The team of PARRISH | ROBACK is highly experienced in delivering success to both clients and investors in all parts of the investment cycle. With over a decade of involvement in the greater Los Angeles residential market we have created business model driven returns; taking measured planning and execution to achieve results in a short period of time.
WHY INVEST WITH PARRISH | ROBACK
- Proven track record of success
- PARRISH | ROBACK co-investment on all deals
- PARRISH | ROBACK compensation weighted on performance
- Attractive return structure
- Established relationships within the marketplace
- Direct access to management team of PARRISH | ROBACK
- No fund level or asset or construction management fees
- Short term investment period (6-18 months versus 5-10 years for other real estate syndicates)
Our focus is to deliver unique and superior homes that excite discerning buyers in the $2-5MM price range and provide a 20% return on equity to our investors.
We are acquiring single family residential real estate in areas of greater Los Angeles such as Silver Lake, Los Feliz, Beverly Wood, Rancho Park, Culver City, Westwood, Brentwood, West Hollywood, and other prime areas. Acquisitions include homes that can be expanded and updated as well as obsolete homes that can be replaced with new construction. Project cycles are typically 6 – 18 months. Homes are acquired with a combination of debt and equity in order to maximize returns for our investors. Upon sale of each home funds will be distributed according to the Company Operating Agreement.
PARRISH | ROBACK is the “Sponsor” of the Offering and will be the Managing Member (Manager) of the Company. In the context of this website the works PARRISH | ROBACK, Sponsor and Manager may be used interchangeably. The Company will be a California Limited Liability Company created for the sole purpose of taking title to the asset, raising money and borrowing funds to complete the project. PARRISH | ROBACK will be investing alongside the Investors in the Company which is governed by the Operating Agreement, a copy of which is available for Registered Investors to review.
- Top down approach of identifying neighborhoods with improving fundamentals including increasing home values, improving household financial demographics and strong demand with limited supply of new or rehabbed properties.
- Location of assets through extensive network of agents in addition to marketing via mail, phone and house calls.
- Target properties with the ability to increase square footage by 20% or more by right and having significant deferred maintenance while located in close proximity to significantly superior homes OR remodel only homes that can be turned in less than 6 months time.
- Study comparable sales in the area to determine the as-is and as-completed value of the home.
- Financial commitments will be obtained from investors through our registration process
- Conduct primary property inspection with our contractors to identify any major issues and assist in preparing our detailed construction budget.
- Create a construction plan based on the target buyer for the homes location, maximizing highest and best use from both zoning and demand perspectives.
- Engage 3rd party vendors to complete all necessary reports and evaluations, appraisal, including title review, physical inspection and any other specific areas that may come to our attention through the due diligence phase.
- Confirm that the planned project is viable and meets or exceeds a 20% underwritten return on investment.
DEBT AND EQUITY PROCUREMENT
- Arrange market rate financing through various sources such as private party lenders, funds, banks and institutional lenders.
- Complete our Private Placement Memorandum (PPM) and send to registered investors for review
- Registered investors will receive final copy of the Company Operating Agreement
- PARRISH | ROBACK will call committed funds and execute subscription agreements
ACQUISITION AND CONSTRUCTION MANAGEMENT
- Funds required for closing will be wired from the Company account to escrow.
- Remaining funds will be utilized to make progress payments on the construction and interest payments to the lender
- Work will immediately begin based on the project specific business plan outlined in the PPM
- Progress will be updated to our website on a regular basis
- Our books will be closed monthly by our book keeper
- PARRISH | ROBACK prepared reports will be presented monthly to investors.
- The completed property will be professionally photographed, marketed and sold
- Funds will be distributed as follows
- First reimbursement of the PARRISH ROBACK or Investors for any funds advanced to cover expenses of the Company
- Second return of 100% of initial equity contributions to investors
- Third payment distribution of 60% to the Investors and 40% to PARRISH | ROBACK until a 20% return is achieved on equity
- Fourth payment of a 2.5% disposition fee (on the gross sale price of the asset) to PARRISH | ROBACK
- Fifth payment of any remaining funds will be split equally between the Investors and the PARRISH | ROBACK.
- The Company will be closed not less than 12 months and not more than 24 months after close of escrow, unless otherwise dictated by PARRISH | ROBACK.
- A final accounting will be provided within 90 days of closing the Company and final schedule K1’s within 90 days after the close of the tax year.
We are currently accepting minimum investments of $100,000 from accredited investors. Investors should expect to commit funds for a period of 18 months. Due to the fast timelines in purchasing residential property, investor’s will need to fund their investment within 7 days of receiving the offering package, which details the opportunity. Should you be interested in receiving offering packages for upcoming investment opportunities or have further questions please REGISTER for further information.