Crowdfunding startup Sharestates secures $30M from investment fund

Funding will allow the Long Island-based RE tech firm to expand its lending

TRD New York /
May.May 05, 2015 03:44 PM

Hardly a month goes by without a real estate crowdfunding startup getting big bucks from investors. Long Island-based Sharestates just became the latest, with an expected commitment of $30 million from an affiliate of Ranger Capital Group.

The money will not go to the startup itself, but to real estate projects listed on Sharestates’ platform. In essence, it will complement the money Sharestates raises from small-time investors. Ranger, a Texas-based investment firm, plans on investing the money through its direct lending fund in residential, commercial and mixed-use properties in New York throughout the rest of the year, according to a news release.

“In our view, Sharestates is one of the most promising real estate platforms in the direct lending industry. We are excited to have them as a partner moving forward,” said Bill Kassul, partner in the Ranger Direct Lending Fund.

Founded in 2013 by Allen Shayanfekr, Radni Davoodi and Raymond Davoodi, Sharestates focuses on financing fix-and-flip loans with an average value of $350,000.  So far, the firm claims to have raised a total of $4.5 million for 13 projects. Ranger’s money could allow the startup to dramatically expand its business and compete with larger rivals such as Fundrise or Patch of Land.

Sharestates isn’t the first crowdfunding platform to turn to an investment fund to finance its projects. For example, California-based Patch of Land claimed to have secured a commitment from an unnamed hedge fund in 2014 to invest up to $25 million per month.

“It is truly a transformational deal for Sharestates, and a relationship we trust will only grow over time,” said Allen Shayanfekr, CEO of Sharestates.


Related Articles

arrow_forward_ios
Eric Gordon

Eric Gordon on the evolution of the residential data game — and how to stay competitive in the new world

Eric Gordon on the evolution of the residential data game — and how to stay competitive in the new world
Big Tech locations in NYC

MAP: Here’s a look at all the Big Tech locations in NYC

MAP: Here’s a look at all the Big Tech locations in NYC
What will proptech look like in 2019 and beyond?

What will proptech look like in 2019 and beyond?

What will proptech look like in 2019 and beyond?
(iStock)

Is winter coming? Real estate stocks dragged down by 4th week of market decline

Is winter coming? Real estate stocks dragged down by 4th week of market decline
Dell CEO Michael Dell, Google CEO Sundar Pichai and Tesla CEO Elon Musk (Getty; iStock)

CRE is doing better in cities where tech dominates

CRE is doing better in cities where tech dominates
Simon Property Group CEO David Simon and ShopShops CEO Liyia Wu (LinkedIn; iStock)

Simon Property Group livestreams merchandise in new partnership

Simon Property Group livestreams merchandise in new partnership
The Real Deal's E.B. Solomont

Future City: A weekly guide to everything proptech

Future City: A weekly guide to everything proptech
Clockwise from left: Costco, Walmart, Target and Home Depot (Getty Images)

A few big-box stores now account for 29% of US sales

A few big-box stores now account for 29% of US sales
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...