We run extensive background checks, criminal checks, bad actor checks, and reference checks on sponsors. In addition to never allowing a sponsor with a criminal history / any securities related issue to use the platform, we may also turn down sponsors due to poor reference checks even if background and criminal checks come back clear.
We require unaffiliated sponsors to use an unaffiliated third-party escrow agent. When an investor makes an investment with unaffiliated sponsors using the RealtyMogul platform, the investor’s money is transferred directly into a third-party escrow account. All closing conditions in connection with a sponsor’s offering need to be met before the third-party escrow agent will approve releasing investor funds to the issuer or general partner. For example, if an issuer or general partner plans to use funds for a real estate acquisition that does not ultimately transact, the third-party escrow agent will not transfer investor funds to the issuer or general partner, and funds will be returned to investors.
Our controls include visiting every property (or a subset of properties if it’s a fund) to confirm the real estate is what and where the real estate is supposed to be.
We have robust quality controls with detailed checklists and a review of third-party reports.
Located in Mar Vista, west of the 405 freeway, Six Peak Venice is located in one the most expensive housing markets in the country due to a lack of supply and proximity to high quality amenities and jobs. The area is in need of more affordable options for renters, so Six Peak Venice plans to offer a Class A experience at a lower cost, while targeting higher returns than a traditional building at the same location due to the increased density.
Due to the difficulty in developing new product in Los Angeles, there is an outsized demand for housing, which when coupled with tight cap rates and significant area median income, provides the opportunity for value creation.
By developing a co-living property, the Real Estate Company can potentially access otherwise difficult to find yield. Bedroom density provides a lower cost option to the tenant while simultaneously potentially creating outsized NOI to the investor. Coupled with low interest rates, this should create attractive cash flow in addition to the capital appreciation of a high growth market.
Six Peak Capital
Six Peak is a privately held real estate asset management firm. Founded in 2016, Six Peak is the property company (“PropCo”) owning the real estate underlying ground-breaking operating companies (“OpCos”) that are taking innovative approaches to real estate. This provides limited partners risk-adjusted returns with the upside from innovation with the downside protection of real estate in Top U.S. cities. Six Peak deploys 2 main strategies: 1) Los Angeles Direct Sourcing, Acquisition, Entitlement, Development and Construction 2) Co-GP Investment partnerships in Seattle, New York, and Chicago.
The firm’s investment strategies include co-living property development and redevelopment, multi-property portfolio acquisitions, joint ventures, and public-private partnerships. With 23 coliving projects totalling more than 2,000 beds, Six Peak is one of the leaders in co-living investments in the U.S.
Six Peak’s investment strategy emphasizes capital preservation and incentive alignment between the firm’s principals and investors. The firm focuses on long-term value creation and has the flexibility to make investments with a longer hold period than typical real estate opportunity funds. Six Peak seeks to unlock unrealized value in its portfolio over time through execution and a hands-on asset management approach.
https://www.sixpeakcapital.comProjected / Actual All-in Basis | |||||||||||||||||||||||||||
No. | Name | ($) | |||||||||||||||||||||||||
LA Six Peak Development | 1 | North Hollywood | Bonner | $5,896,080 | Under Management | ||||||||||||||||||||||
2 | Hollywood | Melrose | $26,400,717 | Construction | |||||||||||||||||||||||
3 | Hollywood | Kenmore | $5,498,335 | Construction | |||||||||||||||||||||||
4 | Westchester | Reading | $24,381,675 | Pre-Development | |||||||||||||||||||||||
5 | Mar Vista | Venice | $24,378,659 | Pre-Development | |||||||||||||||||||||||
6 | Mar Vista | Berryman | $34,811,988 | Pre-Development | |||||||||||||||||||||||
7 | Mar Vista | Berryman II | $27,607,943 | Pre-Development | |||||||||||||||||||||||
8 | Koreatown | Francis | $65,232,987 | Pre-Development | |||||||||||||||||||||||
