Real estate crowdfunding platform RealtyShares announced on Friday it completed its first full stack capital transaction, securing both debt and equity financing totaling $5.9 million, for the acquisition of Courtship Village, a 132-unit garden style apartment complex in Lancaster, Ohio. The property acquisition was led by Hamilton Real Estate Capital, a multi-family investment firm and a repeat sponsor on the RealtyShares’ platform.
“RealtyShares is not just building an origination platform for borrowers, but a full ecosystem that can service different needs. Sourcing both debt and equity from a single project is really a game changer for borrowers. It overcomes the inefficiency of raising two types of capital from two different sources, and it is a major milestone not just for real estate marketplaces but for the real estate market more broadly.”
Tom Kaplan, Principal at Hamilton, also commented:
“RealtyShares was able to provide a one-stop-shop for both equity and debt. RealtyShares sourced nearly $6 million of the $6.2 million we needed to close. The team was attentive, professional and effective. We couldn’t be happier.”
Nick Fletcher, Associate Director of Commercial Debt Originations at RealtyShares, added:
“Hamilton brought us a sound multifamily asset in a strong market that naturally lended itself to creative financing. We saw this as an opportunity to complement our equity position with accretive debt financing that brought the blended cost of capital down. This deal underscores RealtyShares’ efforts to find better methods to secure capital for sponsors, and this is sure to be the first of many more full stack deals to come.”
To date, the RealtyShares’ investors have funded upwards of $300 million across more than 550 investment opportunities on the platform, funding residential and commercial projects in 35 states.