Fairway America Fund VII is being launched in August of 2014 to invest primarily in small balance real estate asset based 506 Regulation D funds of various kinds and, to a lesser degree, real estate secured loans and direct real estate ownership. Fairway has extensive experience in providing advisory, consulting and back-end administration services to other SBRE fund managers all over the United States and has performed in excess of 40 engagements of various kinds and counting in the last 2.5 years.
Leveraging the relationships that Fairway has created and maintained through its nationwide fund advisory, consulting and administration practices, Fund VII expects to gain access to deal flow on a frequent and ongoing basis to provide quality investment opportunities for the Fund. Fund VII expects to invest in a wide variety of SBRE strategies, markets and managers and provide its investors with diversity within the small balance real estate arena in multiple ways.
Fund VII is an open-ended, evergreen, net asset value fund offering both debt and equity investments to accredited investors only. Below is a brief summary of the investment:
Maximum Offering: $500,000,000
Investment Offerings: Secured Note or Equity Units
Note Rates: Schedule Published Quarterly (currently 5–7%)
Member Preferred Return: 8%
Total Target Return: 9–15%
Note Interest and Preferred Return Paid Monthly, Profits (EDC) Distributed Quarterly
Management Fee: 1.5% Annualized (paid monthly)
Minimum Investment: $250,000
Class A = $5,000,000 +
Class B = $1,000,000 to $5,000,000
Class C = <$1,000,000
Profit (EDC) Split:
Class A = 80/20 to Members/Manager after Preferred Return
Class B = 70/30 to Members/Manager after Preferred Return
Class C = 60/40 to Members/Manager after Preferred Return
Asset Level Fees (e.g. points): 50% to Fund, 50% to Manager/Fairway
We have given extensive consideration to the structure, alignment, and governance of this Fund and have put extensive controls and procedures in place for the comfort and confidence of our investors, including Key Man policies, life insurance on key principles, written underwriting guidelines, investment committee protocols, and multiple other best practices that help make Fairway America Fund VII, LP one of the finest small balance real estate funds in America. We encourage you to explore and compare for yourself.
For more information, click one of the following links:
(This page is currently being updated. Please check back soon for additional information.)
- Investment Presentation
- Term Sheet
- Private Placement Memorandum
For additional information please contact our Managing Director & Executive Vice President Darris Cassidy at 503.906.9109 or submit your query using the form on our Contact page.
Securities offered by Fairway America or its Affiliates (“Fairway”) involve a high degree of risk and should be considered only by sophisticated investors who can bear the risk of the loss of their entire investment. These securities have not been reviewed or approved by United States Securities and Exchange Commission or by any state securities agency, nor have those authorities passed upon the accuracy or adequacy of any information furnished to prospective investors in connection with any Fairway offering. Any and all Fairway offerings are open only to investors who demonstrate to Fairway’s satisfaction that they are “accredited investors,” as defined in the Securities Act of 1933, as subsequently amended (the “Act”). Fairway’s securities are offered under an exemption from the registration requirements of the Act and are not registered with the United States Securities and Exchange Commission or any state securities agency. Fairway’s securities are subject to legal restrictions on transfer, and Fairway is not required to comply with certain disclosure requirements that apply to securities that have been registered under the Act. Prospective investors should not assume that they will be able to liquidate or resell Fairway’s securities and should be aware that no public market exists for doing so.
Fairway is not registered as an investment company under the Investment Company Act of 1940, or as an investment advisor under the Investment Advisors Act of 1940. Fairway does not offer any recommendations, advice or other services that would require Fairway to so register as an Investment Company or as an investment advisor. Any historical performance data contained herein represents past performance and does not guarantee future results; current and future performance may be different than the performance data presented. Fairway is not required to follow any standard methodology when presenting performance data and its performance may not be directly comparable to the performance of other similar funds. This document provides a very limited summary of Fairway and is not intended to be a comprehensive overview of its business, operations, risks, or condition, nor is this document intended to represent balanced investment advice. Interested investors must obtain and carefully read the applicable Private Placement Memorandum and related investment documents prior to investing. Any investment made will be subject to the terms, conditions, and disclosures contained in that document and other investment documents.