8 Projects | Total | $214,208,384 | |||||||||||||||||||||||||
LA Six Peak Co-GP Development | 9 | Eagle Rock | Eagle Rock | $10,697,175 | Construction | ||||||||||||||||||||||
10 | Hollywood | Normandie III | $5,124,166 | Construction | |||||||||||||||||||||||
11 | Hollywood | Normandie II | $5,796,233 | Under Management | |||||||||||||||||||||||
12 | Hollywood | ALX | $7,264,467 | Under Management | |||||||||||||||||||||||
13 | Boyle Heights | N Evergreen | $10,175,613 | Construction | |||||||||||||||||||||||
14 | Mar Vista | Matteson | $14,649,126 | Construction | |||||||||||||||||||||||
15 | Westlake | Ocean View | $9,652,155 | Pre-Development | |||||||||||||||||||||||
16 | Chinatown | Cleveland | $11,108,361 | Pre-Development | |||||||||||||||||||||||
17 | Westchester | Sepulveda | $9,145,393 | Pre-Development | |||||||||||||||||||||||
8 Projects | Total | $83,612,688 | |||||||||||||||||||||||||
NYC Co-Living | 18 | Ridgewood | Cypress | $1,927,176 | Under Management | ||||||||||||||||||||||
19 | Bushwick | STN | $12,209,290 | Under Management | |||||||||||||||||||||||
20 | Bushwick | Evergreen | $6,792,339 | Construction | |||||||||||||||||||||||
3 Projects | Total | $20,928,805 | |||||||||||||||||||||||||
Seattle Microunits / MF | 21 | Capitol Hill | Denny & Harvard | $20,868,792 | Construction | ||||||||||||||||||||||
22 | Ballard | 54th | $15,118,185 | Pre-Development | |||||||||||||||||||||||
23 | Yesler Terrace | 19th Ave | $8,599,699 | Pre-Development | |||||||||||||||||||||||
24 | Capitol Hill | Belmont | $18,111,202 | Pre-Development | |||||||||||||||||||||||
25 | Fremont | Phinney | $15,791,817 | Pre-Development | |||||||||||||||||||||||
26 | North Beacon Hill | Judkins Central | $4,350,000 | Pre-Development | |||||||||||||||||||||||
27 | North Beacon Hill | Judkins East | $4,550,000 | Pre-Development | |||||||||||||||||||||||
28 | North Beacon Hill | Judkins West | $4,300,000 | Pre-Development | |||||||||||||||||||||||
8 Projects | Total | $91,689,694 | |||||||||||||||||||||||||
Chicago Co-Living | 29 | South Loop | State St | $9,050,151 | Construction | ||||||||||||||||||||||
30 | South Loop | State St II | $3,947,381 | Pre-Development | |||||||||||||||||||||||
2 Projects | Total | $12,997,532 | |||||||||||||||||||||||||
NYC Stabilized Traditional MF | 31 | Prospect Lefferts | Summit Portfolio | $2,665,480 | Under Management | ||||||||||||||||||||||
32 | Crown Heights | Summit Portfolio | $2,488,374 | Under Management | |||||||||||||||||||||||
33 | Crown Heights | Summit Portfolio | $2,909,744 | Under Management | |||||||||||||||||||||||
34 | Crown Heights | Summit Portfolio | $2,827,745 | Under Management | |||||||||||||||||||||||
35 | Park Slope | 8th Ave | $4,200,000 | Under Management | |||||||||||||||||||||||
36 | Park Slope | Prospect Park West | $4,925,000 | Under Management | |||||||||||||||||||||||
37 | Park Slope | 6th Ave | $2,990,000 | Under Management | |||||||||||||||||||||||
38 | Carroll Gardens | President | $3,700,000 | Under Management | |||||||||||||||||||||||
39 | East Village | 9th Street | $5,975,000 | Under Management | |||||||||||||||||||||||
9 Projects | Total | $32,681,343 | |||||||||||||||||||||||||
39 Total Projects | $456,118,447 | ||||||||||||||||||||||||||
Notes: | |||||||||||||||||||||||||||
1. Many of these projects are not yet stabilized / still under construction so numbers are subject to change | |||||||||||||||||||||||||||
2. Sponsor is in the process of selling the land for Cleveland and OceanView, which would reduce the total above | |||||||||||||||||||||||||||
3. Under Management is either in lease-up or leased and stabilized |
The above bios and track record were provided by Six Peak Capital and has not been independently verified by RealtyMogul.
Six Peak purchased the Property in October 2019 and used the Ellis Act filed in November 2019 to vacate the building. The existing improvements are in disrepair and are projected to be demolished in March 2021. The Project is by-right and is currently in the plan check approval process with the City of LA. The permits are close to being finalized.
The underlying zoning of the site limits any development to 19 units. Six Peak has designed a 19 Unit, 112-bedroom co-living project. There are 18 six-bedroom units and 1 four-bedroom unit, all with private ensuite bathrooms for each tenant. This provides relatively affordable private space for a tenant desiring west LA housing while sharing a common area kitchen and living room space.
