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Qualified Assets
Vacant land with immediate development plan and existing income-producing properties.
Project Type
Ground-up construction, gut-renovation, re-positioning, turn-around and/or leverage buyout.
Preferred Property Type
Garden style apartment complex, high-rise condominium, low-rise office building, full service business hotel, warehouse, & residential sub-division.
Preferred Geographical Areas
All major cities in the United States, Mexico, the Caribbeans, Latin American countries, China and South Korea. Selective countries in Europe and Asia will also be considered on a case-by-case basis.
Applicant Qualifications
Applicant must demonstrate his ability to contribute at least 10% to 15% of the total project costs (development costs) in cash or cash equivalents. Furthermore, Applicant must also demonstrate a strong management and/or development experience for similar projects.
Preferred Investment
Size $2,000,000 to $20,000,000, larger transactions will be considered on a case-by-case basis.
Investment Term
Generally speaking, investment term will range from 6 to 18 months. KSI will consider extending the investment term up to 36 months on a case-by-case basis.
Preferred Return
12% to 15%.
Profit Participation
25% to 50%.
Application Fee
$5,000 to $25,000, Non-Refundable. Good Faith Deposit is due upon acceptance of the Investment Proposal and will be applied to the preliminary underwriting and legal expenses for the preparation of the Draft Investment Commitment.
Due Diligence Expenses
Applicant is responsible for covering the due diligence expenses including but not limited to feasibility study, appraisal report, engineering report, environmental report and other due diligence related studies and expenses.
Commitment Fee
3% - 5% of the investment amount. 25% to 50% of the commitment fee is due upon acceptance of the Investment Commitment with the balance due at closing. Commitment Fee is non-refundable once the Applicant accepts the investment commitment from KSI.
Initial Submission Requirements
- Project Executive Summary
- Project Cost Analysis
- Operating / Sales Pro Forma
- Applicant Resume
- Applicant Financial Statement
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