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.
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.
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.
We have formalized processes and checklists for every private placement deal listed on the platform.
SF Partners & Affiliates
SF Partners Mortgage, LLC ("SF Partners") is a Real Estate Investment firm established in 2009 for the sole purpose of purchasing and managing commercial real estate in the State of Florida. The principals of SF Partners, Charles Stuzin and Daniel Stuzin, have been involved in both the banking and real estate industries in Southern Florida for more than 40 years.
Since inception, SF Partners (through affiliates) has purchased and operated over twenty multi-tenant commercial properties primarily in the Southern Florida area. SF Partners’ strategy has been to identify commercial buildings where it can add value through increasing occupancy, raising rental rates, and reducing expenses. Many of the properties purchased by SF Partners have also required substantial investment in capital improvements in order to achieve the aforementioned objectives.
The investment strategy is based upon acquiring and managing “sub-performing” commercial real estate assets that offer attractive risk based returns in the following property types: office, retail, and light-industrial. Typical deal sizes range from $1,000,000 - $10,000,000. By focusing on smaller commercial properties, SF Partners believes it can find value as there are less sophisticated purchasers pursuing these type of deals. Transaction types are standard arms length buyer/seller purchases but have also included the acquisition of non performing notes, portfolio purchases, and REO assets. The management team has developed a strategy which they believe allows for quick stabilization of the asset (typically within 12-18 months). The “in-house” property management team also allows SF Partners to keep expenses to a minimum while providing potentially superior value to its tenants. The following are examples of some of the recent transactions SF Partners has undertaken.
http://www.sfpartnersllc.com/-
Charles StuzinChairman of the Board -
Daniel StuzinPresident -
Elliot Grub
Charles is a principal of SF Partners. He has spent his 40 year career in the banking and real estate industries. Previously, he served as Chairman and President of CSF Holdings, Inc. (holding company for Citizens Federal Bank). He currently serves as Chairman of the Board for the Holding Company of Coconut Grove Bancshares. Charles holds a bachelors degree in accounting from the University of Florida and a J.D. from the University Of Miami School Of Law. Mr Stuzin’s experience has been great source of counsel for the operations of SF Partners.
Daniel is a founder and managing principal of SF Partners and is responsible for setting the investment strategy of the firm. He maintains overall responsibility for all operations of the firm. Daniel holds a bachelors degree in accounting from the University of Illinois and a J.D. from the University of Miami School of Law. Daniel was President and founder of SF Partners Mortgage LLC, a licensed commercial Florida lender that originated and managed commercial loans between 2003-2009.
Elliot has been with SF Partners since its inception in 2009 and is responsible for business origination, risk evaluation, underwriting, pricing and management of all real estate investments. In addition, he oversees the marketing and leasing efforts for all portfolio properties. He has more than 20 years of experience in the real estate and finance industry. Elliot holds a bachelor’s degree from Tulane University and an M.B.A from the H. Wayne Huizenga School of Business and Entrepreneurship at Nova Southeastern University.
| SF Partners & Affiliates - Track Record | ||||||||
| Project Name | Location | Property Type | Size | Acquisition Date | Acquisition Price | Active/ Realized |
Sale Price | Return |
| 2425 E. Commercial Blvd | Ft. Lauderdale, FL | Office | 21,276 | Dec-10 | 1,450,000 | Active | ||
| 618 US Highway One | North Palm Beach, FL | Office | 20,827 | Apr-11 | 1,100,000 | Active | ||
| 6520-6528 US Highway 301 | Riverview, FL | Office | 38,400 | Apr-11 | 3,264,000 | Active | ||
| 741-749 US Highway 1 | North Palm Beach, FL | Office | 25,000 | Jun-11 | 1,500,000 | Realized | 2,175,000 | 45% |
| 1800 S. Australian Avenue | West Palm Beach, FL | Office | 45,000 | Aug-11 | 4,250,000 | Active | ||
| 1801-1925 S. Perimeter Road | Fort Lauderdale, FL | Office | 73,000 | Nov-11 | 3,410,550 | Active | ||
| 440 East Sample Road | Pompano Beach, FL | Office | 27,515 | May-12 | 1,325,000 | Realized | 2,450,000 | 85% |
| 324 Datura Street | West Palm Beach, FL | Office | 66,000 | Aug-12 | 3,587,500 | Realized | 6,000,000 | 67% |
| 2151 W. Hillsboro Boulevard | Deerfield Beach, FL | Office | 41,000 | Oct-12 | 3,080,000 | Active | ||