The Project has 1 level of underground parking for 35 parking spots with approximately 43,000 SF of habitable building space with interior common area space, interior courtyard space as well as a roof deck for tenant amenities. The Project will start construction in Q2 2021 and finish by Q4 2022 for lease up shortly thereafter. Upon stabilization, the Real Estate Company plans to refinance the project with long-term, low-cost debt. The Real Estate Company plans to exit the investment within a 5-year hold period but will assess market conditions to optimize value.
Target Development Budget (subject to change):
$ Amount | Per SF* | |
Acquisition Costs | (shovel ready, no land markup) | |
Purchase Price (October 2019) | $5,276,000 | 120.44 |
Predevelopment permitting expenses | $1,374,000 | 31.37 |
Total Land Costs | $6,650,000 | $151.81 |
Hard Costs | ||
General Requirements | $672,951 | 15.36 |
Off-site Construction | $8,500 | 0.19 |
On-site Construction | $1,264,051 | 28.86 |
Concrete | $1,344,481 | 30.69 |
Metals | $1,350,003 | 30.82 |
Wood and Plastics | $1,717,248 | 39.20 |
Thermal & Moisture Protection | $386,847 | 8.83 |
Doors, Windows & Glazing | $394,364 | 9.00 |
Finishes | $1,396,425 | 31.88 |
Specialties | $121,339 | 2.77 |
Equipment | $170,596 | 3.89 |
Furnishings | $36,823 | 0.84 |
Conveying Systems | $249,001 | 5.68 |
Mechanical | $2,465,809 | 56.29 |
Electric | $1,900,237 | 43.38 |
Project Administration | $750,001 | 17.12 |
Building Electronics/Low Voltage | $150,000 | 3.42 |
Utility Connection/Trenching | $150,000 | 3.42 |
Demolition | $90,000 | 2.05 |
Hard Cost Contingency | $1,461,868 | 33.37 |
Total Hard Costs | $16,080,545 | $367.09 |
Soft Costs | ||
Permits/Fees | $999,800 | 22.82 |
Vertical Soft Costs | $865,000 | 19.75 |
Marketing/Leasing | $75,000 | 1.71 |
FF&E | $392,000 | 8.95 |
Development Fee | $965,166 | 22.03 |
Total Soft Costs | $3,296,966 | $75.26 |
Financing Costs | $1,026,489 | $23.43 |
Closing Costs | $522,170 | $11.92 |
Grand Total | $27,576,170 | $629.52 |
*SF based on total habitable square feet. |
The Project is centered between Silicon Beach on walkable Venice Blvd, bikeable to the beach and Abbot Kinney Blvd in one of the most desirable locations in West LA. Its close proximity to more than 500,000 jobs located west of the 405 freeway make it an ideal location for shared housing and affordable by design rents to the 25-40 year old demographic. Google, Snapchat, Microsoft, Amazon, Apple, and Facebook all have offices within a 5-10 minute drive from the Property. Its close proximity to Santa Monica, Culver City and Playa Vista make it an ideal location for the live/work/play lifestyle.
Unit Mix:
Unit Type | # of Units | Avg SF/Unit | Avg Rent/Bed (Stabilized) | Rent per SF | ||
6BR Co-living | 18 | 1,700 | $2,021 | $7.13 | ||
4BR Co-living | 1 | 1,200 | $2,021 | $6.74 | ||
Total/Averages | 19 | 1,674 | $2,021 | $7.11 |
Lease Comparables - Co-living
13348 Beach Ave | 2432 Penmar Ave | 4210 Del Rey Ave | 29 Navy St | 5842 Carlton Way | Averages | Subject | |||
Year Built | 2018 | 2019 | 2019 | 1924/2018 | 2019 | 2019 | 2022 | ||
# of Bedrooms | 242 | 12 | 108 | 31 | 84 | 95 | 112 | ||
Average Rental Rate (per bed) | 2,674/month | 1,700/month | 1,941/month | 2,074/month | 2,020/month | 2,329/month | 2,021/month | ||
Average $/SF | $13.37/SF | $11.33/SF | $10.78/SF | $17.28/SF | $13.47/SF | $13.00/SF | $13.47/SF | ||
Distance from subject | 1.3 mi | 1.6 mi | 1.6 mi | 3.1 mi | 11.6 mi | 3.8 mi | |||
