Why This Investment
This opportunity is designed for accredited investors seeking predictable yield, defined exit timing, and priority economics—without reliance on refinancing or long-term market assumptions.
Key attributes:
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Fixed 14% return provides certainty in an uncertain market
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Late-stage construction significantly reduces execution risk
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Defined sale exit avoids refinance dependency
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Priority position ahead of sponsor equity
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Institutional-style structure is commonly used to bridge construction gaps
Priority capital raise for accredited investors — limited allocation remaining.
INVESTMENT HIGHLIGHTS
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Structure: Fixed-Return Preferred Equity
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Return: 14% annual (accrued, non-compounding)
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Investment Size: $1,500,000 total
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Minimum Investment: $100,000
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Term: Up to 24 months
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Payment: At sale (expected 2026–2027)
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Capital Priority: Senior to sponsor/common equity
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Use of Funds: Construction overages & project-level expenses
Why We’re Raising This Capital
The project is fully financed with a $5.83MM senior construction loan and is currently under construction.
This $1.5MM preferred equity raise is intended to:
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Cover construction cost overruns
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Provide contingency and working capital
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Support project-level company expenses through completion and sale
The capital is structured as preferred equity to protect investors while preserving operational flexibility through final delivery and disposition.
Preferred equity investors are paid in full (principal + accrued return) before any sponsor profit.
Project Overview
Asset Type: Multifamily
Units: 38
Location: San Diego, CA
Status: Under active construction
Expected Completion: March 2026
Stabilized Appraised Value: $9.4MM
Business Plan: Complete construction → stabilize → sell
Target Sale Window: Late 2026 or 2027
Construction progress
Video updates
Renderings
About Klimenko Team
Klimenko is a San Diego–based real estate development firm focused on delivering attainable, modern multifamily housing. The team is actively executing multiple projects in the region, including developments currently under construction, with a focus on disciplined underwriting, execution, and capital stewardship.
Capital Position
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Senior Construction Loan: $5.83MM
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Preferred Equity (this offering): $1.5MM
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Sponsor Equity: Subordinate
Preferred equity investors are paid 100% of principal plus accrued return before any sponsor profit
Return Profile (Illustrative)
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Example on a $100,000 investment held for 24 months:
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Annual return: 14%
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Total accrued return: $28,000
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Total payout at sale: $128,000
Returns accrue and are paid at sale. There are no current distributions.
Key Risks & Mitigations
Risks
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Construction completion risk
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Market risk at disposition
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Illiquidity until sale
Mitigations
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Project is already under construction
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Conservative capital structure relative to stabilized value
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Fixed-return structure with priority in the capital stack
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Defined sale exit, not reliant on long-term hold assumption
Underwriting
Legal & Compliance Notice
This offering is being made in reliance on SEC Rule 506(c) of Regulation D and is open only to verified accredited investors. Prior to any investment, each investor must complete an accreditation verification process, which may include documentation of income or net worth, or written confirmation from a licensed attorney, CPA, or registered broker-dealer.
Investors will be required to complete an accredited investor verification process. This may include investor representations, documentation, or third-party verification in accordance with Rule 506(c)
Disclaimer: This is not an offer to sell or a solicitation of an offer to buy any securities. Offers will only be made through official offering documents, including a Private Placement Memorandum (PPM) and Subscription Agreement.
Investments in real estate involve significant risk, including the risk of loss of principal. Past performance is not indicative of future results. Any forward-looking statements are speculative and not guarantees of performance.
Risk Disclousure:
Investments in real estate development involve significant risks, including the potential loss of principal. Any projections or returns presented are forward-looking and not guarantees of future performance.