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.
Birge & Held Asset Management
Birge & Held is a national apartment real estate, private equity and investment firm located in Carmel, Indiana. In an effort to take advantage of strategic real estate acquisition opportunities in the distressed real estate marketplace, J. Taggart Birge and Andrew J. Held started what is now Birge & Held in 2008. Birge & Held has acquired and managed over $400,000,000 in multi-family assets across the country and currently employs over 80 professionals, per the Sponsor. Through private equity and creative debt structures, Birge & Held continues to grow its portfolio of assets. For capital investors who seek to identify and pursue apartment real estate opportunities, Birge & Held provides an experienced operating partner.
http://www.birgeandheld.com/Property Name | Location | Number of Units | Date Acquired | Total Cost Basis |
Aurum | Indianapolis, IN | 208 | 2/12/13 | $13,940,593 |
Beacon Hill Apartments | Indianapolis, IN | 14 | 4/1/13 | $1,000,000 |
Clinton Estates | Indianapolis, IN | 184 | 7/1/13 | $13,553,680 |
College Court Condominiums | Frankfort, IN | 48 | 11/25/13 | $1,800,000 |
Cypress Square Apartments | Indianapolis, IN | 188 | 3/27/14 | $12,350,000 |
Eagle Creek Apartments | Muncie, IN | 67 | 4/25/14 | $5,279,925 |
Echo Ridge Apartments | Muncie, IN | 36 | 4/25/14 | $2,376,609 |
Elston Point Apartments | Elkhart, IN | 76 | 10/16/14 | $3,550,000 |
English Village Apartments | Elkhart, IN | 95 | 10/16/14 | $3,300,000 |
Greenleaf Hunter's Pond Apartments | Indianapolis, IN | 208 | 10/22/14 | $8,600,000 |
Kensington/Chesterfield | South Bend, IN | 60 | 11/7/14 | $6,000,000 |
Parc Bordeaux Apartments | Bloomington, IN | 62 | 11/7/14 | $4,000,000 |
Pheasant Run Apartments | Indianapolis, IN | 208 | 12/9/14 | $8,700,000 |
Railway Manor | Bloomington, IN | 32 | 8/31/15 | $3,575,000 |
Regency Park | Indianapolis, IN | 632 | 9/18/15 | $45,000,000 |
The Arbors | Bloomington, IN | 24 | 10/6/15 | $2,732,000 |
The Oaks of Eagle Creek Apartments | Indianapolis, IN | 304 | 12/22/15 | $15,322,000 |
Walnut Springs Apartments | Lafayette, IN | 62 | 1/19/16 | $3,882,000 |
Woodwind Apartments | Lafayette, IN | 44 | 1/28/16 | $2,220,000 |
The Villager | Centerville, OH | 276 | 2/19/16 | $22,900,000 |
Chesapeake Landing | Centerville, OH | 256 | 4/28/16 | $22,110,000 |
Beechmill Apartments | Indianapolis, IN | 256 | 5/6/16 | $19,175,000 |
Trails at Lakeside Apartments | Indianapolis, IN | 208 | 9/8/16 | $18,100,000 |
Lakeshore Apartments | Indianapolis, IN | 740 | 9/15/16 | $84,900,000 |
Cross Creek Apartments | Indianapolis, IN | 208 | 1/9/17 | $14,725,000 |
Total | 4,496 | $339,091,808 |
Property Name | Location | Number of Units | Date Acquired | Total Cost Basis | Sale Price |
Harborview Condominiums | San Diego, CA | 81 | 3/1/09 | $20,406,491 | $22,000,000 |
Bear Valley Apartments | San Diego, CA | 24 | 11/8/10 | $4,200,000 | $4,900,000 |
Walnut Manor Apartments | Muncie, IN | 120 | 11/30/11 | $2,471,700 | $4,850,000 |
Centro Apartments | San Diego, CA | 60 | 12/19/11 | $11,213,764 | $15,800,000 |
Palm Valley Apartments | Goodyear, AZ | 264 | 4/1/12 | $22,925,000 | $27,200,000 |
Fox Brook Apartments | Muncie, IN | 41 | 4/2/12 | $1,275,000 | $1,900,000 |
Total | 590 | $62,491,955 | $76,650,000 | ||
Total Currently Owned and Sold | 5,086 | $401,583,763 | $76,650,000 |
*Performance information provided by the Sponsor
In this transaction, RealtyMogul.com investors will invest in Realty Mogul 62, LLC. Realty Mogul 62, LLC will subsequently invest in BH Chesapeake Indy, LLC, a limited liability company that will (through another wholly-owned entity) acquire, renovate, and manage the Property.
