Camden Crossing Development
Jacksonville, FL
Debt • MULTI FAMILY

Min. Invest

$25K

Target Hold

1.5 Yr.

Return On Investment

10%

PROGESS - 10% PLEDGED
PROGESS - 0% FUNDED

Investment Summary

RealtyeVest has a stake in all real estate investments offered in our marketplace.

New Leaf Communities of Jacksonville, FL has exclusively retained RealtyeVest to offer accredited investors the opportunity to invest in RealtyeVest Camden Crossing Fund, LLC. The development project Camden Crossing is a 35-unit townhome rental community in Jacksonville’s submarket of Oceanway. CAMDEN CROSSING, LLC, is a Florida Limited Liability Company formed to acquire, entitle, develop, construct, own and operate the residential rental community located in Jacksonville, Florida comprising six buildings located on approximately 6.15 acres of land.

This offering will be secured with a mortgage having 1st lien position1 and evidenced by a series of promissory notes that pay a 10% annual yield. Investors can expect to receive interest checks every three months paid in advance.

The A-Class townhome community will help fulfill a tremendous need in the area. The submarket where Camden Crossing is located is experiencing a shortfall in housing according local government officials. Due to this shortfall, the development is well received by the local government officials.

*The total loan amount will be $4,150,000. RealtyeVest will raise the total is a series of three $1,000,000 tranches and one raise in the amount of $1,150,000. Once each tranche2 is funded, the funds will be released as per the construction draw schedule. There will be one mortgage on the property in the amount of $4,150,000. RealtyeVest Camden Crossing Fund, LLC will have 1st lien position and evidenced by a series of promissory notes.

Investment Type:
Debt - 1st Tranche: $1M
 
Term:
18 Months
6 Month Extension Option
Total Loan Amount: $4.15M
Interest Rate: 10% Annually
LTV: 70% of Stabilized Value

Why You Should Invest:

  1. Institutional quality sponsors including the current President of Northeast Florida Home Builders Association.
  2. Within five minutes of prominent employers such as Pepsi, Bacardi, Budweiser & JAXPORT (One the largest international trade seaports in Florida).
  3. Located in high-growth submarket; Amazon fulfillment center opening less than two miles away, adding more than 1,500 new full-time jobs.
  4. Secured with 1st lien position.

Property Highlights:

  1. Location: New Berlin Rd Jacksonville, FL
  2. Number of Buildings: Six
  3. Number of Units: 35, 3 bedroom, 2.5 bath 1 car garage
  4. Unit Size: 1497 Sq. Ft.
  5. Rent: $1,495

Project Timeline:

The project is expected to be completed and operational by the end of 2018. PUD/Small Scale approval-September 12, 2017. The Land Purchase will occur no later than September 28, 2017. Site Construction will begin in March 2018 with Vertical Construction of the first building starting in April, 2018. Renters are expected to begin occupying the first building in July, 2018 and all buildings operational and occupied by December, 2018.


Principal Repayment Strategy:

New Leaf Communities expects to obtain a Freddie Mac Small Balance Loan at time of property stabilization in the approximate amount of $4,736,864 which is 80% LTV of the “as-completed” value. The terms of the small balance loan will be a ten (10) year fixed rate loan with 30-year amortization. The loan is non-recourse with standard “bad boy” carve-outs.


Due Diligence Highlights:

  1. Met with sponsors numerous times to discuss project intricacies
  2. Extensive research on submarket and its ability to absorb the 35 oncoming units
  3. Substantial examination of financial projections including lease-up timeframes, verifying rent assumptions and expense projections
  4. Review of sponsors successful track record
  5. Spoke with potential take-out lenders and found favorable responses to valuation at stabilization and the ability to obtain Freddie Mac Small Balance Loan

Risk Mitigants:

Sponsors - Institutional level sponsors with long-term successful development, acquisition, construction and investment history.

Security - The loan evidenced by a note is secured by mortgage with a 1st lien position.

