Mission:
To provide liquidity to distressed Real Estate Brought by the credit crisis, and create a lucrative investment opportunity for assets that are artificially undervalued due to poor Economic Times and a tight credit environment, with structured with maximum flexibility Returns Allocate based on the level of risk assumed by investors.
Investor Criteria:
To participate you must be a qualified investor, which by definition is a person with income exceeding $ 200,000 in each of the last two years or joint income with spouse exceeding $ 300,000 for the year and a reasonable expectation of the same income level in the current year, or a person who has individual net worth, or joint net worth with the person's spouse, that exceeds $ 1 million at the time of purchase.
Objective:
Due to the mortgage and credit crisis of 2007, and the reaction of regulators regarding concerns of capital, banks and other financial institutions have substantially strengthened the guidance of their loans. Many properties that were very "bankable" in previous years are now being removed, creating a liquidity crisis in many sectors of the housing market. This liquidity crisis is placing a huge burden on some borrowers who are being forced to liquidate in a market with few buyers of cash, which is creating some buying opportunities very desirable to buyers with cash.
Objectives:
Investing in distressed assets with 1) the substantial increase in potential value, or 2) assets with limited supply, providing intrinsic value (eg, beach, ski slope or golf front, near a commercial or other key locations) or 3) properties that can be purchased substantially below its economic value or replacement cost, and can easily be enhanced or unrealized value and sold as the market recovers in a substantial profit for investors.
Sponsorship / General Partner: WA Investment, LLC, as structured by Watson Advisors.
Investments / Summary Criteria
* A buyers market - substantial returns are achieved through the purchase of goods during the tight liquidity and credit markets, and rare periods when investments in real estate assets are no longer used and is artificially undervalued. Have not figured as a strong buyer's market since the mid-80s, and capital gains will be realized through substantial purchases of troubled assets over the next 12-24 months.
* Invest in quality - to invest in assets with high appreciation potential, with limited supply of assets, providing intrinsic value (eg, sea, facing ski slope, next tier commercial or other key locations) or properties that can be purchased substantially below its economic value or replacement cost, and can easily be enhanced or unrealized value and sold as the market recovers in a substantial profit for investors.
* Enjoy Optimization - An analysis will be done to determine the optimal amount of leverage to maximize return with an acceptable level of risk (ie, income properties with reasonably predictable income would take a higher level of developed plots, which could take on more debt than raw land). Debt levels are anticipating the following levels:
Properties of the Income - 50% to 75%
the land developed - 35% to 65% (depending on liquidity)
Raw Land - 25% to 50% (depending on cash available for interest expense and carry)
* Investment Criteria predefined - Numerous properties are analyzed for price versus economic value or replacement, the necessary money, market potential, risks involved, etc., and only the best investments will be acquired. Specific criteria are:
These properties, with substantial head, which have a potential IRR of 30% or more, and with a minimum additional investment
Properties which can be purchased at 60% or less of the economic value or replacement
The investments that require a low level of cash investment with a definable skill enough to make a reasonable provision
Investment Structure:
* Custom Investment Options-The differential investment opportunity that provides a flexible structure that enables an investor to choose the desired level of risk and return.
* Limited Investors - The class of investor who will put all the money needed for the transaction, and receive a return of 8% cumulative preferred, a position 1, and 40% of net profit.
* Financial Investors - Another class of investment that will not be required to put all the money, but personally guarantee the debt for 40% of net profit. Some investors will choose to be a bit of money, (Investors Limited) and Financial Investor willing to personally guarantee the debt in order to participate in a greater share of revenues.
* Limitation of Liability Exposure - The debt will be negotiated to limit the liability of 125% of the investor's pro rata share of debt, to quantify the potential exposure and provide an efficient structure of the debt not to tie a disproportionate share of the credit on the investor any one agreement.
* Professional Management - The General Partner (GP) The role will be fulfilled by using Watson WA Investments Advisors, LLC, and receive 20% of the net to put transactions together and manage the investment. The GP will have overall responsibility and authority to execute the business plan set down in the time of investment, and develop, restructure and sell the property without the subsequent approval of the Limited or financial investors.
