FAQs

1. What is commercial multifamily real estate?

See my blog on “What is Multifamily Commercial Real Estate?”

2. What is a real estate syndication?

See my blog on “Real Estate Syndication Basics”

3. What is an accredited investor?

An accredited investor is a person that can invest in securities (i.e. invest in a commercial syndication as a limited partner) by satisfying one of the requirements regarding income or net worth. The current requirements to qualify are an annual income of $200,000 or $300,000 for joint income for the last two years with expectation of earning the same or higher OR a net worth exceeding $1 million either individually or jointly with a spouse.

4. Do I need to be an accredited investor to invest?

Not necessarily. We try to make our investments as accessible as possible, so for some of our investments, we open the investments to a select few non accredited investors. However you do need to be a sophisticated investor. This is a person who is deemed to have sufficient investing experience and knowledge to weigh the risks and merits of an investment opportunity.

5. Can I invest with a self directed IRA or solo 401 k?

Yes! If you have an IRA it is possible to roll it over into a self-directed IRA or solo 401k custodian, which allows you to invest your tax-advantaged retirement dollars into alternative investments that a standard IRA will not.

6. How frequently are distributions?

We typically provide distributions every month. The anticipated distribution schedule for a particular investment is explained on the offering page for that investment. All distributions are dependent on the receipt of corresponding payments from the underlying asset and are not guaranteed.

7. What tax documents do I receive?

As a partner in the LLC that purchases the properties, you will receive a K-1 tax form used by partnerships to provide investors with detailed information on their share of a partnership’s taxable income. Partnerships are generally not subject to federal or state income tax, but instead issue a K-1 to each investor to report his or her share of the partnership’s income, gains, losses, deductions and credits. The K-1s are provided to investors on an annual basis so that each investor can include K-1 amounts on his or her tax return.