Arazi.pk to launch crowdfunding site for property
07 Nov 2016
Arazi.pk, a property listing start-up in Pakistan, is all set to launch a crowdfunding site to pool investments in Pakistan’s growing real estate sector.
Arazi’s new product – namely NEST – will welcome an investment of as small as $1,000 U.S. from an investor, Techjuice.pk said in a report. Arazi.pk will continue to operate as a property classified, in the mould of Zameen.com and Lamudi.pk.
“NEST will be a separate platform, but users will be able to access it through Arazi as well,” the site’s founder Umair Sheikh told us.
“Properties available through crowdfunding will also appear in search results on Arazi.”
Sheikh is, actually, betting on investors who want to pour money into asset-backed investment avenues. “We think our model will be a huge success,” he said.
Arazi.pk finished its incubation at LUMS Center for Entrepreneurship in July last year, but it decided to pivot only two months ago. The site has local, as well as financial institution, backing.
“We will be announcing the details soon,” Sheikh said.
Pakistan has framed the regulations for real estate investment trusts (REITs). The capital market-listed players are, however, reluctant to roll out REIT products owing to some differences with the government over the capital gains tax.