Sharestates Launches New Online User Portals to Fully Optimize Real Estate Investment Process

Sharestates, an online real estate investment platform, announced on Thursday the launch of new online user portals that fully optimize the real estate investment process from beginning to end, providing investors with the first ever UX solutions in the real estate investment industry. According to Sharestates, the online portals provide lenders, borrowers, and third party vendors involved in the developmental stages to obtain and procure loans.

The platform stated its solution was designed by its development team alongside CEO and Co-Founder Allen Shayanfekr with UX and functionality in mind – now offering investors a streamlined “one-stop shop” in real estate financing. In launching the new online portals, Sharestates is reportedly incorporating engineering, audience development and content for a fresh and crisp user experience aimed at helping users simplify the money lending and borrowing process. The portals now include interfaces for borrowers, brokers, bank attorneys, settlement agents, and title companies. The investment portal noted it plans to add interfaces for inspection companies and appraisers over the coming months.

Speaking about the developments, Shayanfekr stated:

“As we continue to strive to be the nation’s leading private lender, Sharestates identified the lack of a true user experience throughout the real estate investing arena,” said . “The need for a fully functional website that has the tools and simplicity to allow for seamless business transactions is paramount in the real estate investment space.”

Sharestates’ new online portals will also provide investors with the ability to remove the tedious and timely human factor that is implicit with securing borrowed money and instead, live and breathe reactively within Sharestates. The portals now connect various systems and functions of a site, such as underwriting and processing, that are normally independent of each other and will create compatibility between them to ensure cohesiveness. Additionally, the online portals will host all activity, documents, and updates in one place, which can be updated, completed, and submitted accordingly. Further saving time and confusion while simplifying the process digitally. Shayanfekr added:

“While not web designers by trade, we realized that there was a true lack of functionality and simplicity throughout the real estate investing space, compared to many other industries. This was not in existence before and now it will bring our crowdfunding industry up to speed to ensure that our customers receive the highest quality product within a reasonable and fair time frame.”

Sharestates Receives Approval for the Arizona Banking Department Roster of Lenders, Has Financed $840 Million in Real Estate Loans to Date

Sharestates, an online real estate investment platform, has been added to the Arizona Banking Department roster of lenders. With this state level approval, Sharestates says it will now offer their loan products to the real estate speculation and development community in a new statewide effort.

Sharestates also reported it had originated over $840 million in real estate loans since platform launch in 2014. Currently, Sharestates is averaging monthy originations of $43 million. The real estate crowdfunding platform has funded more than 895 individual loans, providing an average return on investment of 10.42%.

Sharestates co-founder and CEO, Allen Shayanfekr thanked the Arizona Department of Banking for approving their application. He described the Arizona market as a unique opportunity for his company.

“Growth, more importantly sustained growth, is essential for the stability of Sharestates,” said Shayanfekr. “We are excited about providing borrowers in Arizona the premium services and products that have come to be expected from the Sharestates brand. We look forward to working in conjunction with the existing lenders and origination teams in Arizona to expand our footprint in this evolving movement known as real estate marketplace lending.”

While real estate marketplace lending continues to grow throughout the United States, Sharestates says it is the “preeminent resource for borrowers and institutional investors looking to optimize returns.” Sharestates’ launch into Arizona will focus on not only growing the company as a whole, but subsequently the entire industry.

 

Real Estate investment Platform Sharestates Launches One Click Closing Option

Sharestates, an online real estate investment marketplace, announced on Thursday the launch of its new One Click Closing tool, which is described as a feature that will allow return borrowers to visit a page where they can upload all the details and documents required for a new loan, allowing for a seamless transfer of closing date information without further communications.

According to Sharestates, the launch of this new tool coincides with the company’s overarching goal of providing borrowers with a streamlined funding process, while providing them the opportunity to solely focus on identifying viable real estate investment opportunities.

Sharestates also revealed that with the new One Click Closing, return borrowers now have access to a simple, efficient way to submit specific details and documents pertinent to a new loan and receive a closing date on that loan without further communication.

“This new tool eliminates the unnecessary time it takes to review and process lengthy paperwork that can hinder the efficiency of the loan acceptance process. This feature will also offer the opportunity for the same underwritten entity to manage all of the necessary documents and details of a potential new loan in a safe, secure space.”

