What Happened to Landa and Here.co? Lessons From Two Fractional Real Estate Failures

Two fractional real estate platforms have collapsed in the past few years: Here.co, which shut down its vacation-rental investment platform in January 2024, and Landa, whose app went dark in spring 2025 amid a $35 million lender lawsuit, with 119 of its properties placed under a court-appointed independent manager. Tens of thousands of investors were left with frozen accounts, halted dividends, and no way to sell. This is a plain-English account of what happened to Landa and Here.co, what stuck investors can actually do, and, most importantly, how to evaluate any fractional real estate platform so the next failure doesn’t catch you.

What happened to Landa

Landa launched in 2021 with the lowest minimum in the industry, $5 shares of single-family rentals in Atlanta, Tampa, and other Sun Belt markets, plus a Brooklyn portfolio. The pitch worked: the app grew fast through 2022. The business behind it did not hold up.

The critical detail: Landa’s investors did nothing wrong. The properties were real, the offerings were real, and rents were being paid (by tenants, at least). What failed was the company operating the platform, and because Landa’s app was the only market for its shares, investor money froze the moment the company did. We keep a current, sourced breakdown in our Landa review.

What happened to Here.co

Here.co launched in 2022 to let anyone invest in fractional shares of short-term vacation rentals. On January 3, 2024, it announced it was shutting the investment platform down, citing “the current interest rate environment and economic conditions.” The plan was to sell every property within roughly six months and return net proceeds to investors.

Even that orderly wind-down got messy. By mid-2024 the company disclosed it had been unable to distribute proceeds as planned, and in August 2024 a professional wind-down officer was appointed as sole director to finish dissolving the company and get money back to investors. Investors who signed up for passive vacation rental income spent a year or more waiting on distributions from a dissolution process they had no control over.

The common thread: platform-dependent liquidity

Landa and Here.co were different businesses that failed for different proximate reasons: one drowned in debt, the other in interest rates. But the investor experience of both failures was identical, and it comes down to one structural question:

If the company behind the platform disappears tomorrow, what happens to your ability to sell, and to the money your shares represent?

On both platforms, the answer was “nothing good.” Shares could only be traded on the platform’s own systems, at the platform’s discretion. Distributions flowed through the platform’s accounts. When operations stopped, everything stopped. This is the single most underpriced risk in fractional real estate: most investors evaluate the properties, but the platform itself is a counterparty, and platform failure can freeze even a portfolio of perfectly good houses.

If you’re a stuck Landa or Here.co investor

1. Document everything now. Screenshots of your holdings, account statements, trade confirmations, dividend history. If portals go offline, your records may be the cleanest evidence of what you own.
2. Follow the primary sources, not the app. Both companies still file with the SEC. Search “Landa App LLC” or “Here Collection LLC” on SEC EDGAR. The filings are more current and more candid than either company’s website. Landa investors can also follow the Viola Credit / L Finance case docket in New York State Supreme Court.
3. File a complaint to create a record. The Better Business Bureau and your state securities regulator both accept complaints. These filings matter in aggregate.
4. Talk to a securities attorney if your position is significant. Regulation A investors in series LLCs have real, property-specific claims. Whether they’re worth pursuing depends on the size of your position. Nothing in this article is legal advice.

How to vet a fractional platform after Landa and Here

The lesson is not “fractional real estate doesn’t work.” The underlying model (fractional interests in individual rental properties) performed exactly as designed even in these failures; that’s why Landa’s properties could be managed and sold for value under a court-appointed manager rather than simply vanishing. The lesson is that platform structure determines whether you can act when things go wrong. Five questions to ask before wiring money to any platform:

• Can I sell without the sponsor’s permission? A real secondary market where investors set prices and trade continuously is categorically different from a “sellback program” the platform can pause. This is where Lofty’s 24/7 marketplace differs structurally from redemption-window models, and it’s worth understanding why liquidity design matters before you compare any two platforms.
• Where does rental income sit before it reaches me? The Landa filings allege rent was diverted at the company level. Ask how investor distributions are segregated from platform operating funds.
• Is the platform itself leveraged? Landa’s collapse started with the company’s own $35M+ in borrowing, not with the properties. Read the platform’s (not just each property’s) financial disclosures.
• Are disclosures current? Late or missing SEC filings preceded trouble at both companies. Recent, audited filings are a cheap early-warning system.
• What happens in a wind-down? Here.co investors waited a year-plus even in a “successful” liquidation. Understand who controls the sale process and where you sit in the waterfall before you invest, not after.

Fractional real estate is still one of the most accessible ways to own income-producing property, but after Landa and Here.co, “which platform” is no longer a UX question. It’s a structural one. Our platform comparison hub scores every major platform on exactly these criteria: liquidity, fees, disclosures, and who controls your exit.