* Cost Structure predefined - for purely speculative investments that do not require more involvement, the GP will be compensated strictly on the percentage of net profit. Recovery or management projects will make an intensive rate of development or management compatible with the amount of work involved. Investors will have the ability to understand all the fees before investing. All expenses such as legal, accounting, planning, etc. will be borne by the project.
* Structuring and Security Diversification - Each property will be acquired through a separate LLC (WA1, WA2 WA3, etc.), with three levels of investment described above, clearly defined within each entity. This will provide some legal protection in case of a particular asset has a legal problem, and prevent the infection of other investments by a resort to legal problems. In order to create diversification, investors are encouraged to spread their investments over a number of CLL and multiple geographic locations, rather than just putting more money into an investment or just a market. The investments will be highly secure to cover any debts.
* Investment "Right Sizing" - Individual investments will be in the range of $ 250,000 to $ 1,000,000, unless related smaller investments can be grouped into an entity (such as buying multiple condos in the same project from different buyers and grouped into a single investment entity) and sizes of investment unit will start at $ 50,000 per investment, and all investors must be Qualified Investors (income over $ 200,000, $ 300,000 if married and / or the value of a Net excess of $ 1 million).
* Predefined Business Plan - All development of refurbishment and transportation costs will be set in advance a business plan defined, and substantial amendments to that plan will be reported and approved by the Investors. Otherwise, the GP will have full authority to act on behalf of the LLC to maximize returns.
* Standardized Reporting - Quarterly reports will be developed in each asset to keep investors informed about the status and progress of the investment, and taxes are filed and K-1 is delivered to investors or before March 31 next year.
* Lender Requirements - Financial Partners will undertake to continue to provide financial statements and tax returns to keep creditors informed of your current financial condition, and to provide the lenders the ability to maintain its current credit files.
Below is a visual representation of the investment structure:
To provide liquidity to distressed Real Estate Brought by the credit crisis, and create a lucrative investment opportunity for assets that are artificially undervalued due to poor Economic Times and a tight credit environment, with structured with maximum flexibility Returns Allocate based on the level of risk assumed by investors.
Investor Criteria:
To participate you must be a qualified investor, which by definition is a person with income exceeding $ 200,000 in each of the last two years or joint income with spouse exceeding $ 300,000 for the year and a reasonable expectation of the same income level in the current year, or a person who has individual net worth, or joint net worth with the person's spouse, that exceeds $ 1 million at the time of purchase.
Objective:
Due to the mortgage and credit crisis of 2007, and the reaction of regulators regarding concerns of capital, banks and other financial institutions have substantially strengthened the guidance of their loans. Many properties that were very "bankable" in previous years are now being removed, creating a liquidity crisis in many sectors of the housing market. This liquidity crisis is placing a huge burden on some borrowers who are being forced to liquidate in a market with few buyers of cash, which is creating some buying opportunities very desirable to buyers with cash.
Objectives:
Investing in distressed assets with 1) the substantial increase in potential value, or 2) assets with limited supply, providing intrinsic value (eg, beach, ski slope or golf front, near a commercial or other key locations) or 3) properties that can be purchased substantially below its economic value or replacement cost, and can easily be enhanced or unrealized value and sold as the market recovers in a substantial profit for investors.
Sponsorship / General Partner: WA Investment, LLC, as structured by Watson Advisors.
Investments / Summary Criteria
* A buyers market - substantial returns are achieved through the purchase of goods during the tight liquidity and credit markets, and rare periods when investments in real estate assets are no longer used and is artificially undervalued. Have not figured as a strong buyer's market since the mid-80s, and capital gains will be realized through substantial purchases of troubled assets over the next 12-24 months.
* Invest in quality - to invest in assets with high appreciation potential, with limited supply of assets, providing intrinsic value (eg, sea, facing ski slope, next tier commercial or other key locations) or properties that can be purchased substantially below its economic value or replacement cost, and can easily be enhanced or unrealized value and sold as the market recovers in a substantial profit for investors.