While sharing more details about the One Click feature, Sharestates CEO, Allen Shayanfekr, stated:

“This tool is going to change the game for real estate investing. We all know the phrase ‘time is money’ – well in this case, we are saving our borrowers both. Our team has done an exceptional job of helping our borrower base acclimate to an online solution to what was once an antiquated lending process. This new feature is a huge step for our industry and is sure to become a staple in the lending process for future platforms. We are excited about 2018 and have more features in development to help deliver on our missions statement.”

Sharestates added its new interface provides a user-friendly and client-focused tool, making investing in real estate loans hassle-free.

Sharestates Appoints New Chief Operating Officer, Adds SOC 2 Type 2 Certification

Sharestates, an online real estate crowdfunding marketplace, has announced that Nicole Joseph has joined the executive team as the new Chief Operating Officer. Joseph will partner with the company’s CEO, Allen Shayanfekr, to run operations and compliance while broadening infrastructure to support the firm’s continuous growth.

The new hire is accompanied by the completion of the company’s SOC 2 Type 2 Certification, which affirms that Sharestates now meets the security requirements and parameters for storing information on the cloud as laid out by The American Institute of CPAs (AICPA). As part of her responsibilities, Joseph will ensure the company continues to operate within these policies guaranteeing customers the highest level of data security.

Joseph experience is in operations, administration, project management and technology. With over 18 years of experience in both small and large firms across various industries, she is described as having driven successful global and regional initiatives, while also spearheading the design of corporate governance and compliance programs. Joseph holds an Executive Master of Science from Columbia University, Executive Education from Harvard Business School and a Bachelor of Arts from Hofstra University.

“I am joining Sharestates for the opportunity to be a part of an innovative and experienced organization that is driving industry change,” commented Joseph. “I am impressed by what the senior management team has accomplished, and I’m excited about their vision for the future. My intention is to support the company’s strategic goals by helping them build a world class organization.”

Sharestates CEO Allen Shayanfekr said Joseph’s appointment was indicative of his company raising the standards of operations and security within the crowdfunding industry.

“Our new appointment and certification further demonstrates our commitment to the ongoing success of our company, as well as the security of our clients’ sensitive data,” added Shayanfekr.

 

 

Sharestates Reports $500 Million in Originations. Adds Auto Invest Tool for Real Estate Investors

Sharestates, an online real estate investment marketplace, has topped a major milestone: $500 million in loan originations for real estate investment. Sharestates predicts it will surpass $1 billion in real estate loans before the end of 2017. The announcement was joined by the release of a new feature for investors, the Auto-Invest tool.

The new functionality is designed to maximize an investor’s chances of investing in the platform’s real estate loans. The new feature will allow investors to choose from multiple strategies, including a custom investment strategy that includes 12 underwriting filters to choose from. Sharestates said the tool will help eliminate “cash drag,” as auto investing can be triggered before a loan sells out. This will allow investors the ability to increase the frequency at which their funds are re-deployed into their qualifying Sharestates’ loans for investing.

“The Auto-Invest feature will help increase efficiencies for investors as they grow their real estate portfolios,” said Sharestates CEO Allen Shayanfekr. “This new feature will alleviate the fear of missing out on real estate loans, while expediting the investment process and eliminating the constant scrolling and searching for the perfect property. We credit our $500 million milestone to constantly integrating new tools that make investing with us secure and easy, granting peace of mind to our user base in allocating more funds to our platform.”

Sharestates says it continues to outperform the online real estate lending industry since inception in 2014. Monthly loan totals  are currently exceeding $60 million. Sharestates says it has funded more than 520 individual loans, providing an average return on investment of 10.62%.

Sharestates Launches White Label Lending Solution for Real Estate Private Lenders: Shareline Solution

Sharestates, an online real estate investment marketplace, has announced the launch of a new financing capability; Shareline Solution. The new service is a hybrid between lending and brokering a loan. Private lenders will have access to Sharestates lending capabilities to directly serve their clients all under their own brand. The new lending service is described as a white label, correspondent lending program that empowers private lenders to quickly launch a robust real estate crowdfunding and lending marketplace. Sharestates works with both individual and institutional investors.

