Frequently Asked Questions
Who is Realty Cap Investments?
Realty Cap Investments is a commercial real estate investment firm focused on Central Florida that that acquires office and multi-family housing properties. We look to uncover value with properties that are under-managed and undercapitalized. Our primary focus is in the Orlando and Tampa metropolitan markets.
The principals of the company have been investing in and operating commercial real estate investments for over 20 years. We bring this in-depth knowledge and experience with us to each opportunity.
Why invest in Central Florida?
The Central Florida economies have been experiencing sustained growth in both population and employment for the last several years.In early 2014, the region became the first in the state to regain all jobs lost during the recession.
Between Orlando and Tampa, the population in each metropolitan has grown by approximately 300,000 people over the last 5 years.Each area’s growth is forecasted to continue to increase between 300,000-400,000 over the next 5 years according to the Bureau of Labor Statistics.
Orlando has led the country with job growth from 2015 – 2018 at 4.8% as compared to the average in the U.S. of only 1.9%. Employment growth is expected to average at 2.0% well through 2023 according to Moody’s Analytics. Tampa has had the second highest job growth in the State at 2.7%.
The current unemployment rate for both metros continues to outpace the State at between 2.7% and 3.3%.
The labor force in both metros continues to diversify. For Orlando, technology is now the second largest industry. For Tampa, the second largest industry is financial services.
What types of projects does realty cap invest in?
We look for property management challenged office and multi-family properties located in Central Florida. We focus on assets with strong locations in well-performing submarkets that have lower occupancy as a result of inefficient use of technology and systems. We typically find these properties need some cosmetic upgrades to bring them back to life.
Is realty cap different from other crowd-funding investment platforms?
realty cap is direct owner and operator of commercial real estate. We find opportunities through relationships with brokers and property owners. Our team has a hands-on approach to the operations and investing in research so we understand the dynamics in each market. Our goal is the highest return possible for each investment.
How does Realty Cap ensure the company and investors interest are aligned?
We invest our own capital into each transaction. In each of these transactions, there is a promote structure, which incentivizes us to increase the overall return of each investment. In addition, the investors receive their money first before we are compensated for the increased return.
Is the Realty CapInvestment platform secure?
Realty Cap takes the security of client data very seriously. We utilize the latest encryption technology for all client communications and all data is backed up with multiple levels of redundancy.
We do not share any account information with anyone.
Is the new account registration process difficult?
No, the account registration process is fairly simple. You will need to provide some information about yourself, your investment background and contact information, so we know how to reach you.
What information will I have access to after registering for a Realty Cap account?
Once you register for an account with Realty Cap, you will have access to the investment information for each transaction. Once you become an investor, you will be able to use the same login for reviewing financial statements and on-going investment updates.
Who can invest with Realty Cap Investments?
Our investments are available for accredited investors only. Each investor’s accredited status will be verified upon their application to each offering.Under Rule 501 of Regulation D., as defined by the U.S. Securities and Exchange Commission (SEC), an accredited investor must satisfy at least one of the following:
A person must have an annual income exceeding $200,000, or $300,000 for joint income, for the last two years with expectation of earning the same or higher income in the current year;
Have a net worth exceeding $1 million, either individually or jointly with his spouse (excluding the primary residence);
Be a general partner, executive officer, director or a related combination thereof for the issuer of unregistered securities;
Be a business in which all the equity owners are accredited investors. Be an employee benefit plan, a trust, charitable organization, partnership, or company with total assets in excess of $5 million.
When will I need to verify my status as an accredited investor?
When you are ready to invest in a property, you will need to complete information relating to validate your accredited status during the investment process.
Am I still able to invest if I am not a US citizen?
Yes. You are still able to invest, but you are urged to seek guidance from your tax advisor to better understand any tax considerations that may be applicable as a non-US citizen.
When I am ready, how do I invest with Realty Cap?
Each Realty Cap investment opportunity is available to accredited investors through the on-line account on our website. Once registered you will have access to the offering information and the private placement memorandum. When you are ready to invest, select the “Investment Application” button and complete the required information. You will be contacted by a Realty Cap associate to verify your accredited status and to walk you through the next steps.
After I have reviewed an investment offering, how can I get more information if I have additional questions?
Once you have registered for an account, you will be provided with the contact information for our investment management department. They will be able to answer questions on each investment.
Can I invest through my LLC, LP, Trust or IRA?
Yes. Investors are able to invest through an LLC or trust. Investors are also able to invest through their traditional self-directed IRAs.
Who handles my funds for each investment?
We utilize the services of a third-party escrow agent to handle the receipt and disbursement of all funds for each investment. This provides complete transparency and accountability.
When will I receive updates on the status of each investment?
Once you are an investor, you will be able to review all financial statements through your on-line account. We provide current financial reporting each month and each quarter, we provide anasset management update on the business plan.