FORMALIZED DUE DILIGENCE PROCESS 
Sponsors

The team at our affiliated broker-dealer, RM Securities, conducts diligence on of the issuer, including detailed background checks, criminal checks, bad actor checks, and reference checks on sponsors. In addition to screening for any criminal background, we may also turn down sponsors due to poor reference checks, even if the background and criminal checks are satisfactory.

Escrow accounts

We require unaffiliated sponsors to use an unaffiliated third-party escrow agent.* When an investor makes an investment with such 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 contingency 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.

* Unless otherwise disclosed, escrow accounts are not required for some investments that accommodate 1031 investments where the property is already acquired.

Boots on the ground

Our processes typically includes visiting certain properties (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. For certain properties that accommodate 1031 exchange investments, the team will review third-party prepared due diligence reports in lieu of a site visit.

Detailed Checklists

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Confidentiality Agreement
To access the Sponsor’s private offering documents for this investment, you must first acknowledge and agree to the below.
By clicking the ‘I Agree’ button below:
Funded
Estimated Hold Period 3 Years
Estimated First Distribution 11/2021
FUNDED 100%
...
View Our Due Diligence Process
Offered By
Western Wealth Capital
Investment Strategy Value-Add
Investment Type Equity
Minimum Investment 25000
Overview
Western Wealth Capital, an institutional Sponsor, presents the opportunity to acquire BelAire Apartments, a 188-unit garden style multifamily community located in Marietta, Georgia, 24-minutes northwest of downtown Atlanta.
Location

Atlanta is a hotbed for tech, growth, and innovation. Microsoft’s new $75 million project, announced in 2020, will employ 1,500-2,500 workers. The property is 7 minutes from Dobbins Air Force Base and Lockheed Martin, who employ over 7,000 people. The Cumberland Platinum Triangle is 17-minutes away offering over 15 million square feet of office and retail space and over 150,000 jobs.

Market

The Marietta submarket is quickly growing with rents rising 5.2% over the past year. The area is also rapidly gentrifying as many older retail units are currently under redevelopment. Average in-place rents at the property are currently 12% below average rents in Marietta.

Value-Add

The previous owners have spent minimal capital upgrading property amenities and many of the units remain unrenovated. There are significant value-add opportunities to improve the building’s exterior appearance including a modern paint job and upgrades to the surrounding landscaping and pool area.

Property at a glance
# of Units 188
# of Buildings 20
Parking Ratio 1.76 Per Unit
Current Occupancy 98%
Year Built 1987
Acquisition Price $36,300,000
Investment Highlights
Western Wealth Capital (the "Real Estate Company") is under contract to purchase the Property for $36,300,000, representing an acquisition cap rate of 4.25%.
Value-adding opportunities, not including market rent growth and cost reductions, represent a value increase of approximately $14 million, or approximately 126% of the equity.
Average in-place rents at the Property are currently $1,164/month, which is 12% below the average submarket rents.
The targeted annual cash flows should be between 3.0% and 6.2%.
The average annualized returns are targeted up to 17%.
Management
Cumulative Distributions

Western Wealth Capital

Western Wealth Capital ("WWC") has developed a proven, reliable system for investing in multi-family properties in key real estate markets across the U.S. WWC offers Investment Partners the opportunity to invest in cash-flowing properties with substantial value-add opportunities. Since its inception, they have successfully completed over $2.9 billion in real estate transactions.

https://www.westernwealthcapital.com/
  • Janet LePage
    CEO and Co-Founder
  • David Steele
    Co-Founder and General Partner
Janet LePage
CEO and Co-Founder

For the past decade, Janet has been focused on creating wealth through well-selected real estate. She has grown her precise business strategy from more than 50 residential transactions in Arizona to the purchase of 95+ multifamily buildings comprised of over 21,000 rental units. Under Janet’s leadership, Western Wealth Capital has grown to over 200 employees and successfully completed over $2.9 billion in real estate transactions.

