Uses of capital include the property purchase, $4,212,057 in improvement/lumped reserves, $1,116,013 in carry costs, and $3,392,775 in total offering expenses.
Total Fees & Expenses
$3,392,775
% of equity
5.00%
% of offering
4.06%
$3,603,357 including reserves (4.31% of offering)
Where the offering proceeds go
Acquisition Cost$73.09M87.5%
Offering Expenses$3.39M4.1%
Reserves$4.96M5.9%
Unallocated / other uses$2.13M2.5%
Total fees & expenses
$3.39M
4.06% of offering
Offering expenses
$3.39M
4.06% of offering
Reserves held
$4.96M
5.93% of offering
Cost of Acquisition
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Title & Recording Costs | $125,000 | 0.28% | 0.15% |
| Reserves (Loan Proceeds) | $248,700 | 0.56% | 0.30% |
| Reserves (Lender Required) | $136,000 | 0.31% | 0.16% |
| Reserves (Master Tenant) | $360,000 | 0.81% | 0.43% |
| Reserves (Lumped) | $4,212,057 | 9.50% | 5.04% |
| Reserves (Improvements) | $4,212,057 | 9.50% | 5.04% |
| Loan & Lender Expenses | $1,087,090 | 2.45% | 1.30% |
| Finance Expenses | $1,087,090 | 2.45% | 1.30% |
| Total Acquisition Cost | $73,086,065 | 164.79% | 87.46% |
| Total Acq. Cost (Reserves) | $73,086,065 | 164.79% | 87.46% |
Offering Expenses
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Placement Agent Fee | $510,025 | 1.15% | 0.61% |
| BD Due Diligence Allowance | $221,750 | 0.50% | 0.27% |
| BD Marketing Allowance | $443,500 | 1.00% | 0.53% |
| O&O Expenses | $286,000 | 0.64% | 0.34% |
| Third Party DD | $260,000 | 0.59% | 0.31% |
| Carry Costs | $1,116,013 | 2.52% | 1.34% |
| Total Offering Expenses | $3,392,775 | 7.65% | 4.06% |
| Total Upfront Fees (Reserves) | $3,603,357 | 8.12% | 4.31% |
Strengths
- Allocation of $4,212,057 in improvements and lumped reserves provides operational liquidity.
Concerns
- Total upfront offering expenses reach $3,392,775.