Portland Business Journal
Mar 15, 2016
The home flipping business is big these days, and for Eugene-based Gorilla Capital, it just got a whole lot bigger — to the tune of $24 million.
Gorilla, which buys distressed properties, remodels them and sells them, announced that it has landed a $24 million debt facility from global investment firm Arena Investors LP. The real estate flipping company, which operates in 23 states and had sales near $90 million in 2014, plans to use the financing to continue its expansion.
“Our ability to expand and enter new markets has been limited by the amount of capital available,” said Gorilla CEO John Helmick, in a release.. “With this investment and the financial backing of Arena, Gorilla has the ability to expand its business nationwide and to increase the number of homes it buys in current markets.”
Not only will Gorilla will expand its operations in the 23 states where it already operates, but it plans to expand into new markets, as well.
“Our goal is to grow to $400 million of sales in three years,” Helmick said.
According to the release, Castle Placement LLC, a provider of private equity and debt capital placement services, was the exclusive placement agent on the transaction.