Notes | Partially co-living. 4-7 furnished bedrooms with en-suite bathroom. Amenities. Avg BR SF estimated. | 4 3-bedroom units. Rooftop deck. Shared Bathroom. 4 shared kitchens. | Rooftop Spa. Shared bathroom. Fitness studio. Barbecue. 93% occupied. | Studio & 2-bedroom co-living. Rooftop deck. Shared bathroom. 93.5% occupied. Boardwalk Adjacent. | 5- & 3-bedroom units. Shared bathroom. Lounge & Café. |
Reflects year 3 stabilized rents; |
Lease Comparables - Conventional Multifamily
12636 Matteson Ave | 12821 Washington Blvd | 13365 Washington Blvd | 4044 Redwood Ave | 1107 Venice Blvd | Averages | Subject | |||
Year Built | 2017 | 2020 | 2013 | 2015 | 2009 | 2015 | 2022 | ||
# of Units | 29 | 37 | 19 | 22 | 38 | 29 | 19 | ||
# of Bedrooms | 49 | 47 | 34 | 29 | 40 | 40 | 112 | ||
Average Rental Rate (per bed) | 2,190/month | 2,969/month | 2,148/month | 1,920/month | 3,062/month | 2,503/month | 2,021/month | ||
Average $/SF | $3.29 | $4.15 | $2.82 | $3.07 | $3.52 | $3.43 | $6.94 | ||
Distance from subject | 0.3 mi | 0.8 mi | 1.1 mi | 1.1 mi | 1.2 mi | 0.9 mi | |||
Notes | New construction, no amenities. | New construction, no amenities. | Spa. 1 mile west of subject, adjacent to Costco. | Rooftop deck. | Barbecue. 1 mile west of subject. | Reflects year 3 stabilized rents; Avg $/sf based on total unit rent. |
Sales Comparables
9901 Washington Blvd | 11400 Culver Blvd | 4227 McLaughlin Ave | 3667 Mentone Ave | 12626 Matteson Ave | Averages | Subject | |||
Date Sold | 1/3/2018 | 8/14/2020 | 6/29/2018 | 10/8/2019 | 10/8/2019 | 1/31/2026 | |||
Year Built | 2016 | 2018 | 2018 | 2019 | 1988 | 2012 | 2022 | ||
# of Units | 131 | 21 | 14 | 10 | 20 | 39 | 19 | ||
# of Bedrooms | 226 | 25 | 26 | 20 | 40 | 67 | 112 | ||
Sale Price | $42,529,019 | $10,500,000 | $9,457,500 | $7,500,000 | $9,687,500 | $15,934,804 | $38,774,166 | ||
$/Bedroom | $188,182 | $420,000 | $363,750 | $375,000 | $242,188 | $317,824 | $346,198 | ||
$/SF | $343 | $404 | $596 | $586 | $463 | $478 | $885 | ||
Cap Rate | N/A | 4.11% | 4.26% | 3.95% | 4.13% | 4.11% | 4.50% | ||
Building Size | 123,991 SF | 25,990 SF | 15,868 SF | 12,799 SF | 20,923 SF | 39,914 SF | 43,805 SF | ||
Distance from subject | 2.7 mi | 2.3 mi | 1.3 mi | 2.4 mi | 0.2 mi | 1.8 mi |
Market/Submarket Overview
Los Angeles West—known to locals as “the Westside”—is regarded as one of the most desirable live-work-play destinations in Southern California. Benefiting from a vast tenant base, a highly skilled workforce, high-quality office and housing supply and world-class retail and entertainment amenities, Los Angeles West continues to maintain its status as one of the nation’s premier markets. With approximately 890,000 residents, the Westside offers a young, highly educated labor force to support the region’s high-wage employers. The Westside remains a key financial hub for Greater Los Angeles, and a preferred location for entertainment, media, legal and professional services firms. In recent years, however, the market has also evolved to include more technology firms, amplifying office demand even further. Districts like Playa Vista, Venice, Marina del Rey and even Culver City have become an epicenter for major technology, media and creative players like Google, Apple and Amazon, earning the area the nickname of “Silicon Beach.”
The Los Angeles West office market also encompasses some of the region’s most coveted and prestigious communities including Santa Monica, Pacific Palisades, Beverly Hills, Century City, Westwood and Brentwood, each with distinct attributes that accommodate different office users, from entertainment agencies in Westwood high-rises to chic lifestyle brands in the boutiques of Beverly Hills.
