Question 1

What is BPG Holdings and how does it work?

Accepted Answer

BPG Holdings is a real estate investment firm founded by Cassidy Burns. We take an education-based approach for our investors. Not only do we strive to achieve superior risk-adjusted returns through the acquisition of commercial and multifamily real estate, but we also focus on educating our investors throughout the process. Currently, we have two offerings for investors to participate in: BPG Commercial Opportunity Fund, a $10 million commercial real estate fund and BPG Holdings Fund 1, a $25 million multifamily fund. Both funds are 506(c) Regulation D capital raises and offered to accredited investors only.

Question 2

What am I investing in?

Accepted Answer

BPG Holdings allows investors to invest in a diversified portfolio of growth-focused assets in the commercial real estate and multifamily sectors. Owning a small percentage of multiple buildings enables us to mitigate investors' risks across multiple assets rather than just one.

Question 3

What is a blind investment fund?

Accepted Answer

A blind investment fund is a type of private equity or venture capital fund in which investors commit capital without knowing in advance exactly what assets or companies the fund will invest in. Instead, they rely on the expertise and track record of the fund manager or general partner (GP) to make prudent investment decisions on their behalf.

Question 4

What are the tax benefits of investing with BPG Holdings?

Accepted Answer

Investing with BPG Holdings provides substantial tax benefits, particularly for high-net-worth individuals and those qualifying for Real Estate Professional Status (REPS). One of the most powerful tools we employ is the cost segregation study, which we initiate immediately after acquiring each asset. This engineered analysis allows us to accelerate depreciation by identifying and reclassifying building components—such as fixtures, flooring, and mechanical systems—into shorter depreciable lives (5, 7, or 15 years instead of 27.5 or 39), resulting in significant first-year bonus depreciation deductions.

For investors with REPS designation, these losses can be used to actively offset other income, including W-2 or business income, reducing their overall tax burden. High-net-worth individuals, especially those with substantial passive income, can also benefit from the pass-through depreciation losses, which help shelter real estate gains and reduce taxable income. These advanced tax strategies, combined with our vertically integrated execution, enhance after-tax returns and provide a meaningful edge over traditional investment vehicles

Question 5

What can I use to invest into a fund?

Accepted Answer

Investors can invest in a fund using multiple sources of capital. Some options to consider include:
 • Cash
 • Home Equity Line of Credit (HELOC)
 • Line of Credit (LOC)
 • Self-Directed Investment Accounts (401k, IRA)
 • Other investment vehicles

Question 6

How long until I get my money back?

Accepted Answer

BPG Holdings is a mid- to long-term investment firm. To generate the best returns for our investors, each fund will have a 5- to 10-year trajectory, with recurring dividends being distributed to achieve their preferred return. BPG Holdings currently pays out investor distributions on a quarterly basis.

Question 7

Why invest with BPG Holdings over purchasing your own investment property?

Accepted Answer

Investing with BPG Holdings offers distinct advantages over purchasing and managing an individual investment property on your own. Through our pooled investment model, investors gain access to institutional-grade assets and off-market opportunities that are often unavailable to individual buyers due to capital, relationship, or operational constraints. Our economies of scale—from bulk purchasing power for renovations to centralized property management and marketing—allow us to operate more efficiently and profitably than a single investor typically can. Additionally, by leveraging our vertically integrated platform, investors enjoy professionally managed, diversified real estate exposure without the stress, risk, or time commitment of active ownership.

Question 8

What competencies and resources sets BPG Holdings apart?

Accepted Answer

Vertical integration. Boots on the ground. Our tech stack. BPG Holdings sets itself apart through a vertically integrated model that includes in-house construction and property management, enabling tighter control over cost, quality, and timelines. Our construction team ensures every renovation and capital project aligns with our investment strategy, accelerating value creation and reducing reliance on third parties. BPG Property Management, our in-house operations arm, prioritizes tenant satisfaction and NOI growth, maintaining a direct line of accountability and real-time communication with our asset managers. This alignment across the entire value chain allows us to execute with precision, respond quickly to market dynamics, and consistently deliver strong, long-term returns for our investors. Not to mention, we have boots on the ground in every area we invest in. Additionally, our tech stack includes, Co-star. AppFolio, Asana, Dropbox, HubSpot, CRM, SkySlips, all of which are built and integrated into our business model.

