Acquire Real Estate, a commercial real estate crowdfunding platform, announced on Wednesday it completed its fully automated secondary market exchange between two of its real estate investors.
According to the funding platform, investors relied on its patent pending Investor Exchange, which now facilitates a blind auction process that enables a seller to identify a buy. The investors exchanged interest in the DoubleTree by Hilton Dallas-Fort Worth, a 282-room, 8-story hotel located adjacent to the Dallas-Fort Worth Airport.
Sharing details about the second market exchange, Gerry Polucci, Co-Founder and CTO of Acquire Real Estate, stated:
“We built the Investor Exchange with our investors’ need for liquidity in mind. We also built the technology with an understanding that it had to be simple and modernize the process.”
Josh Klimkiewicz, Co-Founder and CEO of Acquire, also noted
“A real estate investor’s need for liquidity is often independent of the deal quality. Longer hold periods and the overall illiquid nature of real estate can deter investors from taking advantage of great investment opportunities. After holding your investment for a year, our Investor Exchange allows you to post your investment for exchange with other Acquire-approved subscribers through a blind auction process similar to eBay. Unlike eBay, however, we receive no compensation for facilitating an exchange. It’s our way of allowing investors to take advantage of great real estate investment opportunities, but still have a possible liquidity option should they need it.”
It was also revealed that Acquire’s technology now allows the exchange process to be quick without the inconveniences usually associated with such transfers. Investors can use the exchange to post all or part of an Acquire investment for exchange with any other member of the Acquire community. Klimkiewicz then added:
“Acquire has replaced a legally confusing, potentially expensive, and lengthy exercise with a simple, automated, two-step process. The Investor Exchange identifies a buyer, establishes a value, generates the documents, manages signing, transfers the funds, and updates the investor’s dashboards and statements. It’s easy and effortless, and it’s provided for free to all of our investors.”