Clear Capital offers Single Purpose Entity (SPE) offerings in which accredited investors may subscribe. Please click “Get Started” to invest with Clear Capital.
Once Clear Capital has raised the capital for the SPE, the offering will close. When escrow closes on the property, your investment will be added to your investor portal.
Quarterly distributions are typically a 6% annualized preferred return paid out quarterly. As outlined in your SPE offering, you will begin to receive quarterly distributions the quarter following the close of the transaction.
Return of Capital
Once you have received your preferred return, you will receive a return of capital. The capital is the original equity that you committed to the offering.
Clear Capital (the manager) participates in the returns after you have received your preferred return and a return of capital. Once you have received your return of capital then the typical waterfall structure is as follows:
70% Investors / 30% Manager at 6%-9% IRR
60% Investors / 40% Manager at 9%-12% IRR
50% Investors / 50% Manager at 12%+ IRR
When the property is sold investors receive their proportionate share of the gain or a 1031 exchange may be offered.