Ariosoisa288-unitvalue-addapartmentandtownhomecommunitylocatedinahighlyvisiblelocationatthe intersectionofInterstate20andStateHighway360inGrandPrairie,Texas.IMHacquiredAriosoon February11,2022.IMHisacceptingadditionalinvestorsintoArioso.
Each$100,000investmentwillearna9%priorityreturn,paidquarterlyoverthelifeoftheinvestmentanda 0.44%shareofIMH’sprofitatthetimeofsale.Theinvestor’sprojectedmultipleoninvestmentcapital (MOIC)is2.22xwitha19.5%IRR.
INVESTORCASHFLOW&RETURNMETRICS
Arioso’sstrategiclocationatthecenteroftheDallas-FortWorthmetroplexisequidistantfromdowntownDallas anddowntownFortWorth.
ResidentshaveaquickcommutetomanyofthemajoremployersnearbyincludingDallas-FortWorth InternationalAirport,AmericanAirlinesheadquarters,DRHorton,LockheedMartin,GeneralMotors,andBell Helicopter-Textron.
COMMUNITYAMENITIES
Arioso’slocation,withproximitytoemploymentcentersandvalue-addpotential,providesanopportunityforan investortocapitalizeononeofthenation’spremierjobgrowthmarkets. TwoResort-StylePools&Spas State-of-the-ArtFitnessCenter
VALUE-ADDBUSINESSPLAN:
SinceacquiringArioso,IMHhasinvested$5millionincommunityandapartmentupgrades
EnhancedandredecoratedtheCommunityCenterandLeasingOffice.
Improvedtheexteriorpoolandbarbequeareaswithupgradedgrillequipmentandnewpool furniture.
Addedoutdoorgameandrelaxationareas.
Upgradedunitinteriorswithstainlessappliances,vinylplankflooring,newcolorpalette, upgradedlightingandplumbingfixtures,USBports,amongstotherimprovements.
Correcteddeferredmaintenanceitemsfrompriorownership
Improvedtheexteriordrainageandirrigationsystems.
LOCATEDINTHEDALLAS-FORTWORTHMETROAREA
The4thlargestmetrointheUSwithatotalpopulationofmorethan7.5million
Continuallyrankedasoneofthefastestgrowingmetropolitanareas
Amongthemostaffordablemetropolitanstodobusinesswithstateandlocaltaxeswellbelowthenational average
Thisconfidentialinvestmentmemorandum(“memorandum”),includingtheattachedexhibitscontainsconfidential,non-publicandproprietaryinformation.Thecompanyprovides thememorandumsolelyforconfidentialusebyprospectiveinvestors.Withoutpriorwrittenpermissionfromthecompany,prospectiveinvestorsshallnotrelease,copy,discussor usethememorandumforanypurposeotherthanevaluatingwhethertoinvestinthecompany.Eachrecipientagreestoreturnthememorandumandanyotherdocumentsor informationfurnishedbythecompanyiftherecipientdeclinestoinvest.Thememorandumwaspreparedfrominformationprovidedbythecompany.Thecompany’sprofessional advisorsdidnotindependentlyverifyanyinformationcontainedinthememorandumorotherwisemadeavailablebythecompany,andthereforetheydonotrepresentorwarrant theaccuracyorcompletenessofsuchinformation.
Thecompanyhasnotauthorizedanyofferingliteratureoradvertisingotherthanthememorandum.Nooneisauthorizedtoprovideanyotherinformationortomakeany representationexceptthosecontainedinthememorandum.Donotrelyonanyinformationorrepresentationthatdoesnotappearinthememorandum.Prospectiveinvestorsmust relyontheirownexaminationofthecompany,itsproposedbusinessandthisoffering,includingthemeritsandrisksinvolved.Prospectiveinvestorsshouldcarefullyevaluatethe “riskfactors”describedinthismemorandumorinthesubscriptionagreement.Thememorandumdoesnotofferinvestment,taxorlegaladvicetoprospectiveinvestors. Prospectiveinvestorsshouldconsulttheirowncounsel,accountantorinvestmentadvisoraboutthelegal,taxandrelatedimplicationsofinvestinginthecompany.Prospective investorsmayaskquestionsandreceiveanswersabouttheoffering,thecompanyoranyotherrelevantmatters.Thecompanywillprovideotherinformationrequestedby prospectiveinvestorsifthecompanypossessessuchinformationorcanacquireitwithoutunreasonableeffortorexpense.
