Alignment with Investors’ Interest
Management believes that individual investors should have the same opportunities as institutions, pension funds and high net worth individuals with respect to real estate investing. With this in mind, an investment in Units has been structured to align the interests of Management with investors. Management will only be entitled to distributions after investors receive 100% return of their capital contribution plus any outstanding cumulative preferred return.
| Issuer | Triumph Real Estate Investment Fund II. |
| Issue: | Units of the Trust (the “Units”). |
| Offering Size: | Up to $50,000,000 Canadian Dollars. |
| Issue Price: | $1 Canadian Dollar per unit. |
| Minimum Investment: | $10,000 Canadian Dollars. |
| Investment Eligibility: | Triumph II is eligible for registered plans (RRSP/TFSA/LIRA/RRIF) as well as open investment. |
| Investment Type: | Revenue Producing Commercial Real Estate. |
| Investment Objectives: | Acquire a diversified pool of properties across selected locations in North America. Fund to acquire Canadian and US based assets to generate cash-flow for investors. Target undervalued properties to enhance the potential for long-term growth. |
| Preferred* Return: | 7% cumulative return.** |
| Alignment of Interest: | Management will only be entitled to profit sharing after 100% of contributed capital plus preferred return is returned to investors. |
| Profit Sharing: | Annualized return 7%-12%: 70% to investors Annualized return 12% – above: 50% to investors. |
| Investment Term: | December 31, 2024 with an option to extend 1 year. |
| Investment Locations: | Real estate assets in Alberta, Saskatchewan, Ontario, Arizona, Texas, Colorado, Washington, Nevada and Oregon. |
| Investment Leverage: | Triumph II shall not exceed leverage ratio greater than 70% of each property’s market value. |
| Investment Redemption Features: | Within the first twelve months of investment; 90% of subscription price. Thereafter, 95%. Maximum redemption proceeds shall not exceed $75,000 per quarter.*** |
* The Preferred Return payable by the Partnership, is not guaranteed and may not be paid on a current basis in each year or at all.
** On aggregate of capital invested in the Fund.
*** Redemptions may be paid in Notes rather than cash in certain circumstances. Redemption Notes are not eligible for registered plans.