DISCLAIMER This document contains preliminary information only. This document is being issued for the purpose of accessing the level of interest in a fund of the type outlined herein. The information in this presentation is confidential. The following materials are being delivered to a limited number of financially sophisticated prospective investors in QC Capital, LLC (the “Fund”) and are strictly confidential. By acceptance of this document you agree to keep the information contained herein confidential and not to disclose it to anyone except to (I) your legal, tax, and financial advisors who agree to maintain these materials in confidence or (II) a government official upon request. This document should not be photocopied, reproduced, stored, delivered or transmitted by any means without the express written permission QC Capital, LLC and must be used in conjunction with the more detailed information about the FUND, set forth in, or to be set forth in, a confidential private placement memorandum (the “Memorandum”) and other governance documents, as such documents may be amended or supplemented from time to time. Prospective investors should request a copy of the Memorandum and review all materials related thereto before making an investment. This presentation is not an offer to sell nor a solicitation of an offer to buy. This document is not an offer to sell a security nor the solicitation of an offer to buy a security in any jurisdiction. Any such offer, if made, would only be made by means of the Memorandum, which contains a more complete description of the Fund. Including the material terms of constituent documents, certain risk factors and potential conflicts of interest relating to an investment in the Fund. Offers and sales of interest in the Fund will not be registered under the laws of any jurisdiction and will be made solely to “qualified purchasers” as defined in Section 2 (a) (51)(A) of the Investment Company Act of 1940 and “accredited investors” as defined in Regulation D under the Securities Act of 1933. This document is not a recommendation or commitment on the part of QC Capital, LLC and should be read in conjunction with the Memorandum prior to making an investment in the Fund. Prospective investors must read the entire Memorandum. In deciding whether to invest in the Fund, you should read the entire Memorandum. Including the information contained therein about risks associated with an investment in the Fund, conflicts of interest and the material terms of the Fund’s constituent documents. As a prospective Investor, you should rely solely on the Memorandum, and should not rely on any other materials, including this document, or any oral statements in making your investment decision. This document does not purport to contain all the information relevant to evaluating an investment in the Fund. Prospective Investors should obtain advice from their own advisers. Potential Investors should not construe the contents of this document as financial, legal, accounting or tax advice or information necessarily applicable to each investor’s financial situation. Each potential investor should consult with its independent financial advisor, lawyer, or accountant as to legal, tax, and related matters to which it may be subject under the laws of the country of residence or domicile concerning the acquisition, holding or disposition or any investment in the Fund. Statements contained in this document are based on current expectations, estimates, projections, opinions and beliefs of QC Capital, LLC. Such statements involve known and unknown risks, uncertainties and other factors, and undue reliance should not be placed thereon. Certain information contained herein constitutes “forward-looking statements.” which can be identified by the use of forward looking terminology such as “may,” “will,” “seek,” ”should,” ”expect,” ”anticipate,” “project,” “estimate,” “intend,” “continue,” “target,” “plan,” or “believe” or the negatives thereof or other variations thereon or comparable terminology. Due to various risks and uncertainties, actual events or results or the actual performance of the Fund may differ materially from those reflected or contemplated in such forward–looking statements. Forward-looking statements are only estimating and are not guarantees, covenants, warranties, promises, or similar types of certain statements. Date. This document is necessarily based on the financial, economic, market, and other conditions as in effect on, and the information reasonably available as of, the date listed on the cover page of this document. Risk Factors. Investment in the Fund involves a significant degree of risk. There can be no assurance that the Fund’s return objectives will be realized or that there will be any return of capital. Several risk factors are described in detail in the Memorandum. Prospective Investors are strongly urged to evaluate each of the risks and potential conflicts of interest that will be described in the Memorandum. There is a risk that all invested capital may be completely and forever lost without return. No part of this document may be reproduced, stored, or transmitted by any means without the express, written consent of QC Capital, LLC.
Investment Summary: QC Capital Closed Deals
Active Deals
Distributions
Investors
4
4
Monthly
500+
The acquisition and value enhancement of Multifamily assets that are distressed or under-performing as a result of below rents, management inefficiency, or local market distress. The acquisition and development of express tunnel car wash assets in irreplaceable locations near major growth corridors.
Providing equity or preferred equity financing for multifamily and car wash opportunities sponsored by local, distinguished operators with proven track records. | 3
Investment Thesis: QC Capital Unlock the Potential for Higher Returns: We understand that your financial goals deserve an investment strategy that is as ambitious as you are. That's why we specialize in private equity, offering our clients the potential for higher returns that go beyond conventional investment avenues. By strategically investing in private offerings, we aim to capitalize on growth trends and successful operational value ad strategies.
