Investment Management

Real Estate Investment Trust

A real estate investment trust (REIT) can be a very attractive approach to investing in commercial real estate and a valuable component in an overall investment portfolio. In contrast to investing in a single asset, a REIT is a decentralized set of investments in multiple projects, thereby mitigating risk and increasing overall returns.

Overview

Real estate is a highly localized investment. We have built an exceptional base of knowledge, expertise and relationships with government agencies, contractors and brokers in the broad and diverse Southern California market. The result is the ability to identify and capitalize on opportunities on a very timely and cost-effective basis.
  • Offering Size $100,000,000

  • Expected Effective Return 11 – 15%

  • Annualized Distribution Rate 5 – 8%

  • Distribution Frequency Monthly

  • Minimum Investment $50,000 (by 12/31/20)

  • Property Type Diverse Core

asset-types-numbers
  • Value Add and Others

  • Stabilized Types

ASSET TYPES

property-types-numbers
  • Various Others

  • Mixed-Use Multifamily

  • Healthcare

PROPERTY TYPES

Strategy

We take a simple, yet effective three-step approach to investing. Moreover, the breadth of our holdings provides real-time, proprietary data to quickly identify exceptional assets. It’s a proven strategy for acquiring real estate with untapped potential at a reduced cost, while investing with conviction and making sizable commitments.
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    BUY
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    IMPROVE
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    HOLD

Strategy

We take a simple, yet effective three-step approach to investing. Moreover, the breadth of our holdings provides real-time, proprietary data to quickly identify exceptional assets. It’s a proven strategy for acquiring real estate with untapped potential at a reduced cost, while investing with conviction and making sizable commitments.
  • null
    BUY
  • null
    IMPROVE
  • null
    HOLD
asset-types-numbers
  • Value Add and Others

  • Stabilized Types

ASSET TYPES

property-types-numbers
  • Various Others

  • Mixed-Use Multifamily

  • Healthcare

PROPERTY TYPES

Performance

It’s easy to participate in the benefits of the Primior REIT that include a low minimum investment of $50,000 (for a limited time), a high IRR and flexible redemption options. Depending on how long shares in the REIT are held, they can be redeemed for 90%, 95% or 100% of the per-share price for our common shares in effect at that time.
  • Expected Dividend Return 5  – 8%

  • Expected Total Return
    Conservative 7 – 10%
    Effective 11 – 15%
    Ideal 16 – 20%

Portfolio

Active Projects

Acquisitions in Pipeline

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Buying in Rental Property vs Investing in REITs

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A Range of Opportunities

An equity REIT might invest in multiple asset classes including multi-family, retail centers, office buildings, industrial warehouses and hotels. A mortgage REIT could invest in commercial real estate-backed mortgages.

Primior Diversified Investment Trust has the characteristics of an equity and a mortgage fund. In a stable market, the value of a property continues to increase, rental income grows year over year, and there is a stable loan interest. Even conservative overall returns with Primior typically outpace other REITs.

Frequently Asked Questions

Current Pandemic Impact

Despite the current circumstances of the ongoing pandemic and its impact on both lives and livelihoods, savvy investors know that investing is a long-term game. Conventional investing wisdom is as important as ever to keep in mind while we are in a pre-vaccine world. The opportunity to “buy low” has become one of the biggest advantages to the temporary economic downturn. Additionally, a macro-perspective remains imperative in the wake of trying times in the economy. 

The Primior Difference

The Primior diversified REIT is an equity- and debt-based investment vehicle. The majority of that investment is in stabilized properties to reduce risk. Our REIT offers several additional benefits including:

  • Properties thoroughly vetted by experience professionals
  • Management and accountability throughout the entire hold period
  • High acquisition standards with exhaustive and transparent due diligence
  • Proven track record of closing properties on time
  • Primior investment alongside client investment

Distributions

Distributions are expected to be paid monthly.

