Operating performance is underwritten to deliver a 4.86% average income across the full 10-year term. Operations are structured under a master lease with initial master tenant income projected at $1,048,591.
Ongoing fee rates
Refinancing Fee1%
Asset Mgmt Fee (annual)
$37,250
Master Tenant Income
$1,048,591
Refinancing Fee
1%
Strengths
- Master tenant structure provides $1,048,591 in initial master tenant income
- Targeted average cash flow yield of 4.86% over the 10-year term
Concerns
- Master lease performance depends on residential occupancy and market rent growth
- Distributions are subordinate to debt service and operating expenses