In 2019, Janet was recognized in Canada’s Top 40 Under 40 for Business and 2019 RBC Canadian Female Entrepreneur of the Year. Janet was also a bronze winner of the International Stevie Awards for Women in Business and awarded the REIN’s Multifamily Investor of the Year.

In 2017, Janet was named Entrepreneur of the Year (Real Estate/Construction/Pacific region) by Ernst & Young. In 2016, Janet was named one of Business in Vancouver’s Forty Under 40 and was awarded the Veuve Clicquot Canadian New Generation Award which recognizes young female entrepreneurs.

Janet holds a Bachelor of Applied Science in Computer Science and Business Administration (Simon Fraser University) and a Project Management Professional designation. Janet is co-author of ‘Real Estate Action 2.0’, released in 2016 by Jurock Publishing Ltd.

David Steele
Co-Founder and General Partner

Dave Steele is co-founder and General Partner of Western Wealth Capital, a company focused on creating wealth for its clients through well-selected investment real estate. Western Wealth Capital targets cash-flowing properties with exceptional value creation potential in North America’s top investment markets. Over the past seven years, Dave and his team have raised over $700 million in private equity, acquiring over 95 multi-family properties with 21,000 plus rental units and a purchase value of over $2.9 billion.

David is also the CEO of Western Canadian Properties Group, a company that is focused on helping real estate investors acquire investment properties in the hottest real estate markets in Canada and the Western United States.

Track Record

Western Wealth Capital Track Record(1)

Currently Under Management:
Property City, State Asset Type Acq Date Units Purchase Price
Southwinds Point Stockbridge, GA Multi-family Jan-19 240 $28,350,000
Bridgewater at Mt. Zion Stockbridge, GA Multi-family Oct-18 200 $22,300,000
Parc at 1695 Norcross, GA Multi-family Jan-20 252 $31,650,000
Arizona Portfolio Arizona Multi-family Various 7,416 $946,450,000
Texas Portfolio Texas Multi-family Various 6,747 $708,200,000
Total       14,855 $1,736,950,000
Sold/Refinanced:
Property City, State Asset Type Acq Date Units Purchase Price Sale Price Sale/Refi Date
Arizona Portfolio Arizona Multi-family Various 6,521 $511,519,950 $745,162,857 Various
Texas Portfolio Texas Multi-family Various 480 $47,750,000 $54,500,000 Various
Total       7,001 $559,269,950 $799,662,857  

(1) Representative of a selective track record. The Real Estate Company has transacted on over $2.9B of multifamily properties. They are currently invested in 16,214 units of MF with $2.3B of AUM. Please see their attached portfolio brochure for additional detail.

The above bios and track record were provided by Western Wealth Capital and have not been independently verified by RealtyMogul.

The Business Plan involves increasing the net operating income over a three-year period using Western Wealth Capital’s disciplined and consistent value-add program. The three main drivers to increase the net operating income:

  1. Normalize rents and bring to market average
    • Current owners are operating with the disparity between rents of like-units across the property. Western Wealth Capital intends to reduce that disparity using a proven lease management approach.
  2. Interior Upgrades
    • Western Wealth Capital plans to complete a range of interior upgrades to 125 units and project a $165 per month per unit increase in rental income.
  3. Washer/Dryer Value-Add Opportunity
    • Western Wealth Capital plans to install washers and dryers in 150 units of the 188 units, enabling a projected increase of $50 per unit per month of rental income.

