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Subscribe to the Ashcroft Value-Add Fund II

The Ashcroft Value-Add Fund II (AVAF2) is now available for accredited investors. Fill in the form below to join our investor portal and place your commitment.

 

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What is the AVAF2?

In an effort to continue our focus on capital preservation and further mitigate risk while still having upside potential, we are launching the Ashcroft Value-Add Fund II.

How do you get started? How does it operate? We have prepared the AVAF2 FAQ Guide to help address commonly asked questions.

DOWNLOAD THE AVAF2 FAQ GUIDE

 

6-10 Properties

DIVERSE REGIONAL MARKETS

5-7 Years

ANTICIPATED LIFE OF FUND

$25,000

MINIMUM INVESTMENT

Investment Criteria

thumbnail_image002 Communities located in the growth markets of the Sun Belt including Dallas-Fort Worth, Atlanta, Orlando, Tampa, Jacksonville, Raleigh/Durham, Charlotte, and Phoenix
thumbnail_image002 Class A/B properties with excellent opportunity for value creation through improvements

 

thumbnail_image002 Under performing or distressed multifamily properties
thumbnail_image002 200+ Unit assets in highly desirable submarkets
thumbnail_image002 $20 million to $150 million total capitalization per property

 

Targeted Fund Returns*

Cash-on-Cash Returns
(Avg including sale)

13% to 20%

Cash on Cash Returns
(Avg excluding sale)

6.8% to 8.5%

Levered IRR (Net)

13% to 18%

Equity Multiple (Net)

1.5x to 2.0x

Annual Cash-on-Cash Projections**

Year 1:

5.0%

Year 2:

7.0%

Year 3:

7.4%

Year 4:

8.0%

Year 5:

9.0%

 

*Based on 5 year hold for Class B Limited Partner Investment. Target returns represent ranges for base case, downside, and upside scenarios.

**Projected cash-on-cash returns are based on base case assumptions for the properties within the Fund

Note: Projected returns are based on LP levels of Fund.

Return Structure

Investors have the opportunity to invest in Class A and/or Class B Limited Partnership Interests.

Limited Partner (A) - Class A

Class A Limited Partner’s earn a coupon of 9% per annum of such Limited Partner’s investment in Partnership (the “Class A Coupon”). Class A Limited Partners have limited distributions upon disposition of the Property. This tier offers stronger projected cash flow and reduced risk as compared to Class B Limited Partners.

Limited Partner (B) - Class B

Class B Limited Partners earn a coupon of 7% per annum of such Limited Partner’s investment in Partnership (the “Class B Coupon”). Upon the disposition of the Property, after payment of debt, return of Class A and Class B Limited Partner investments, payment of any unpaid Class A and Class B Coupon Amounts, and then, prorata, seventy percent (70%) to the Class B Limited Partners and thirty percent (30%) to the General Partner until such time as the Class B Limited Partners have received a cumulative amount equal to thirteen percent (13%) IRR. Then, Class B Limited Partners will receive 50% of the remaining proceeds from disposition. This tier has a lower coupon but provides greater participation upon disposition or capital event compared to Class A Limited Partners.

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Understanding the
Benefits of Investing in a Fund

  • Spreads out investor equity over multiple acquisitions
  • Greater exposure to investments in various markets and asset classes
  • Ability to invest in different individual property business plans and hold periods
  • Provides the opportunity to participate in upside on property price appreciation upon sale, refinances, and supplemental loans
  • Diversification offers the ability to reduce risks while offering the potential for higher returns
  • Potential tax benefits for investors such as pass-through depreciation opportunities and 1031 exchanges

 

Ready to Get Started?

Schedule a 1-on-1 call with a member of our investor relations team to learn more.

 

Disclaimer: This investment will be filled on a first-come, first--fund basis and is open to accredited investors only. All investment information will be made available in the investor portal.

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