With this solution, Sharestates explains it will tap into more geographical regions by working directly with local, private lenders through strategic partnerships. Lenders using Shareline Solution will be able to offer financing through the Sharestates platform, while still controlling the process of the loan qualification.

“As the company expands its geographical footprint, it saw great demand for this kind of product. We took the process, referred to in traditional banking as correspondent lending, and gave it our own unique touch,” stated Sharestates CEO Allen Shayanfekr. “Since private lenders are not in the business of brokering loans, we created a financial product that meets their needs and goals, and contributes to our long-term goal of being a trusted source of lending across the country.”

The Shareline Solution allows private lenders the ability to utilize Sharestates warehouse lines and lending capabilities to directly service their clients under their own brand, while Sharestates holds the underlying paper and servicing rights.

Sharestates is one of the largest real estate crowdfunding platforms in the US today. The platform has helped to finance over $450 million with 90% of this capital in senior debt. In 2016, Sharestates annual returns averaged 10.47%.  The company’s website states that crowdfunded loan approvals may be completed in less than 48 hours with funding in as little as four days.

 

Sharestates Receives Emerging Real Estate Platform Nomination For the LendIt Conference Industry Awards

Real estate crowdfunding platform Sharestates announced on Thursday it received a nomination for LendIt Conference Industry Awards’ emerging real estate platform award. The winner will be announced on March 7th at the Edison Ballroom in New York City.

Speaking about the nomination, Allen Shayanfekr, co-founder and CEO of Sharestates, stated:

“We would like to thank the committee for acknowledging us as a candidate for this prestigious award. Our ability to deliver on our mission is a product of the comradery displayed by our peers working together to introduce crowdfunding’s ability to participate in the global financial marketplace, more specifically in real estate. This level of recognition validates the hard work that we are putting into growing our brand in this exciting new space. We are confident in our ability to provide investors with solid risk-adjusted returns while giving borrowers financing with precision, speed and ideal pricing.”

Peter Renton, Chairman and co-founder of the LendIt Conference, also commented:

“The first annual LendIt Awards is a community celebration designed to recognize and bring awareness to the exceptional companies in our industry. Recognizing young platforms like Sharestates, that have stepped into the fintech space and made a big impact so early on, is part of the LendIt mission. We wish Sharestates and all the nominees the best of luck.”

The LendIt Conference will host 2,400 companies, 100 media partners and 5,000 attendees representing more than 40 countries next month. As of December 31, 2016, Sharestates has reportedly funded over $275 million in loan volume while returning more than $151 million to investors.

Sharestates Tops $275 Million in Real Estate Investment

New York City Real Estate

Sharestates, a real estate crowdfunding platform, has hit $275 million in loans since platform launch in 2015.  The milestone makes Sharestates one of the largest online real estate investment platforms of its kind.  Sharestates said the December 2016 was the most active month in the platform’s history originating more than $42 million in loans. Sharestates said that loan volume has nearly doubled in just three months.

allen-shayanfekr-and-raymond-y-davoodi-sharestatesIn late 2016, Sharestates announced a capital commitment for the purchasing of loans in the amount of $1.3 billion. The commitment has been an important variable to the site’s success. But Sharestates also points to their underwriting skills.

“A key to our growth has been our ability to identify safe and profitable investments that will generate higher yields than the industry average,” said Allen Shayanfekr, co-founder and CEO of Sharestates. “As the crowdfunding industry expands, we are confident in our model’s ability to maintain outstanding results for investors and generate competitive returns.”

Asked about deal flow and potential challenges during the coming year, Shayanfekr told Crowdfund Insider;

“The biggest challenge is going to be balancing our growth as a company with the increasing demand on both the investor and borrower side. As we continue to grow we are going to invest in people, processes and more technology, all of which are essential to sustain the growing operations and loan volume. Our deal flow continues to grow strongly; it has always been the core of our business. In Q4/16 alone we closed $95 million, and December was our best month in our history at $42 million.”

Asked about expectations for platform operations in the coming year Shayanfekr was very bullish;

“We expect to originate at least $750 million over the course of 2017, bringing our cumulative originations to over $1 billion,” said Shayanfekr. “We’ve been focused on sustained growth, and our efforts are paying off. We have the investor demand, and our origination programs are delivering solid borrowers, projects and returns. 

Sharestates recently launched a Series A equity crowdfunding round through SeedInvest. The round will remain open until the end of January 2017.