CapEx Breakdown

  Amount Per Unit
Interior Renovations    
Interior upgrade (125 Units) $937,500 $4,987
Washer/Dryer $150,000 $3,261
Model Unit $15,000 $326
Total Interior Renovation Costs $1,102,500 $8,574
     
Exterior Renovations Amount Per Unit
Signage $40,000 $213
Pool Furniture + Deck $50,000 $266
Fitness Center $20,000 $106
Other Amenities $75,000 $399
Roof $50,000 $266
Landscaping $50,000 $266
Retaining Walls $80,000 $426
HVAC $40,000 $213
Parking Lot $75,000 $399
Exterior Paint - Rails/stairs $80,000 $426
Operation Start-up $28,200 $150
Parcel Lockers $30,000 $160
Dog Park $35,000 $186
Plumbing Allowance $50,000 $266
Wood Replacement/Stairs $100,000 $532
OPTION: Glass railing behind leasing office. $30,000 $160
OPTION: Replace 3 paned windows in leasing office $10,000 $53
Total Exterior Renovation Costs $843,200 $4,485
     
CM Fee $54,375 $289
Reserve (10.3%) $200,232 $1,065
     
Grand Total $2,200,307 $14,413
Property Information

Built in 1987, the Property offers great upside potential with many units in need of upgrading. BelAire is positioned 11 minutes from Interstate 75 linking to downtown Atlanta in 24 minutes. BelAire Apartment Homes has a mix of studio, one, two, and three-bedroom apartments featuring sunrooms, patios, storage rooms, walk-in closets, and keyless building entry. Community amenities at this property feature a clubhouse, swimming pool, fitness center, dog park, playground, grill area, and walking trail. 

Unit Mix

Classic # of Units Avg SF/Unit Avg Rent  Avg Rent Stabilized Rent per SF
1x1 (A) - Classic 13 690 960 1,134 $1.39
2x2 (A) - Classic 51 1,000 1,113 1,340 $1.11
2x2 (B) - Classic 82 1,100 1,134 1,340 $1.03
3x2 (A) - Classic 4 1,285 1,324 1,594 $1.03
Renovated # of Units Avg SF/Unit Avg Rent Avg Rent Stabilized Rent per SF
0x1 (A) - 2020 Built 12 585 1,109 1,309 $1.90
0x1 (A) - 2020 Built 6 680 1,113 1,409 $1.64
1x1 (B) - Renovated 3 690 1,155 1,358 $1.67
2x2 (A) - Renovated 5 1,000 1,266 1,516 $1.27
2x2 (B) - Renovated 6 1,100 1,364 1,587 $1.24
3x2 (A) - Renovated 6 1,285 1,458 1,754 $1.13
Total/Averages 188 999 $1,140 $1,357 $1.36
Comparables

Lease Comparables

  The Bentley at Marietta Magnolia at Whitlock Wood Pointe 1250 West Trellis Apartments Comp Averages BelAire Apartments
Year Built 1985 1972 1987 1987 1986 1983 1987
Average Rental Rate $1,315 $1,297 $1,396 $1,437 $1,449 $1,414 $1,181
Average SF 959 1,118 1,050 959 1,261 1,036 992
Average $/SF   $1.50   $1.1   $1.33   $1.50 $1.15 $1.36 $1.19
               
# Units (0x1)             18
$ (0x1)             $1,200
SF (0x1)             630
$/SF (0x1)             $1.90
               
# Units (1x1) 64 32 87 188   93 16
$ (1x1) $1,223 $1,115 $1098 $1,293   $1,218 $1,020
SF (1x1) 800 850 785 753   777 690
$/SF (1x1) $1.53 $1.31 $1.40 $1.72   $1.57 $1.48
               
# Units (2x2) 58 96 67 222 166 122 144
$ (2x2) $1,416 $1,293 $1,685 $1,460 $1,400 $1,438 $1,175
SF (2x2) 1,100 1,150 1,218 1,070 1,240 1,148 1,050
$/SF (2x2) $1.29 $1.12 $1.38 $1.36 $1.13 $1.25 $1.12
               
# Units (3x2)   24 24 58 44 38 10
$ (3x2)   $1,580 $1,668 $1,812 $1,635 $1,700 $1,485
SF (3x2)   1,350 1,541 1,200 1,340 1,320 1,285
$/SF (3x2)   $1.17 $1.08 $1.51 $1.22 $1.29 $1.16

