CHICAGO— O rigin Investments has just raised $2.75 million in capital through a convertible note offering. The Chicago-based private equity firm plans to use the funds for partner acquisition and marketing initiatives. Raising money this way is a method typically used by early-stage firms that have not yet established a track record, so the move is a bit unusual for Origin, which was founded in 2007 and has generated 28% average returns for its investors. But David Scherer , a co-founder of the firm, tells GlobeSt.com that the strategy isn't just about raising capital. “This is a way for investors to further partner with us and benefit from the growth of the firm,” he says. In all, 37 private individuals, including longtime investors and current Origin employees, invested in this round. Both Scherer and Michael Episcope , the company's other cofounder, put a lot of their own money into its funds, and having people in turn invest directly in the company creates “tremendous alignment between us and our investors. We want to have direct relationships.” But continuing to expand operations through advanced technology and marketing also remains important. “I believe the product speaks for itself,” says Scherer. “If you gave us one million dollars four or five years ago, you would have two million today; that's life changing.” However, when some investors told him that Origin “was the best company we've never heard of,” Scherer realized “we've got to change that.” Origin has already made significant progress toward that goal. Last Fall, it launched its new real estate investing platform, origininvestments.com . This platform was originally designed to enhance communication and transparency with Origin's investors. By adding new functions, Origin has made it easy for qualified high net worth investors to participate alongside institutions, family offices and Origin principals in the firm's investment opportunities. Scherer says the platform has safety standards similar to the most sophisticated financial institutions. Furthermore, it gives investors access to all of the underwriting and an abundant amount of details on each deal. Origin mostly buys office and multifamily properties in the metro areas of Charlotte, Raleigh, Atlanta, Houston, Dallas, Austin , Chicago and Denver, and if, f or example, a long-term lease gets signed at one of its properties in Charlotte, investors can quickly see how that deal impacts both the asset's value and the value of the overall fund. And putting more emphasis on transparency and marketing has already paid off. “We've tripled our client base in just the last seven months,” says Scherer. CHICAGO— O rigin Investments has just raised $2.75 million in capital through a convertible note offering. The Chicago-based private equity firm plans to use the funds for partner acquisition and marketing initiatives. Raising money this way is a method typically used by early-stage firms that have not yet established a track record, so the move is a bit unusual for Origin, which was founded in 2007 and has generated 28% average returns for its investors. But David Scherer , a co-founder of the firm, tells GlobeSt.com that the strategy isn't just about raising capital. “This is a way for investors to further partner with us and benefit from the growth of the firm,” he says. In all, 37 private individuals, including longtime investors and current Origin employees, invested in this round. Both Scherer and Michael Episcope , the company's other cofounder, put a lot of their own money into its funds, and having people in turn invest directly in the company creates “tremendous alignment between us and our investors. We want to have direct relationships.” But continuing to expand operations through advanced technology and marketing also remains important. “I believe the product speaks for itself,” says Scherer. “If you gave us one million dollars four or five years ago, you would have two million today; that's life changing.” However, when some investors told him that Origin “was the best company we've never heard of,” Scherer realized “we've got to change that.” Origin has already made significant progress toward that goal. Last Fall, it launched its new real estate investing platform, origininvestments.com . This platform was originally designed to enhance communication and transparency with Origin's investors. By adding new functions, Origin has made it easy for qualified high net worth investors to participate alongside institutions, family offices and Origin principals in the firm's investment opportunities. Scherer says the platform has safety standards similar to the most sophisticated financial institutions. Furthermore, it gives investors access to all of the underwriting and an abundant amount of details on each deal. Origin mostly buys office and multifamily properties in the metro areas of Charlotte, Raleigh, Atlanta, Houston, Dallas, Austin , Chicago and Denver, and if, f or example, a long-term lease gets signed at one of its properties in Charlotte, investors can quickly see how that deal impacts both the asset's value and the value of the overall fund. And putting more emphasis on transparency and marketing has already paid off. “We've tripled our client base in just the last seven months,” says Scherer.
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