Birge & Held Asset Management (the "Sponsor") believes that rents at the Property are currently below market, and plans to implement approximately $1,652,450 of interior and exterior renovations to achieve rental increases averaging $112/unit, a 15% increase. Interior renovations will include painted cabinets, new kitchen and bath hardware, new flooring in the common areas, upgraded countertops and sinks, and new panel doors. Exterior and common area improvements will include clubhouse remodeling, new roofs on all buildings, new signage throughout the property, and a new dog park.
The Sponsor also intends to enhance the overall operations of the Property through improved management and marketing efforts, drawing from their ownership experience of over 3,000 multifamily units to date.
Budgeted Capital Improvements | |||||||||||
Interior | Exterior | ||||||||||
Paint Cabinets | $128,000 | $500/U | Clubhouse/ Fitness Center Remodeling | $41,012 | $160/U | ||||||
Kitchen/Bath Hardware | $64,000 | $250/U | Signage | $20,000 | $78/U | ||||||
LVT Flooring in Common Area | $256,000 | $1,000/U | New Roofs | $464,238 | $1,813/U | ||||||
Panel Doors & Hardware | $128,000 | $500/U | Dog Park | $20,000 | $78/U | ||||||
Upgrade Countertops & Sink | $531,200 | $2,075/U | |||||||||
Total Cost of Interior: | $1,107,200 | $4,325/U | Total Cost of Exterior: | $545,250 | $2,130/U |
RealtyMogul.com, along with Birge & Held Asset Management, LLC (the "Sponsor"), is providing the opportunity to invest in the acquisition and renovation of a 256-unit multi-family property located in Dayton, OH (the "Property").
The primary objective of this investment is to acquire the Property, perform interior and exterior renovations, bring rents up to market, and sell the Property within approximately seven (7) years.
The Sponsor sees this investment as an opportunity to capitalize on an under managed asset that is currently leasing at below market rents. Comparable properties in the area suggest that rents at the Property are currently an average of $122/unit below market. The Sponsor plans to implement a $1.65M ($6.5k/unit) renovation that is expected to increase rents by 15% to bring them in line with the market.
Chesapeake Landing is a 256-unit garden style multi-family community that is currently 93% occupied. The property was built in 1986 and consists of one bedroom/one bathroom, one bedroom/one bathroom with a den, and two bedroom/two bathroom unit types. Units range in size from 455-749 square feet for a one bedroom to 1,000 square feet for a two bedroom, averaging 804 square feet. Community amenities include a pool, detached garages, a tanning bed, a volleyball court, fitness center, washer and dryer hookups, balconies/patios, wood burning fireplaces, microwaves, walk-in closets, and a lake on the property, along with 516 parking spaces.
Unit Mix | ||||||
Unit Type | Floorplan Name | # Units | % of Total | Unit SF | Avg. In-Place Rent | Avg. In-Place Rent/ SF |
1 Bed / 1 Bath | The Junior | 40 | 15.6% | 455 | $586 | $1.29 |
1 Bed / 1 Bath | The One Bedroom | 66 | 25.8% | 676 | $669 | $0.99 |
1 Bed / 1 Bath | The One Bedroom + | 6 | 2.3% | 730 | $694 | $0.95 |
1 Bed / 1 Bath, Den | The Den | 36 | 14.1% | 848 | $759 | $0.90 |
2 Bed / 2 Bath | The Two Bedroom | 108 | 42.2% | 1000 | $790 | $0.79 |
Total/ Average | 256 | 100.0% | 804 | $720 | $0.94 |
Rent Comps | |||||||||
1 Bed / 1 Bath | 2 Bed / 1 Bath* | 2 Bed / 2 Bath | |||||||
Property | Miles From Subject | Year Built | Total Units | Rents | PSF | Rents | PSF | Rents | PSF |
Arbors of Yankee Vineyards | 0.53 | 1994 | 140 | $720 | $0.98 | $800 | $0.95 | $910 | $0.90 |
Ashton Glen | 2.32 | 1997 | 108 | $783 | $1.04 | $910 | $0.87 | - | - |