Sales Comparables

  2330 Cobb Vinings Palisades The Everette at East Cobb SoCo Apartments Crest at East Cobb Wildwood Ridge Total/Averages BelAire Apartments
Date Under Contract Under Contract February 1, 2021 December 1, 2020 November 1, 2020 October 1, 2020   Jul '24
Submarket Smyrna Smyrna Marietta Smyrna Martietta Atlanta   Southwest Marietta
Year Built 1986 1973 1983 1985 1973 1974 1979 1987
Units 222 427 312 106 150 564 297 188
Average SF 975 1,099 997 1,064 1,133 1,268 1,089 999
Sale Price $41,500,000 $76,000,000 $48,400,000 $16,000,000 $24,900,000 $113,500,000 $53,383,333 $36,300,000
$/Unit $186,937 $177,986 $155,128 $150,943 $166,000 $201,241 $173,039 $193,085
$/SF $191.60 $162.73 $155.48 $130.25 $146.47 $183.15 $161.61 $193.30
Distance from Subject (mi.) 6.6 miles 9.5 miles 4.8 miles 7.1 miles 5.3 miles 8.4 Miles 8.4 Miles  

 

Location Information

Market Overview

Atlanta was the fourth fastest-growing metro area in the U.S. between 2010 and 2019 and rents in the city continue to rise at an impressive annual rate of 3.5%. The city is already home to more than a dozen Fortune 500 companies including Coca-Cola, Chick-fil-A, and The Home Depot. Microsoft’s new $75 million project, announced in 2020, will employ 1,500-2,500 workers. Airbnb has chosen Atlanta for its new East Coast tech hub, employing roughly 300 people. Atlanta’s industrial market has seen strong leasing activity over the past year and Amazon is leading the way with 6.0 million square feet of industrial space leased in 2020 alone.

Submarket Overview

The Marietta submarket is quickly growing with rents rising 5.2% over the past year. The area is also rapidly gentrifying as many older retail units are currently under redevelopment. Major employers in the area include Dobbins Air Force Base and Lockheed Martin, who together employ over 7,000 people. The submarket neighbors "The Platinum Triangel" offering over 15 million square feet of office and retail space and over 150,000 jobs.

Cap Stack
Sources & Uses

Total Capitalization

Sources of Funds $ Amount $/Unit
Debt $29,500,000 $156,915
GP Investor Equity $250,000 $1,330
LP Investor Equity $10,840,000 $57,659
Total Sources of Funds $40,590,000 $215,904
     
Uses of Funds $ Amount $/Unit
Purchase Price $36,300,000 $193,085
General Partner Fees(1) $1,021,000 $5,431
CapEx $2,200,307 $11,704
Tax/Insurance Escrow $140,868 $749
Legal & Closing Costs(2) $927,825 $4,935
Total Uses of Funds $40,590,000 $215,904

The Sponsor’s equity contribution may consist of friends and family equity and equity from funds controlled by the Sponsor.

(1) General Partner Fees are inclusive of the Real Estate Company's acquisition fee and mortgage guarantee fee.

(2) RM Technologies, LLC, an affiliate of RealtyMogul, operates the RealtyMogul Platform.  RM Technologies, LLC charges a fixed, non-percentage-based fee for real estate companies and their sponsors to use the Platform and for Platform-related services.  Please see the Fees and Disclaimers sections below for additional information concerning fees paid to RM Technologies, LLC. 

Debt Assumptions

The expected terms of the debt financing are as follows:

  • Lender: Greystone
  • Base Term: 3 Years
  • Extensions: 2 Years
  • Loan-to-Value:  81.3%
  • Estimated Proceeds: $29,500,000
  • Interest Type: Floating
  • Spread:  LIBOR + 295 with LIBOR floor of 0.25%
  • Interest-Only Period: 5 Years
  • Amortization: Interest Only
  • Prepayment Terms: 75bps after 6 months
  • Exit Fee: 75bps
  • Extension Fees: 25bps

There can be no assurance that the Sponsor will secure debt on the rates and terms noted above, or at all.  All of the Sponsor’s estimated 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.

