Nimbus Capital was created to provide qualified investors with access to top-tier commercial real estate opportunities.
If your question is not in the list below then feel free to reach out to us at firstname.lastname@example.org and we’ll get back to you with an answer as soon as we can.
Who is this opportunity for?
At Nimbus Capital, we cater to passive investors of all shapes and sizes. From high performing real estate agents, brokers, and lenders to accountants, to professional athletes, to entrepreneurs – our private fund opportunities are for qualified investors everywhere.
Bottom line: If you’re looking for Multifamily or commercial real estate exposure and interested in creating true long term wealth for yourself and your family, then a Nimbus Capital fund could be right for you.
Verify your eligibility and book a call with one of our managing partners to discuss your financial goals and we’ll work together to see if a Nimbus Capital fund opportunity is right for you.
What is a Special Purpose Vehicle?
A special purpose vehicle, or multi-manager investment, is a pooled investment fund that invests in qualified private placements, or in our case, vetted multifamily commercial real estate projects. Our fund strategy aims to achieve broad diversification and asset allocation across large swath of real estate all wrapped up into one consolidated portfolio.
What is Nimbus Capital’s legal construct?
Nimbus Capital is a legally constructed real estate fund comprised of:
- A Limited Partnership formed in Delaware (‘the fund’): Stratus Fund I LP – encompassing the investors and the General Partner: Nimbus Capital Fund Management LLC (Founder-CEO Kevin R. Brenner). The LP is the company to which the investors wire money for subscriptions (investments) and receive their redemptions (withdrawals) from.
- A Management LLC formed in Delaware: Nimbus Capital Management 1 LLC – the company that receives the performance fee from Stratus Fund 1 LP quarterly profits.
Why should I invest passively when I can just buy property myself?
Multifamily real estate is a niche asset class that carries with it many challenges. Our top-tier operators and asset managers bring unmatched value to any opportunity.
Simply put, when you invest in a Nimbus Capital fund you can rest assured knowing that we are reinvesting your capital into projects that are underwritten to perform. Our handpicked partners have the capability to deliver the optimized systems, processes, relationships, and know-how to convert once stagnant multifamily properties into thriving cash-flowing communities!
What are the advantages of fund investing?
Ultimate Diversification: Your capital isn’t tied up in just one real estate project. Instead we spread your capital across different projects to protect your investment, reduce your risk, and maximize your returns.
Access to High Performing Deals and Teams: At Nimbus Capital, we believe that passive investments should remain passive. That’s why we pair your capital with experienced top tier commercial real estate asset managers, operators, and developers nationwide. We vet the team, underwrite their deals, and negotiate the most favorable equity position to ensure your passive investment stays positively passive.
Reduction of Risk & Volatility: It’s true that every investment carries inherent risk. At Nimbus Capital, we hedge our investors’ risk using the 3 D’s – Due Diligence, Diversification, and Discretion. How? Simple. We start by getting to know you, your risk tolerance, and your experience in the commercial real estate space. Then we pair your capital up with a fund that’s structured to meet your individual goals and objectives.
Alignment of Interests: By implementing a simple, fee-free investment model, we ensure our funds are best positioned to perform. In short – we only win when you win!
How is the fund aligned with its investor’s best interests?
At Nimbus Capital we’ve worked hard to customize fund options tailored to our investors’ risk profiles, investment strategies, and financial goals. While there is no one-size-fits-all solution, we are confident that one of our funds will meet your passive investment needs.
Schedule your free strategy session with one of our principles to discuss the terms of any of our open funds today!
What returns can I expect from a Nimbus Capital fund?
Specific return metrics depend on each individual fund. Please visit our Opportunities Page to learn about our current and future fund offerings.
When will my capital investment be returned?
Typically, your investment will be returned within 5-7 years. However, this depends on each opportunity the fund is invested in. When an asset goes “full cycle,” or an operating partner’s exit strategy is implemented, we will return your portion of that investment and any proceeds in full.
What are the major risks associated with the fund and what are you doing to mitigate them?
Risk is present no matter the type of investment vehicle. As fund managers, it’s our job to protect your return by mitigating as many known risks as possible.
Here’s a short list of how the Nimbus team protects our investors’ capital:
- Diversification: Unlike traditional commercial real estate syndications, a Nimbus fund offers additional investment protection by pooling capital and investing across multiple opportunities at the same time. By quite literally, “spreading the wealth,” our fund reduces risk and gains a competitive equity advantage in various emerging markets simultaneously.
