How Online CRE Investment Platforms Have Unlocked a New Source of Capital

How Online CRE Investment Platforms Have Unlocked a New Source of Capital

Crowdfunding, also known as online syndication, has grown from a “nice to try” to a “must-have” source of capital for hundreds of CRE sponsors. Online investing platforms have helped firms raise billions of dollars in private equity by providing direct access to thousands of accredited investors across the U.S. But how did this way of raising capital get started? Why are some of today’s largest CRE firms turning to this new source of capital?

John Silviano in 2021 Real Estate/Construction 40 Under 40

At just 16 years old, John Silviano was introduced to New York City’s real estate sector while working at a jewelry store. Scott Barone, founder of Barone Management, was the store owner’s son, and, after taking a liking to each other, they started working together to grow the property management firm, Silviano says. The first large venture the pair took on involved a 99-year ground lease they acquired in 2011. After selling the property to a private equity firm in 2012, Silviano and Barone signed a development contract to eventually construct a hotel. Since their first major project...

Barone Management Launching First Fund To Buy New York Assets

Amid concerns about investors fleeing New York City for more tax-friendly states, one developer is banking on a swift local recovery and launching a fund to snap up assets. “Do the taxes suck here? Sure, but they were like that before. Is the political environment challenging? Sure, but that was the case pre-Covid,” Barone Management principal Scott Barone told Bisnow in an interview this week. His company is launching a fund next week with a $40M target raise to invest in commercial and residential real estate assets in the New York metropolitan area. “This city will find ...

Work Wrapping Up On Pestana Hotel At 338 West 39th Street In Midtown

Construction is wrapping up on 338 West 39th Street, a 25-story hotel from Portugal-based Pestana Hotels. Located in Midtown between Eight and Ninth Avenues, the project is designed by Stephen B. Jacobs Group and developed by Brarone Management, according to permits filed in 2015. Sam Chang, a well-known hotelier in New York City, purchased the 50-foot-wide site for $22.5 million. Photos of the main northern profile show the exterior substantially finished with only the ground floor left to be worked on. 338 West 39th Street, photo by Michael Young 338 West 39th Street, p...