| 5959-5999 Central Avenue | St. Petersburg, FL | Office | 62,508 | Mar-13 | 2,900,000 | Realized | 4,575,000 | 58% |
| 4300 N. University Drive | Lauderhill, FL | Office | 97,800 | Jun-13 | 5,300,000 | Active | ||
| 21301 Powerline Road | Boca Raton, FL | Office | 53,000 | Sep-13 | 6,905,000 | Realized | 11,500,000 | 67% |
| 2675 Winkler Avenue | Fort Myers, FL | Office | 64,386 | Sep-14 | 4,400,000 | Active | ||
| 2290-2328 10th Avenue | North Lake Worth, FL | Office | 101,136 | Mar-15 | 8,600,000 | Active | ||
| 1551 Forum Place | West Palm Beach, FL | Office | 39,899 | Sep-15 | 4,000,000 | Active | ||
| 3700 Washington Street | Hollywood, FL | Office | 57,815 | Oct-15 | 8,300,000 | Active | ||
| 2051-2151 45th Street | West Palm Beach, FL | Office | 69,178 | Mar-16 | 7,800,000 | Active | ||
| Total/Average | 903,740 | $71,172,050 | $26,700,000 | 62% | ||||
In this transaction, RealtyMogul.com investors will invest in Realty Mogul 60, LLC. Realty Mogul 60, LLC will subsequently invest in KAS CTP, LLC, the entity that will hold title to the Property.
Upon acquisition, the Sponsor intends to make some minor capital improvements/repairs to the roof estimated to cost between $10,000 - $15,000. Given that the current owner is a professional real estate firm that has owned and occupied the Property since 1998, the Property has been very well maintained. The Sponsor’s business plan largely entails managing the rollover of leases at the Property while leasing up currently vacant space (the underwriting does not assume any additional lease up until Year 4). As is customary with tenants of smaller size (average tenant square footage is 2,600) in suburban office buildings, lease terms are shorter, but will generally see larger rent increases upon renewal. The underwriting assumes target rents of $17.00 per square foot, which compares favorably with recent leasing activity which has averaged $17.24 per square foot.
Given the above market parking ratio and large lot size, there is additional upside potential to monetize the parking once the City Village development is complete, as well as the ability to develop an additional office or retail pad on the site. These considerations have not been underwritten in the assumptions, but could prove to be an attractive option to the Sponsor and/or a potential buyer.
RealtyMogul.com, along with SF Partners (the "Sponsor"), is providing the opportunity to invest in the acquisition and ownership of a 40,000 square foot office property located in Tamarac, FL (the "Property").
The primary objective of this investment is to acquire the Property below replacement cost, manage rollover throughout the hold period, bring rents up to market, and sell the Property within approximately four (4) years.
The Sponsor sees this investment as an opportunity to acquire a well located office property in a market where they are an owner and manager of over 669,000 square feet of office product.
Built in 1985, the Property is currently 86% occupied with two vacant suites. There are twelve tenants in total, comprised of professional firms such as attorneys, marketing companies, medical servicing firms, real estate firms and one of the largest elevator service companies in the South Florida area, ThyssenKrupp Elevator Group. There are 192 parking spaces, providing a high parking ratio of 4.8/1,000 square feet.
Major Tenant Summary
Since 1997, MasterTrace has been one of the most trusted names in medical background canvassing. MasterTrace works for and is the vendor of choice for many major insurance companies, insurance defense law firms, TPAs and self-insured organizations. Their record of timely delivery coupled with fair market pricing has helped their clients receive unprecedented ROI when choosing to utilize medical canvassing. When clients run a “MasterTrace,” they get nationwide access to treatment facts in seven easy steps, culminating in an easy-to-read report with powerful data about a subject’s medical history.
ThyssenKrupp Elevator Americas is the largest producer of elevators in the Americas, with more than 13,500 employees and more than 200 branch and service locations. The company is constantly innovating, with a wide array of elevator technologies available depending on the height of the building. Confidence is engineered in their fabric, from the planning and installation process to routine elevator maintenance. ThyssenKrupp Elevators is one of the components of the ThyssenKrupp Group, which is based in Germany and has over 155,000 employees throughout 80 countries worldwide. During the 2013/2014 fiscal year, ThyssenKrupp generated sales of roughly €41 billion in the business areas of Components Technology, Elevator Technology, Industrial Solutions, Materials Services and Steel. The conglomerate’s stock is traded under the ticker symbol TKA on the Xetra (Exchange Electronic Trading system, based in Frankfurt, Germany).
