Real estate crowdfunding has become a key tool to finance real estate projects and has emerged as a way to diversify the assets of investors who wish to venture into international markets.
That is why HitCrowd, a Spanish real estate crowdfunding platform, has decided to bet on this segment and plans to raise more than €40 million during 2024, of which at least 35% (around 260 million pesos) would come from Mexican investors.
Samuel Salinas, general director of the firm, shared that the goal is for these resources to fund 60 real estate developments distributed in Spain, the United States and Mexico.
“The projects we initially launched were sets of apartments in Madrid and a good part of the funding came from Mexico. Currently, 40% of the platform’s investors are Mexicans who see an opportunity to diversify,” he commented in an interview.
According to the expert, real estate crowdfunding is a market with a significant growth trend globally, since in 2022 it captured €9.8 billion in Spain, while in the United States it reached $44 billion.
“That is the size of the current market, but the growth is exponential. It is expected that by 2030 it will be $1.7 billion in the United States. In Mexico it is still in its early stages, but a strong trend is definitely coming,” Salinas added.
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Attractive in tourism and nearshoring
HitCrowd is part of Grupo Agadea, a Mexican-Spanish business conglomerate specialized in the development of tourist properties such as restaurants, hotels and vacation residential projects.
In 2023, the firm launched HitCrowd with the aim of attracting investors interested in the profitability offered by hotel and vertical housing developments for short-term rentals through platforms such as Booking.com.
“People can make investments from 100,000 Mexican pesos and have a participation in the projects in which we work, according to what suits them for the time in which they wish to recover their investment and the degree of risk they seek,” explained the general director.
The guaranteed fixed rate of return offered by HitCrowd is between 8 and 10% per year, depending on the project; In addition, investors can use the facilities.
Salinas indicated that the tourism sector is one of the most attractive for investment in real estate due to the profitability it generates; However, he mentioned that the industrial sector has gained relevance due to the dynamism caused by the relocation of companies (nearshoring), so the platform would be preparing new projects in this segment.
“It is a reality that industrial real estate development is coming very strongly in Mexico , we must turn there, and crowdfunding becomes a valuable tool for this. Hitcrowd hopes to launch projects of this type in late 2024 and early 2025,” said the businessman.
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First published in EL ECONOMISTA. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
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