He co-founded the first and only commercial real estate securities marketplace available to non-accredited investors, and he tells us all about how through his company, people can own shares of large commercial properties in $100 slices.
Key Point on How To Invest In Commercial Real Estate With Only $100
- After graduation, Drew worked for a US Congressman in Capitol Hill, owned and sold a retail clothing brand, and worked in real estate private equity.
- He left private equity in July 2017 to start LEX Markets, a new securities market.
- During the first year and a half he made no money and had to move back in with his parents.
- Drew partnered up with his brother and a close friend for 8 years giving them equity in the company.
- They were able to raise $4.5M in capital the “old fashion way” by knocking on doors and taking meetings. It was a good learning and growing experience for him.
- LEX Markets became the first and only commercial real estate securities marketplace available to non-accredited investors.
- The company also plugs into the financial institution so that all investors on all types of platforms are able to purchase the securities. Anybody is able to buy shares of individual commercial real estate properties in $100 slices.
- They started working with real estate owners across the entire United States, but plan to expand globally in the future.
- To secure their compliance, the company is working under 2 governmental agencies ’ purview: FINRA (Financial Industry Regulatory Authority) and the SEC (Securities and Exchange Commission).
- Accessing the platform is simple: create a brokerage account through the Order Matching System, review all the materials, put a number of shares you would like to purchase and click Submit.
- As they are operating in ATS (Alternative Trading System), these securities can be freely traded at any point in time with no restricted hold periods. Everyone has the ability to rebalance their portfolio at any time.
- In the future, they want to become a National Stock Exchange. But for now they are focusing on providing the best service possible.
- Who is your success role model? Craig Hatkoff (chairman of LEX Markets) and Alan Patricof
- What is your biggest success? His company LEX Markets
- What does a typical day look like for you? Drew starts his days in the gym, gets to the office around 7.30 and is there until 6, 8 or 10 PM depending on what the day requires.
- What’s your favorite quote? “The only thing that I know is that I know nothing.” – Socrates
- What are your hobbies? He loves reading about the history of finance and being active by playing soccer or golf.
- What is the best business book you’ve read? Liaquat Ahamed – Lords of Finance: The Bankers Who Broke the World
- If there was one key piece of advice you could leave our listeners with about achieving success, what would it be? “Always fall forward”. For him the trick is to be diligent in maintaining and accounting for all the possible risks before you go into certain business decisions.
About our Guest, Drew Sterrett
Drew Sterrett is the co-founder and CEO of LEX Markets, the first and only commercial real estate securities marketplace available to non-accredited investors. LEX will be listing its first property soon, and anyone will be able to buy shares of individual commercial real estate properties in $100 slices. Drew is a Harvard graduate with a big dream for the future of investing, working to open up one of the most desirable asset classes to the everyday people who make it so valuable.