Thecompanyoffersinterestsonlytoaccreditedinvestors(asdefinedinrule501(a)underthesecuritiesactof1933,asamended,includingtherulesandregulationspromulgated thereunder)andwithoutregistrationunderfederalandstatesecuritieslaws.Thismemorandumdoesnotoffertosellorsolicitanoffertobuysecuritiesinanyjurisdictionwhere,or toanypersontowhom,itisunlawfultomakesuchofferorsolicitation.Thecompanymaywithdrawthisofferingatanytimeandreservestherighttorejectanysubscription,in wholeorinpart,foranyreason.Thecompanywillholdasubscriber’ssubscriptionfundsuntilthecompanyacceptsorrejectsthatsubscription;rejectedsubscriptionfundswillbe promptlyreturnedtothesubscriberwithoutinterest.Investmentsinthecompanywillbeilliquid.Thetransferabilityandresaleoftheinterestsareseverelylimitedbythelimited liabilitycompanyagreement,thefederalsecuritiesactandapplicablestatesecuritieslaws.Therewillbenopublicmarketfortheinterestsandnoneisexpectedtodevelop. Prospectiveinvestorsshouldbeawarethattheymustbearthefinancialriskofthisinvestmentindefinitelyandmayrisklossoftheirentireinvestment.
Inmakinganinvestmentdecision,investorsmustrelyontheirownexaminationofthepersonorentitycreatingthesecuritiesandthetermsoftheoffering,includingthemeritsand risksinvolved.Thesesecuritieshavenotbeenrecommendedbyanyfederalorstatesecuritiescommissionorregulatoryauthority.Furthermore,theforegoingauthoritieshavenot confirmedtheaccuracyordeterminedtheadequacyofthisdocument.Anyrepresentationtothecontraryisacriminaloffense.Nopersonhasbeenauthorizedtogiveany informationormakeanyrepresentationsotherthanthosecontainedinthismemorandum,and,ifgivenormade,suchinformationorrepresentationsmustnotberelieduponas havingbeengivenbytheofferors.Statementscontainedhereinastothecontentofanyagreementorotherdocumentaresummariesand,therefore,arenecessarilyselectiveand incompleteandarequalifiedintheirentiretybytheactualagreementsorotherdocuments.Thecompanywillmakeavailabletoanyprospectiveinvestorpriortothe consummationofthesaletheopportunitytoaskquestionsofandreceiveanswersfromthecompanyorpersonsactingonbehalfofthecompanyconcerningthetermsand conditionsofthisoffering,thecompanyoranyotherrelevantmattersandanyadditionalreasonableinformationtotheextentthecompanypossessessuchinformationorcan acquireitwithoutunreasonableeffortorexpense.Thecompanydoesnotexpecttoupdateorotherwiserevisethismemorandumorothermaterialssuppliedherewithunlessthere isamaterialchangeintheinformationsetforthhereinpriortotheclosingorterminationoftheofferinghereunder.Thedeliveryofthismemorandumatanytimedoesnotimply thattheinformationcontainedhereiniscorrectasofanytimesubsequenttothedateofthissummary.Thissummaryissubmittedinconnectionwiththeofferingdescribedherein andmaynotbereproducedorusedforanyotherpurpose.Wereservetherighttorejectthesubscriptionofanyprospectiveinvestorevenifsuchinvestorsatisfiesallsuitability standardsdiscussedinthismemorandum.Iftheprospectiveinvestorreceivingthismemorandumdoesnotsubmitanoffertopurchase,orifsuchofferissubmittedbutnot acceptedbyus,theprospectiveinvestoragreestopromptlyreturnthismemorandumandallattacheddocuments.
Thismemorandumdoesnotconstituteanofferorsolicitationbyanyoneinanyjurisdictioninwhichsuchanofferorsolicitationisnotauthorized,orinwhichthepersonmaking suchanofferisnotqualifiedtodoso,ortoanypersontowhomitisunlawfultomakeanofferorsolicitation.Neithertheinformationcontainedherein,noranyprior, contemporaneousorsubsequentcommunicationshouldbeconstruedbytheprospectiveinvestoraslegalortaxadvice.Eachprospectiveinvestorshouldconsulthisownlegal andtaxadvisorstoascertainthemeritsandrisksofthetransactionsdescribedhereinpriortosubscribingtosecurities.
Inmakinganinvestmentdecisioninvestorsmustrelyontheirownexaminationofthecompanyandthetermsoftheoffering,includingthemeritsandrisksinvolved.These securitieshavenotbeenrecommendedbyanyfederalorstatesecuritiescommissionorregulatoryauthority.Furthermore,theforegoingauthoritieshavenotconfirmedthe accuracyordeterminedtheadequacyofthisdocument.Anyrepresentationtothecontraryisacriminaloffense.Thesesecuritiesaresubjecttorestrictionsontransferabilityand resaleandmaynotbetransferredorresoldexceptaspermittedunderthesecuritiesactof1933,asamended,andtheapplicablestatesecuritieslaws,pursuanttoregistrationor exemptiontherefrom.Investorsshouldbeawarethattheywillberequiredtobearthefinancialrisksofthisinvestmentforanindefiniteperiodoftime.
