RealtyeVest has a stake in all real estate investments offered in our marketplace.
RealtyeVest, formerly IHT Realty Crowdfunding, is offering investors the opportunity to capitalize on one of the fastest growing industries in real estate. Right now, there are only about 50,000 affordable housing parks in the country. Park Place Communities (PPC) is taking a major step toward growing the stock of affordable housing in the United States. RealtyeVest will be assisting PPC in securing funds, as it looks to expand its operations and acquire an additional 15,000 to 20,000 mobile homes over the next few years.
PPC is a national “Top 100” owner-operator of mobile home communities in the country. The company currently owns and operates 13 mobile home communities across eight states, with an inventory of more than 920 total lots.
This exclusive $1-million offer is a debt investment opportunity secured by a first position lien. PPC is seeking capital in order to facilitate a million-dollar note pool to issue five-year amortization notes with a 30 month balloon. IHT Realty Fund 7, LLC will raise the $1-million funds through a series of $150,000 tranches, which will be released to PPC in exchange for a note and mortgage secured by a first position lien. The lien is backed by a corporate guarantee from PPC with a 12 percent interest rate paid to investors. The mortgage will be issued by PPC Construction to IHT Realty Fund 7, LLC for 30 months.
PPC Construction, the construction brand of Park Place Communities, renovates existing mobile homes and sells them to qualified buyers using seller financing. Qualified buyers are then able to purchase a mobile home for about the same monthly cost of renting, knowing that at the conclusion of the five-year mortgage term, the buyer will own their mobile home outright.
As the demand for more affordable homes rises, the company has a waiting list of buyers ready to take advantage of this opportunity.
The offering materials to be reviewed and considered by investors with respect to this offering include the information described in the website content relating to this offering (as amended and supplemented through and until the closing of the transaction) and the subscription agreement relating to such securities (see the "Documents" tab). We refer to all of this information collectively as the "Property Information Package". Investors should review the Property Information Package in its entirety before investing and should consult with appropriate legal, tax, and investment advisors. Please note that RealtyeVest is not serving as your fiduciary or advisor with respect to this opportunity.
Below are certain risks associated with this investment that should be carefully reviewed prior to any investment in this opportunity:
Forward-Looking Statements: Investors should not rely on any forward-looking statements made regarding this opportunity, because such statements are inherently uncertain and involve risks. We use words such as “anticipated,” “projected,” “forecasted,” “estimated,” “prospective,” “believes,” “expects,” "plans,” “future,” “intends,” “should,” “can,” “could,” “might,” “potential,” “continue,” “may,” “will,” and similar expressions to identify these forward-looking statements. Similarly, the financial forecasts contained herein and in any other offering materials are based on numerous assumptions. Although these assumptions are believed to be reasonable, they are all subject to uncertainty. Non-Transferability of Notes: The transferability of the Company's Notes is restricted both by the subscription agreement for that entity and by U.S. federal and state securities laws. In general, investors will not be able to sell or transfer the Notes. There is also no public market for the Notes and none is expected to be available in the future. Moreover, although there is a defined redemption date for the preferred equity investment in the Fund, an extension option may be exercised and in any event, there can be no assurance that the investment will be liquidated at or promptly after such maturity date (as it may be extended). Persons should not invest if they require any of their investment to be liquid. This is particularly important for persons of retirement age, who should plan carefully to assure that their assets last throughout retirement.
Real Estate Market Risk: Investments related to real estate are subject to market valuation risks that may be caused by changing economic and local market conditions such as local real estate market conditions, prevailing interest rates, the rate of unemployment, the level of consumer confidence, the value of the U.S. dollar, energy prices, changes in consumer spending, the number of personal bankruptcies, disruptions in the credit markets and other factors. Such conditions are beyond the control of the Company and of the Fund. Real estate markets are affected by many factors, such as general economic conditions, supply and demand for real estate investments, interest rates, the availability of financing, and other factors, all of which are beyond the control of both the Company and the Fund.