Access to Unique Investment Opportunities: Elevate your investment portfolio with exclusive opportunities alongside us. We pride ourselves on providing our clients with access to unique investment opportunities that extend beyond the reach of traditional markets. Our private equity offerings allow you to invest carefully with high growth potential, often unavailable through public markets. Diversify your investment strategy with access to the car wash and multifamily sectors that are pushing innovations and substantial returns.
Focus on Long-Term Investing Relationships: We believe in more than just transactions; we believe in fostering lasting relationships. Our commitment to long-term investing goes beyond the numbers, emphasizing collaboration and shared success. When you invest with us, you become part of our community that values patience, strategic planning, and sustainable growth. Senior Director of Investor Relations, Nick Abraham, works closely with each investor, offering personalized support and guidance throughout the investment journey.
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Multifamily Investment Criteria/ Deal Flow Deal Process
Markets • • • •
Nashville Dallas Houston Atlanta
• • • •
Charlotte Raleigh Wilmington Charleston
• • • •
Greenville Jacksonville Orlando South Florida
Price: $15 - $60M Units: 100 – 350 Vintage: 2000+ Class: A Investment Terms: 3 – 10 Years Leverage Maximum: 65 – 85%
Project IRR: 10-15% Equity Multiple: 1.8X over 5 years Cash on Cash: 5 - 7% See pg. 8 for projected investor returns
• •
500+ deals per year More Detailed underwriting on a selection of deals that adhere to our investment criteria
• •
200+ offers per year LOIs are submitted at pricing which exceeds our target returns
• •
4-6+ Deals per year We aim to close 1-2 transactions per quarter.
Underwriting
LOI
Target Returns • • • •
Source/screen 1000+ deals per year Continuous pipeline of opportunities and high-level review of each
Sourcing
Assets • • • • • •
• •
Acquisition
5
Our Car Wash Strategy • • • •
100 – 200 locations in 5+ years Growth markets with high traffic counts in the Southeast Strategic acquisitions, develop quickly, manage in-house Renovate and improve operational inefficiencies
Strategy • Class A 10% pref • Class B 12% pref • Monthly distributions
Cashflow • Class A 5% return on investment at exit • Class B 8% return on investment at exit • Initial capital returned
Equity Growth
• 60% - 80% year 1 anticipated depreciation • 15-year depreciation schedule • Bonus depreciation
Tax Benefits • Refinance or portfolio sale
Exit Strategy | 6
Strong Deal Exits
7| 7
Greenville, South Carolina
Orchard Park Projected
Realized
IRR
12% - 16%
26.40%
Equity Multiple
1.94X
1.65X
Background / Market •
The asset is in the affluent Greenville market of where there has been an average of 3.2% rent growth since 2014. The property is located minutes from 5 of the countries 8 largest employers (10,500+ jobs). 60% of the interiors are lightly renovated and the plan is to perform moderate renovations to include improving the layout of the kitchen.
Business Plan • • •
Improve exterior amenities to include adding a grilling area Improve operations with new management team Interior renovation includes LED light fixtures, USB outlets, and Wi-Fi routers in each unit.
Hold Time 172
1985
2019
$17.2MM
Units
Year Built
Year Purchased
Purchase Price
27 Months | 8
Mauldin, South Carolina
Lions Gate Before
After
Projected
Realized
IRR
12% - 16%
39.16%
Equity Multiple
1.95X
1.69X
Background / Market •
•
The asset is in the affluent South Greenville submarket of Simpsonville/Mauldin where there has been an average of 3.2% rent growth since 2014. The property is located minutes from 5 of the countries 8 largest employers (10,500+ jobs). 60% of the interiors are lightly renovated and the plan is to perform moderate renovations to include improving the layout of the kitchen.
Business Plan • • •
Renovate the units to bring to modern upfits as needed Improve operations with new management team Interior renovation includes modern countertops, upgraded appliances, and adding washer/dryers in 100% of the units.
Hold Time 144
1984
2020
$13.75MM
Units
Year Built
Year Purchased
Purchase Price
25 Months | 9
Greenville, South Carolina
Willow Brook Projected
Realized
IRR
12% - 16%
22.90%
Equity Multiple
1.92X
1.59X
Background / Market •
The asset is in the affluent South Greenville submarket of Simpsonville/Mauldin where there has been an average of 3.2% rent growth since 2014. The property is located minutes from 5 of the countries 8 largest employers (10,500+ jobs). 60% of the interiors are lightly renovated and the plan is to perform moderate renovations to include improving the layout of the kitchen.
Business Plan • • •
Improve exterior amenities to include adding a grilling area Improve operations with new management team Interior renovation includes LED light fixtures, USB outlets, and Wi-Fi routers in each unit.