- Due Diligence: We’ve handpicked our team of apartment syndicators and developers. Our team of underwriters has developed a system to underwrite not only the specific opportunities that cross our desk, but also the operators who manage the assets. We only work with syndicators and asset managers who share our core values of Unwavering Integrity, Transparency Through Excellence, and Impact.
- Discretion: Before investing with a team of operators, we first conduct background checks on key partners, no-notice onsite property visits, collect and interview professional references, including insurers, contractors, accountants, and legal counsel, and conduct a review of their business plan, property management systems, processes, and software. This discreet, yet effective, inspection provides peace of mind for all parties and helps keep our fund exclusive for only the best deals and operators in our target markets.
Verify your eligibility and schedule a call with our team and we’ll gladly share more details on how we work to provide above average returns to our investors while mitigating risk.
What are your standard fees for Stratus Fund 1?
Just like you, we HATE fees. That’s why designed Stratus Fund 1, our inaugural opportunity fund, to be 100% fee-free.
Instead of charging outrageous onboarding fees, acquisition fees, or management fees, we’ve opted to index a portion of the raise to help cover the initial startup and operations cost of the fund.
That’s it – plain and simple. A simple fee-free model designed to promote fund-investor alignment.
Why don’t I have many voting rights?
While many of our passive investors may have real estate experience already, others have none. As such, it’s important that the majority of the voting rights are left with the general partners and investment committee of each fund. This prevents one unhappy investor from derailing an entire project – especially if they disagree with the operator or business plan. At Nimbus Capital we shoulder the responsibility of underwriting each deal and each operator to ensure that our clients’ interests and expectations are being met.
What happens if I need my money back during the fund’s hold period?
All fund investments are to be considered illiquid and non-transferable, meaning that any dollars invested should NOT be needed during the duration of the fund’s designated hold period.
That being said, life happens and emergencies are unpredictable. We get it. We have legal provisions in place to accommodate your situation on a case-by-case basis. Please review your fund’s Private Placement Memorandum (PPM) and Subscription Agreement or contact us to discuss all available options.
What tax implications are associated with this type of investment?
Disclaimer: We are not licensed tax advisors or attorneys and both should be consulted in order to best understand your personal tax and/or legal exposure prior to making any financial investment.
Commercial real estate has some outstanding tax benefits, most notably, depreciation. Here’s how it works:
Let’s say you invest $100,000 into a $1,000,000 Nimbus fund. The fund then reinvests 100% of its capital into a $10,000,000 Multifamily real estate deal. For simplicity’s sake, let’s assume the fund owns 10% of the asset and you by association own 10% of the fund.
Let’s also assume that the land value is $3,000,000 and the building value is $7,000,000. The land value won’t count towards the depreciation, but the building value will be depreciated over 27.5 years. This would imply that each year, there would be a $254,545 “loss” recorded for tax purposes ($7,000,000/27.5 = $254,545). Please note that this does not include the benefits of cost segregation, which could accelerate depreciation through 5, 7, and 15 year depreciable components of the property.
As a 10% owner of the property, the Nimbus fund is entitled to $25,454 of said “loss” each year. As an investor, you will receive pass through benefits of this loss commensurate with your share ownership of the fund (minus any filing fees) – or around $2,300.
This $2,300 will be annotated in a Form K-1 and passed on to you and your tax advisor prior to filing. Note that this example covers just one deal. If the fund you invest in reinvests your capital into multiple real estate assets, then you are eligible to receive additional tax benefits that may add up to reduce your adjusted gross income, decrease your taxable income, and ultimately lower your tax bill!
Remember, it is imperative that you consult your tax and legal advisors prior to investing to understand all the benefits of investing in a Nimbus Capital fund.
Note: Many of our partners and operators undergo detailed cost segregation studies. This tool can help fund investors depreciate up to 50%-60% of their initial investment in the first year!
Verify your eligibility and schedule a call with one of our managing partners to learn how this process works in Multifamily real estate.
How do I know this isn’t just another Ponzi scheme?
The truth is that there’s a considerable amount of fraud taking place in the investment world today. From wire fraud to mail fraud to simply ripping investors off and running away to Venezuela – it’s out there and you should know about it.
That being said, Nimbus Capital is a veteran owned and operated firm that subscribes to a strict code of ethics highlighted by our company’s core values:
- Unwavering Integrity
- Transparency Through Excellence
- Make an Impact
These values are not just words, they are the foundation upon which our firm was built. From background checks on potential operating partners, to detailed due diligence checklists, to no-notice asset site visits, to aligned fund structures and regular detailed email and social media updates, you can trust that we have your best interests at heart.