Brickowner is raising its minimum investment threshold from £1,000 to £2,500 to tie in with the upcoming launch of its real estate investment trust (REIT).
The property investment platform said that the REIT will have a minimum investment of £2,500, so “it makes sense to change the minimum at the same time for all our other new investments.”
Brickowner’s new REIT, which intends to list on The International Stock Exchange (TISE), will be ISA and self-invested personal pension (SIPP) eligible once it completes the listing process.
The firm said that the new REIT will add further diversification to its offering, and investors will buy and sell their shares in the Brickowner REIT through the brickowner.com website.
“Furthermore, when we look at the amounts invested by existing investors, a large portion of our investors already invest over £2,500,” the firm added in an email to investors. “We are confident that this change continues to meet our mission of making professional-grade investments available to suitable retail investors.”
The firm highlighted that this change will not affect any investments that have already been made, which may be for an amount lower than £2,500.
However, if someone has £1,000 invested and wishes to increase their invested amount, they will need to increase their investment by at least another £1,500.
Brickowner last increased its minimum investment in March last year, from £500 to £1,000, which it attributed to “changes to the regulatory environment”. Tighter regulations have increased the cost of onboarding new investors, leading a number of platforms to follow suit.