Question 9

How will investor reporting work?

Accepted Answer

Investors will have access to their investor portal through InvestNext, where they can review their investment details and relevant documents at any time. We also send quarterly updates to investors for each project in which they have invested.

Question 10

How do I get started?

Accepted Answer

Throughout the website, you will find a "Start Investing" button. Click it to register for our investor portal, where you can access all current documents and resources, and start learning how BPG Holdings can help you achieve your investing goals.

Question 11

Preferred Return: What is a preferred return? When does the clock start on my annual preferred return? What happens if we don’t hit the 8% preferred return in one year, a few years, or at all during the project?

Accepted Answer

Preferred return is the return that you are entitled to before us, as the GP, make any money. So, our fund for BPG commercial opportunity fund is an 8% preff, 8% preferred return. So that means we'll use the example of you invest $100,000 with BPG. Year one, we're into - entitled to $8,000 of preferred return for your investment. If we are not able to return to preferred return, whether we're using that money to go back into the property for improvements, whether it's a development play and we're just not collecting rents just yet, whether we're in the stabilization phase, those returns will be passed on to the next year. So- So, If you're 1, 2025, you make an investment of $100,000, January 1, 2025, you're entitled to your entire $8,000 preferred return. That preferred return does not start accruing until your money hits our operating bank account. It's not when you sign your PPM documents, it's after the money hits the bank account. Now if it- It hits the bank account January 1, 2025. And we only issue you $4,000 of distribution throughout the entirety of the year for 2025. That $4,000 will be carried over to 2026. So now in 2026, we need to pay your $8,000 preferred return plus the $4,000 that was left over. So you would be entitled of $12,000. R L S S S L P distributions changed during a refinance or a sale event, also known as a disposition.

Question 12

Are LP Distributions changed during a refinance or sale event?

Accepted Answer

L P distributions are distributed to you one by preft, right? We're hitting our eight percent preft, two by pro rata. So based on the amount of units that you own of that particular share and three of return of capital. So typically, we do a large refinance sale. Disp- is position. This is called a capital event. This is when we're going to be distributing your preft, your pro rata returns to hit your target IRRs and then also returning capital. So that's going to be taxed differently than the, than the interest that you're going to be accruing from a pro rata and for a preferred return. And our goal is to get you your money, your initial money back. So then hopefully you give it. Back to us so you can continue to compound your investment.

Question 13

What is my liability investing as an LP?

Accepted Answer

What is my liability when investing as a limited partner? Your liability is your initial investment. That's the benefit of being a LP. You do not have to sign on debt. You do not have to personally guarantee any loans. The only thing that is at risk is your initial investment. Even if the fund were to go. Bankrupt, they would not come after you as the limited partner. Your initial investment is the only thing that they can come after. They would be coming after us as the sponsor in the GP. So you don't have that legal risk. You just have capital risk.

Question 14

What sort of “skin in the game” does the Sponsor have?

Accepted Answer

Number four what sort of skin in the game does the sponsor have skin in game meaning money we are actively BP G is actively in myself investing alongside of you to as an as a limited partner as well. So our money is in the same position and generating the same returns as your money. We want to make sure that we have some sort of skin in the game to be aligning our goals with your goals.Which in the end is generating the highest possible- term because that's when everybody starts to make money.

Question 15

Is the sponsor personally guaranteeing my investment?

Accepted Answer

The answer to that is no, we are not personally guaranteeing your $100,000 initial investment. But we are personally guaranteeing most of the assets that we are buying. What does that mean? When we go to a bank, in most cases there are recourse loans. Which means they're going to want the sponsor- answer. To be personally guaranteeing and putting up their assets. So we'll be bringing our balance sheet to show proof that hey, if this fund does not, uh, perform the way your property does not perform the way it can, the sponsor can cover those assets. So no, we're not personally guaranteeing your investment. But in most cases we are personally guaranteeing the asset to purchase that investment.

Question 16

What is a high level overview of the process to invest my capital?

