Q: What types of properties do you target?
A: Wisconsin multifamily, typically 20–75 units, $800k–$3.0M, Class B/C in B-locations, with ≥85% occupancy, DSCR ≥1.25, and cap rate ≥8%.
Q: Where do you invest and why?
A: We focus on Wisconsin submarkets with durable fundamentals and measured new supply—ideal for repeatable value-add on stabilized assets.
Q: What’s your strategy in one sentence?
A: Buy cash-flowing assets, apply targeted value-add and operational improvements, then refinance to recycle capital while maintaining long-term cash flow (BRRRR).
Q: How are investor distributions structured?
A: (Illustrative framework) 1) 8% preferred return to LPs → 2) Return of capital → 3) Profit split: 80% LP / 18% GP / 2% Advisor; optional tier at 12%+ LP IRR to 70/28/2.
Q: What’s the capital stack on a typical sample deal?
A: Around 60% private debt (8–12% interest-only, secured), ~39% LP equity (8% pref + 80% of profits), ~1% GP equity; 2% advisor carve-out from GP promote.
Q: What fees do you charge?
A: Sample schedule: 1.5% acquisition, 4–5% combined management (of EGI), 1% refinance fee, disposition fee waived unless LP-approved, plus a fixed renovation management salary during the project period.
Q: How do you manage risk?
A: Conservative underwriting + reserves: 7–10% acquisition/renovation contingency, 6 months OpEx + debt service, and $250–$350 per unit/year replacements. We also stress-test rents, occupancy, rates, and cap-ex scenarios.
Q: What reporting can investors expect?
A: Monthly ops updates, quarterly financials (NOI, DSCR, distributions), and annual reports, plus portal/email and scheduled Q&A calls.
Q: Why require DSCR ≥1.25?
A: It’s a conservative threshold that helps protect downside and debt service capacity at in-place rents.
Q: Are you 506(c)?
A: Yes—offerings are intended under Reg D 506(c) with appropriate PPMs, accreditation verification, and compliance controls.
Q: How can agents/brokers submit deals?
A: Send T-12 & Rent Roll, unit mix, recent CapEx, taxes/insurance, utilities, photos, and access notes. Ideal fit: WI, 20–75 units, B/C in B-locations, ≥85% occ., DSCR ≥1.25, cap ≥8%, $800k–$3.0M. (Use our Contact page or GP@EmeraldCrestHoldings.com.)
Disclaimer: For informational purposes only; not an offer to sell or solicit securities.