We and our affiliates are professionals with a variety of different backgrounds, including real estate, technology, finance, marketing and architecture. We maintain this crowd-investing technology platform at www.prodigynetwork.com, including each sub-domain hereof, to facilitate the offer and sale of equity interests by our affiliated issuers, which derive their value from real estate projects being developed by our affiliates and their partners. We are headquartered in New York City and have offices in Miami, Florida; Bogota, Colombia and Montevideo, Uruguay. We may open offices in other locations in the near future.
To date, we and our affiliates have led six international and U.S.-based projects, for which our affiliated issuers raised more than $300 million from 6,200 investors around the world. We are currently developing projects globally with a projected value of more than $850 million. Major banks like Deutsche Bank, CIBC and Bank of America have provided traditional mortgage financing for our New York City projects. Well established operators and developers like Korman Communities have partnered up with Prodigy in the development of two New York City properties.
Recently, Professor Karim Lakhani from Harvard Business School published a case study on Prodigy's work titled, Prodigy Network: Democratizing Real Estate Design and Financing. Prodigy believes that crowd-investing will democratize commercial real estate by providing a new asset class opportunity for small investors, revolutionizing the industry.
According to research done by Real Capital Analytics, at the height of the financial crisis in 2007 and 2008, large institutional investors sought security in three main types of assets: gold, treasury bonds and commercial real estate in major US cities. This phenomenon, referred to as “Flight to Quality”, supported the prices of real estate assets located in the top ten cities in the United States, including New York City.
Rather than undergoing the major price corrections that were seen outside these cities, commercial real estate prices in the top ten U.S. cities saw little change as investors continued to invest in these locations.
For the reasons mentioned above, Prodigy intends to focus exclusively on real estate in major metropolitan cities. Currently, our affiliates' offerings are only in New York City. Our belief is that if institutional and ultra- and high net worth investors look to New York City commercial real estate during downturns, then you should have access to it too.
Prodigy’s crowd-investing model was developed as an innovative way to give smaller investors access to large real estate assets. Investment opportunities in certain of our affiliates are offered through our online platform and are structured through a master series investment structure (the “Master Fund”), which sits beneath two feeder funds that are the issuers in each offering. The feeder funds enable both U.S. and international investors to participate in these real estate investment opportunities.
Our affiliates partner with reputable developers, operators, and other institutional partners, usually through a joint venture, in an effort to maximize value for each real estate investment. Our affiliates and their partners focus exclusively on what they believe to be institutional quality commercial real estate in major U.S. cities to give investors access to such projects.
After investors contribute funds to a project, their contributions are held in a third-party bank account until the fund administrator notifies a third-party escrow agent that the Sponsor has procured enough funding to close on the property. Once this is done, funds are released from escrow and invested into the project. The details of the projects, escrow arrangements and other important disclosures are found in the offering documents for each investment so that investors know how and when their capital is being deployed.
Prodigy offers access to a variety of property types located in major cities like New York City, including multi-family, office, retail and hospitality.
NEW YORK HEADQUARTERS
40 Wall Street, 17th FloorThe Trump BuildingNew York, NY 10005
T: (+1) 212-966-1015
1450 Brickell AvenueSuite 2560Miami, FL 33131
T: (+1) 305-379-4424
Carrera 7 No.77-07 Piso 8Bogota D.C., Colombia
T: (+57 1) 744-7671
Ruta 8 km 17.500 Edificio Beta 4, Oficina 105Zonamerica 91600 Montevideo, Uruguay
T: (+598-2) 518-2276
Toll Free T: (+1) 917-546-4741