The Pi Group team is seeking investors to lend money to our team to acquire residential investment properties at a 1-year term. Your loans are secured by residential real estate (as a Deed of Trust), are corporate guaranteed, and cross-collateralized by our portfolio of residential real estate properties.
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Our value-added investment strategy is to acquire ideally located residential properties in Orange County and Los Angeles County cities which have streamlined and developer-friendly development guidelines for ADU (Accessory Dwelling Unit) and/or SB-9 construction or redevelopment. Our acquisitions will generally have a heavy ground-up construction component, and our initial acquisition cost is at a discount to market value due to the underutilization of the existing lot’s maximum potential value.
Our goal is to maximize the lot coverage, developing (or redeveloping) a historically single-unit residential property into a multi-unit investment property.
Upon completion of a project, we will immediately evaluate the investment for refinance or sale. With the completion of any renovation work, and by construction additional rental/primary units, the property will have realized its maximize appreciation potential and be ripe for an exit. If sufficient equity has been created to refinance at market debt service coverage ratio (DSCR) and/or loan-to-value (LTV) requirements, Pi Group will refinance the project to repay all existing lenders and investors (principal and interest).
Alternatively, if the option to sell to property to a buyer proves to be more lucrative, Pi Group will market the asset for sale and upon closing, escrow will repay all existing debts on the property and the investment capital (principal and interest) will be fully repaid.
In the expected event that investment capital is repaid sooner than the 1-year term, investors will be repaid principal and accrued interest pro-rated for the investment term (at an 10% per annum rate).
All investors will be eligible for a 1% success fee bonus for any re-invested capital.
The Fund’s Investment Process is designed for scalability and repeatability. We have designed an interest reserve account to conservatively preserve capital in order to meet our quarterly interest payment obligations, while allowing for the majority of investment principal to acquire & create value in a target investment project.
Upon completion, Pi Group Investment Management will return the full principal and accrued interest and allow for re-investment.
Upon completion, Pi Group Investment Management will return the full principal and accrued interest and allow for re-investment.
Your investment commitment is called directly into escrow. The full principal amount is secured as a Deed of Trust on the asset. Your money becomes locked into the real estate property.
With quarterly payments, and target 6-month completion timelines, you will never go too long without access to your money.
As the project moves along its development lifecycle, our client portal provides milestone updates as the value is built – literally.
As we near completion, the option to reinvest will open up. You can redeploy your principal and profit into a new project, or opt to elect for full repayment, due on sale or refinance of the project. Your money is paid out directly through escrow in order to reconvey the Deed of Trust.
At any point, you may visit the site, inspect, and inquire for updates.
Value is accretive through the development process, until project is ready for harvest (sale or refinance).
Following a successful exit, all investment capital (principal and accrued interest) is returned, and eligible for re-investment.
January 1st, 2025 will mark the date that many new state mandates take effect. As the state of California continues to roll out new and innovative legislation in order to match the state’s dire housing shortage, we have seen the passage policies that will unlock the potential for tremendous expansion of existing land value by unlocking the historically restrictive residential density zoning code of most California cities.
Senate Bill 9 (SB9) is a California law passed in 2022 that allows homeowners/developers to:
Subdivide lots: Split a single-family zoned lot into two parcels.
Add units: Add new units to an existing parcel.
Convert houses: Divide an existing house into multiple units.
Build duplexes: Create a duplex on a split lot
Build accessory dwelling units (ADUs): Build an ADU or JADU on a split lot
Senate Bill 450 (SB45) was passed in August 2024 to streamline the implementation of SB9, which expedites the permitting process and allows developers to perform a SB9 lot split by right, without committee approval.
This allows for faster development and significantly reduced risk. Plans must be permitted within 60 days if designed to code.
Pi Group Investment Management (“Pi Group”), will borrow investment capital through Pi Group Fund 1 at;
1 year Term
10% - 11% APY offered to investors
Interest payments made quarterly
Corporate Guaranteed
Collateralized by Real Assets
Cross-Collateralized by all Assets in Portfolio
*The success bonus is contingent upon re-investment of principal investment, calculated on re-invested principal amount.