Hold Time 144
1985
2019
$14.4MM
Units
Year Built
Year Purchased
Purchase Price
31 Months | 10
Charlotte, North Carolina
Pines on Wendover Projected
Realized
IRR
18.2%
18.66%
Equity Multiple
2.13x
1.42X
Background / Market •
The asset is in the affluent Charlotte NC market. This property is minutes away from prime retail shopping. This asset sits 10 minute from the center of the city and has seen a lot of redevelopment around the area.
Business Plan • • •
Improve exterior amenities to include adding a grilling area Improve operations with new management team Interior renovation includes LED light fixtures, USB outlets, and Wi-Fi routers in each unit.
Hold Time 44
1975
2020
$4.4MM
Units
Year Built
Year Purchased
Purchase Price
26 Months | 11
QC Capital/ Djuric Family Office Track Record
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QC Capital/ Djuric Family Office Track Record Continued
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MEET THE TEAM
CHRIS SALERNO Founder/CEO QC Capital Chris believes investing in real estate is the best building block for financial freedom. Soon after relocating to Charlotte, Chris developed an extreme passion for real estate. Company principal Chris Salerno successfully transacted more than 40mm in real estate volume and helped lead the #1 real estate team in the Carolinas to produce more than 140mm in annual sales. Named to Charlotte’s 30 under 30, Elite 50, Elite 50 entrepreneurs, 30 under 30 entrepreneurs, and nominated for Forbes 30 under 30, Chris has quickly gained recognition, and notoriety for his hard work, and dedication. Chris is also the founder and host of the “Mindful Multi-family Podcast”. Through Chris’ vision, QC Capital has quickly become a well-respected investment firm. **Chris invests a sizable amount in all of QC Capital’s deals
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QC Capital High-Yield Dispositions The QC Capital Team has been investing in commercial real estate assets since 2018 with a portfolio in excess of $120M+ with 800+ apartment units.
PARTNERS
CHRIS SALERNO CEO & FOUNDER
IAN DJURIC DJURIC FAMILY OFFICE
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DEDICATED TEAM OF EXPERTS
NICHOLAS ABRAHAM DIRECTOR INVESTOR RELATIONS
SARAH HANNA DIRECTOR ASSET MANAGEMENT
JOE FAIRLESS ADVISOR
GREG SILBERMAN ADVISOR
GREG EDMONDS DIRECTOR ACQUISITIONS
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DEDICATED TEAM OF EXPERTS
JOHNA CHARLES Marketing
EVAN PANDELL Marketing
JAMES FRIDAY DIRECTOR
MAINTENANCE & CONSTRUCTION
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Testimonials "As a busy Business Professional and Real Estate Investor, I work with a lot of groups and a ton of people in the Multi-Family Apartment / Syndication - Real Estate Investing world. Chris Salerno and his Team at QC Capital are top notch when it comes to finding deals that work, bringing the right investors in, running the asset efficiently, and treating the tenants very well, all while ensuring that the bottom line is taken care of. For anyone who is considering investing with them, I can assure you that the experience will be a positive one for you personally, professionally and for you to grow your wealth as well."
Trevor McGregor High Performance Coach/ Real Estate Investor | 18
Testimonials "I had a fantastic experience working with QC Capital. The team was knowledgeable, professional, and attentive to my needs throughout the entire process. They provided excellent guidance and support, and I felt confident in their ability to manage my investments. What impressed me the most was their personalized approach. They took the time to understand my financial goals and risk tolerance and developed a customized investment strategy that aligned with my needs. Their communication was clear and transparent, and I always felt informed about the performance of my portfolio. I appreciate the expertise and dedication of the QC Capital team, and I would highly recommend their services to anyone looking for a reliable and trustworthy investment firm. They truly exceeded my expectations, and I am thrilled with the results they have achieved for me. Five stars all around!"
Donny Smith CEO/ Owner of Legacy Clean Energy
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Testimonials
"I first invested in QC Capital to invest in Chris Salerno. There was fundraising underway for a Greenville, South Carolina apartment business plan, but I was mostly investing in Chris. I feel fortunate to have gotten "in" with him on something with him as a direct point of contact."
Alex Tallcott Attorney/ Real Estate Investor | 20
Testimonials
"In a time when many people hide behind the smoke and mirrors, you and your company are a class act for being so professional and straightforward in spite of trying times. Thank you for the live stream on the performance of the property today Chris Salerno and QC Capital"
Melissa Swanson Investor | 21
QC Capital Mission
To deliver superior returns via the acquisition and optimization of niche-leading assets. We accomplish this through partnerships with top tier management organizations that specialize in the improvement of operations, and who support organic growth initiatives. QC Capital will provide superior service and value to a wide range of investors from high-net-worth individuals to institutional capital partners through the operation of these key assets, and by assuring they are well-positioned strategically upon realization of our investment.
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Info@qccapitalgroup.com 704.327.0688 www.qccapitalgroup.com
