Last week's Zoom call announcing the 2nd and 3rd properties identified for the Ashcroft Value-Add Fund III (AVAF3), Gateway Lakes and Cocoplum, was full of important questions that you and fellow Ashcroft investors asked us. If you did not get a chance to attend. Watch the recent conference call to learn why:
This deal is the right price at the right time.
The property will be financed using fixed-rate agency loans to mitigate market uncertainty.
Insider knowledge of how the seller operates reduces risk and increases upside.
I would like to share a couple questions and answers that I think you will find particularly interesting. Here are two significant questions that were addressed during the call that speak to how the property will be financed and why the current owner is selling:
Question: What is the financing you're placing on this property?
We're putting fixed agency debt on the property.
The loan will be roughly 70–72% loan to purchase price.
Fixing the interest rate mitigates the risk of further interest rate rises.
Loan to value will decrease, helping to preserve capital.
Not adding additional debt increases the value and therefore overall cash flow
Question: Why is the current owner selling?
Dome Equities was looking to close out their fund and needed to sell.
Our relationship with the sellers gave us a leg up on the competition.
Buying the deals together as a portfolio gave the seller certainty of execution.
Pursuing a portfolio deal resulted in a lower overall purchase price for both properties.
Read the complete answers to these questions in the full transcript here.
The addition of these two properties has made now an even better time to invest in this growing fund.
If you have questions about investing with us, please schedule a call below or reply to this email.
This communication does not constitute an offer or solicitation to sell securities. Offerings are made pursuant to SEC rule 506(c) and only available to Accredited Investors. The limited partnership interests will not be registered with the Securities and Exchange Commission or any other federal or state regulator. Investments in private placements are highly speculative and involve a high degree of risk. Prospective investors should carefully consider the risks in the Partnerships private placement memorandum, limited partnership agreement and subscription agreement (together the "Offering Documents"), when evaluating whether to make an investment. Prospective investors should also consult with their own legal, tax, and financial advisors about an investment in the limited partnership interests. Investors could lose all or part of their investments. Investments may only be made by accredited investors and in accordance with the subscription procedures of the Partnership following a prospective investor's review of the Offering Documents. The Partnership expressly reserves the right to reject any indication of interest or subscription agreement from a prospective investor.
Ashcroft Capital, 461 5th Ave, 16th Floor, New York, New York 10017, United States
.png?width=1200&upscale=true&name=Gateway%20Lakes%20banners%20FINAL%20(3).png)
.png?width=1200&upscale=true&name=email-track-record%20(1).png)
Post a Comment
Post a Comment