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CrowdStreet, a Portland-based real estate crowdfunding business launched last year, on Tuesday announced receipt of $800,000 of seed money from several investors.

Green Visor Capital and Seven Peaks Ventures were the main contributors, CrowdStreet co-founder Darren Powderly said. However, money also came from Portland Seed Fund and several angel investors.

鈥淲e have two customers: the developers and the investors,鈥� CrowdStreet co-founder Tore Steen said. 鈥淲e’ll use this money on hiring engineering talent, increasing marketing campaigns and other outbound efforts.鈥�

CrowdStreet uses an online platform to market projects to investors around the country. It also streamlines the process of verifying eligibility. Steen and Powderly envisioned opening real estate investing 鈥� a venture traditionally reserved for the ultra-rich 鈥� to a group of accredited investors of more modest means, and they’ve done just that.

To qualify as an accredited investor one must have either an annual income of $200,000 (or $300,000 for a family), a net worth of $1 million or trust assets totaling $5 million.

鈥淚 like to think of this as the democratization of real estate investing,鈥� Powderly said. 鈥淭his is the first time people who can’t write a check for $250,000 can get access to institutional-quality real estate investing and do it for $10,000.鈥�

CrowdStreet requires a minimum investment of $10,000, but developers can raise the minimum investment at their discretion, Steen said.

鈥淚 had the idea and became passionate about opening up real estate investment opportunities to those types of investors,鈥� Powderly said. 鈥淚 thought it was a good idea then; now I know it was a good idea. Before CrowdStreet, it would take phone calls, emails, lunches, meetings over cocktails, golf weekends to get investors on board. This method uses a combination of technology and world-class customer service.鈥�

Since introducing its first investing opportunity earlier this year, CrowdStreet has raised more than $2 million for two projects. The first, an assisted living senior housing project in Bloomington, Ind., exceeded its $1.5 million funding goal in just four weeks.

鈥淚t was like a rookie getting into the batter’s box and hitting a home run to be that successful in that short of time,鈥� Steen said. 鈥淚 give credit to Darren.鈥�

More than a year before the opportunity was presented, Powderly was out talking to potential investors, building a base for when CrowdStreet was ready to start choosing projects, Steen said.

鈥淭here was no playbook, no instruction manual,鈥� Powderly said. 鈥淲e were writing it as we went, which was very exhilarating. We hit the sweet spot with what’s attractive to investors.鈥�

Powderly said he came up with the idea in 2012 after the downturn in the real estate market.

鈥淚 couldn’t write a check for $250,000, but I could have written some for $10,000,鈥� he said. 鈥淚 wanted to give other people like me who were looking to add to their portfolio a way to get into the real estate market.鈥�

Jeff Chase, from the Portland area, has invested in CrowdStreet projects. He said he learned about the concept before the company started, and was ready to invest when it did.

鈥淚 like being able to go on the website and browse through the projects,鈥� he said. 鈥淚t’s a low-pressure environment and offers diverse projects. It’s nice to be able to invest in an office building in Texas and a retirement community in Indiana.鈥�

Chase said he is confident that projects will succeed because of the thorough research performed by Steen and Powderly before they present opportunities to potential investors.

Powderly said CrowdStreet takes on about one of every 20 potential projects they find. Though the company in April was considering a 100-unit student housing complex in Eugene, Steen said the team decided against it.

CrowdStreet currently is considering about a half-dozen projects in the Portland area, Powderly said.

鈥淲e’ve got a 鈥榞round up’ multifamily housing development and a shopping center we’re looking at,鈥� he said. 鈥淲e’re also considering an existing apartment building and looking at taking time on recapitalization of existing projects.鈥