Proceeds fund the $65,100,000 purchase price, $4,218,789 in offering expenses, and $2,303,906 in upfront reserves.
Total Fees & Expenses
$4,218,789
% of equity
10.50%
% of offering
5.55%
$2,303,906 including reserves (3.03% of offering)
Where the offering proceeds go
Acquisition Cost$65.10M85.7%
Offering Expenses$4.22M5.6%
Reserves$4.47M5.9%
Unallocated / other uses$2.20M2.9%
Total fees & expenses
$4.22M
5.55% of offering
Offering expenses
$4.22M
5.55% of offering
Reserves held
$4.47M
5.88% of offering
Cost of Acquisition
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Reserves (Lender Required) | $1,862,684 | 4.64% | 2.45% |
| Reserves (Master Tenant) | $300,000 | 0.75% | 0.39% |
| Reserves (Lumped) | $2,303,906 | 5.73% | 3.03% |
| Reserves (Improvements) | $300,000 | 0.75% | 0.39% |
| Total Acquisition Cost | $65,100,000 | 162.03% | 85.68% |
Offering Expenses
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Dealer Fee | $40,178,939 | 100.00% | 52.88% |
| O&O Expenses | $40,178,939 | 100.00% | 52.88% |
| Total Offering Expenses | $4,218,789 | 10.50% | 5.55% |
| Total Upfront Fees (Reserves) | $2,303,906 | 5.73% | 3.03% |
Strengths
- Funded reserves include $300,000 dedicated to property improvements
- $2,303,906 in total reserves held at closing
Concerns
- Front-end expenses and fees consume $4,218,789 of proceeds
- Transaction relies on full $40,178,939 equity raise