As of December 30, 2016, Sharestates reported having returned more than $151 million to its investors with no loss of principal and yielded a net average annual return of 11% to investors.

Sharestates’ Latest Milestone: Hits $1.3 Billion in Funding Capacity

Real estate crowdfunding platform, Sharestates, announced on Tuesday it has successfully raised $1.3 billion in committed capital for the purchase of loans. Launched in February 2015, the funding website has originated more than $150 million in loans for over 200 projects, with an average loan size being $728,000.

Allen ShayanfekrTo date, the company has reportedly returned more than $50 million to investors with an average return rate of 11.36% for 2016. There was also zero loss of principal, and its current trajectory is $25-$30 million month to month origination volume. Allen Shayanfekr, Sharestates’ co-founder and CEO, stated:

“The process to onboard these funds was extremely difficult – requiring multiple site visits, third party reports, and vetting of our entire operational process from application to post closing practices. Our team received great scores on each of the various aspects of the audits, enabling us to continue to grow our platform and brand.”

This news comes just several months after Sharestates received $300 million in loan purchase commitments, which was driven by collaborations with Prime Meridian Capital Management and Colony American Finance. Shayanfekr previously noted:

“Institutions, like Colony American Finance and Prime Meridian – as well as accredited individual investors – are looking for partners in this space that have large pools of qualified borrowers to select from and track records that reflect superior underwriting. These loan purchases will enable us to offer frequent opportunities for investors to diversify, while also giving individuals the increased confidence that comes with investing in the same deals as accomplished institutional firms.”

Sharestates BoothRyan McBride, COO of Colony American Finance, commented:

“We are thrilled to expand our presence in the marketplace lending space by partnering with a market leader like Sharestates, which has demonstrated expertise in both deal-sourcing and underwriting.”

Prime Meridian managing director, Peter Lowden added:

“There are only a handful of platforms in the real estate marketplace lending space that have shown the ability to source and identify some of the strongest borrowers and best projects, which is the key to consistent results. Sharestates’ track record for delivering value-added returns makes it an attractive platform for purchasing loans.”

Sharestates Hits New Milestone: Surpasses $300M For Real Estate Loan Purchases

Sharestates announced on Monday that it has surpassed $300 million in total funds set aside for the purchase of loans. The investment portal that allows investors to participate in  pre-vetted real estate projects.

SharestatesThe company stated that its recent growth was fueled by its partnerships with Colony American Finance and Prime Meridian Capital Management. These two collaborations reportedly come on the heels of a similar partnership Sharestates forged with Ranger Direct Lending and an additional partnership with a large East Coast private equity firm in February.

Sharestates has reportedly returned more than $16 million to its investors, with 28 loans paid in full and zero loss of principal. To evaluate each loan and borrower, the platform undertakes a 34-point underwriting process that includes a complete analysis of the project’s financial profile, the borrower’s track record, and the property’s fundamentals. All of its loans are secured by the property and the personal guarantee of the borrower.

 

Allen Shayanfekr, Sharestates’ founder and CEO, stated:

Allen Shayanfekr“Institutions, like Colony American Finance and Prime Meridian – as well as accredited individual investors – are looking for partners in this space that have large pools of qualified borrowers to select from and track records that reflect superior underwriting. These loan purchases will enable us to offer frequent opportunities for investors to diversify, while also giving individuals the increased confidence that comes with investing in the same deals as accomplished institutional firms.”

Ryan McBride, COO of Colony American Finance, commented:

“We are thrilled to expand our presence in the marketplace lending space by partnering with a market leader like Sharestates, which has demonstrated expertise in both deal-sourcing and underwriting.”

Sharestates BoothPrime Meridian Managing Director Peter Lowden added:

“There are only a handful of platforms in the real estate marketplace lending space that have shown the ability to source and identify some of the strongest borrowers and best projects, which is the key to consistent results. Sharestates’ track record for delivering value-added returns makes it an attractive platform for purchasing loans.”

East Coast Private Equity Firm Taps Sharestates For $60M In Purchase of Loans

Real estate crowdfunding platform, Sharestates, announced on Wednesday that an east coast private equity firm has selected the portal for the purchase of loans with a 2016 target of $60 million.

