Front-end load includes $3,505,406 in selling commissions and $1,304,253 in acquisition fees, alongside an annual 0.40% asset management fee and a 3.5% disposition fee.
Front-end fee composition
Acquisition Fee$1.30M2.23%
O/O Expense Reimbursement$0.47M0.80%
Dealer Fee$0.73M1.25%
Total front-end sponsor compensation$5,521,014 11.64% of acq. cost
Acquisition Fee
$1,304,253
2.23%
O/O Expense Reimbursement
$467,387
0.80%
Dealer Fee
$730,293
1.25%
Total Front-end Fees
$5,521,014
11.64%
Strengths
- Asset management fee capped at 0.40% of purchase price ($189,710 annually)
Concerns
- Substantial upfront broker-dealer commissions and dealer fees totaling over $4.2M
- 3.5% gross disposition fee at exit