FAQs
What is the expected cash on cash return?*
7%+
What is the expected IRR?*
16%+
How often is cash flow distributed to investors?*
Quarterly
What is the average holding period of the investment?*
3-7 years
What type of assets does The Regal Fund invest in?
Class C- to B+ assets in C to A areas
What are The Regal Fund's target markets?
Emerging markets in the southern and midwest regions of America
Who can invest?*
Accredited investors and Sophisticated Investors
What is an accredited investor
-Any person who…
earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior two years, and reasonably expects the same for the current year, OR
has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person’s primary residence).
In addition, entities such as banks, partnerships, corporations, nonprofits and trusts may be accredited investors. Of the entities that would be considered accredited investors and depending on your circumstances, the following may be relevant to you:
any trust, with total assets in excess of $5 million, not formed to specifically purchase the subject securities, whose purchase is directed by a sophisticated person, or
any entity in which all of the equity owners are accredited investors.
In this context, a “sophisticated person” means the person must have, or the company or private fund offering the securities reasonably believes that this person has sufficient knowledge and experience in financial and business matters to evaluate the merits and risks of the prospective investment.
What is a sophisticated investor?
A Sophisticated Investor doesn’t meet the requirements of an Accredited Investor but they have investor experience. This could mean the person believes they have sufficient knowledge and experience in financial and business matters to evaluate the merits and risks of the prospective investment.
Do I have to be an accredited investor to invest?
No. We currently have investment opportunities that are open to accredited and sophisticated investors. You’ll need to register to view our current offerings.
What type of accounts can I invest through?
Typical investment accounts are as individuals, joint accounts, tenancy in common, entity accounts (Trusts, Limited Liability Companies, Limited Partnerships, C Corporations, S Corporations) and individual retirement accounts (more info on IRA’s / 401k’s below).
Can I invest through my IRA?
Yes, you can invest through your IRA. If you currently have a self-directed IRA, please check with your current custodian to ensure that they will allow you to place your investment with MF Capital Partners. If you haven’t converted from a traditional IRA to a self-directed IRA you’ll need to contact a custodian to help you with that. If you need a referral we can connect you with the group we use personally.
What is a K-1?
As a partner in the LLC that purchases the properties, you will receive a K-1. A K-1 is a tax form used by partnerships to provide investors with detailed information on their share of a partnership’s taxable income. Partnerships are generally not subject to federal or state income tax, but instead issue a K-1 to each investor to report his or her share of the partnership’s income, gains, losses, deductions and credits. The K-1s are provided to investors on an annual basis so that each investor can include K-1 amounts on his or her tax return.
What is the minimum required investment?*
$50K to 100K depending on the deal
How many investors are usually in the deal?*
10-50
What Exactly are the funds used for?
Investor funds are used for the total acquisition cost of the property. This includes but is not limited to the down payment for the actual purchase of the property, acquisition fees, legal and transaction costs, capital improvements, and reserves.
What is your experience in multifamily investing?
Our team which includes myself, partners, advisors, attorney, lender and property manager have decades of cumulative experience that brings value and reduces risk in each deal we pursue.
How risky is multifamily investing?
Any investment has risk and the largest risk in multifamily is the syndication team who is sponsoring the deal. When managed by competent syndicators, multifamily is shown to produce the highest returns for the lowest risk (Sharpe Ratio) when compared to other real estate assets and is much less volatile than the stock market.
How did COVID-19 impact multifamily investing?
Investors with well-established management have seen minimal to no impact from COVID. Investors who were already struggling with poor management structure have seen the consequences of this issue exacerbated.
Absolutely! Investors are allowed to visit the property before investing and during the life of the project. If you give us a heads up we can make sure someone is there to show you around and answer any questions.
*Answers to these questions vary depending on the deal. Detailed information on the specific deal opportunity will be shared with qualified investors.