SharestatesAccording to Sharestates, this new partnership reinforces institutional recognition of its underwriting excellence, while enabling the company to continue originating loans at a steady clip as it continues to build a dynamic marketplace for individual accredited investors and institutional capital. The loans will be purchased on a forward flow basis.

Allen Shayanfekr, Sharestates’ founder and CEO, stated:

“This relationship is confirmation that Sharestates’ ‘gold standard’ underwriting program, which has set us apart in terms of loan performance, puts us at a unique advantage in drawing capital to our platform. The ability to attract institutional capital enables us to provide more investment options and flexibility to our individual investors, who will remain critically important in our mission to bring real estate investing to a broader group.”

With an average net annual yield of 10.4%, Sharestates has reportedly returned more than $16 million to its investors, with 28 loans paid in full and zero loss of principal. To evaluate each loan and borrower, Sharestates undertakes a 34-point underwriting process that includes a complete analysis of the project’s financial profile, the borrower’s track record, and the property’s fundamentals. All of Sharestates’ loans are secured by the property and the personal guarantee of the borrower.

Allen Shayanfekr and Darren MacDonaldShayanfekr commented that the private equity firm chose to target loans on Sharestates’ platform because it sees unique value in the management team’s deep real estate experience, its ability to cultivate a large pipeline of deals and its track record in rewarding lenders. The institutional purchase of their short-term notes allows investors to move their capital into new investments on a regular basis without having to wait for the entire loan term to conclude. Through diversification and redeployment of capital, individual investors can manage their risks effectively.

Shayanfekr added:

“Not only does a large volume of loan purchases provide us with ability to offer greater opportunity across the board for both individual and institutional investors, but it also allows us to supplement our already rigorous underwriting with third-party evaluation that comes with institutional partnership. By investing side-by-side with institutional investors, individuals know they are participating in the very best deals.”  

LendTech Angels Hosts First Successful LendLab for FinTech Entrepreneurs

Kiran Lingam LendTech Angels LendLab

Despite a hot and rainy New York City morning, there was a great turn-out at LendTech Angels’ first LendLab event.  Hosted by Kiran Lingam, managing director of LendTech Angels, the event gave aspiring marketplace lending startups an education in the regulatory landscape they are entering. The overall theme of the event was candor, and the openness and generosity of industry insiders was refreshing.

Matt Burton of Orchard LendTech Angels LendLabThe day was kicked off with a keynote speech by Matt Burton, CEO of Orchard. Matt spoke of the state of marketplace lending noting its doubling in size every nine months and instructed participants to “focus on what they are good at” and not try to provide an end-to-end solution. He confirmed that there is still plenty of room for new entrants in the industry.

Then Greg Nowak, president and chairman of the Pennsylvania Economic League and a securities law partner at Pepper Hamilton provided a white board depiction of certain legal structures used by marketplace lenders.

Next up, Tonio DeSorrento, co-founder of Vested Finance discussed how to determine what regulatory framework would apply to a particular lending business and noted that it is better if you can run your business without being hostage to a bank. He also counseled to startups “talk to people who have done this; it is complex but it is not novel.”

Product distribution, the actual selling of securities to investors, was addressed by Brian Korn, banking and securities partner at Manatt Phelps, and Mike Bertisch, general counsel at Dealflow. They provided structuring diagrams and discussed what does and does not constitute a security.

Mark Solomon, general counsel of Orchard, discussed the issues surrounding institutional investors from both the business and legal perspective.

FinTech Mentors LendTech Angels LendLabAfter a pitch session for several marketplace lending startups who were participants in the workshop, the LendLab mentors took the stage during a working lunch to provide guidance and answer questions. Travis Skelly of FinTech Collective, Amit Goyal of Google, Aswin Rajappa of LendKey, Naveen Agnihotri of Lenddo and Robert Leeds of Silar Capital all provided great insight and shared personal experiences that can be learned from. As co-host I enjoyed picking their brains.

The focus then shifted to borrower acquisition, which is often overlooked by new platforms, as explained by Phil Rosen of Even Financial. Penelope Holt of Borrowers First cautioned the participants not to commoditize marketplace lending to rate and term, and to use newly available data to see people more clearly. Both suggested that the entrepreneurs enlist the help of other services and networks to access borrowers.

