Sponsor and intermediary compensation comprises an $8,447,469 acquisition fee, a $649,473 placement agent fee, and a $492,025 dealer fee. Ongoing management includes an annual trust administration fee of $120 ($10 monthly). Organizational and offering expenses equal $196,810.
Front-end fee composition
Acquisition Fee$8.45M21.46%
Dealer Fee$0.49M1.25%
Total front-end sponsor compensation$3,306,408 2.14% of acq. cost
Acquisition Fee
$8,447,469
21.46%
Dealer Fee
$492,025
1.25%
Total Front-end Fees
$3,306,408
2.14%
Strengths
- Nominal annual trust administration fee of $120 ($10/month)
- Disclosed broker-dealer and placement fee structure
Concerns
- Upfront acquisition fee of $8,447,469
- 1.0% refinancing fee on new loan principal