Sources of $210,750,000 fund the purchase price, $10,900,000 in offering expenses, $3,745,000 in loan costs, and $11,348,055 in total reserves.
Total Fees & Expenses
$15,901,945
% of offering
8.00%
All-equity offering — load on equity equals load on offering price. · $10,848,055 including reserves (7.96% of offering)
Where the offering proceeds go
Acquisition Cost$210.75M154.7%
Offering Expenses$10.90M8.0%
Reserves$11.35M8.3%
Total fees & expenses
$15.90M
8.00% of offering
Offering expenses
$10.90M
8.00% of offering
Reserves held
$11.35M
8.33% of offering
Cost of Acquisition
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Reserves (Loan Proceeds) | $10,848,055 | 7.96% | 7.96% |
| Reserves (Master Tenant) | $500,000 | 0.37% | 0.37% |
| Reserves (Improvements) | $10,848,055 | 7.96% | 7.96% |
| Loan & Lender Expenses | $3,745,000 | 2.75% | 2.75% |
| Total Acquisition Cost | $210,750,000 | 154.68% | 154.68% |
| Total Acq. Cost (Reserves) | $210,750,000 | 154.68% | 154.68% |
Offering Expenses
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Selling Commissions | $8,175,000 | 6.00% | 6.00% |
| Placement Agent Fee | $1,362,500 | 1.00% | 1.00% |
| BD Due Diligence Allowance | $1,362,500 | 1.00% | 1.00% |
| BD Marketing Allowance | $1,362,500 | 1.00% | 1.00% |
| O&O Expenses | $476,875 | 0.35% | 0.35% |
| Third Party DD | $32,000 | 0.02% | 0.02% |
| Total Offering Expenses | $10,900,000 | 8.00% | 8.00% |
| Total Fees / Expenses | $15,901,945 | 11.67% | 11.67% |
| Total Upfront Fees (Reserves) | $10,848,055 | 7.96% | 7.96% |
Strengths
- $10,848,055 dedicated to improvement reserves
- $500,000 funded for master tenant reserve
Concerns
- Total non-property costs and reserves equal $26,750,000
- $476,875 allocated to O&O expenses