WHAT IS AN ACCREDITED INVESTOR?
An accredited investor includes a Limited Partner (LP) who has earned income of $200,000 (or $300,000 with spouse) in each of the prior two years, and reasonably expect the same for the current year, or has a net worth over $1 million; excluding primary residence. An accredited investor also includes officers and directors of the issuer and various institutions that have more than $5 million in assets.
Non Accredited Investor is someone making less than $200,000 annually (or $300,000 with spouse) and a net worth of less than $1 million when their primary residence is excluded but has access to capital to invest.
Regulation Offering Status
What is Regulation CF?
Regulation CF, also known as “equity crowdfunding” is a type of offering similar to Regulation A+; allows raising funds from the public. Regulation CF allows the maximum of $1 million to be curated and companies wishing to invest must file with SEC (Security Exchange Commission) before participation.
What is Regulation A?
Regulation A is an exemption from registration for public offerings. Regulation A has two offering tiers: Tier 1, for offerings of up to $20 million in a 12-month period; and Tier 2, for offerings of up to $50 million in a 12-month period
What is Regulation D?
Regulation D provides two distinct exemptions from registration for companies when they offer and sell securities. Companies relying on the Rule 506 exemptions can raise an unlimited amount of money
Rule 506(b) allows up to 35 non-accredited investors. But each non-accredited investor must receive an extensive disclosure document with almost as much detail as is required for an initial public offering registered with the Securities and Exchange Commission.
Rule 506(c) allows companies to advertise their securities offering to the general public without having to register with the SEC, as long as the securities are only sold to accredited investors and the company verifies that the investors are accredited.
HOW does "FUND I" WORKS
New Beginning Capital Partners (NBCP)
The real estate investing structure for "Fund I"
Step 1: NBCP general partners will find the deal, negotiate the purchase price with the seller, get the property under contract, arrange debt financing to purchase property (if needed) and close the deal.
Step 2: NBCP will issue a capital call to accredited investors (limited partners) to raise funds needed to purchase, using equity raised or as a down payment with a combination debt financing with a creditable financial institution and (if needed) will renovate the real estate property.
Step 3: NBCP will establish a property management system to maintain property and to collect monthly rent rolls from tenant's and/or any other revenue generated from the asset acquisition outlined in the partnership agreement.
Step 4: NBCP will pay out distributions quarterly to our limited partners during the holding period; until asset is sold, in addition to receiving your principle investment back when the property is sold, you will earn back-end (equity split) distributions of profits at the exit of the property.
WHY SHOULD I INVEST IN "FUND I"
New Beginning Capital Partners (NBCP) will invest in recession-resistant real estate. Our "Fund I" primarily invest in multi-family properties, which has a history of outperforming every other property type for decades and is one of the very few asset classes that has actually increased in property value, and new development opportunities in emerging communities with stable, creditworthy tenants
Preferred Rate of Return: 8%*
Internal Rate of Return (IRR) 15%
Equity split: 70/30 (in the LP's favor)*
*All percentages are projections. Rates may vary from investment to investment. Equity splits may vary by investment property. Refer to the Private Placement Memorandum (PPM) offering.
Who can invest in our fund?
what is the minimum investment?
what does "FUND I" invest in?
Multi-Family Properties - Our Primary Investment Opportunities
New Development - Townhomes, Multi-family Residential Communities and Eco-Friendly Communities
Mixed-use Properties to provide a spark in the community for engagement
Hotels - We invest in high traffic tourist locations
What is the holding period FOR "FUND I?
The typical holding period for our real estate assets is 3-5 years for most investments. However, on some of our new construction deals our investment objective is to pre-sell and close out investment position upon completion.
What cities/states does your "Fund I" target for real estate investments?
Charlotte, North Carolina
New Orleans, Louisiana
Tampa Bay, Florida
St. Paul/Minneapolis, Minnesota