AssetAvenue, an online commercial real estate lending platform, has raised $3 million in seed funding.

The funding will go toward developing the Culver City company’s partnerships with lenders, expanding its investor base and further building out its lending platform.

AssetAvenue is a crowdfunding site that secures loans for commercial real estate, including office buildings, shopping centers and industrial properties. Property owners can borrow up to $10 million with the proceeds paid out over as many as five years.

The peer-to-peer platform also assembles small amounts from many investors online. However, it also manages larger investments from accredited individuals as well as institutional partners looking to invest in commercial real estate debt. The minimum investment size for them is $5,000. Returns to investors are paid monthly and range between 8 to 11 percent a year.

Founder David Manshoory began forming his team of 20 in December. Manshoory declined to share the total amount of loans the company has helped crowdfund but said the average loan size was $500,000.

Like traditional lenders, AssetAvenue charges points to borrowers. For investors, it charges 1 percent on all its loans, a pricing model Manshoory calls “transparent.”

Crowdfunded real estate is becoming a hot listing. Beverly Hills real estate company Realty Mogul in July crowdfunded $1.5 million from 85 investors to purchase 17 percent of the total equity for Hard Rock Hotel in Palm Springs. And Lending Club Corp. in New York filed for a $500 million initial public offering late last month.

“This is a long road ahead, but it’s going to be a big industry,” Manshoory said. “We think the smart investors will follow great deals so we’re specific on ensuring we can put through the highest quality loans.”

The seed money came from a group led by Matrix Partners and NetEase Capital.

Staff reporter Melissah Yang can be reached at [email protected]. Follow her on Twitter @MelissahYang for the latest in L.A. tech news.