Archives: FAQ

29 Apr 2020

How does the investment process work?

Investing is simple. Prospective investors receive an Offering Memorandum which details the deal's property type, market details, and projected returns. Investors complete the investment documents and contribute capital. Distributions are paid via ACH on a monthly basis.  Investment updates are delivered to investors monthly (in the beginning as we get ...Read More
29 Apr 2020

How are taxes treated?

Investors receive pass-through tax benefits, which means that all distributions flow to each limited partner. The Limited Partnership pays no taxes. Investors also benefit from the depreciation deduction for real estate, which reduces taxable income. Investors receive a Schedule K-1 by March 15th each year which includes a report of ...Read More
29 Apr 2020

When do investors receive payments?

Investors receive profit distributions on a monthly basis. These are sent out via ACH by the end of the following month once all of the financials are finalized.  Investors can track their progress on our investor portal.
29 Apr 2020

What is the minimum investment?

Our typical investment minimum is $100,000 on each project.  We try to keep the number of investors on each project to a reasonable number so that it doesn't feel like crowd funding.  Our goal is to give you the time and attention that we feel you should have to keep ...Read More
29 Apr 2020

How long is the investment timeline?

Investment windows are generally 5-10 years. This window provides enough time to improve and stabilize the property, benefit from market changes, and exit for a healthy return. This time frame is reviewed on an annual basis in relation to the property financials and the local/regional economic conditions.  It's important to ...Read More
29 Apr 2020

What is a Limited Partnership?

A Limited Partnership is an older term that was used for many years to delineate between passive partners and management partners in an entity.  These days we use a Limited Liability Company (LLC) to house all of our legal entities.  LLCs have Members and Classes.  The LP/GP delineation is still ...Read More
29 Apr 2020

What is the structure?

We form an LLC as a special purpose entity to hold title to the property we're investing in.  Then we create another LLC that wholly owns the SPE.  This is where the Class A (investors) and Class B (management) members have their ownership.  REM Capital serves as the Class B ...Read More
29 Apr 2020

Who manages the properties?

REM Capital handles all of the decisions related to acquiring, managing, and selling the properties. Our role is to deploy our expertise to improve investor returns. We have our in-house professional property management arm, REM Living, to handle the day-to-day activities and CAPEX work.  It's a seamless process to ensure ...Read More
29 Apr 2020

Can I visit the property?

Yes. Investors are encouraged to visit the property before investing and during the life of the project.  We typically visit each site on a quarterly basis and will notify you via email ahead of time when those visits are taking place.  We love to see our investors and show them ...Read More
29 Apr 2020

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 actual purchase price of the property, acquisition fees, legal and transaction costs, capital projects, and reserves.  We set aside 6-12 months of expense reserves as part of our conservative underwriting ...Read More