A substantial portion of the total acquisition for the Property will be paid with borrowed funds. The use of borrowed money to acquire real estate is referred to as leveraging.  Leveraging increases the risk of loss.  If the Sponsor were unable to pay the payments on the borrowed funds (called a "default"), the lender might foreclose, and the Sponsor could lose its investment in its property.

Distributions

Western Wealth Capital intends to make distributions from RM LXIII, LP as follows:

  1. To the Investors, pari passu, until a full return of LP capital;
  2. 65% / 35% (65% to Investors / 35% to Promote) of excess cash flow thereafter. 

Western Wealth 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 November 2021 and are projected to continue on an annual basis thereafter. Distributions are at the discretion of Western Wealth Capital, who may decide to delay distributions for any reason, including maintenance or capital reserves. 

Cash Flow Summary
    Year 1 Year 2 Year 3
Effective Gross Revenue   $2,787,527 $3,146,974 $3,495,296
Total Operating Expenses   $1,162,387 $1,396,861 $1,431,850
Net Operating Income   $1,625,387 $1,750,113 $2,063,447
         
Project-Level Cash Flows(1)(2)
  Year 0 Year 1 Year 2 Year 3
Net Cash Flow -$11,090,000 $452,395 $569,932 $15,909,248
         
Investor-Level Cash Flows(1)(2)
  Year 0 Year 1 Year 2 Year 3
Net Cash Flow -$3,000,000 $122,379 $154,175 $4,303,674
         
Investor-Level Cash Flows - Hypothetical $50,000 Investment(1)(2)
  Year 0 Year 1 Year 2 Year 3
Net Cash Flow -$50,000 $2,040 $2,570 $71,728

(1) The Real Estate Company reserves the right to distribute 80% of net cash flow to Investors with the remaining 20% to be held back as working capital and redistributed at the end of the hold period.

(2) Returns are net of all fees.  Such Fees include fees paid to RM Admin, an affiliate of RealtyMogul, who charges an annual fixed administrative fee for providing certain ongoing administrative services to the Sponsor.  Please see the Fees and Disclaimers sections and Disclaimers sections below for additional information concerning fees paid to RM Admin. 

RM Technologies, LLC and its affiliates does not provide any assurance of returns.  The content on this Page, including Sponsor’s pro forma projections, was provided by the Sponsor or an affiliate thereof.  Although RM Technologies, LLC believes the Sponsor reliably produced this content, RM Technologies, LLC makes no representations or warranties as to the accuracy of such information and accepts no liability therefor.  The assumptions and projections included in the content on this Page, including the Sponsor’s pro forma projections, are not reflective of the position of RM Technologies, LLC or any other person or entity other than the Sponsor or its affiliates.  There can be no assurances that all or any of the Sponsor’s assumptions will be true, that actual performance will bear any relation to these hypothetical illustrations, or that the Sponsor’s investment objectives will be achieved.  For additional information concerning the Sponsor’s assumptions and projections, and the significant risks involved in investing in real estate, please see the Disclaimers section below.  

Fees

Certain fees and compensation will be paid over the life of the transaction; please refer to Western Wealth 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
Acquisition Fee Up to 2.0% of Purchase Price Western Wealth Partnership at Close
Disposition Fee 1.0% of Disposition Sales Price Western Wealth Partnership at Sale
Mortgage Guarantee Fee 1.0% of Mortgage Western Wealth Partnership at Close
Construction Management Fee 5.0% of Interior Rehab Costs Western Wealth CapEx Budget
       
Recurring Fees:
Type of Fee Amount of Fee Received By Paid From
Property Management Fee 3.0% of EGI Western Wealth Property Manager Cash Flow
Asset Management Fee 2.0% of EGI Western Wealth Cash Flow
Administrative Services Fee 1.0% of Equity(4) RM Admin(3) Cash Flow

(1) Fees may be deferred to reduce impact to investor distributions.

