BrickX, the fintech startup that gave millennials an in to Australian real estate investment through a fractional ownership model in residential property, has been sold to Melbourne VC and private equity firm Thundering Herd.
Investors buy “bricks”, currently worth between $34 and $159 each, in the 19 properties the startup has bought in Sydney, Melbourne, Adelaide, Perth and Ballarat.
The properties have between 700 and 1800 investors each.
The five-year-old Sydney startup is now a wholly-owned subsidiary of Thundering Herd, effectively immediately, giving an exit for the venture’s initial backers Bridgelane, NAB Ventures and Reinventure. The sale price was undisclosed.
Thundering Herd Managing Director Joe Galvez said BrickX’s existing fractional model will continue and they plan to expand their current portfolio including a move into commercial property, as well as creating investment options for SMSFs.
“We see a number of opportunities to leverage and scale the platform to better address investor needs,” he said.
Thundering Herd’s recent investments include Lend Collective, GoFetch and FieldGO.