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Pintar Investment Company ("PIC"), based in San Juan Capistrano, California, is a fully integrated residential real estate firm. PIC has expertise in real estate investment management, acquisition, disposition, development and redevelopment of both residential and commercial projects throughout the United States. Since its inception, PIC has invested over $1 billion in single family residential homes.
PIC's executive team has over 50 years of combined real estate development and investment experience and has produced more than $10 billion of real estate transactional volume since 1993.
A brief summary of the Fund's approximate portfolio allocations as of March 9, 2016 is as follows:
Market |
% of Total Portfolio Value |
% of Value / # of SFRHs (Buy and Hold) |
% of Value / # of SFRHs (Fix and Flip) |
Average Purchase Price |
---|---|---|---|---|
Greater Southern CA (excluding SD) |
49% | 34% / 105 | 15% / 15 | $270,000 |
Las Vegas area | 23% | 19% / 68 | 4% / 10 | $195,000 |
San Diego area | 27% | 0% / 0 | 27% / 43 | $416,000 |
Georgia | 1% | 1% / 9 | 0% / 0 | $79,000 |
Totals | 100% | 57% / 182 | 43% / 68 | $265,700 |
Not applicable for SFRHs across multiple markets.


Below is the Fund's approximate balance sheet as of March 9, 2016:
Assets | ||
Cash and Current Assets | $1.1 million | |
"Fix and Flip" Non-Current Assets | $25.1 million | |
"Rent and Hold" Non-Current Assets | $32.9 million | |
Total Assets | $59.1 million | |
Equity and Liabilities | ||
Existing Realty Mogul 44, LLC Equity | $1.6 million | |
Existing Sponsor Equity | $8.0 million | |
Existing Other Limited Partner Equity | $18.1 million | |
Existing Liabilities | $31.4 million | |
Total Equity and Liabilities | $59.1 million |
For "buy and hold" assets, the debt financing terms are as follows:
- Rate: 3.75%
- Amortization: None - Full-term interest only
- Leverage Limit: 50% of appraised value, on a property by property basis
- Personal Guarantee: Jeff Pintar, CEO of the Fund
For "fix and flip" assets, the debt financing terms are as follows:
- Rate: 5.50%
- Amortization: None - Full-term interest only
- Leverage Limit: 60% of purchase price, on a property by property basis
- Personal Guarantee: Jeff Pintar, CEO of the Fund
Realty Mogul 63, LLC contributions are projected to earn a 6.0% cumulative, annualized preferred return. On a quarterly basis, after investors Realty Mogul 63, LLC and other investors in the fund receive a 6.0% cumulative, annualized preferred return, the general partner of the Fund is paid an asset management fee equivalent to 0.50% of portfolio value, annualized. Remaining proceeds are anticipated to then be split 70% to Realty Mogul 63, LLC and other investors in the Fund and 30% to the Sponsor. It is also important to note that the manager of Realty Mogul 63, LLC is expected to receive a portion of the general partner of the Fund's split of distributions, and investors in Realty Mogul 63, LLC will be subject to additional fees other than those charged by the Fund. For a full explanation of fees payable by investors in Realty Mogul 63, LLC, please refer to the Investor Document Package attached to this offering.
The general partner of the Fund is expected to make distributions to Realty Mogul 63, LLC as follows:
Order of Distributions to Realty Mogul 63, LLC (Operating Income)
- First, to investors in the Fund (including Realty Mogul 63, LLC), until investors have received a six percent (6.0%) cumulative, preferred annualized return,
- Second, one hundred percent (100%) to the Sponsor until the Sponsor has received an asset management fee equal to 0.50% of portfolio value, annualized, and
- Finally, seventy percent (70%) to investors in the Fund and thirty percent (30%) to the general partner of the Fund thereafter.
For investments made prior to the beginning of any given fiscal quarter year, such investments will be due a fixed rate of return of 6.0% per annum, until such time as a new fiscal quarter begins and such contributions are converted to equity contributions, per the Fund's PPM.
Distributions from operating income are projected to occur on a quarterly basis, with the first distribution expected to occur in September of 2016. However, these distributions are at the discretion of the Sponsor, who may decide to delay distributions for any reason, including maintenance or capital reserves.
Certain fees and compensation will be paid over the life of the transaction. The following fees and compensation will be paid:
Type of Fee | Amount of Fee | Received By | Paid From | Notes |
One-Time Fees: | ||||
---|---|---|---|---|
Broker-Dealer Fee | 4.0% of Realty Mogul Equity Raise | North Capital (1) | Fund Available Cash | Expense is capitalized in Fund. RM investors pay a pro rata percentage of fee based off of total equity invested in the Fund. |
Recurring Fees: | ||||
Acquisition Fee | 0.50% of purchase price | General Partner of the Fund | Fund Available Cash | Paid upon acquisition on a property-by-property basis |
Financing Fee | 0.50% of purchase price | General Partner of the Fund | Fund Available Cash | Paid upon acquisition on a property-by-property basis |
Property Management Fee | 7.00% of gross rental income | Non-affiliated third parties | Fund Available Cash | Paid Quarterly |
Asset Management Fee | 0.50% of total value of the Fund, per annum | General Partner of the Fund | Fund Available Cash | Paid quarterly. Fund value is fixed annually for the calculation of the fee at the end of the second quarter. Asset management fee is not paid for the quarter until after investors in the fund receive a 6.0% preferred return, annualized. If there is a quarterly distribution of less than 6.0% annualized, the balance will accrue to investors capital balance and be paid before any profit split in subsequent quarters. |
Management and Administrative Fee | 2.0% of investment assets in Realty Mogul 44, LLC, per annum | RM Manager, LLC | Distributable Cash | RM Manager, LLC is the Manager of Realty Mogul 44, LLC and a wholly owned subsidiary of Realty Mogul, Co. (2) |
Notes:
(1) Certain employees of Realty Mogul, Co. are registered representatives of, and are paid commissions by, North Capital Private Securities Corp., a Delaware corporation ("North Capital"). In addition, North Capital pays a technology provider services fee to Realty Mogul, Co. for licensing and access to certain technology, reporting, communications, branding, entity formation and administrative services performed from time to time by Realty Mogul, Co., and North Capital and Realty Mogul, Co. are parties to a profit sharing arrangement.
(2) Fees may be deferred to reduce impact to investor distributions.
The above presentation is based upon information supplied by the Sponsor or others. Realty Mogul, Co., RM Manager, LLC, and Realty Mogul 44, LLC, along with their respective affiliates, officers, directors or representatives (the "RM Parties") hereby advise you that none of them has independently confirmed or verified any of the information contained herein. The RM Parties further make no representations as to the accuracy or completeness of any such information and undertake no obligation now or in the future to update or correct this presentation or any information contained herein.
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, LLCSponsor 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 DocumentsThe 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 InvestmentThis 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 AssumptionsSponsor 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 PerformanceAny 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 DebtA 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 RegisteredSponsor’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 AdviceNothing 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 RiskInternal 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.