(2) RM Technologies, LLC, an affiliate of RealtyMogul, operates the RealtyMogul Platform.  RM Technologies, LLC charges a fixed, non-percentage-based fee for real estate companies and their sponsors to use the RM Technologies, LLC’s proprietary Platform and receive Platform-related services.  An estimate of this fee is included in the Closing Costs above and is intended to be capitalized into the transaction at the discretion of the Sponsor.  The Platform fees received by RM Technologies, LLC are disclosed in the relevant operating agreement(s).  RM Technologies LLC’s receipt of Platform fees creates a conflict of interest between RealtyMogul and its affiliates, and investors or prospective investors.

(3) RM Admin, an affiliate of RealtyMogul, charges an annual fixed administrative fee for providing certain ongoing administrative services to the Sponsor.  RM Admin’s administrative services and fees are disclosed in the relevant operating agreement(s). RM Admin’s receipt of administrative fees creates a conflict of interest between RealtyMogul and its affiliates, and investors or prospective investors.

(4) Only applies to equity raised through the RealtyMogul Platform

 

 

The following offering documents have been prepared and are being delivered by the Sponsor of this investment opportunity, and not by RM Securities, LLC. RM Securities, LLC and its associated persons did not assist in preparing, do not explicitly or implicitly adopt or endorse, and are not otherwise responsible for, the Sponsors offering documents posted below or any content therein.
RM Securities, LLC and its Affiliates Compensation

RM Securities, LLC, its registered representatives, affiliates, associated persons, and personnel of its affiliates who may also be associated with it, including our associated persons and personnel of our affiliates who are also be associated with RM Securities, LLC (it (“RM Securities,” “we,” “our,” or “us”) will receive fees, expense reimbursements, and other compensation (“Fees”) from the issuer of this investment offering, its sponsor, or an affiliate thereof (“Sponsor”), or otherwise in connection with Sponsor’s offering. The Fees paid to us are in addition to other fees you will pay to Sponsor or in connection with Sponsor’s investment offering. You will pay Fees to Sponsor, either directly or indirectly as an investor in the Sponsor’s offering. Sponsor will use the Fees you pay, as well as funds you invest in the relevant offering, to compensate us. The Fees paid to us will directly or indirectly be borne by you as the investor (typically, but not always, in the form of an expense of the Sponsor’s offering in which you invest) because such Fees will reduce the proceeds available for distribution to you and reduce the amount you earn over time.

For more information on the Fees paid to us, or any other Fees you will pay in connection with Sponsor’s offering, please carefully review the Sponsor’s Investment Documents. Please also carefully review RM Securities’ Form CRS, Regulation Best Interest Disclosures, and Limited Brokerage Services Agreement.

No Approval, Opinion or Representation, or Warranty by RM Securities, LLC

Sponsor has provided, approved, and is solely responsible in all aspects for the information on this webpage (“Page”), including Sponsor’s offering documentation, which may include without limitation the Private Placement Memorandum, Operating or Limited Partnership Agreement, Subscription Agreement, the Project Summary and all exhibits and other documents attached thereto or referenced therein (collectively, the “Investment Documents”). The Investment Documents linked on this page have been prepared and posted by Sponsor, and not by RM Securities. We did not assist in preparing, do not adopt or endorse, and we are not otherwise responsible for, the Sponsor’s Investment Documents. We make no representations or warranties as to the accuracy of information on this Page or in the Sponsor’s Investment Documents and we accept no liability therefor. No part of the information on this Page or in the Sponsor’s Investment Documents is intended to be binding on us.

Sponsor’s Information Qualified by Investment Documents

The information on this Page is qualified in its entirety by reference to the more complete information about the offering contained in the Sponsor’s Investment Documents. The information on this Page is not complete and subject to change at the Sponsor’s discretion at any time up to the closing date. The Sponsor’s Investment Documents and supplements thereto contain important information about the Sponsor’s offering including relevant investment objectives, the business plan, risks, charges, expenses, and other information, which you should consider carefully before investing. The information on this Page should not be used as a basis for an investor’s decision to invest.