Strong and steady job growth in the region remains a potent source of office demand – since last year, Los Angeles’ employment base expanded by approximately 63,400 jobs (nonfarm) with an unemployment rate amongst the lowest seen over the last decade at 5.0% (July 2019). In addition, consumer demand and spending have remained resilient while in-migration and tourism continue to thrive.
Total Capitalization
Sources of Funds | $ Amount | $/SF | |||
Debt | $16,000,000 | $365 | |||
GP Investor Equity | $1,156,170 | $26 | |||
LP Investor Equity | $10,420,000 | $238 | |||
Total Sources of Funds | $27,576,170 | $630 | |||
Uses of Funds | $/SF | ||||
Purchase Price | $5,276,000 | $120 | |||
Predevelopment and Permitting Expenses | $1,374,000 | $31 | |||
Loan Fee | $120,000 | $3 | |||
Closing Costs(1) | $622,170 | $14 | |||
CapEx | $19,377,508 | $442 | |||
Loan Reserve | $806,489 | $18 | |||
Total Uses of Funds | $27,576,170 | $630 |
Please note that Six Peak Capital's equity contribution may consist of friends and family equity and equity from funds controlled by Six Peak Capital. Additionally, the numbers represented above can change prior to closing depending on final loan proceeds, property condition assessments, appraisals, final closing costs, and other lender-mandated expenses.
(1) RM Technologies operates the RealtyMogul platform. RM Technologies charges a fixed, non-percentage-based fee for real estate companies to use the marketplace. An estimate of this fee is included in the Closing Costs and is intended to be capitalized into the transaction at the discretion of the Manager.
The expected terms of the debt financing are as follows:
- Lender: City National Bank
- Term: 24 Months
- Loan to Value: 58.0%
- Estimated Proceeds: $16,000,000
- Interest Type: Floating
- Spread above one-month LIBOR: 3.75%
- Interest-Only Period: Full
- Amortization: None
- Prepayment Terms: None
- Extensions: 12 Months
Modeled Refinance:
- Lender: Unknown
- Term: 5-10 Years
- Estimated Proceeds: $23M
- Interest Type: Amortizing
- Spread above one-month LIBOR: 4.00%
- Interest-Only Period: None
- Amortization: 30 Years
There can be no assurance that a lender will provide debt on the rates and terms noted above, or at all. All rates and terms of the debt financing are subject to lender approval, including but not limited to possible increases in capital reserve requirements for funds to be held in a lender-controlled capital reserve account.
Six Peak Capital intends to make distributions as follows:
- To the Investors, pari passu, all operating cash flows to a 12.0% preferred return;
- 70% / 30% (70% to Investors / 30% to Promote) of excess cash flow thereafter.
Six Peak Capital intends to make distributions to investors after the payment of both company's liabilities (loan payments, operating expenses, and other fees as more specifically set forth in the LLC agreements, in addition to any member loans or returns due on member loan).
Distributions are expected to start in September 2023 and are projected to continue on a quarterly basis thereafter. Distributions are at the discretion of Six Peak Capital, who may decide to delay distributions for any reason, including maintenance or capital reserves.
Cash Flow Summary | ||||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5^ | ||||
Effective Gross Revenue | $0 | $76,290 | $2,397,478 | $2,741,381 | $2,586,120 | |||
Total Operating Expenses | $0 | $44,327 | $922,079 | $838,234 | $790,760 | |||
Net Operating Income | $0 | $31,963 | $1,475,400 | $1,903,147 | $1,795,360 | |||
Project-Level Cash Flows | ||||||||
Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Net Cash Flow | -$11,576,094 | $0 | $31,963 | $7,760,219 | $523,852 | $15,820,015 | ||
Investor-Level Cash Flows* | ||||||||
Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Net Cash Flow | -$10,420,000 | $0 | $11,400 | $6,879,997 | $367,267 | $12,286,132 | ||
Investor-Level Cash Flows - Hypothetical $50,000 Investment* | ||||||||
Year 0 | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |||
Net Cash Flow | -$50,000 | $0 | $55 | $33,013 | $1,762 | $58,955 |
*Returns are net of all fees including RealtyMogul's 1.0% annual administrative services fee.
^Reflects 11 months of year 5 revenue due to sale. Annualized year 5 NOI: $1,961,033.
