The Real Estate Crowdfunding Review February 2020 Update
Updated: Apr 2, 2020
Investor lawsuits fly against Realty Shares and MG Capital; New CrowdStreet "Offer Lottery" feature; Private Investor Club welcomes 3,500th member; 4 newest specials; 5 club feeders on-boarding;
(Usual disclaimer: I'm just an investor expressing my personal opinion and not a registered financial advisor, attorney or accountant. Consult your own financial professionals before making any financial decisions. Code of Ethics: We do not accept any money from any sponsor or platform for anything, including postings, reviews, referring investors, affiliate leads or advertising. Nor do we negotiate special terms for ourselves in the club above what we negotiate for the benefit of members.).
Realty Shares class-action law-suit
In 2018 RealtyShares ran out of cash for funding their operations and shut down to new investors. At the time existing investors were assured that operations would continue as normal for them. Then RealtyShares announced that a third-party firm would be taking over the older investments from them to presumably ensure a smooth transition. Fast forward to 2020, and investors are now filing a class-action lawsuit against the RealtyShares alleging securities violations. The lawsuit is over two deals: