Sharestates, a real estate technology platform designed to support and accelerate the redevelopment of residential housing, closed a $100 million warehouse line of credit led by funds managed by the credit group of Ares Management to capitalize on demand from borrowers. This additional warehouse capital complements existing credit facilities and increases the company’s overall borrowing capacity to better support the company’s growing loan origination volume.
“With the successful launch of our national sales expansion strategy in Q4-2021, Sharestates has seen early success growing loan origination volume by over 40% quarter-over-quarter and nearly double year-over-year for 2021. Our outlook for 2022 remains optimistic and this new credit facility will help Sharestates continue to ramp up in support of our aggressive growth targets.” Stephan Leccese, COO of Sharestates, said.
This move is part of the company’s broader expansion strategy that has recently added additional staff, senior management, an independent board member and expanded its geographical presence across the nation.
With the new debt facility, Sharestates is well-positioned to continue scaling its loan originations to real estate developers that purchase, refinance and rehab single-family residential properties as well as small to mid-sized multifamily projects across the country. The company surpassed $3 billion in total origination volume in 2021 and remains bullish on residential housing development this year. Sharestates intends to continue to expand credit for borrowers and manage credit risk while also expanding access to residential real estate debt for its investors.
“We are excited to work with Ares as our origination volume grows to fill the void in real estate financing left by traditional bank lenders. We appreciate Ares’ support as we scale our business to meet the increasing capital demand from our borrowers.” Allen Shayanfekr, CEO of Sharestates, said.