Certain fees and compensation will be paid over the life of the transaction; please refer to Six Peak Capital's materials for details. The following fees and compensation will be paid(1)(2)(3):
One-Time Fees: | ||||
Type of Fee | Amount of Fee | Received By | Paid From | Notes |
Development Fee | 5.0% of Hard & Soft Costs | Six Peak Capital | Development Costs | |
Contractor Fee | $600,000 | LV Construction | Development Costs | Affiliate to Six Peak Capital |
Pre-Development Fee | $75,000 | HC Land Management LLC | Development Costs | |
Acquisition Fee | $105,520 | HC Land Management LLC | Development Costs | 2% of Purchase Price |
Recurring Fees: | ||||
Type of Fee | Amount of Fee | Received By | Paid From | Notes |
Administrative Services Fee | 1% of equity* | RM Admin(3) | Cash Flow | Dev period capitalized upfront |
*Only applies to equity raised through the RealtyMogul Platform
(1) Fees may be deferred to reduce impact to investor distributions
(2) RM Technologies operates the RealtyMogul platform. RM Technologies charges a fixed, non-percentage-based fee for real estate companies to use the marketplace. An estimate of this fee is included in the Closing Costs and is intended to be capitalized into the transaction at the discretion of the Manager.
(3) RM Admin will be providing the following services:(a) responding to inbound investor inquiries regarding how to subscribe to the Project, (b) distribution of all annual tax forms (after receipt of same from Project Sponsor), (c) processing distributions that are payable from the Real Estate Company to Investors, however, RM Admin will not be deemed to have custody of client funds, (d) distribution of all quarterly reports (after receipt of same from Project Sponsor) and (e) summarizing sponsor information on property performance, responding to investor inquiries regarding sponsor performance information as well as the real estate market generally.
The content on this detail page was provided by the Sponsor or an affiliate thereof. The Sponsor is under no obligation to update this detail page. None of the opinions expressed on this detail page are the opinions of RealtyMogul and they are not endorsed by RealtyMogul. Assumptions and projections included in this detail page are not reflective of the position of RealtyMogul or any other person or entity other than the Sponsor’s investment vehicle (“Investment Entity”) or its affiliates.
The preceding summary of principal terms of the offering is qualified in its entirety by reference to the more complete information about the offering contained in the offering documents, including, without limitation, the Private Placement Memorandum, Operating Agreement, Subscription Agreement and all exhibits and other documents attached thereto or referenced therein (collectively, the "Investment Documents"). This summary is not complete, and each prospective investor should carefully read all of the Investment Documents and any supplements thereto, copies of which are available by clicking the links above or upon request, before deciding whether to make an investment. In the event of an inconsistency between the preceding summary and the Investment Documents, investors should rely on the content of the Investment Documents.
There can be no assurance that the methodology used for calculating targeted IRR is appropriate or adequate. Target IRR is presented solely for the purpose of providing insight into the Investment Entity’s investment objectives, detailing its anticipated risk and reward characteristics and for establishing a benchmark for future evaluation of the Investment Entity’s performance. Targeted IRR is not a predictor, projection or guarantee of future performance. There can be no assurance that the Investment Entity’s targets will be met or that the Investment Entity will be successful in identifying and investing in investment opportunities that would allow the Investment Entity to meet these return parameters. Target returns should not be used as a primary basis for an investor’s decision to invest in the Investment Entity. Please see the applicable Investment Documents for disclosure relating to forward-looking statements.
All forward–looking statements attributable to the Sponsor or persons acting on its behalf apply only as of the date of the offering and are expressly qualified in their entirety by the cautionary statements included elsewhere in this summary and the Investment Documents. Any financial projections are preliminary and subject to change; the Sponsor undertakes no obligation to update or revise these forward–looking statements to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. Inevitably, some assumptions will not materialize, and unanticipated events and circumstances may affect the ultimate financial results. Projections are inherently subject to substantial and numerous uncertainties and to a wide variety of significant business, economic and competitive risks, and the assumptions underlying the projections may be inaccurate in any material respect. Therefore, the actual results achieved may vary significantly from the forecasts, and the variations may be material.
The interests in the Investment Entity will not be registered under the Securities Act of 1933, as amended (the “Securities Act”) in reliance upon exemptions contained in Rule 506(b) or 506(c) of Regulation D as promulgated under the Securities Act. In addition, the interests will not be registered under any state securities laws in reliance on exemptions from registration. Such interests are subject to restrictions on transferability and resale and may not be transferred or resold except as permitted under applicable state and federal securities laws pursuant to registration or an available exemption.
All investing activities risk the loss of capital. There can be no assurance that investors will not suffer significant losses. No guarantee or representation is made that investment objectives of the Investment Entity will be achieved. You should not subscribe to purchase interests in the Investment Entity unless you can readily bear the consequences of such loss.
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