DALLAS, — RREAF Holdings LLC, a Dallas-headquartered commercial real estate investment firm, has assumed management of RealtyShares, a San Francisco-based commercial real estate technology company. RREAF will provide management services to RealtyShares’ investors and its existing investment portfolio.
RealtyShares, formed in 2013 and one of the largest real estate investment technology platforms in the U.S., successfully closed over 1,100 deals and deployed $870 million in committed capital from over 100,000 registered accredited and institutional investors. RREAF will be part of a concentrated effort to continue managing over 300 active projects, representing over $400 million in debt and equity capital raised from nearly 7,000 investors in over 40 states valued at approximately $1.5 billion.
By becoming part of the RREAF family, RealtyShares’ investors will gain direct access to a commercial real estate firm with industry roots that go back over 35 years. As an industry-leading owner, operator and developer, RREAF has experienced first-hand how technology platforms such as RealtyShares are transforming the commercial real estate landscape, allowing tremendous access and exposure for hundreds of thousands of accredited investors to a sector of investing that was not fully accessible to them just a few years ago. RREAF is committing management resources to the RealtyShares portfolio to serve the existing investors and allow this new form of real estate investing to continue to thrive.
Kip Sowden, CEO of RREAF, said, “It is absolutely critical to us that the investors who backed more than 1,100 deals through RealtyShares have their accounts professionally managed and serviced. RREAF brings to RealtyShares’ investors management expertise based on decades of first-hand experience in the real estate market which will help ensure that the existing investments are managed as prudent as possible. RREAF has eight transactions in which RealtyShares raised common or preferred equity from several hundred investors and assisting our investors, along with thousands of others that faced significant uncertainty in the wake of RealtyShares’ difficulties, is our top priority.”
Doug McKnight, RREAF COO, added, “RREAF will continue to expand its core commercial real estate disciplines in value-add multifamily and leisure resort/hospitality that cater to the middle-America workforce community, along with situational ground-up development. By introducing RealtyShares’ investors to the RREAF family, thousands more investors will be able to access and participate in a principal-based and sponsor-managed real estate platform that is backed by over 35 years of experience in acquiring, managing and exiting transactions through varying degrees of complexities and market cycles, while maintaining a balanced approach to risk mitigation and outsized performance.”
About RREAF Holdings LLC
RREAF Holdings LLC is a privately held commercial real estate company based in Dallas, Texas, with roots that go back over 35 years in the industry. During the first 17 years of operations, RREAF principals and predecessor companies were initially involved in commercial real estate investment banking, focusing primarily on mortgage originations and investment sales before transitioning to the principal side of commercial real estate over the past nearly 20 years. More recently, RREAF has focused on expanding its real estate portfolio through a programmatic value-add multifamily acquisition platform, an opportunistic hospitality and resort redevelopment platform, along with targeted ground-up development. RREAF’s vertically integrated corporate structure employs over 240 people across many regions of the nation handling all aspects of commercial real estate. Underwriting, due diligence, capital markets and legal teams work closely together during the acquisition phase. Once acquired, a property benefits from in-house asset management, property management, construction/development management, project/CapEx implementation and ongoing accounting and legal support. RREAF’s mission is to provide an outstanding level of service, excellence and expertise in the commercial real estate market while striving to meet or exceed the high expectations of its investors, partners, residents and guests at all its owned and operated properties. As principal partner, RREAF has built a diversified portfolio through its core competencies in excess of $850 million over the past five years, with current pipeline projections pushing the portfolio past $1.2 billion in AUM by the end of 2019. For more information, visit https://www.rreaf.com/.
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