The fast growing, LA-based company has already done several million dollars in deals in just a few months. Currently, the company is only allowing work with accredited investors. Patch of Land understands real estate finance and the need for incorporating crowdfunding in todays industry. For this reason, Patch of Land has been able to stay ahead of the competitors.
It is certain is that real estate crowdfunding is going to boom, once other companies recognize the opportunity available, according to the Crowdfund Insider:
"The company currently is leveraging an interesting model. Using internal capital they are acting as underwriters for the development project – and then turning to the crowd to sell the asset. This means once they have approved a project, the developer may start. No waiting on the crowd. This also means they are pretty confident of the deal if they are using their own funds to facilitate the funding process. Patch of Land is crowdfunding both residential and commercial real estate debt stating that they will work only with best in class developers. They intent to partner with developers who are rebuilding communities across the country, while offering investors new asset classes and high quality opportunities for portfolio diversification."Dan Zwirn, who is Managing Member, Chairman and Chief Investment Officer at Arena Investors and Managing Member of Zwirn Co., will advise the executive team along with Patrick Gannon, of Archimedes Labs LLC. Zwirn has also served as Founder/Portfolio Manager of the Special Opportunities Group of MSD Capital, L.P., the private investment firm of Michael Dell.
