PARTNERSHIP STRUCTURE SUMMARY
Ownership Entity
A single purpose Limited Liability Company for each acquisition
Manager
Excel Equities, LLC, or related affiliate
LP Investor Members
LP Investors become LP members in the entity, pro-rata
Target Capital Raise
$3.5 to $4.0 million - 10% will be contributed by the GP
Miniumum Unit Per Investor
$100,000, subject to a lesser amount at the discretion of the manager
Timing of Distributions
Quarterly distributions made from available cash flow
Preferred Returns
8% Preferred Return on investor capital balance, cumulative, non-compounded
Distribution
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First, payment made on all accrued and unpaid Preferred Returns;
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Next, after return of all preferred returns, cash flow shall be distributed 70% to LP and 30% to GP;
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Finally, 100% return of capital through a sale within a targeted 5-7 year timeframe.
Note: GP does not seek to own long-term
General Partner Fees
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Acquisition fee of 2% with a minimum fee of $50,000
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Financing Fee of 1% at all financing events
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Property Management fee of 5%
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Asset management fee of 2% collected revenues
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Disposition fee of 2% of sales price
LP Debt Personal Liability
There will be no personal liability or guarantees required of LP investors on debt