Risk of Investment

This investment is speculative, highly illiquid, and involves substantial risk. There can be no assurances that all or any of Sponsor’s assumptions, expectations, estimates, goals, hypothetical illustrations, or other aspects of Sponsor’s business plans (“Assumptions”) will be true or that actual performance will bear any relation to Sponsor’s Assumptions, and no guarantee or representation is made that Sponsor’s Assumptions will be achieved. If Sponsor does not achieve its Assumptions, your investment could be materially and adversely affected. A loss of part or all of the principal value of your investment may occur. You should not invest unless you can readily bear the consequences of such loss. Sponsor’s Assumptions should not be relied upon as the primary basis for your decision to invest.

No Reliance on Forward-Looking Statements; Sponsor Assumptions

Sponsor is solely responsible for statements made concerning forward-looking statements and Assumptions, which apply only as of the date made, are preliminary and subject to change, and are expressly qualified in their entirety by the disclosures and cautionary statements included in Sponsor’s Investment Documents, which you should carefully review. Neither RM Securities nor Sponsor are obligated to update or revise such forward-looking statements or Assumptions to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. Sponsor’s forward-looking statements and Assumptions are hypothetical, not based on actual investment achievements or events, and are presented solely for purposes of providing insight into the Sponsor’s investment objectives, detailing Sponsor’s anticipated risk and reward characteristics, and establishing a benchmark for future evaluation of actual results; therefore, they are not a predictor, projection, or guarantee of future results. You should not rely on Sponsor’s forward-looking statements as a basis to invest.

Importantly, we do not adopt, endorse, or provide any assurance of returns or as to the accuracy or reasonableness of Sponsor’s Assumptions or forward-looking statements.

No Reliance on Past Performance

Any description of past performance is not a reliable indicator of future performance and should not be relied upon as the primary basis to invest.

Sponsor’s Use of Debt

A substantial portion of the total cost of the real estate asset acquired by the Sponsor with investor funds (“Property”) will be paid with borrowed funds, i.e., debt. Sponsor’s estimated rates and terms of the debt financing are subject to lender approval, and there is no assurance that the Sponsor will secure debt at the rates and terms presented on this Page or in the Sponsor’s Investment Documents, or at all. The use of borrowed money to acquire real estate is referred to as leveraging, which can amplify losses and could result in lender foreclosure. In addition, if the debt includes a variable (or “floating”) interest rate, the total amount of interest paid over the term of the debt will fluctuate and can increase. As a result, Sponsor’s use of debt can result in a loss of some or all of your investment.

Sponsor’s Offering is Not Registered

Sponsor’s securities offering will not be registered under the Securities Act of 1933, as amended (the “Securities Act”), in reliance upon the exemptions from registration pursuant to Rule 506(c) of Regulation D as promulgated under the Securities Act (“Private Placement”). In addition, the offering will not be registered under any state securities laws in reliance on exemptions from state registration. Such securities (your ownership 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 Private Placements on the Platform are intended solely for “Accredited Investors,” as that term is defined in Rule 501(a) under the Securities Act.

No Investment Advice

Nothing on this Page should be regarded as investment advice (either with respect to a particular security or regarding an overall investment strategy), a recommendation, an offer to sell, or a solicitation of or an offer to buy any security. Advice from a securities professional is strongly advised to understand and assess the risks associated with real estate or private placement investments. For additional information on RM Securities’ involvement in this offering, please carefully review the Sponsor’s Investment Documents, and RM Securities’ Form CRS, Regulation Best Interest Disclosures, and Limited Brokerage Services Agreement.

1031 Exchange Risk

Internal Revenue Code Section 1031 (“Section 1031”) contains complex tax concepts and certain tax consequences may vary depending on the individual circumstances of each investor. RM Securities and its affiliates make no representation or warranty of any kind with respect to the tax consequences of your investment or that the IRS will not challenge any such treatment. You should consult with and rely on your own tax advisor about the tax aspects with respect to your particular circumstances.

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