PeerStreet, a Los Angeles, CA-based platform for investing in real estate backed loans, completed a $60m Series C funding.
The round was led by Colchis Capital with participation from existing investors Andreessen Horowitz, World Innovation Lab and Thomvest Ventures.
The company intends to use the funds to continue to hire talent and scale its two-sided marketplace.
Founded in 2013 by Brew Johnson, CEO, and Brett Crosby, COO, PeerStreet is an investment marketplace that enables accredited investors to invest in real estate backed loans.
Loans are sourced from vetted private lenders throughout the United States who often have regional real estate expertise and long-term borrower relationships.
Each investment opportunity PeerStreet offers is reviewed both algorithmically by the company’s technology platform, as well as manually by experienced in-house real estate and legal teams. The company then aggregates those loans for institutional and accredited retail investors, who in turn provide PeerStreet-approved lenders with capital. Those lenders then make loans to end borrowers who buy properties, improve them, then either sell them to homebuyers or rent them out to tenants.
The company has had over $2 billion transacted on the platform as of March 2019.
In addition to the Series C funding, PeerStreet has secured $4.25 billion in new capital commitments from institutions to purchase loans through its proprietary platform. These commitments will bolster the company’s existing suite of short-term bridge loan products and grow the recently launched 30-year buy to rent loan program.