INVESTMENTS

Debt is money you lend. It is repaid with interest at a rate set in an agreement. Equity is money you invest for ownership, and an owner is paid out of what the asset earns and what it is worth later.

Debt trades away the upside in exchange for a defined rate and an earlier place in line. Equity accepts a later place in line in exchange for a share of how the asset actually performs. Neither is the better trade; they are opposite trades.

Being paid first is protection, and you pay for it. A lender’s return is the number written into the agreement, so if the asset turns out to be worth more than we underwrote, none of that reaches the lender. An owner is paid after the lenders, and in exchange the owner holds the asset itself — what it produces while it is operated, and what it is worth when it is sold.

So the choice is not safe against risky. It is whether you want a position whose best case is set in advance, or one whose best case is not. Many investors hold more than one.

The position is the same — you own equity in the asset. What differs is how long the capital is committed. A mid-term hold is intended to be realized sooner; a long-term hold is held long enough for appreciation and equity growth to accumulate.

Which one an investment falls into is stated in its own offering documents, along with the intended hold and what would shorten or extend it.

Fort + Home acquires, develops, finances, owns and operates real estate across residential, hospitality and commercial property, and from time to time a specific opportunity that fits one of these positions rather than a category.

The type describes the position you hold and the horizon, not the asset class. Each investment’s documents identify the specific assets and what they are.

Distributions, on the schedule stated in that investment’s documents, and an annual tax reporting package. Ownership positions report on a Schedule K-1 reflecting your share; the reporting for a lending position is stated in that fund’s documents.

Timing depends on the investment and on when the underlying information is available. The documents for each investment govern, and they are the place those dates are set.

Accredited investor is a definition set by the SEC based on income, net worth or professional credentials. Where an offering is marketed publicly, the issuer must take reasonable steps to verify that status rather than take an investor’s word for it — so verification happens through documentation or third-party confirmation before any subscription is accepted.

In the offering documents for each specific investment — not on this page. This page describes positions. Rates, minimums, terms, fees, hold periods and the full risk factors are stated in the private placement memorandum and the related documents for the investment itself, and those documents govern.