Ranieri Law is a full service law firm, focusing on raising consumers’ credit scores by correcting unverifiable, inaccurate, misleading, obsolete and incomplete information. The firm has over 20 years of commercial law experience and is equipped with the resources and legal expertise that typical credit repair agencies cannot offer. The team of professionals at Ranieri Law looks at each case individually and plans a strategy that will work best for each client’s case.
Aptitude Marketing Group was formed by experts in the lead generation space who work with specialists in online advertising, marketing and media buying experiences. The company, based in Tamarac, Florida, started with a five-person call center and has grown year after year to over 50 people. The team consists of the best online marketers in the industry and continues to evolve, looking for new ways to generate high-quality leads for their partners. Aptitude Marketing offers more ways to reach clients’ target markets versus other groups. They use social media tools and proprietary sites to open additional channels to target audiences.
Genet Property Group has over 20 years of real estate experience in leasing, sales, acquisitions and property management. Based in South Florida, Genet Property Group currently manages over 1.5 million square feet of combined residential, commercial office, warehouse and retail space. With a hands on management approach and direct owner involvement Genet Property Group has established successful partnerships with long term tenants, brokers and vendors throughout the years.
| Sales Comps (PPR/CoStar/RCA/Sponsor) | |||||
| Address | Sale Date | Size (SF) | Price | $/SF | Cap Rate |
| 100-150 E. Sample Rd, Pompano Beach | Aug-15 | 34,000 | $4,700,000 | $138.24 | 7.4% |
| 9600 Sample Rd, Coral Springs | Jun-14 | 37,584 | $4,275,000 | $113.75 | 7.8% |
| 7431 N. University Dr, Tamarac | Oct-15 | 44,857 | $4,700,000 | $104.78 | 8.5% |
| 7544 Wiles Rd, Pompano Beach | Jan-15 | 26,549 | $3,741,000 | $140.91 | |
| 5701 N Andrews Way, Ft Lauderdale | Jan-16 | 22,851 | $2,350,000 | $102.84 | |
| 800 W. Cypress Creek Rd, Ft Lauderdale | Jul-15 | 65,400 | $5,893,700 | $90.12 | |
| Average | 38,540 | $110.97 | 7.9% | ||
| Subject | 40,000 | $103.75 | 7.5% | ||
| Leasing Comps (CoStar) | ||||
| Deal | Lease Start | Size (SF) | Lease Rate | Term (yrs) |
| 4577 N. Nob Hill Rd, Sunrise | Nov-15 | 1,200 | $19.00 | 1.0 |
| 4300 N. University Dr, Lauderhill | Nov-15 | 1,150 | $16.00 | 1.0 |
| 5440 NW 33rd Ave, Ft. Lauderdale | Oct-15 | 3,029 | $15.75 | 1.0 |
| 6601 NW 14th St, Plantation | Aug-15 | 2,303 | $15.56 | 3.0 |
| 499 NW 70th Ave, Plantation | Apr-15 | 1,188 | $20.50 | 3.0 |
| 7771 W. Oakland Park Blvd, Sunrise | Feb-16 | 6,974 | $23.20 | 3.0 |
| 8411 W. Oakland Park Blvd, Sunrise | Oct-14 | 2,636 | $15.00 | 1.0 |
| Average | 2,640 | $18.96 | 1.9 | |
| Subject - In Place | 40,000 | $16.47 | ||
| Subject - Projected | 40,000 | $17.00 | ||
The Property is located in the City of Tamarac, FL along N. Pine Island Road and Commercial Boulevard which are both heavily trafficked roads in western Broward County, and is easily accessible from Florida’s Turnpike and the Sawgrass Expressway. The western Broward county submarket is highly populated and there is a strong demand for office space located in proximity to residential areas surrounding the greater Ft Lauderdale area. Directly adjacent to the Property, the City of Tamarac is developing a downtown City Village which will consist of retail, restaurants and new residential housing. At this time no office building is scheduled to be developed. The Property will sit at the entrance of this new downtown project and is a very substantial project for the area. Construction is to commence in January 2017.
