+ Who is High-Rise Capital?

High-Rise Capital is an investment firm that sponsors syndicated (pooled) investments in commercial real estate by acquiring assets such as multifamily in various markets. Markets are selected based on metrics such as job, population, and rent growth, and proximity to transportation hubs, universities, metropolitan statistical areas (MSAs), and other factors and drivers.

+ How is High-Rise Capital unique?

The Team at High-Rise Capital is committed to helping investors learn about commercial real estate and how this unique asset class can help them reach financial freedom and create generational wealth. High-Rise Capital strives to empower our investors through constant educational content and, at the same time, provide them with investment opportunities to grow their wealth. Our investors provide strategic value, not just capital.

Inspire: We strive to inspire, motivate and help our investors achieve their financial goals.

Innovate: We are always looking for innovative opportunities and offer complete transparency to investors as we guide them through our investment strategy, capital deployment, and asset disposition.

Invest: High-Rise Capital allows investors to make informed asset-specific investment decisions and achieve greater individual diversity by selecting projects that satisfy their investment criteria and objectives.

+ How is High-Rise Capital different than a REIT?

Real estate investment trusts (REITs) are available in different types: private or public, traded, or non-traded. Investors are most commonly familiar with publicly traded REITs, which are listed on a stock exchange, and these REITs are subject to the volatility and performance of the stock market. REIT investors do not have the ability to decide where their capital is utilized. High-Rise Capital investors are direct fractional owners in each opportunity and are protected from market conditions. Our investors determine which opportunities to invest and also receive tax benefits that are unavailable to REIT investors.

+ How do investors receive tax benefits?

As direct fractional owners in each opportunity, High-Rise Capital investors receive their proportionate share of tax benefits that are passed along to them in a year-end tax document called a Schedule K-1.

+ Is High-Rise Capital a broker-dealer?

Broker-dealers sell securities for a commission and/or equity interest in the deal. We are not a broker-dealer but a private equity real estate firm that creates unique investment opportunities that yield favorable risk-adjusted returns for investors.

+ How is the cap rate used in commercial real estate?

The cap rate is a ratio of the annual net operating income (NOl), which is simply gross rents received less expenses, and the current market value. The cap rate is based on factors such as type of property, macro influences (market location) and micro (based on submarket and asset condition). Once the NOI and cap rate multiple of a specific area and asset class is known, then it is fairly easy to estimate the value of an asset.

For example, a 5% cap rate and an NOI of $250,000 would yield a value of $5,000,000 and each additional $1,000 increase to the NOI yields an added asset value of $20,000. This multiple (20x) is the "power" of the cap rate and is why optimizing the business operations of the asset can add substantial value and produce attractive returns to investors.

+ Why invest in multifamily rather than single family?

A single family home is valued based on other homes of similar size, age, quality, etc. that have recently sold in the same market. The value of a single family home can, and is typically bid up in excess of the market rents in the area, but this does not happen with multifamily properties as cash flow is used to value these properties. In addition, multifamily assets offer economies of scale and scalability with operations and management that single family homes do not provide.

+ What is a value-add strategy?

Commercial real estate is valued based on the amount of income generated. The higher the income, the more valuable the property. High-Rise Capital looks for properties that are in need of business improvements caused by poor management, deferred maintenance, below market rents, and high vacancies. These underperforming assets are overhauled using value-add components consisting of thoughtful renovations, improved operational efficiencies, and boosters to ancillary income.

+ Are you responsible for managing the investment?

High-Rise Capital will manage and direct the overall project and investment while a third party property management company is retained for the day-to-day operations. High-Rise Capital will utilize professionals such as lawyers, accountants, and others as necessary.

+ Is there an investment minimum?

Yes, every investment has a minimum and the amount varies depending on the opportunity.

+ After investing how often will I be updated?

After the end of every quarter, investors will be emailed a report for each investment. This report will include the information on things such as the operations, management, financial performance, and status of milestones.

+ How do I invest with High-Rise Capital and receive information on future opportunities?

You will need to complete an investor questionnaire by clicking here. After submitting the questionnaire, a member of our Team will review the information and schedule a follow-up call to review investor suitability. Investments are available to only accredited and sophisticated investors as defined by the Securities and Exchange Commission (SEC). Accredited investors will have access to all opportunities whereas sophisticated investors will be limited to selective opportunities.

Additional information is available on the SEC's website:

https://www.sec.gov/fast-answers/answers-rule506htm.html

+ Can I fund the investment with my retirement funds?

Investors are able to invest if using a self-directed IRA. Most retirement accounts are typically held by a custodian that allows access to pre-selected stocks, mutual funds, bonds, etc. However, a self-directed IRA is much broader and can be used to invest in assets such as raw land, residential homes, commercial properties, notes, businesses, and also syndicated investments like the ones sponsored by High-Rise Capital.

Please consult a tax or retirement specialist for further details.

+ Can I sell my investment?

It is important that investors realize that these offerings are highly illiquid and that you should expect to hold these securities until they "mature."

+ How do I sign-up for your free commercial real estate eBook?

Click here to sign-up. We hope you find the eBook informative and "inspires" you to want to learn more about the many benefits of investing in commercial real estate. In addition, you will be automatically added to our monthly newsletter and notified of future articles and posts.