Patch of Land Secures $250 Million from an East Coast Credit Fund

February 19, 2016         By: Melanie Macinas

Leading online real estate marketplace lender Patch of Land has secured $250 million in investments from an East Coast Credit Fund.

The fund has inked a deal to purchase loans in a forward flow arrangement, marking its first venture into the P2P or marketplace lending space.

The partnership also marks an important milestone for Patch of Land as the demand for loans supports its rapid origination growth.

Jason Fritton, co-founder and CEO of Patch of Land, commented, “We are thrilled to announce this important milestone for the impact it has in the online real estate financing space. Patch of Land will now be able to fill loans on a programmatic basis, creating a higher level of validation for the entire industry.”

With its large scale data and nationwide reach, Patch of Land is setting a new level of standardization and a new asset class for large scale purchases.

Since its fist loan issuance in October 2013, Patch of Land has made a mark in the online real estate lending space.

In just more than two years, the company returned over $20 million of principal and interest payments to investors without principal loss.

To date, Patch of Land has financed over 200 projects with 12 percent average blended rate of return to investors.

The company effectively allows investors to diversify their portfolios with short-term loans secured by real estate assets.