PASSIVE INCOME FOR
THE BUSY INVESTOR

The scarcity of banks offering vacant land loans under $200,000 creates a significant opportunity for our fund to purchase seller-financed land notes and lend to select land investors. Buyers are increasingly transitioning to rural properties because of the current residential housing shortage and the opportunity for more affordable housing options. This rural shift is supported by technological advancements in remote work, enhanced delivery services, satellite Internet, and solar power and batteries. The combination of these factors boosts our confidence that high-quality vacant land properties will be in demand for the foreseeable future.

Legacy Land Fund works directly with land sellers who want to offer financing, but don't want to keep the loan. Under a proprietary program, we assist with the entire seller finance process and purchase the loan from the seller at a discount. This allows us to control our annual yield, which remains the same for the entire life of the loan. Additionally, we work with select land investors we know and have vetted carefully, providing them with short-term loans and partnering with them on land investments. Our success is rooted in our relationships with land sellers, most of whom are long-term partners.

Since 2008, many multi-family syndications have thrived on a rising real estate market and low interest rates, rather than managerial skill. However, with the market shifting, sponsors face challenges like rising expenses, competition, and falling rents, revealing flaws in the repositioning model. High returns were often based solely on optimistic projections, leaving investors at risk. We advocate for a conservative approach, like the Legacy Land Fund, which avoids debt and uncertainty, focusing on secured loans for stable returns. Quinn and Eric's large personal investments in the fund demonstrate their confidence in the model. In today's uncertain economy, such conservative options merit consideration for investors' portfolios.

Yes. Our fund is structured for accredited investors only. Per the SEC, an accredited investor has either a net worth over $1 million, excluding primary residence (individually or with spouse or partner) or annual income over $200,000 (individually) or $300,000 (with spouse or partner) in each of the prior two years, and reasonably expects the same for the current year.

Yes!

Starting approximately 1 month from the date of your investment, distributions are automatically deposited into your account via ACH on the first business day of each month. Investors also have the choice to compound their preferred return along with the initial investment, earning a greater overall yield.

Yes. There is a 2% management fee based on the total amount of funds under management. However, the investor 10% preferred return is unaffected by this fee. The managers are not reliant on the management fee for their income; it is only assessed to offset the ongoing expenses of the fund.

An Evergreen Fund remains active indefinitely, presenting a secure and dependable choice for investors seeking passive income over the long term. One huge advantage of investing in a real estate fund that does not require bank debt lies in our continuous reinvestment of monthly profits into additional loans and lending. Over time, this strategy leads to a substantial gap between the fund's monthly income and the required monthly payments to investors, ensuring the fund’s resilience and allowing it to withstand potential disruptions in income while continuing to provide investors with consistent monthly payments.

A "Note" represents a straightforward debt obligation involving a predetermined number of principal and interest payments, with the added security of being backed by the property itself. This structure allows the lender to enjoy the property's security while mitigating the risks typically associated with property ownership. Investing in mortgage notes provides a hassle-free alternative to traditional real estate. Just like a bank, we enjoy consistent income at a predetermined yield without the burdens of insurance, property taxes, property management, maintenance, or tenant concerns.

Every investment opportunity carries risks. With mortgage notes and lending, the biggest risk is borrower default. To mitigate these risks, we maintain very low Investment-to-Value ratios. As a last resort, we have the legal right to foreclose on the property and resell it for market value. Since our investment in each property is so low, we are confident that we would actually profit in these scenarios, if they happen. Most borrowers with equity in their properties don't walk away; they sell. Additionally, the majority of our loans are personally guaranteed, which incentivizes borrowers not to default due to our ability to obtain personal judgments.

We maintain sophisticated data on each investment as well as the fund overall. Investors have access to a portal where they can monitor the fund's ongoing data and metrics. Additionally, we send quarterly updates on all fund activities.

While this is possible, we mitigate this risk by maintaining our average exposure to about 50% of market value, which gives us plenty of room for value fluctuations. Additionally, we are invested in growing markets across the county, which gives us geographic diversity.

While multifamily investors are grappling with rising interest rates, vacant units, falling rents, and significantly higher taxes, repair costs, and insurance costs, our fund invests based on a predetermined, fixed investment yield. Since we do not have the risk associated with ownership of real estate we have no insurance responsibilities, debt service, or property tax responsibilities, setting us apart from the challenges faced by traditional multifamily investors.

Because real estate is generally inflation-resistant, fund yields are usually not impacted when prices rise and will generally beat inflation. In fact, land investments are known to serve as a hedge against inflation due to their ability to increase in value over time without structures that require ongoing repairs.

Quinn and Eric will always be the largest shareholders due to their large personal investments in the fund. They are not reliant on the fund for their personal income, and will use the fund's profits to invest in additional loans and lending.

All of our loans are professionally serviced, and we use third party custodians to handle our collateral documents. This frees up our time and places those responsibilities in the hands of seasoned professionals and experts in their fields.

Vacant land investments require a much more specialized knowledge. As seasoned land investors, we analyze properties based on their legal/physical access, topography, utilities, water/wetlands/floodplain, soil quality, zoning, value, market demand, and title status. Our knowledge and experience of investing with our own money first allows us to choose only the best investments for the fund.

Most investors don't realize the effects that market volatility has on their long-term returns. A stable 10% return beats a volatile 15% every time. Volatility robs investors of long term growth because it deprives them of the most important feature in investing: time. Specifically, valuable time is lost to market dips, because investments lose growth to the ongoing return to equilibrium after drops in value. In extreme cases, this return to equilibrium can take a year or longer. Stable returns allow investors to take some of the mystery out of their investments and plan accordingly.