Market Overview
According to CoStar Portfolio Strategy, the Fort Lauderdale office market has changed over the last few quarters. While employment had mostly been supported by low wage jobs, the forecast should see white-collar and high-wage jobs getting the lion’s share of growth. The result is projected to be an expanding job market that should continue to outperform U.S. employment growth across all sectors, but more important, office-using job growth may excel. The improving economy, combined with affordable office rents, should help support demand growth in the coming years, which should directly translate to healthy market fundamentals. Also, a general lack of supply additions, particularly compared with supply in other Southeast metros, should underpin one of the better vacancy improvement stories in the region, and more important, the country. There is some upside potential in pricing, which remains relatively low. For value-add investors, there could still be some good deals to be had. However, overall capital value growth may be elusive for many assets here, so core investors should make sure today’s yields are enough to last over the hold period.
Submarket Overview
According to CoStar Portfolio Strategy, the Northwest Broward/Coral Springs Submarket has a relatively small inventory, with just under five million SF of office space, only about 7% of the metro’s total. With about 50,000 people working here, it has a high employment concentration in manufacturing, healthcare, and retail trade. The two main office nodes in the submarket are along West McNab Road and North University Drive near the Coral Springs Medical Center.
Demographic Information
| Demographics | 1 Mile | 3 Miles | 5 Miles | |
| Population (2015) | 19,905 | 163,448 | 401,250 | |
| Projected Growth (2015-2020) | 6.29% | 7.76% | 7.70% | |
| Median HH Income (2015) | $47,132 | $44,154 | $45,926 | |
Demographic information above was obtained from CoStar
| Total Capitalization | ||
| Sources of Funds | ||
| Debt | $2,950,000 | |
| Equity | $1,417,250 | |
| Total Sources of Funds | $4,367,250 | |
| Purchase Price | $4,150,000 | |
| Acquisition Fee | $41,500 | |
| Leasing Reserve | $25,000 | |
| CapEx Reserve | $25,000 | |
| Legal Costs(1) | $10,000 | |
| Closing Costs & Other Fees | $115,750 | |
| Total Uses of Funds | $4,367,250 | |
(1) A portion of the legal fees will be paid to North Capital as reimbursement for legal pursuit costs.
The projected terms of the debt financing are as follows:
- Lender: BankUnited
- Proceeds: $2,950,000
- Term: Five (5) years
- Rate: 3.50%
- Amortization: 25 years
- Interest Only: 2 years
- Prepayment Fees:
- 3% months 1-12
- 2% months 13-24
- 1% months 25-36
- 0% thereafter
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.
KAS CTP, LLC intends to make distributions to Realty Mogul 60, LLC as follows: pro rata share of cash flow to a 7% Internal Rate of Return ("IRR") hurdle, then to Sponsor until they have reached a 10% hurdle, then a 70/30 split thereafter (70% to members, 30% to Sponsor) of excess cash flows and appreciation. Realty Mogul 60, LLC will distribute 100% of its share of excess cash flow (after expenses) to the members of Realty Mogul 60, LLC (the RealtyMogul.com investors). The manager of Realty Mogul 60, LLC will receive a portion (up to 10%) of the Sponsor's promote interest.
Distributions are projected to start in November 2016 and are projected to continue on a semi-annual basis thereafter. These distributions are at the discretion of the Sponsor, who may decide to delay distributions for any reason, including maintenance or capital reserves.
| Year 1 | Year 2 | Year 3 | Year 4 | |
|---|---|---|---|---|
| Effective Gross Revenue | $569,719 | $596,677 | $624,419 | $677,515 |
| Total Operating Expenses | $256,749 | $264,846 | $273,185 | $282,755 |
| Net Operating Income | $312,970 | $331,831 | $351,234 | $394,760 |
| Distributions to Realty Mogul 60, LLC Investors | $64,324 | $72,402 | $43,902 | $1,019,334 |
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: | ||||
|---|---|---|---|---|
| Acquisition Fee | $41,500 | Sponsor | Capitalized Equity Contribution | 1.0% of the property purchase price |
| Broker-Dealer Fee | $35,000 | North Capital (1) | Sponsor's Acquisition Fee | This fee will be paid outside of closing from the Sponsor's Acquisition Fee proceeds |
| Legal Expense Fee | $10,000 | North Capital | Capitalized Equity Contribution | |
| Recurring Fees: | ||||
| Property Management Fee | 4.0% of effective gross revenues | Sponsor | Operating Cash Flow | |
| Maintenance Personnel Expense Reimbursement | $10,000/year | Sponsor | Operating Cash Flow | |
| Management and Administrative Fee | 2.0% of amount invested in Realty Mogul 60, LLC | RM Manager, LLC | Distributable Cash | RM Manager, LLC is the Manager of Realty Mogul 60, 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 60, 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.