Fees and Expenses

Unlike some public non-traded REIT offerings, Primior has direct access to its investors through its online portal. As a result, the Primior REIT does not pay broker-dealers any selling commissions, which can average 7-8% of the invested dollars. Therefore, the Primior REIT offering has lower fees than some of the other REIT offerings available today in the market.

Risk Factors

Investing in the Company’s common shares is speculative and involves substantial risks. The Company cannot assure you that it will attain its objectives or that the value of its assets will not decrease. Therefore, you should purchase these securities only if you can afford a complete loss of your investment.

Risks include the following:

  • Primior REIT has limited operating history.
  • Because no public trading market for shares of our common stock currently exists, it will be difficult for an investor to sell their shares and, if an investor is able to sell their shares, they will likely sell them at a substantial discount to the public offering price.
  • We may be unable to pay or maintain cash distributions or increase distributions over time.
  • Future disruptions in the financial markets or deteriorating economic conditions could adversely impact the commercial real estate market as well as the market for debt-related investments generally, which could hinder our ability to implement our business strategy and generate returns to you.
  • This is a blind pool offering, and the REIT is not committed to acquiring any particular investments with the net proceeds of this offering.
  • Our investments may be concentrated and will be subject to risk of default.
  • We are dependent on our Manager and Primior’s key personnel for our success.
  • Failure to qualify as a REIT would cause the Company to be taxed as a regular corporation, which would substantially reduce funds available for distributions to our shareholders.
  • The REIT may allocate the net proceeds from this offering to investments with which you may not agree.

Liquidity

Our REIT is easy to invest in with a low minimum, high IRR and flexible redemption options.

For shares held less than 3 years, you can effectively redeem 90% of the per-share price for common shares in effect at the time of the redemption request. For shares held at least 3 years but less than 5 years, you can effectively redeem 95% of the per-share price for our common shares in effect at the time of the redemption request. For shares held at least 5 years, you can effectively redeem 100% of the per-share price for our common shares in effect at the time of the redemption request.

Taxation

REITs have very unique tax advantages resulting in maximum yields for investors while being relatively less volatile than other investments types. REITs have an IRS designated special tax form that saves corporations tax, unlike other public companies that must pay corporation income tax (approximately 25%) REITs are exempted from corporation income tax. Rental income is treated as business income to REITs because the government considers rent to be the business of REITs. This means all expenses related to rental activities can be deducted in the same manner as business expenses can be written off by a corporation. Furthermore, the IRS requires REITs to pay out at least 90% of their income to unit holders. The unique tax advantages offered by REITs can translate into superior yields for investors seeking higher returns with relative stability.

Types of Properties and Investments

The profile of properties and asset types include in the Primior REIT is currently as follows:

Property Types:

  • 40% Healthcare
  • 40% Mixed Use / Multifamily
  • 20% Warehouse and Various Other

Asset Types:

  • 70% Stabilized
  • 30% Value-Add and Others

Exit Strategy

The Company expects to seek a liquidity transaction in the future. A liquidity transaction could consist of a sale of all assets, a roll-off to maturity of all assets, a sale or merger of the Company, consolidation with other REITs managed by our Manager, a listing of the Company on an exchange, or any other similar transaction. The REIT does not have a stated term since it believes that flexibility on term may result in more favorable results for its shareholders (vs. setting a definite term at launch). Primior’s REIT Manager has the discretion to consider and execute a liquidity transaction at any time if it determines it is in the best interest of the Company and its investors.

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Buying in Rental Property vs Investing in REITs

READ ARTICLE >

Single-Source Capabilities

The Primior Diversified Investment Trust comprises carefully selected projects that are developed in-house by Primior itself, offering an important level of control to optimize the performance of your investment.

In addition, our development and management team oversees the entire process from financial analysis and project acquisition to design, construction, leasing and management. This time-tested strategy greatly improves process efficiency and increases overall return substantially.

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