CEG will use, substantially, all net proceeds from this offering to acquire and operate Manufactured Home Communities. Our acquisition efforts are focused on value added 2 to 5 star high-yielding properties with a high potential upside.
If and when possible we will bring management costs in line, enact reasonable rent raises and pass through any utilities that are not currently charged to the tenant.
Each property will hold a six month initial reserve for unexpected expenses for that particular property.
No expenses will be paid to any property from the reserves of another.
Each property will stand alone and support itself. After six months of reserves in place allocations will be distributed biannually.
The funds will be allocated to each individual investor based on their number of units or their equity share in the Fund.
The return will be based on the net operating income (NOI) of the property or an average (if more than one property in the Fund).