From Tech Crunch
RealtyShares is kind of like a “LendingClub for Real Estate,” providing a platform for crowdfunding real-estate development. And the company just raised $1.9 million led by General Catalyst to make its offering available both to more developers and more investors.
In the past, real-estate developers typically turned to outside investors and banks as a way to raise funds for projects. But the process of raising capital isn’t always easy, and more importantly, the process of paying investors back is even worse.
RealtyShares offers up an alternative through which real estate sponsors and borrowers can crowdfund their projects, bypassing banks and larger investors. Instead they can collect a larger volume of smaller investments, which results in projects being funded in a much shorter period of time.