Equity Real Estate Investments and Capital Calls

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It’s always annoying when more money is needed than was expected for a project.  It happens often enough in daily situations; wedding budgets get blown, plane tickets turn out to be more expensive than anticipated, etc.  Thankfully, with real estate projects, experienced sponsoring real estate companies generally have a good handle on expected costs and
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Bill Lanting: Everything Old is New Again

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In my admittedly-biased opinion, I believe that the nascent crowdfunding industry represents the most compelling innovation in commercial real estate capital formation since the real estate syndication heydays of the 1980s. I also believe that RealtyShares can emerge as the leading provider of crowdfunded investment capital for real estate transactions in the United States. Let
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Scaling the Wall of Maturities

Wall of Maturities

A significant portion of outstanding commercial and multifamily mortgages held by CMBS-backed lenders were to mature in 2016-17 – a phenomenon that worried market observers referred to as  a “wall of maturities.”  The market has, so far, scaled this wall of maturities — and online marketplace lenders have a place in sorting out these pre-recession
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Borrower vs. Asset-Based Loans

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Unsecured consumer credit loans – in the online marketplace world, a market generally dominated by Lending Club and Prosper, although SoFi has laid claim to student loans and Kabbage to small business loans – are usually just that; there’s no collateral behind them in the event of borrower non-performance. Asset-based loans are different. Unsecured loans
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Arash Sotoodehnia: Changes in Washington and How it Could Affect Housing Policy

Arash

As I have just passed my 6-month anniversary as RealtyShares’ Chief Risk Officer, I want to establish a regular dialogue with you, our investors.  Given that we just elected a new president, let’s start by discussing some of the potential impact that the new Trump administration may have on real estate and housing.   President-elect
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CMBS Lenders and Real Estate Marketplaces

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Real estate marketplace equity providers are generally easier to work with than many other capital sources, and can be significant sources of referral business to CMBS lenders.  CMBS lenders should thus view these marketplaces as welcome financing partners in commercial real estate projects, despite some misplaced fears about their nature. Some Misconceptions about Marketplace Equity Providers Something
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Equity Real Estate Investments

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What’s the difference, anyway, between crowdfunded individual real estate investments and REITs? Marketplace platforms like RealtyShares offer equity real estate investments through “direct participation” investment vehicles such as limited liability companies (LLCs).  These entities, together with similar vehicles at the property title-holding level, allow for the “pass-through” of depreciation, interest expense, and other deductions that
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