SecuritiesDisclaimer
Thismemorandumisforinformationalpurposesonlyanddoesnotconstituteanofferorsolicitationtosellsharesorsecuritiesinthecompanyoranyrelatedorassociated company.Anysuchofferorsolicitationwillbemadeonlybymeansofthecompany’sconfidentialmemorandumand/orsubscriptionagreementandinaccordancewiththeterms ofallapplicablesecuritiesandotherlaws.Noneoftheinformationoranalysespresentedareintendedtoformthebasisforanyinvestmentdecision,andnospecific recommendationsareintended.Accordingly,thismemorandumdoesnotconstituteinvestmentadviceorcounselorsolicitationforinvestmentinanysecurity.Thismemorandum doesnotconstituteorformpartof,andshouldnotbeconstruedas,anyofferforsaleorsubscriptionof,oranyinvitationtooffertobuyorsubscribefor,anysecurities,norshould itoranypartofitformthebasisof,orbereliedoninanyconnectionwith,anycontractorcommitmentwhatsoever.Thecompanyexpresslydisclaimsanyandallresponsibilityfor anydirectorconsequentiallossordamageofanykindwhatsoeverarisingdirectlyorindirectlyfrom:(i)relianceonanyinformationcontainedinthememorandum,(ii)anyerror, omissionorinaccuracyinanysuchinformationor(iii)anyactionresultingtherefrom.
NoticeAboutForward-lookingStatements
Thismemorandumcontainsforwardlookingstatementsandforecastsconcerningtheplans,intentions,strategies,expectations,predictionsandfinancialforecastsconcerningthe futureactivitiesandresultsofoperationsforthecompany,aswellasotherfutureeventsorconditions.Forthispurpose,anystatementscontainedhereinthatarenotstatements ofhistoricalfactaredeemedforwardlookingstatements.Withoutlimitingthegeneralityoftheforegoingsentence,wordssuchas“believe,”“may,”“will,”“could,”“intends,” “estimate,”“might,”“continue”,theirnegativesorcomparableterminologyindicateforwardlookingstatements.Pleaseunderstandthatthecompany’sactualresultsoractivitiesor actualeventsorconditionscoulddiffermateriallyfromthoseestimatedorforecastedinsuchforward-lookingstatementsduetoavarietyoffactors,someofwhichmaybebeyond thecontrolofthecompany.Thepotentialopportunities(pipeline)showninthismemorandummaynotbeavailableatthetimethefundisdeployingcapital.Thepipeline representsasampleofspecificopportunitiesthatwereavailableatthetimethememorandumwaspublished.
Althoughthecompanybelievesthattheunderlyingassumptionsandtheexpectationsreflectedinsuchforward-lookingstatementsarereasonable,noassurancescanbegiven thatsuchassumptionsandexpectationsarecorrectbecauseactualresultsareuncertainandunpredictable.Allassumptions,projectionsandexpectationsmerelyrepresentthe company’sconsideredopinion.Totheextentthatactualeventsdiffermateriallyfromthecompany’sassumptionsandestimates,actualresultswillvaryfromtheforward-looking statements.Additionalfactorscouldcauseactualresultstodiffermateriallyfromtheexpectationsdisclosedinthismemorandum.See“riskfactors”foradiscussionofsome factorsthatcouldcausethecompany’sactualresults,actualactivities,actualeventsoractualconditionstodifferfromthoseanticipated.Thismemorandumreflectsthecompany’s knowledgeandinformationonthedateofthismemorandum.ThedeliveryofthismemorandumorthesaleofLLCinterestsshallnotimplythatthecompany’saffairsorprospects havenotsubsequentlychanged.Allwrittenandoralforward-lookingstatementsattributabletothecompanyoritsagentsareexpresslyqualifiedintheirentiretybythisdiscussion.
LegalDisclosureStatement
IMHomeCompanies,LLC(dbaIMHCompanies)isinvolvedinactivelawsuits,whichincludetypicalallegationssuchasbreachofcontractandfraud.Thesetypesof allegationsarenotuncommoninourindustry.TheCompanybelievestheseclaimsarewithoutmeritandareintheprocessofbeingresolved.Notwithstanding,weatIMH Companiesremaincommittedtoourintegrityanddeliveringvaluetoourinvestors.
