Crowdfunding Creates Evangelists

Shaan Puri shares his perspective on buying Michael Jordan's house through crowdfunding, focusing on the marketing advantages and potential business models. He believes crowdfunding offers unique benefits over traditional funding methods for such a high-profile purchase.

• Crowdfunding Benefits:

  • Creates more viral, PR-worthy stories than traditional funding
  • Turns investors into natural evangelists for the project
  • Could gather 5,000 people at $2,500 each to purchase the property

• Property Details:

  • 56,000 square foot home in Highland Park, Illinois
  • Originally listed at $29-30 million, now reduced to $13-14 million
  • Located 20 minutes from Chicago airport
  • Features Jordan's signature elements (Number 23 gate, indoor basketball court)

• Potential Business Models:

  • Modern Museum Concept:
    • Similar to Museum of Ice Cream model ($200M valuation)
    • Photo-heavy experiences throughout the house
    • Instagram-worthy moments in each room
  • Sports Memorabilia Vault:
    • Store rare collectibles and sports cards
    • Display valuable signed items
    • Capitalize on current sports card boom

• Revenue Potential:

  • Could generate $5-10 million annually
  • Comparable to other historical homes (Graceland, Monticello)
  • Target audience: Basketball fans, tourists visiting Chicago
  • Alternative use as high-end event space for bachelor parties

• Investment Structure:

  • Initial purchase: $13-14 million
  • Additional setup costs: $4-5 million
  • Could use platforms like Rally Road for fractional ownership
  • Liquidity concerns due to property's previous selling challenges