Back in 2016, Oxide Real Estate Development, raised over $200,000 on the Small Change Platform. They used that equity to purchase, renovate and hold a small historic building, the Buvinger Building, in a wildly popular neighborhood in Pittsburgh, Pennsylvania. They projected a five to ten-year hold period and a 13-16% internal rate of return (IRR) for investors.
But investors were surprised to receive returns back that were well above these projections at a handsome 21% IRR and much earlier than expected in just two years.
“It feels great to see the results of our efforts to bring this building back to its full potential, to see it help the neighborhood thrive, but more so, to provide investors the ability to see tangible investments,” saidShawn Kichline, principal of Oxide Real Estate Development, LLC, the developer of the project. “That’s why crowdfunding is so impactful. I’m very happy that our Small Change partners have all seen a better-than-expected return on their investments.”
Oxide redeveloped the historic Pittsburgh building, once home to a Civil War surgeon, into a boutique mixed-use building with four thoughtfully updated residential units and re-leased the ground floor to a new street-food inspired restaurant, Ki Pollo. Visit the Buvinger Building website to see the boutique, historic nature of the building and its distinctive product.
“Raising funds for a project like this in Pittsburgh, where Small Change is based, is particularly satisfying,” says Eve Picker, CEO and founder of Small Change. “We hope to repeat this many times. Our goal is to connect every day people to investment opportunities that make their own communities better.”
Images courtesy of Oxide Development