reAlpha, a Dublin, OH-based, AI-powered real estate technology and investment company, received a $100M capital commitment.
The round was led by GEM Global Yield LLC SCS. Per the terms of the agreement, GGY commits to providing reAlpha with a share subscription facility of up to $100M for a 36-month term following the public listing of reAlpha’s shares. reAlpha will remain in control of the timing and, within certain limits, the maximum amount of each individual drawdown under this facility and has no minimum drawdown obligation. Subject to the public listing occurring, the proceeds from this financing will be used to accelerate reAlpha’s investments in experiential and rent-ready vacation homes and for general corporate purposes.
The company intends to use the funds to accelerate growth, expand operations and its business reach.
Led by CEO Giri Devanur, reAlpha is building a digital real estate investing platform to simplify wealth creation opportunities through investments in vacation homes. reAlpha sources and scores properties from the wholesale market using a proprietary AI-driven algorithm called reAlphaBRAIN. It then predicts the viability of each property for the short-term rental market, as well as the projected long-term value. reAlpha’s business plan contemplates eventually allowing investors to buy equity in specific properties, providing opportunities for short-term passive income generation via Airbnb, as well as equity-driven capital appreciation.
Over the last two months, reAlpha agreed to a $200M joint venture with Singapore-based asset management firm SAIML Pte. Limited to acquire rent-ready vacation homes. The company also secured a $200M financing facility from Churchill Real Estate to accelerate acquisition growth and announced a partnership with RARE Treehouse Resorts to jointly develop a first-of-its-kind treehouse resort in the United States.
FinSMEs
07/12/2022