Harbour Club | 2.78 | 1988 | 184 | $725 | $1.01 | $775 | $0.92 | - | - |
Normandy Club | 1.72 | 1988 | 176 | $820 | $1.09 | - | - | $952 | $0.95 |
Spinnaker Cove | 0.40 | 1993 | 154 | $705 | $0.96 | $775 | $0.92 | $890 | $0.88 |
Washington Place | 0.65 | 2000 | 336 | $675 | $1.16 | $879 | $0.94 | $1,063 | $0.93 |
Average | 1993 | 183 | $738 | $1.04 | $828 | $0.92 | $954 | $0.92 | |
Subject | 1986 | 256 | $640 | $1.07 | $759 | $0.90 | $790 | $0.79 | |
Discount to Comp Set | $98 | $69 | $164 | ||||||
Weighted Average Discount to Comp Set/Unit | $122 | ||||||||
*At the subject property, these units are 1 Bed/ 1 Bath units that include a den, making them comparable to the 2 Bed / 1 Bath comp units shown above. |
Rent Comparable information above was obtained from Axiometrics and the Sponsor
Sales Comps | |||||||
Name | City | # Of Units | Year Built | Sale Date | Sale Price | Price Per Unit | Cap Rate |
St Andrews at Little Turtle | Westerville, OH | 102 | 1986 | Mar-14 | $8,165,000 | $80,049 | 7.35% |
Governours Square/Toulon | Columbus, OH | 820 | 1967 | Oct-14 | $66,691,100 | $81,331 | 6.68% |
Hickory Creek | Columbus, OH | 372 | 1988 | Oct-14 | $27,589,600 | $74,166 | 7.06% |
Ashton Glen | Centerville, OH | 108 | 1997 | Dec-12 | $7,500,000 | $69,444 | 6.23% |
Mallard Crossing Apartments | Loveland, OH | 350 | 1997 | Dec-13 | $39,800,000 | $113,714 | 5.39% |
The Villager | Centerville, OH | 276 | 1968 | Feb-16 | $20,300,000 | $73,551 | 6.94% |
Total / Average | 338 | 1987 | $28,340,950 | $83,849 | 6.61% | ||
Subject | 256 | 1986 | $20,000,000 | $78,125 | 6.91% |
Sales Comparable information above was obtained from Real Capital Analytics and the Sponsor
Chesapeake Landing is located in the suburb of Centerville, south of Dayton, OH, less than half of a mile south of I-675 (Dayton's circle freeway) and 13 miles (about 20 minutes) from downtown Dayton. According to the Sponsor, Centerville is well known for high-end residential developments and excellent schools. One and a half miles northeast of Chesapeake Landing is the 1.44M square foot Dayton Mall, which is the region's largest shopping mall. Chesapeake Landing is nine miles southwest of The Greene, a popular dining and entertainment destination whose 100+ stores attract more than 500,000 visitors per month. Centerville was awarded a nine out of ten rating by greatschools.org, an independent non-profit organization and national source of school information for millions of parents. According to the organization, the top four highest rated schools in Centerville are all located less than three and a half miles from the subject Property.
Market Overview
According to the U.S. Census Bureau, the Dayton MSA is estimated to be inhabited by 800,909 residents, as of July 1, 2015. Dayton is home to Miami Valley Hospital, University of Dayton, GE Aviation's new $51 million research center, and the University of Dayton Research Institute. Other major employers include Limited Brands (Victoria's Secret catalog fulfillment center), Reynolds and Reynolds, Kettering Medical Center, Miami Valley Hospital South, Wright State University, and Wright Patterson Air Force Base, which is located 15 minutes to the east by car and is Ohio's largest single-site employer with over 27,000 employees.
Submarket Overview
Out of the 120 markets ranked by Axiometrics nationally, Dayton, OH Metro Area was ninth for quarterly effective rent growth, and 25th for annual effective rent growth for the fourth quarter of 2015. Axiometrics predicts a 4.31% average vacancy rate over the next five years for the submarket, along with an effective annual rent growth of 3.51% over the same period.
