National Australia Bank (NAB)’s corporate venture capital arm has invested in real estate investment platform BrickX.
NAB Ventures announced in a statement today that it has invested an undisclosed amount in BrickX as part of a $9-million Series A funding round.
The major bank said it saw potential in the platform, which allows investors to invest as little as a hundred dollars in a residential investment property, as “democratising property ownership in the Australian market,” according to the statement.
BrickX chief executive Anthony Millett said high costs and deposits involved in accessing the property market were leaving “many out in the cold”.
“However, BRICKX has opened up the residential property asset class as an alternative investment to any of the traditional investment options,” he said.
Mr Millett added that he hoped the investment from NAB would help in assisting “millions of Australians to get their foot on the property ladder”.
“Housing affordability continues to be a priority for Australia’s banks, so the alignment between BRICKX and NAB Ventures has a strong and unified purpose.”
NAB Ventures managing director Todd Forest echoed Mr Millett’s sentiments, saying rising house prices were an obstacle that stood in the way of what he claimed was the “Australian dream” of owning property.
“NAB Ventures has scanned the market globally, to identify a range of companies and business models that attempt to solve for this, particularly as NAB looks to support its customers along the full home ownership journey.
“NAB Ventures chose BRICKX as the leading opportunity, based on its unique business model, exceptional user experience and the opportunity to leverage the platform to innovate and help more Australians with their home ownership goals,” Mr Forest said.
“BRICKX is disrupting this journey, in how it provides consumers with access to the property market and engages with them in creating a pathway to property ownership.”
BrickX won the Platform Innovator of the Year award in last year’s Fintech Business Awards.
The Federal Court has refused to approve a multimillion-dollar penalty for a major bank, despite the bank admitting wrongdoing. ...
The federal opposition has accused Australian banks of withholding information from clients to prevent legal claims of misconduct. ...
ETF investors who follow passive indices could be making active investment choices without realising the performance impact, according to a...