* Enjoy Optimization - An analysis will be done to determine the optimal amount of leverage to maximize return with an acceptable level of risk (ie, income properties with reasonably predictable income would take a higher level of developed plots, which could take on more debt than raw land). Debt levels are anticipating the following levels:
Properties of the Income - 50% to 75%
the land developed - 35% to 65% (depending on liquidity)
Raw Land - 25% to 50% (depending on cash available for interest expense and carry)
* Investment Criteria predefined - Numerous properties are analyzed for price versus economic value or replacement, the necessary money, market potential, risks involved, etc., and only the best investments will be acquired. Specific criteria are:
These properties, with substantial head, which have a potential IRR of 30% or more, and with a minimum additional investment
Properties which can be purchased at 60% or less of the economic value or replacement
The investments that require a low level of cash investment with a definable skill enough to make a reasonable provision
Investment Structure:
* Custom Investment Options-The differential investment opportunity that provides a flexible structure that enables an investor to choose the desired level of risk and return.
* Limited Investors - The class of investor who will put all the money needed for the transaction, and receive a return of 8% cumulative preferred, a position 1, and 40% of net profit.
* Financial Investors - Another class of investment that will not be required to put all the money, but personally guarantee the debt for 40% of net profit. Some investors will choose to be a bit of money, (Investors Limited) and Financial Investor willing to personally guarantee the debt in order to participate in a greater share of revenues.
* Limitation of Liability Exposure - The debt will be negotiated to limit the liability of 125% of the investor's pro rata share of debt, to quantify the potential exposure and provide an efficient structure of the debt not to tie a disproportionate share of the credit on the investor any one agreement.
* Professional Management - The General Partner (GP) The role will be fulfilled by using Watson WA Investments Advisors, LLC, and receive 20% of the net to put transactions together and manage the investment. The GP will have overall responsibility and authority to execute the business plan set down in the time of investment, and develop, restructure and sell the property without the subsequent approval of the Limited or financial investors.
* Cost Structure predefined - for purely speculative investments that do not require more involvement, the GP will be compensated strictly on the percentage of net profit. Recovery or management projects will make an intensive rate of development or management compatible with the amount of work involved. Investors will have the ability to understand all the fees before investing. All expenses such as legal, accounting, planning, etc. will be borne by the project.
* Structuring and Security Diversification - Each property will be acquired through a separate LLC (WA1, WA2 WA3, etc.), with three levels of investment described above, clearly defined within each entity. This will provide some legal protection in case of a particular asset has a legal problem, and prevent the infection of other investments by a resort to legal problems. In order to create diversification, investors are encouraged to spread their investments over a number of CLL and multiple geographic locations, rather than just putting more money into an investment or just a market. The investments will be highly secure to cover any debts.
* Investment "Right Sizing" - Individual investments will be in the range of $ 250,000 to $ 1,000,000, unless related smaller investments can be grouped into an entity (such as buying multiple condos in the same project from different buyers and grouped into a single investment entity) and sizes of investment unit will start at $ 50,000 per investment, and all investors must be Qualified Investors (income over $ 200,000, $ 300,000 if married and / or the value of a Net excess of $ 1 million).
* Predefined Business Plan - All development of refurbishment and transportation costs will be set in advance a business plan defined, and substantial amendments to that plan will be reported and approved by the Investors. Otherwise, the GP will have full authority to act on behalf of the LLC to maximize returns.
* Standardized Reporting - Quarterly reports will be developed in each asset to keep investors informed about the status and progress of the investment, and taxes are filed and K-1 is delivered to investors or before March 31 next year.
* Lender Requirements - Financial Partners will undertake to continue to provide financial statements and tax returns to keep creditors informed of your current financial condition, and to provide the lenders the ability to maintain its current credit files.
Below is a visual representation of the investment structure:
Diversification Strategy
Rather to create an entity to make multiple investments, a new LLC is established for each investment, WA Investments, LLC as general manager of consistent entities. Investors are encouraged to spread their investment across multiple properties and multiple markets to ensure diversification of the investment fund Opportunity. It also provides asset protection in the unfortunate event that any assets have a legal problem arise, which is contained in this level of asset and not allowed to "infect" other assets or entities, or experience a catastrophic event in any geographic market.
