DJE sends distributions on or before the 15th each month like clockwork.
We underwrite, tour, and make offers on dozens of investment projects before we are awarded a deal that makes sense for us to buy. We have never lost investor capital or failed to deliver returns as projected, and we guard that track record carefully.
For 3-5 year equity deals, we’re looking for 7% preferred return while we own the deal, then a 17%+ Average Annual Return over the life of the project once we exit.
For 12-18 month debt deals, we’re typically returning an 11% Average Annual Return with a very low risk profile and short time horizon.
We provide monthly updates on or before the 15th each month.
You can contact us at any time for specific questions and updates or to schedule a tour of the asset.
No. Real Estate investments are illiquid and cannot be cashed out the way stocks or other liquid investments can be.
Multifamily – typical hold period is 3-5 years.
Land and other deal types – Typical hold period is 12-18 months.
An accredited investor, in the context of a natural person, includes anyone 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).
On the income test, the person must satisfy the thresholds for the three years consistently either alone or with a spouse, and cannot, for example, satisfy one year based on individual income and the next two years based on joint income with a spouse. The only exception is if a person is married within this period, in which case the person may satisfy the threshold on the basis of joint income for the years during which the person was married and on the basis of individual income for the other years.
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.
Similar to a 1099, a K-1 form is an accounting of the tax income for the year.
Each investor receives one per investment. K-1 forms are most commonly used in partnerships and in real estate ownership. It is not uncommon for a K-1 to show a “paper loss” despite having received cashflow distributions. These paper losses can help investors reduce their taxable income. Talk to your CPA about how K-1 losses from Real Estate Investments can help reduce your taxable income.
K-1s are made available to our investors in the month of March every year.
Yes. Investors are able to invest through an LLC or trust. Investors are also able to invest through their traditional self-directed IRAs.