SAN FRANCISCO–(BUSINESS WIRE)–RealtyShares,
a leading online marketplace for real estate crowdfunding, has financed
a $500,000 preferred equity investment opportunity through its network
of investors nationwide to fund the acquisition and rehabilitation of a
22-unit multi-family property in the San Francisco Bay Area.
The project is sponsored by Tesseract
Capital Group (TCG), a San Francisco-based real estate private
equity firm currently holding ownership interests in more than 1,500
multi-family units nationwide. TCG is a repeat sponsor on the
RealtyShares platform, having successfully funded other projects
including a neighboring property.
Located in Hayward, Calif., Greenleaf Apartments is close to accessible
transportation throughout the San Francisco-Oakland-Fremont metropolitan
area. The apartments are currently leased below market rate, with
significant potential for near-term gains. TCG will do interior and
exterior renovations on the property and will manage rentals during the
term of ownership.
“TCG has now partnered with RealtyShares to fund its last two real
estate projects and we firmly believe that real estate crowdfunding has
tremendous upside as a capital source,” said Benjamin Jiang, Managing
Partner at TCG. “Diversified capital is a critical component to any
successful private equity firm, and RealtyShares has proven capable of
not only providing reliable funding, but also serving as an organic
marketing tool for our firm. We’ve been able to expand our reach to
investors all around the nation through a very simple process, with
ample assistance from the RealtyShares team at every step.”
As the second property acquired by TCG in Hayward, this deal offers
RealtyShares investors a chance to work with a development partner with
first-hand experience in the area.
“This is a unique opportunity for our investors to access an attractive
preferred equity position on a completely off-market acquisition,” said
Bryan Schultz, Vice President of Commercial Equity Investments at
RealtyShares. “The location is ideal for Bay Area commuters, with access
to BART, a key transportation line within walking distance. TCG is
well-equipped to reposition this property for significant potential
near-term gains with a very reasonable loan-to-cost ratio.”
To date, the RealtyShares network of investors have funded $200 million
across more than 400 investment opportunities on the platform, funding
residential and commercial projects in 31 states.
RealtyShares is transforming the real estate investment landscape by
connecting borrowers and sponsors to debt and equity capital from
accredited and institutional investors, across an array of financing
products. Private investments are highly illiquid and risky and are not
suitable for all investors. Through the RealtyShares website, these
investors can browse investment opportunities, perform due diligence,
invest online and have 24/7 access to an investor dashboard to watch how
their investments are performing. RealtyShares offers equity securities
Capital Private Securities Corporation, member FINRA/SIPC.
For more information on how to become a real estate investor or to seek
capital through the RealtyShares marketplace, please visit www.realtyshares.com.