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Investor Yes Sheet

FreedomSync Lake Livingston Holdings, LLC

The Opportunity

FreedomSync Lake Livingston Holdings, LLC is developing a 6-unit owner-occupied short-term rental cabin compound near Lake Livingston, Texas.

The project is structured as a build → stabilize → refinance → hold strategy. Investor capital is used to complete the project alongside senior debt, and investors are fully repaid at refinance with a 10% preferred return, before the sponsors participate.

How Much Is Being Raised

  • Total Preferred Equity Raise: Up to $350,000
  • Maximum Investors: 5
  • Minimum Investment: $50,000
  • Investor Class: Preferred Equity
  • Participation: All investors participate pari passu (equal footing)

How You Get Paid

(Most Important)

Preferred Return

10%

per year

Simple (non-compounding)

Payment Timing

  • • No distributions during construction
  • • No distributions until project is built, occupied, and stabilized
  • • Preferred return accrues during this period

Exit & Payout

Target: ~36 months

At refinance:

  • 1. Senior debt is paid
  • 2. 100% of investor capital returned
  • 3. All accrued preferred return paid
  • 4. Remaining proceeds to sponsors

After Refinance

Investors are fully exited. No long-term equity risk unless reinvestment is mutually agreed.

Why This Deal Is Structured to Protect Investors

  • Fixed-cost prefab cabin kits (pricing confirmed with manufacturer)
  • Owner-occupied property (sponsors live on-site)
  • Conservative underwriting (no aggressive occupancy assumptions)
  • Single, clearly defined exit (refinance — not sale)
  • Sponsors do not take distributions until investors are paid

Project Numbers (Conservative)

Total Project Cost~$795,000
Stabilized Annual NOI$129,052
Yield on Cost
16.2%🟢 Very Strong

Estimated Refinance Valuation

Conservative Base Case (haircut to income-based value)

$1,600,000

70% LTV = $1,120,000 loan proceeds

Income-implied value: $1.84M – $1.98M (6.5–7% cap)

Key Risks & Mitigation

Construction Timing

→ Mitigated through prefab construction and phased execution

Short-Term Rental Performance

→ Conservative occupancy assumptions and multiple rental units

Refinance Market Conditions

→ Strong DSCR, income-based valuation, and a 36-month refinance window

Sponsor Alignment

  • Sponsors are living on the property
  • Sponsors do not receive cash flow before investors
  • Sponsors' upside is long-term ownership, not upfront fees
  • Investor capital is returned before sponsor wealth creation

Preferred Equity Class Breakdown

Preferred Equity Class

  • Maximum Investors5
  • Minimum Investment$50,000
  • Maximum Total Raise$350,000

Each investor receives:

  • • Pro-rata share of the 10% preferred return
  • • Pro-rata return of capital at refinance

Example Capital Allocation

(Illustrative)

  • Investor A$100,000
  • Investor B$75,000
  • Investor C$75,000
  • Investor D$50,000
  • Investor E$50,000
  • Total Preferred Equity$350,000

All investors are treated equally, dollar-for-dollar.

Next Step

If this structure aligns with your investment goals, you may request the full Investment Package, including:

  • Draft Private Placement Memorandum (PPM)
  • Draft Operating Agreement
  • Capital Stack & Financial Pro Forma
Complete Investor Questionnaire

Complete the questionnaire to verify eligibility and access the full Investment Package.