What to expect

Answers to frequently asked questions before, during & after investing

BEFORE INVESTING

Am I required to be an 'Accredited Investor' in order to invest? And what Is the Definition?

Yes, as a Regulation D, 506(c) security investors are required to be accredited investors in order to invest in our fund per SEC regulation.

Individuals (i.e., natural persons) may qualify as accredited investors based on wealth and income thresholds, as well as other measures of financial sophistication. The SEC Financial Criteria is as follows:

a.) Net worth over $1 million, excluding primary residence (individually or with spouse or partner)

OR

b.) 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

Self Verification: In the investment process you are able to self-verify your status as an Accredited Investor by providing a letter from your bank or financial institution or via a 3rd party service we provide at no cost to you.

What types of investment accounts are able to invest?

The fund is able to take funds from a wide range of investment vehicles including:

  • Personal bank accounts

  • Entities: LLC, LP, corporations

  • Trusts

    • Retirement Accounts: Self-Directed IRAs & 401(k)s. Learn More About Self-Directed retirement accounts HERE

What is the targeted mix of investment types within the fund? Will I be notified of new fund investments?

The fund targets a minimum capital allocation of 65% to the multifamily asset class which represent the stability portion of the portfolio. The remain 35% of assets may be allocated to a mix of outdoor hospitality & land development investments in the Sunbelt region of the USA.

Investors are notified of new individual investments on a rolling basis immediately after they are placed under contract by the fund managers. Investor capital is not treated like 'blind pool' where specific investments are unknown. Investors will always be notified of new individual investments ASAP plus portfolio progress & divestitures/capital events.

How is uninvested cash managed?

All uninvested capital is managed in a high-interest Business Money Market account with our bank, Citizen Bank NA: https://www.citizensbank.com/small-business/savings/money-market-accounts/overview.aspx

All interest earnings flow through to our investors on a pro rata basis quarterly.

When are investment dividends paid to investors?

Investors dividends are paid quarterly and beginning at the end of first full quarter after investment.

When should I expect to see a return of my principal investment? What are my options at that time?

The life span of our fund is 7 years. Over that time we we expect to have over 10 capital events, for example the sale of a particular property owned within the fund. Investors should not expect a return of principal investment until the fund begins to wind down.

However, based on market conditions and fund performance the fund managers may adjust this expectation or return excess returns to investors in the form of a return of capital. At the time principal investments are returned, investors may opt to have these funds distributed back to themselves or the funds may roll into another fund managed by Hampshire Capital.

Can I download and review the fund's PPM, operating agreement and subscription documents before investing?

Absolutely.

Our PPM with operating agreement and subscription agreement are found within our InvestNext investor portal where they may be downloaded and review prior to investing here: https://hampshirecapital.investnext.com/portal/offerings/5660/

You are required to create an InvestNext username & password in order to enter the portal.

HOW TO INVEST

What is inside the investor portal?

After establishing access to our investor portal on InvestNext investors may view or download the following:

Should you choose to move forward, you may click 'Invest Now' and be guided through completing the subscription documents electronically. This includes your Accredited Investor self-verification and ultimately funding your subscription via electronic transfer ACH or wire.

What documents are necessary to complete an investment into the fund?

After clicking 'Invest Now' within the investor portal the following documents/steps are completed in order to complete your subscription/investment in the fund:

  • Subscription Agreement: Customized to the type of investment entity you will use, i.e. personal, trust, IRA and amount of funds committed.

  • IRS Form W-9: All investors are required to complete a W9 customized with their social security number or company EIN.

  • Accredited Investor Letter/verification: A bank statement or verification of net-worth from a financial institution may be uploaded or investor may complete verification through a a third-party service embedded within the subscription process.

  • ACH/wire initiation: Moving your money to the fund's bank account at Citizen Bank, N.A. is completed by InvestNext to complete the process.

Along the process you will receive communications via email and our Investor Relations team is available at: [email protected]

AFTER INVESTING

How may I view & manage my investment after investing?

All investment activity & communications are accessed and managed in one location: the same investor portal they used to invest on InvestNext (www.investnext.com).

Through the portal investors will be able to view capital account balances, monitor and download activity such as quarterly distributions, update contact and banking information and download annual K1 tax documents.

What can I expect for regular fund & property updates?

Regular fund and property progress & financial updates are also sent to investors via InvestNext. They arrive via email monthly & quarterly.

Because things don't commonly change drastically month-to-month: Monthly reports are typically a short dashboard overview of the fund and underlying property performance versus the business plan and budget plus quick overall market trends that investors should be aware of.

Quarterly reports are more fulsome and include detailed reports from property managers, full financials and a more details view of local market trends.

Good, Bad or Ugly: We strive to deliver concise transparency to investors.

Who may I reach Hampshire Capital with questions about my investment?

Investors may reach the investor relations team at any time via:

When can I expect to receive my annual K1 tax document?

Our annual service standard goal is for investor K1s to be available within investor portals by Marth 15th of each year.

Do you have any other questions? Contact Us using the form below and we'll get back to you A.S.A.P.

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(603) 531-0053

1 Greenleaf Woods Drive, Suite 302, Portsmouth NH 03801