,000 in before tax profit, on an annual basis. The investor should expect to keep their money in these projects for a period between 18 and 36 months. An investor prospectus and formal description will be documented, with full disclosure of risk of investment to all, as with any real estate investment, the investment is at risk and could be lost.
For larger buzzworks development projects, in the range of $10 to 15 million, a range of equity partners are in our relationship base, and individual investors that are interested in these larger opportunities invest in $100,000 units.