Frequently Asked Questions

Typical investment accounts include individual accounts, joint accounts, tenancy in common, entity accounts (such as trusts, limited liability companies, limited partnerships, C corporations, and S corporations), and individual retirement accounts (with more information on IRAs and 401(k)s below).

Yes, you can invest through your IRA. If you already have a self-directed IRA, please verify with your custodian that they will permit investments with Meröt Capital Partners. 

If you have not yet converted your traditional IRA to a self-directed IRA, you will need to contact a custodian to facilitate this process. We can refer you to our trusted custodian if needed.

As a partner in the LLC that acquires the properties, you will receive a K-1 form. This tax document, used by partnerships, details each investor's share of the partnership’s taxable income. 

Partnerships themselves do not pay federal or state income taxes; instead, they issue K-1s to report each investor’s portion of the income, gains, losses, deductions, and credits. K-1 forms are distributed annually, allowing investors to accurately report these amounts on their personal tax returns.

An accredited investor, as defined for individuals, includes those who:

• Have earned income exceeding $200,000 annually (or $300,000 with a spouse) for each of the past two years, and reasonably expect the same for the current year, OR
• Have a net worth over $1 million, either individually or combined with a spouse (excluding the value of their primary residence).

Additionally, entities such as banks, partnerships, corporations, nonprofits, and trusts can also qualify as accredited investors.

 For entities, the following criteria may apply:

• Any trust with assets exceeding $5 million, not established specifically to purchase the securities, and directed by a sophisticated person.
• Any entity where all equity owners are accredited investors.
• A sophisticated person is someone who possesses, or whose company or private fund reasonably believes possesses, sufficient financial and business knowledge and experience to assess the investment's merits and risks.

A Sophisticated Investor does not meet the criteria for an Accredited Investor but possesses substantial investor experience. 

This typically means the individual believes they have the expertise and understanding in financial and business matters necessary to assess the potential risks and benefits of an investment.

No, we currently have investment opportunities available for both accredited and sophisticated investors. 

Please register to access and view our current offerings.

Investor funds are allocated towards the full acquisition cost of the property. This encompasses, but is not limited to, the down payment for the property purchase, acquisition fees, legal and transaction expenses, capital improvements, and reserves.

Certainly! Investors are welcome to visit the property both before investing and throughout the duration of the project. 

If you let us know in advance, we can arrange for someone to provide a tour and answer any questions you may have.