RealtyShares investors will be providing capital to Alma Investment Properties, LLC (the “Fund”) for the purpose of purchasing, renovating, and leasing up single family and small multi-family residential properties located in the greater Jacksonville and Gainesville, Florida areas. RealtyShares 100, LLC will provide at least $1MM of capital to the Fund, while Sun Coast will contribute at least $150,000 in equity, which will be subordinate to the equity provided by RealtyShares. Sun Coast will act as the Manager of the Fund and will be solely responsible for all operations and decisions concerning property purchases, renovations, and leasing of the properties.
RealtyShares 100, LLC will receive a 14.0% annualized preferred return (net of all fees) paid monthly on the RealtyShares investment from properties purchased and recapitalized in the Fund. The principal and the preferred return will have a corporate guarantee provided by Sun Coast.
The Fund will be expected to purchase, renovate, and sell approximately 120 properties in the Jacksonville and Gainesville areas over 2.5 years, and each property will be fully renovated and leased within 90-120 days. Once leased, the Fund will either place conventional debt on the properties or sell the properties as turnkey investments. Assuming a capital raise of $1MM, the Fund should be able to deploy all of the capital within 60 days. In the event that the Fund is unable to liquidate the properties through a sale, conventional debt will be placed on the properties to return the investor equity. Sun Coast has identified B2R, Colony American Finance (current lender), First Atlantic Bank (current lender), and Jacksonville Bank as sources of debt.
The Sponsor anticipates exiting its investments in one of the following two ways:
|INVESTMENT HIGHLIGHTS AND RISK MITIGANTS|
This is an investment opportunity to participate in a fund that will purchase, renovate and recapitalize single family and small multifamily homes in the Greater Jacksonville and Gainesville areas, which have been some of the most profitable areas in the U.S. to purchase and rehabilitate properties.
Sun Coast Property Management, LLC is located in Jacksonville, Florida and all homes to be purchased by the Fund will be located either in the Jacksonville, Florida MSA or the Gainesville, Florida MSA. Below are a few location highlights:
Each prospective investor in this investment opportunity should read the Operating Agreement and Subscription Agreement for RealtyShares 100, LLC before investing and should consult appropriate legal, tax and investment advisors. Please note that RealtyShares is not serving as your fiduciary or advisor with respect to this opportunity. Below are risks associated with this investment that should be carefully reviewed prior to any investment in this opportunity:
Please note that this is not an exhaustive list of the risks associated with this investment. For a complete list of risk factors, please review Exhibit A in the Subscription Agreement for RealtyShares 100, LLC, which can be found in the Documents tab.