Frequently Asked Questions
FAQ
HLC Equity identifies our investment holding periods based on the traditionally long-term approach we’ve developed over our decades of experience. Preferring longer durations to maximize ownership benefits, specific holding periods vary based on the deal, investor preferences, and asset nature. These can range from five to ten years or more when looking to leverage our generational strategy, or a shorter-term duration, with a potential sale within one to five years.
The HLC Equity investor base is diverse, encompassing high-net-worth individuals to family business owners who align with our values. Additionally, we collaborate with wealth management groups and private equity entities, shaping a vibrant ecosystem of diverse investors.
HLC Equity evaluates investment opportunities through a structured process. Our Director of Acquisitions assesses the potential deals based on predefined criteria. If a deal aligns with the requirements, we convene as a committee to thoroughly discuss its merits, capital structure, and operational potential. If the committee reaches a consensus and deems the investment viable, we proceed to make an offer at what they consider a fair price for acquisition.
HLC Equity predominantly invests in the multifamily real estate sector, specializing in markets with high demand and limited supply, addressing the escalating need for housing in areas with rising living costs. While they have experience managing retail and net lease assets with major credit tenants, their primary focus and expertise lie in multifamily investments, aligning with their strategy since 2013, driven by the substantial increase in demand for this asset class.
HLC Equity targets core markets with attractive demographic trends and a healthy demand/supply ratio.
HLC Equity invests in a wide range of real estate assets, with various risk/reward features. We most often invest in value-add, core, and core plus transactions. Our primary focus is cash flowing multifamily properties, necessity-based retail assets with long term leases and credit tenants, and other opportunistic ventures are considered on a deal by deal basis.
HLC Equity does not strive to be the cheapest real estate sponsor in the industry. We strive to give private investors direct access to institutional quality real estate deals that they otherwise would not have access to. So, while our management and success fees are considered market rates in the industry, what is most important to us is that we are well-aligned in every transaction. Additionally, by investing directly with HLC Equity, it immediately reduces fees that otherwise would have been charged had you invested through a third-party intermediary (AKA a middleman). Every deal has a different fee structure and you are encouraged to review the transaction documentation and to reach out if you have any questions.
Layers (www.layerslife.com) is an HLC Equity backed operating company that serves as an innovative property management company, offering residents flexible living options with serviced and conventional apartments, community events, and additional services. Beyond providing an exceptional customer experience for our residents, Layers also aims to significantly improve property performance through its proprietary operating systems. When HLC Equity invests in a deal that will be managed by Layers, it means that HLC Equity investors will benefit from this innovative property management.
Sign up for our updates so that you can be the first to know about industry updates, real estate investment market insights, new deals being offered, and innovations occurring in the world of real estate and technology (PropTech).
Register for an account in order to pre-qualify yourself for future investments, which are sometimes oversubscribed. Be the first to receive insights on new transactions and important investment information. Once you have invested, your account on our portal also becomes your key resource for your account information and financial statements.
Sophisticated Accredited Investors, wealth managers, family offices, and institutions.
An accredited investor is a term used by the U.S. Securities and Exchange Commission (SEC) under Rule 501 of Regulation D. In order to qualify as accredited, an investor must accomplish at least one of the following:
Earn an individual income of more than $200,000 per year, or a joint spousal income of more than $300,000 per year, in each of the last two years and expect to reasonably maintain the same level of income;
Have a net worth exceeding $1 million, either individually or jointly with his or her spouse (excluding the primary residence);
Be a bank, insurance company, registered investment company, business development company, or small business investment company;
Be a general partner, executive officer, director or a related combination thereof for the issuer of a security being offered;
Be a business in which all the equity owners are accredited investors. Be an employee benefit plan, a trust, charitable organization, partnership, or company with total assets in excess of $5 million.
Please contact IR@hlcequity.com
Yes, you can. Each entity varies, but the HLC Equity Investor Solutions Group is happy to work with you on ensuring a smooth onboarding.
When you invest with HLC Equity you generally become a partial limited owner in the entity that is purchasing the property. The rights and ownership are detailed in the transaction offering material and we encourage you to read through all documentation diligently.
Our portal allows 24/7 access to view your investment info, historical distributions and cash movements, and other property and financial statements. Additionally, investors are provided with updated financial and property reports at least once per quarter.
Yes, that is the goal. You invest, we do the work, you receive distributions and your capital grows.
As principal investors in the real estate business for decades, we know that offering a guaranteed return is impossible. However, our investors generally lean on our past performance as an indication of what we may be able to produce in the future. Of course, past performance is not an indication of future results. For further information on past performance please contact us today.
Yes. HLC Equity works with several wealth management firms and family offices in order to assist in investing capital on behalf of their clients.
