The remnants of RealtyShares — the now-defunct crowdfunding platform — have been scooped up by another real estate firm.
New York-based iintoo acquired RealtyShares’ assets, Inman reported. The move boosts the company’s portfolio size to $2.5 billion assets under management from $1 billion, according to the company.
Current and former investors in RealtyShares will be able to access iintoo’s crowdfunding platform, the report said. The deal — terms of which were not disclosed — is a joint venture between iintoo and Texas-based real estate firm RREAF Holdings, LLC, which will manage the investment porftolio.
As The Real Deal first reported, RealtyShares laid off the vast majority of its staff last year and failed to secure more funding. The startup had raised more than $63 million from venture capital players like Union Square Ventures, Cross Creek, Hone Capital and Blue Mountain, as well as Starwood Capital’s Barry Sternlicht and Chinese firm Danhuan Capital. At the time, last-ditch efforts to find a buyer for the company failed.
When the company went bust, RealtyShares was “the second largest online real estate investment platform in the U.S.,” according to iintoo. It once accepted investments of as little as $1,000, though its website currently lists the minimum investment as $10,000.
With iintoo, minimum investments start at $25,000. The company said the deal will help accelerate its global push, the report said. [Inman] — Meenal Vamburkar