Quarterly Liquidity

The Opportunity Zone REIT is open‐ended vehicle that allows its stockholders to exit on a quarterly basis, at Net Asset Valuation (“NAV”). The NAV is determined quarterly by its independent board members using third‐party reports. Belpointe does not impose exit penalties, where other real estate vehicles typically charge penalties up to 12% for its investors who exit before maturity.

Reduced Management Fee

The Opportunity Zone REIT’s management fee is 0.75% of its NAV, allowing advisors to charge their advisory fees, thus, the aggregate fees are <2%. Typically other real estate vehicles charge for themselves a management fee of 2%, thus, the aggregate fees are 3% or greater.

Minimal Carried Interest

The Opportunity Zone REIT’s carried interest is only 5%, where other real estate vehicles typically charge their investors a carried interest fee of 20% or more.

No Acquisition/Disposition Fees

The Opportunity Zone REIT charges NO acquisition or disposition fees. Many other real estate vehicles typically charge their investors acquisition and/or disposition fees.

Public Company Transparency

The Opportunity Zone REIT was formed as a Public Non‐Traded REIT to provide its shareholders with institutional reporting and oversight without the volatility of the stock market, where as private vehicles (private REITs and partnerships) have limited transparency for its investors.

Greater Asset Diversification

The Opportunity Zone REIT will invest in multiple real estate investment assets across the country, where partnership private equity funds are limited in the quantity of real estate investments they can make due to opportunity zone requirements. Therefore, private equity fund investors are exposed to a higher level of real estate portfolio risk as compared to The Opportunity Zone REIT shareholders who have less risk due to their larger diversified real estate investment portfolio.

Public Market Accessibility

Belpointe plans to list its shares on a national stock exchange (i.e. NYSE) within 8 to 10 years of its initial offering, which allows for the following shareholder benefits:

  • Faster Liquidity: Listing on an exchange will provide the Opportunity Zone REIT shareholders with the ultimate exit liquidity 5 years sooner than typically private real estate fund investors because private structures generally do not have access to the public markets. Therefore, under opportunity zone regulations, private equity fund investors will on average have to hold their investments for 15 years, which is 5 years longer than the Opportunity Zone REIT shareholders’ holding period.
  • Shareholder Controlled Exits: Listing on an exchange allows the Opportunity Zone REIT shareholders to control their ultimate exit (sale timing and amount) of their investments. Whereas, investors who invested through private investment vehicles generally do not have access to the public markets, therefore, they must rely on their fund managers to decide when their investments should be sold and when their capital should be distributed.

Development Expertise

Belpointe’s unique real estate team of former AvalonBay developers and construction managers bring an unmatched real estate development team with experience that other real estate funds don’t have internally, which is crucial in operating opportunity zone vehicles.

Investment Platforms (using local knowledge with Belpointe’s expertise and systems)

  • Franchise Platform: regional affiliated Belpointe development companies in specific regions throughout the US that are managed by local Belpointe development partners.
  • Programmatic Platform: joint ventures with established regional developers that have an exclusive co‐sponsor partnership with Belpointe and its affiliates on multiple investments.
  • Traditional Joint Venture and Co‐Sponsor Platforms: joint venture investments with a Belpointe affiliate and/or local developers on an non‐exclusive deal‐by‐deal basis.