Population Growth - Oceanway and the bordering neighborhoods of New Berlin and Yellow Bluff are now among the fastest growing areas of the city, according to Duval County Records. The development is on the border of zip codes 32218 and 32226. The zip code of 32226 has experienced over 100% growth in population since 2000, 32218 has experienced 70% growth in population since 2000. The two zip codes combined have a population of approximately 75,000 residents.

Area Jobs - Amazon, ranked 12th on the Fortune 500 list, announced they would be opening multiple fulfillment centers in Jacksonville. The first, on Jacksonville’s Northside located approximately 2.0 miles from the development of Camden Crossing will supply 1,500 full time jobs. Jacksonville’s Military Institutions employ 15% of the total population and are expected to grow by 17,000 jobs annually. Downtown Jacksonville is home to 7.3 million square feet of office space, more than 1,100 businesses, three Fortune 500 headquarters, several major company headquarters and more than 49,000 employees.


Definitions

11st Lien Position - A lender or creditor in a first lien position has priority in case a debtor defaults and collateral has to be liquefied to settle the debt. For example, mortgage lenders are usually in a first lien position; if a borrower defaults on his payments the mortgage lender is the first creditor to receive remuneration from the sale of the property.

2Tranche - 1.) one part or division of a larger unit, as of an asset pool or investment:
The loan will be paid in three tranches.
2.) a group of securities that share a certain characteristic and form part of a larger offering:
The second tranche of the bond issue has a five-year maturity.


Risk Disclosures:

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.

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Property Summary

Camden Crossing is located in Northeast Jacksonville, which is the largest growing area in Jacksonville, FL. This new construction will have 35 townhomes of 1,495 sq.ft. a piece with 3 bedroom, 2.5 bathrooms and one car garages.

The townhomes will be located on the corner of New Berlin Rd. and Starratt Rd. near Medical and Veterinary centers and small shopping centers. The location is less than 5 miles from the River City Marketplace and Jacksonville International Airport.

Property Address Camden Crossing Development Jacksonville, FL
Property Type Multi Family
# of Bedrooms 3
# of Bathrooms 3
Units 35

Market Overview

Aside from being named the No. 2 city where everyone wants to live, according to new data by realtor.com, the Jacksonville Metropolitan Area is one of the 50 largest economies in the US. This is due to the city being well diversified with long-term growth industries such as Military, Transportation, Healthcare and Financial Institutions.

As reported by the 2013 United States Census, the total population of the Jacksonville Metropolitan Area was 1,345,596. Jacksonville is not only the largest city in total land area of all 48 contiguous states, but has the highest population of any city in Florida at an estimated 842,500. The Jacksonville Metropolitan Area is the 40th largest economy in the country and the fourth largest in the state of Florida.

Jacksonville’s military heritage includes active naval institutions including Naval Station Mayport, Naval Air Station Jacksonville (NAS), and the US Army 832nd Transportation Battalion. More than 15% of the population in Jacksonville is connected to the Navy. Jacksonville’s naval civilian job growth is expected to reach approximately 17,000± jobs annually.


Economic Drivers

Downtown - Downtown Jacksonville is home to 7.3 million square feet of office space, more than 1,100 businesses, three Fortune 500 headquarters, several major company headquarters and more than 49,000 employees. No other location in Northeast Florida offers the accessibility, infrastructure and amenities available in Downtown.

Gate Parkway Business District - The Gate Parkway District is home to many large institutions including Merrill Lynch, Deutsche Bank, Bank of America, Blue Cross Blue Shield, PHH, Aetna as well as many others. With over 60,000 jobs and 15,000,000 square feet of office space this is one of the fastest growing business districts in Florida with 1,000’s of new jobs projected in the next few years.

