SL Opportunity Finance

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Projected Initial Cash Flow 10%
Return Structure 10% Preferred, then 100% pro rata
Targeted Return 10%
Hold Period ~5 Years
Liquidity Right of Redemption
Who May Invest Accredited investors
Minimum Investment $50,000
Investment Strategy:

To provide short term capital investments to Affiliated Companies as well as other sponsors to facilitate the acquisition of real estate investments to assist in meeting the demand of investors seeking §1031 exchange replacement properties.

SL Opportunity Finance, LLC was organized to provide secured short term, preferred equity and debt investments to investment sponsors in the acquisition and/or development of real estate and other real property investment. Investors in SL Opportunity Finance can benefit from the demand in the marketplace for further investment program development to meet the needs of real property investors seeking replacement property solutions in a §1031 exchange. SL Opportunity Finance Sponsor and Manager anticipates aggressive product development and real estate investment over the next several years based on the amount of syndicated commercial real estate liquidating and returning equity to the market seeking new investment.

MARKET OPPORTUNITY

Based on its market research, Sponsor anticipates the need for sponsors of §1031 exchange replacement properties to significantly expand their pipeline of available investments to meet the demand for replacement properties over the next several years. From 2002 until the credit crisis in 2007 and related decline in real estate prices, over $12.4 billion of equity was raised in syndicated exchange programs (chart to the right).Data suggests that the majority of all of the transactions syndicated were accomplished using a CMBS first mortgage with an average term of 10 years. This implies more than 1,000 investments will have loan maturities from 2015-2018. To amplify this point, more than $300 billion of CMBS loans are scheduled to mature during 2015-2018 time period.The Company intends to provide short-term capital investments to Affiliated Companies as well as other sponsors which meet its lending requirements to facilitate the acquisition of real estate investments to be structured as DSTs to assist in meeting the demand of investors seeking primarily §1031 exchange replacement properties.

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Objectives The principal objectives of the Fund will be to:

(1)produce current income from available net cash flow generated by Investments,

(2) provide multifaceted diversification,

(3) achieve long-term capital appreciation and

(4) offer low correlation to broader markets.

Loan Terms for any Investment involving a loan by the Fund

 Initial Term: typically 30-120 days

 Interest Rate: 10-15% annual based on the collateral. Interest will be calculated daily on an actual/360 basis. The current portion of the interest will be due in arrears on the 5th of the month. Unpaid current interest will be compounded and added to the principal balance. The accrued interest portion will accrue on a non-compounded basis and be due at repayment.

 Origination Fee: 2% of the principal loan, paid at origination. The borrower can elect to pay directly or have the origination fee added to the principal balance of the loan provided the loan continues to meet the investment criteria

 Costs: A borrower will be responsible for the Fund’s reasonable legal and closing costs up to $10,000.

 Default Rate: 125% of the base rate.

Risks:

Please note that the listing above is not an offer to sell nor a solicitation on an offer to sell, and is being supplied to you for information purposes only. All investments have inherent risks including those risks common in real estate investment. Potential risks relating to each investment property are disclosed in a private placement memorandum that must be read by the investor prior to making an investment decision. These risks include but are not limited to:

Please also note that this listing is being provided to you based on your representation to us that you are an accredited investor. The Security and Exchange Commission (SEC) defines an accredited investor as an individual with either $1 million in net worth (all assets, excluding primary residence, less all liabilities); or net income for the last two years of $200,000 or greater ($300,000 if spouse has income) with a reasonable expectation of such earnings in the current year. If you do not meet this definition of an accredited investor, please notify us immediately and disregard this message and its contents.