Proceeds of $40,468,388 fund the $33,400,000 purchase price, $3,844,497 in fees and expenses, $1,618,736 in carry costs, and $334,000 in reserves.
Total Fees & Expenses
$3,844,497
% of offering
6.00%
All-equity offering — load on equity equals load on offering price. · $3,223,892 including reserves (7.97% of offering)
Where the offering proceeds go
Acquisition Cost$36.62M90.5%
Offering Expenses$3.84M9.5%
Reserves$334K0.8%
Total fees & expenses
$3.84M
6.00% of offering
Offering expenses
$3.84M
9.50% of offering
Reserves held
$334K
0.83% of offering
Cost of Acquisition
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Acquisition Fee | $668,000 | 1.65% | 1.65% |
| Title & Recording Costs | $103,156 | 0.25% | 0.25% |
| Reserves (Loan Proceeds) | $334,000 | 0.83% | 0.83% |
| Reserves (Master Tenant) | $334,000 | 0.83% | 0.83% |
| Reserves (Lumped) | $334,000 | 0.83% | 0.83% |
| Reserves (Improvements) | $334,000 | 0.83% | 0.83% |
| Total Acquisition Cost | $36,623,891 | 90.50% | 90.50% |
| Total Acq. Cost (Reserves) | $36,623,891 | 90.50% | 90.50% |
Offering Expenses
| Item | Amount | % Equity | % Offering |
|---|---|---|---|
| Selling Commissions | $2,428,103 | 6.00% | 6.00% |
| Dealer Fee | $1,011,710 | 2.50% | 2.50% |
| O&O Expenses | $500,000 | 1.24% | 1.24% |
| Third Party DD | $103,156 | 0.25% | 0.25% |
| Carry Costs | $1,618,736 | 4.00% | 4.00% |
| Total Offering Expenses | $3,844,497 | 9.50% | 9.50% |
| Total Fees / Expenses | $3,844,497 | 9.50% | 9.50% |
| Total Upfront Fees (Reserves) | $3,223,892 | 7.97% | 7.97% |
Strengths
- Equity raise fully covers all purchase price, reserve, and transactional obligations
Concerns
- Total front-end offering fees and expenses amount to $3,844,497