Private Offering • Accredited Investors Only

Institutional Section 8 housing strategy built around federally supported cash flow, fixed-rate debt, and LP-first economics

FOCS Properties is pursuing a scaled affordable housing strategy designed for investors seeking durable income, disciplined underwriting, sponsor alignment, and a structure intended to prioritize capital preservation alongside attractive risk-adjusted returns.

Minimum investment $100,000 • Private offering information available upon request

This page is intended as a concise overview of the opportunity. The strategy is centered on acquiring and operating Section 8 single-family housing with conservative leverage, long-term fixed-rate financing, disciplined reserves, and operating controls intended to support downside resilience. Formal terms, risk factors, and offering details are available through the fund materials.

Investment Thesis

Why this strategy merits consideration

The opportunity is built on a simple premise: essential housing demand, government-supported rent streams, and conservative capital structure can create a more durable return profile than many traditional real estate strategies in the current environment.

Demand supported by structural shortage

Affordable housing remains deeply undersupplied in many target markets. Long waitlists for voucher-supported housing can support occupancy and reduce dependence on traditional market leasing cycles.

Income backed by public housing authorities

A substantial portion of rent is paid through housing authorities under a federally funded framework, which can provide a different income profile than conventional market-rate rental strategies.

Capital structure designed for resilience

Fixed-rate debt, reserve policy, break-even occupancy discipline, and sponsor alignment are intended to reduce sensitivity to refinancing risk, rate volatility, and operating surprises.

Risk Controls

Capital protection and underwriting discipline

The strategy is designed with multiple operational and financial safeguards intended to support downside protection and preserve flexibility across varying market conditions.

83%

Break-Even Occupancy

1.9×

DSCR at Stabilization

$2.2M

Amortization Cushion

Maintenance Reserve

Fund Snapshot

Key terms at a glance

LP equity raise: $15M
Target portfolio: 348 Section 8 homes
Total portfolio cost: $40.1M
Senior debt: 80% LTV, 6.5% fixed
Preferred return: 8%
Target hold period: 5 to 7 years

Illustrative Return Profile

Base case summary

Metric	Illustrative Outcome
Target Net IRR	11%+
Illustrative LP MOIC	2.6×
Preferred Return	8%
Hold Period	5 to 7 years

Illustrative figures are shown for summary purposes only and are subject to the assumptions, terms, and risk factors described in the formal offering materials.

Investment Structure

Terms structured to align sponsor and investor interests

Key fund terms

Minimum investment: $100,000
Deployment period: 12 months
Investor qualification: Accredited investors only
Asset management fee: 1.5% of committed capital

LP-first waterfall

8% annual preferred return to LPs, 100% to LP until pref is satisfied
GP catch-up, then 80/20 split through 12% IRR hurdle
70/30 split through 15% IRR hurdle
60/40 split thereafter, subject to 1.25× MOIC floor for carry
All senior debt personally guaranteed by the sponsor, with LPs not bearing recourse exposure

Management Team

Operating experience, execution discipline, and sponsor accountability

The sponsor team combines institutional real estate operations, portfolio oversight, acquisitions, financing experience, and founder-level operating discipline. The objective is straightforward: prudent deployment of capital, disciplined asset management, and a structure intended to keep sponsor incentives aligned with investor outcomes.

Co-Sponsor • Operations & Asset Management

Felipe Olmeta

15+ years of institutional real estate operations experience. Former Senior Director of Operations at CP Group, overseeing more than 20 million square feet, and former Chief Operating Officer at Centennial Properties, with responsibility across a $2B portfolio and more than 4,000 units.

Focuses on operational execution, asset management discipline, and ongoing portfolio oversight.

Investor Contact: info@focsproperties.com

Co-Sponsor • Acquisitions & Financing

Claudio Sorrentino

25+ years building and scaling asset-backed operating businesses. Three-time Inc. 5000 founder with experience across growth, capital formation, underwriting, and execution in asset-intensive businesses.

Focuses on acquisitions, financing strategy, sourcing, underwriting discipline, and sponsor oversight.