Sandlapper Capital Investments, LLC launches SL Opportunity Finance, LLC
December 7, 2015
GREENVILLE, SC – Sandlapper Capital Investments, LLC (“Sandlapper”) has launched its latest investment opportunity, SL Opportunity Finance, LLC (“SL Opportunity Finance”). Sandlapper developed the product after recognizing a need for short-term capital deployment when creating longer-term investments to meet specific market demands.
“Between 2005 and 2008 nearly $11 billion of equity was placed into approximately 1,000 syndicated investments that acquired somewhere between $30 and $50 billion of commercial properties nationwide almost exclusively for the 1031 exchange buyer,” states Sandlapper Founder and CEO, Trevor L. Gordon. The 1031 exchange is a tool for real property investors to maximize their buying potential through the deferral of taxable liabilities due when they replace one asset with another in accordance with the requirements as defined by the IRS under Internal Revenue Code §1031.
“Most of these programs created with the 1031 exchange buyer in mind during this period used considerable leverage with an average term of 10 years on their loans. With these loans maturing, most of these investment programs are liquidating their assets, setting the investors up for a need, should they seek the continued deferral of their capital gains, to replace these investment properties,” states Gordon. “We saw the need to offer a product for investors seeking to reinvest these earnings and are actively expanding to help fill this void. SL Opportunity Finance will allow us, as well as other replacement property investment companies, to more quickly and efficiently acquire real property assets that can be delivered to the exchange buyer. Dynamic markets create the potential for ancillary opportunities, and SL Opportunity Finance is one of those potential opportunities.”
SL Opportunity Finance will provide short term capital to investment program sponsors, including affiliates of the company, to facilitate the acquisition or development of real properties to be structured with the 1031 exchange buyer in mind.
Sandlapper has successfully acquired approximately $84 million of commercial real estate for investors in the second quarter of 2014. Based on market research, Sandlapper anticipates the need for it and other sponsors focused in this arena to significantly expand their pipeline of available investments to meet the anticipated demand for replacement properties over the next several years.
The company will sell Preferred Units of the company to accredited investors, entitling them to a Preferred Distribution accruing units at a cumulative 10.0% per annum, paid quarterly. There will also be Redemption Units paid at the end of the life cycle.
ABOUT SANDLAPPER CAPITAL INVESTMENTS, LLC
Sandlapper Capital Investments, LLC (Sandlapper) is an award winning investment firm created to take advantage of opportunities brought about through the dynamic and ever-changing economic landscape, and one of the diverse divisions of the SANDLAPPER family of investment companies. Our experienced team has the skills, tools and resources necessary to identify, analyze and act upon timely opportunities across a vast universe of industries as an investor, manager or investment program sponsor.
Sandlapper principals collectively have decades of experience across a broad range of industries and investment vehicles covering both the public and private markets including packaged product analysis, commercial real estate equity and debt, tax credits and shelter programs, oil and gas and related industries, equipment leasing, corporate and municipal debt as well as other debt obligations and portfolio management.