Georgia Quinn and Kiran Lingam LendTech Angels LendLabNext, Ali Hamed of CoVenture and Ed Dartley, partner at K&L Gates, shared some practical experience and guidance on raising money for your venture. Hamed noted that you need to use your network to raise funds, and if your network isn’t getting it done – fix it. Dartley provided some dos and don’ts and stressed having a defined business plan to keep legal costs down. Hamed also roused the crowd when he noted that despite all of the planning, sometimes an entrepreneur “needs to just f*$%#’ start.”

Jodi Golinsky of CS Card and Andrew Smith, partner at Covington and Burling, addressed the prickly regulations surrounding consumer lending. They described the risks of making lending decisions based on nontraditional data, which although extremely predictive, can be deemed discriminatory in certain circumstances. They also discussed the Madden v. Midland Funding Update case which outlined liability for secondary actors in the lending space.

Brian Korn LendTech Angels LendLabBrayden McCarthy of Fundera and Brian Korn then turned to small business lending and noted the lighter legal landscape when compared to consumer lending. McCarthey, a DC insider, also noted that he felt the recent Treasury request for information is not cause for alarm.

The session was capped of by Michael Dinowitz, real estate partner at Ellenoff, Grossman and Schole, and Allen Shayanfekr, CEO of Sharestates, who discussed real estate platforms. Dinowitz noted that compared to securities law, real estate in and of itself is not a highly regulated industry. He went on to describe the typical real estate capital stack and the legal issues surrounding each level. Shayenfekr

described the distinction between commercial loans for fix and flip deals versus residential mortgage loans and the different regulations for each scenario.

All in all the event was highly informative with practical advice for entrepreneurs and hopefully the first of many for LendTech Angels.


 

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Georgia Quinn National Press Club 2014 A

Georgia P. Quinn is the CEO and co-founder of iDisclose, an adaptive web-based application that enables entrepreneurs to prepare customized institutional grade private placement documents for a fraction of the time and cost. Heralded by Thomson-Reuters as a Top Female Attorney in New York City, she also serves as of counsel at the leading firm in crowdfunding, Ellenoff, Grossman & Schole, specializing in facilitating financial transactions and compliance with JOBS Act regulations.  A foremost expert in corporate finance, she has worked on over $1 billion in business transactions over the course of her legal career. Prior to founding iDisclose, Georgia represented several Fortune 500 companies in financings for six years at Weil, Gotshal & Manges, one of the top ten law firms in the world, and then for over two years at Seyfarth Shaw, a leader in legal technology. As a globally recognized thought leader in the crowdfunding space, she has been a featured speaker at multiple conferences and has presented to such authorities as the Securities and Exchange Commission (SEC) and the American Bar Association (ABA).

 

Sharestates Receives $30 Million Capital Boost from Ranger

Sharestates Booth

Sharestates, a real estate crowdfunding platform, has received a $30 million commitment for fraction and whole loan deals from Ranger Direct Lending Fund, a Ranger Capital affiliate.  Ranger Direct Lending Fund trades on the LSE and recently completed a $200 million public offering specifically for investing in direct lending platforms.  The two partners have agreed to focus debt offerings in the state of New York for investments in residential, commercial and mixed use properties. Ranger affiliated investment advisers manage over $3 billion in assets.Allen Shayanfekr

“On behalf of all of the team members at Sharestates, I want to express our excitement and appreciation over Ranger’s investment. The opportunity allows Sharestates to further enhance and diversify its product offerings while continuing to expand its relationships within the real estate community. It is truly a transformational deal for Sharestates, and a relationship we trust will only grow over time,” Allen Shayanfekr, CEO at Sharestates.

Ranger Partner Bill Kassul lauded the young real estate funding platform;

“In our view, Sharestates is one of the most promising real estate platforms in the direct lending industry. Their on-boarding process was completely transparent and their management team was very easy to work with. We are excited to have them as a partner moving forward,” said Kassul.

Sharestates is an online investment platform that allows investors to participate in  pre-vetted real estate projects. Sharestates sources and qualifies potential opportunities and offers securities to accredited investors through site. Based in Great Neck, New York, Sharestates was founded by Allen Shayanfekr, Radni Davoodi, Raymond Y. Davoodi along with team members, Alex Egan, Wayne Geffen, Michael Ramin and Kevin Shane.