Borrower Credit Risk: The Company’s obligation to make payments on a Note will not be guaranteed for the length of the term corresponding to the borrower’s loan. The Company (and thus investors) will be relying on the borrower for the execution of its business plan in a way that enables the sponsor to repay the principal of the corresponding borrower loan. The borrower may not have a significant record of performance and may be unable to sell or refinance the underlying property in a way that enables the borrower to fulfill its obligations under the corresponding borrower loan. The borrower loan is being made with respect to a property that does not generally meet the financing criteria for conventional mortgages from institutional sources. Credit risk is inherent in the mortgage lending industry, and there can be no assurance that the creditworthiness of the borrower will be sufficient to assure the full repayment of the underlying borrower loan. The Company does not guarantee payment of the Notes or the corresponding borrower loan, and the Notes are not obligations of our borrower.
Andrew Lanoie is an expert at building teams and connecting people with opportunities. Formerly a Talent Agent at William Morris for 16 years, he represented some of the world’s biggest celebrities, including Tim Allen, Sheryl Crow, Barry Manilow and Peter Frampton, to name a few. In 2009, Andrew began investing in single-family residences and acquired more than 100 properties in less than four years. During this timeframe, he discovered the massive demand for affordable housing in America and chose to leave the agency and focus full-time on real estate investing.
Tony Ferris is a successful real estate investor and a published author, with a key specialization in value-add mobile home parks throughout the US. Over the course of a decade, Tony has developed a diversified investment portfolio that spans across the US. Tony brings unique strategies on how to manage properties out of state through systems and automation, and a key focus on increasing revenue and decreasing expenses from day one, resulting in a higher ROI for investors. He is masterful at value-add opportunities and forced equity strategies. Tony provides oversight of teams and day-to-day operations and while focusing on the acquisition and renovation teams.
PPC Construction has made available 13 homes in the first tranche of offerings. These homes are located in two separate communities.
The first community, West End Mobile Home Park, is a beautiful 62-lot community surrounded by trees and rich green landscape. Located only two hours from Nashville, the community is close to lakes and great camping spots in Hopkinsville, Kentucky. The city of Hopkinsville has a growing population of 32,205 and has tremendous access to the arts, culture, sporting events, shopping and recreational opportunities, while maintaining a strong sense of community.
The second community, Green Acres Mobile Home Park, offers the perfect balance of affordability and lifestyle, and provides residents with a friendly neighborhood atmosphere in Emporia, Kansas. Green Acres offers access to parks, sports activities and some amazing fishing spots with a growing population of 24,799. Community amenities include on-site laundry, playgrounds, a basketball court and several shopping centers within two miles of the park.
The experienced and professional management staff provides residents with exceptional service that makes our community a relaxing, fun and safe environment for residents of all ages.
|Property Name:||Park Place Communities|
|Property Type||Affordable Housing|
|DOWNLOAD MARKET OVERVIEW
The desire for yield from tangible assets has resulted in a highly competitive landscape for real estate assets. Today managers compete for the same pool of assets in the same markets with the same business plan. Good luck. An alternative to this space is investing in predictable income streams from Mobile Home Parks (MHPs). Affordable housing such as MHPs satisfies a massive market demand while providing bond-like income streams, durability of cash flows, low volatility, low capex, and long term tenancy found in few other real estate asset classes. In short, MHPs represent a compelling investment opportunity with potentially greater yields, lower risk, and less institutional competition in a highly fragmented market.
SUPPLY AND DEMAND
LONG-TERM DEMOGRAPHIC SHIFTS TOWARDS LOWER INCOME HOUSEHOLDS
MARKET TRENDS AND TENANT PROFILE
MHP DEMAND DRIVERS
MISMANAGEMENT & OPPORTUNITIES
CASH FLOWING LAND BANK
THE “PENALTY” FOR MOVING OUT