Axiometrics Submarket Rent Growth and Vacancy Rate | |||||||||||
2016 | 2017 | 2018 | 2019 | 2020 | |||||||
Rent Growth | 5.12% | 4.31% | 3.26% | 2.63% | 2.24% | ||||||
2016 | 2017 | 2018 | 2019 | 2020 | |||||||
Vacancy Rate | 4.18% | 3.50% | 3.85% | 4.53% | 5.48% |
Demographic Information
Demographics | 1 Mile | 3 Miles | 5 Miles | |
Population (2015) | 6,467 | 60,752 | 150,295 | |
Growth (2010-2015) | -0.39% | -1.11% | -0.36% | |
Growth (2015-2020) | -0.53% | -0.71% | -0.12% | |
Median HH Income (2015) | $48,769 | $58,316 | $59,536 |
Demographic information above was obtained from CoStar
Total Capitalization | |
Sources of Funds | |
Senior Loan | $15,420,000 |
Equity | $6,690,000 |
Total Sources of Funds | $22,110,000 |
Uses of Funds | |
Purchase Price | $20,000,000 |
Reserves/Third Party Reports/Other Fees | $1,495,350 |
Sponsor Acquisition/Guarantor Fee | $300,000 |
Financing Costs | $145,650 |
Working Capital/PCNA Contingency | $64,000 |
North Capital Broker-Dealer Fee | $60,000 |
Due Diligence, Legal, & Closing Costs | $45,000 |
Total Uses of Funds | $22,110,000 |
The projected terms of the debt financing are as follows:
- Lender: Fannie Mae
- Principal Balance: $15,420,000
- Term: 12 Years
- Rate: 4.46%
- Amortization: 30 Years
- Prepayment Penalty: Yield Maintenance
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.
BH Chesapeake Indy, LLC will make distributions to Realty Mogul 62, LLC as follows: an 8% cumulative, non-compounding preferred return, followed by a 70/30 split (70% to members, 30% to Sponsor) of excess operating cash flows. Such distributions will not decrease member's capital contribution balance. Upon sale or refinance, available proceeds will be distributed to pay any unpaid accrued preferred return, followed by a return of member's capital contribution balance, followed by a 70/30 split (70% to members, 30% to Sponsor) of excess proceeds. Realty Mogul 62, LLC will distribute 100% of its share of excess cash flow (after expenses) to the members of Realty Mogul 62, LLC (the RealtyMogul.com investors). The manager of Realty Mogul 62, LLC will receive a portion (up to 10%) of the Sponsor's promote interest. Depreciation and tax losses will be allocated based on the promote structure, i.e. 70/30 (70% to members, 30% to Sponsor).
Order of Distributions to Realty Mogul 62, LLC (Operating Income)
- First, to investors for any accumulated unpaid preferred return
- Second, a cumulative non-compounded 8% annual preferred return
- Then, any excess balance will be split 70% to members pari passu and 30% to Sponsor
Order of Distributions to Realty Mogul 62, LLC (Sales or Refinance Proceeds)
- First, to investors for any accumulated unpaid preferred return
- Second, return of Capital Contribution
- Then, any excess balance will be split 70% to members pari passu and 30% to Sponsor
Distributions are projected to start in September 2016 and are projected to continue on a quarterly 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.
Cash Flow Projections | |||||||
Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | |
Effective Gross Revenue | $2,624,350 | $2,829,650 | $3,085,737 | $3,178,309 | $3,273,659 | $3,371,869 | $3,473,025 |
Total Operating Expenses | $1,056,054 | $1,092,798 | $1,176,000 | $1,254,849 | $1,336,064 | $1,419,715 | $1,462,307 |
Net Operating Income | $1,491,496 | $1,660,052 | $1,832,938 | $1,846,660 | $1,860,795 | $1,875,353 | $1,933,918 |
Distributions to Realty Mogul 62, LLC Investors | $102,500 | $124,191 | $181,842 | $169,910 | $172,128 | $174,413 | $2,786,094 |
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/ Guarantor Fee | $300,000 | Sponsor | Capitalized Equity Contribution | The greater of 1.48% of the property purchase price or $300,000 |
Broker-Dealer Fee | The greater of 4.0% or $50,000 | North Capital (1) | Capitalized Equity Contribution | 4.0% based on the amount of equity invested by Realty Mogul 62, LLC |
Recurring Fees: | ||||
Property Management Fee | 4.0% of effective gross revenues, plus $3.00 per unit per month | Sponsor | Operating Cash Flow | 4.0% of effective gross revenues, plus an additional $3.00 per unit per month for the use of the Sponsor's centralized office resources |
Management and Administrative Fee | 1.0% of amount invested in Realty Mogul 62, LLC | RM Manager, LLC | Distributable Cash | RM Manager, LLC is the Manager of Realty Mogul 62, 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 62, 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.