Mayport NAS - Naval Station Mayport is a major Navy installation in the Jacksonville area and 3rd largest in the country. Mayport is home to a busy seaport as well as an air facility. The mission of NS Mayport is to sustain and enhance war-fighter readiness. Mayport’s operational composition is unique, with a busy harbor capable of accommodating 34 ships and an 8,000-foot (2,400 m) runway capable of handling most any aircraft in the Department of Defense inventory. Mayport alone employs more than 45,000 military and civilians on a full-time basis and is home to B.A.E. one of the largest ship building and repair companies on the East Coast.

Jaxport - The Port of Jacksonville (JAXPORT) is an international trade seaport on the St. Johns River in Jacksonville, Florida. The newest port in the United States, it carries over 21 million tons of cargo each year and has an annual impact of over $19 billion, including 65,000 jobs. It serves the Greater Jacksonville Metropolitan Area, and is the second largest handler of vehicles in the United States with 656,805 in fiscal year 2008. Jaxport was the 36th largest port in the country and third in Florida, behind the Port of Tampa and Port Everglades in 2008.


Retail Centers

The St. Johns Town Center - The Town Center represents the heart of shopping and dining in North East, Florida. The outdoor lifestyle mall is home to 150 of the hottest stores, many exclusive in the market, including Dillard’s, Apple, Pottery Barn, Nordstrom’s and Ann Taylor as well as shops in the palm-lined streets of the Luxury Collection such as Louis Vuitton, Tiffany & Co. and Mayors. As much a fashion-forward shopping hotspot as a dining destination, the diverse palate is represented with exciting options including The Cheesecake Factory, The Capital Grille and Cantina Laredo.

The Avenues Mall - Offering more than 1.1 million square-feet of shopping, The Avenues is home to five major department stores including Belk, Dillard’s, Forever 21, JCPenney and Sears, plus more than 150 of the most exciting stores in Northeast Florida.

The Shoppes of Avondale - Home to a wonderful collection of locally-owned businesses, in a friendly, walkable, tree-lined setting. Founded in the mid 1920’s, the area features fine dining for breakfast, lunch, and dinner together with an eclectic array of businesses catering to every need.

River City Market Place - The only major shopping center north of the St. Johns River. Major retailers include Walmart Supercenter, Lowe’s, Hollywood Theaters, Mellow Mushroom, BJ’s and other Darden restaurants . Currently, the 879,001-square foot center has 69 stores. When currently under construction additions are completed, that number could increase to more than 100.

Beaches Town Center - Beaches Town Center is the heart of Neptune Beach and Atlantic Beach where Atlantic Boulevard meets the ocean. The retail center is twelve miles east from downtown Jacksonville and offers many boutiques, fitness centers and restaurants.


Educational Centers

Jacksonville University - Jacksonville University is a private 4 and 6 year comprehensive university. The university employs more than 500 people and has a student body of more than 3,700.

University of North Florida - UNF is a public university in Jacksonville, Florida and has a campus that comprises 1,300 acres surrounded by a natural preserve on Jacksonville’s Southside. UNF has a student body of more than 16,500 students and a full-time faculty of more than 540 employees.

Florida State Community College - Is one of several institutions in the Florida College System designated a “state college.” The current student body is more than 28,000 full time equivalent students making it the second largest higher learning institution in the state.


Medical Centers

The Mayo Clinic - Jacksonville, Florida is one of only four cities nationwide that The Mayo Clinic has chosen to house one of its major campuses. The Mayo Clinic’s Florida Campus provides care for thousands of people (patients and relatives) from the United States and around the world every year. Mayo Clinic employs 3,300 physicians, scientist and researchers.

St. Vincent’s – St. Vincent’s is a 528-bed full service tertiary care Catholic hospital with a medical staff of more than 600 physicians and support staff of more than 800 associates committed to caring for area residents. St. Vincent’s Southside offers a wide range of state-of-the-art medical services designed for prevention, early detection and treatment of healthcare problems.

Memorial Hospital - Memorial Hospital is a full-service hospital located at the corner of Beach Blvd and University Blvd. The hospital has 418 beds, 1,900 employees and over 800 Physicians.

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