Accepted Answer

We have a lot of emails that will send you throughout the process to show you exactly how to do this. High level overview is you need to register for our investor portal through InvestNext. That's where you'll access all your PPM, private placement, memorandum documents. You'll be able to see the properties that, that, that the fund currently owns. You'll be able to see some of the financials that the properties have- And are actively performing on. And you'll be able to see the accredited, accredited, invested investor questionnaire. Sorry. So, once you've reviewed all those documents, you will sign everything through our InvestNext portal. You'll initiate- Okay, I'm gonna invest $100,000. You'll fill out- That's $100,000 units. You'll fill out everything, whether you're gonna invest as a regular individual. in your personal name. Or if you're gonna invest through your holding company or an LLC. Both are possible. Umm, you'll fill out that paperwork. Execute everything. I think you have to sign 37 times. Umm, an initial 37 times, uh, throughout that document. Once you have signed and executed that document, it'll be sent to us. We will execute it. And once that's executed, it'll send you instructions- to start funding your investment. And remember, your money does not start accruing interest or prefer return until the day that it hits our bank account. And that is- that is tracked in our portal. So, once you sign that document, it'll send you wiring instructions. Or ACH. Our portal will do both. ACH does take three to seven business days. Wiring is typically the- same day. So, if you're looking to get that accruing, starting immediately, do the wire, if not, execute it through the fund. Access you to- through the portal. And do ACH. Once that's done, you are officially vested into that fund. And then now you'll be getting updates. And start a new email sequence of a few additional questions that we need to- that we need to ask. Are you going to reinvest your dividends? Or do you want cash? Distributions. How do you want to handle the, uhm, the taxes? Where should we send your K1s at the end of the year?

Question 17

What is the minimum investment?

Accepted Answer

The BPG Commercial Opportunity Fund is a $25,000 minimum investment. This will be the cheapest entry point for any of the funds that we do moving forward. forward. Everything else is going to be $50,000 to $100,000. So if you are looking to start and get your feet wet, this is the right time to do it.

Question 18

Will I gain education on how to invest in these assets by investing alongside BPG?

Accepted Answer

Yes, we are very education-first. We have tons of videos online. We also host a monthly investor meetup. We highly recommend that all of our- I if I've ever have investors come to that. We record it and put it on YouTube. And then also, you're going to get access to the quarterly reports and major milestones that we produce every single quarter. When we buy a building, we're going to send you a video synopsis of why we bought that building, how we bought that building, and also it'll be in your invest next portal. And then quarterly, you're going to get their quarterly reports. It shows every dollar that- that's come in, every dollar that's gone out, and we try to give you an synopsis of why we are spending our money on those particular, uh, improvements, or TI, or TI, or why we decided to negotiate with this tenant over that tenant.

Question 19

What are the pros and cons of investing passively alongside BPG versus investing in a similar deal by yourself?

Accepted Answer

Well, the biggest one is, is access to the deal. We have the broker relationships. We have a full team that is underwriting- deals on a monthly basis, and we're submitting LOIs on a monthly basis. So, one, if you don't have the system or organization built out, it's very hard to find the proper deal structure and the proper deal for you to actually execute on. Umm, number two, capital requirements. You are now- have access to other pools of money through other investors that have invested alongside of us. Obviously, too, time-saving is going to be very passive for you. We are doing all the work. And, we have the expertise.

Question 20

How does a waterfall structure work?

Accepted Answer

When you invest into a fund, there is a waterfall structure. We talked about 8% preferred return. First, 8% preferred return. The limited partners make 8% on their money before- where the GP makes a single dollar. Anything above 8% preff. So, if we are to generate a 15% preferred return on the investment, the first 8% is going to 100% to the limited partners, 0% to the general partner. So that means that every dollar that is generated from a return perspective, 65% is going to go to the limited partners, 35% is going to go to us. If and when we exceed 20%, so we hit 20% preferred return, 50-50. So, if we- hit 22% preferred return, which is our target, and we are buying buildings that are actively going to hit that prep, hit that- hit that IRR target. Twenty-two percent. From 20.1 up to 22, it'll be 50-50. So every dollar that is generated from there will be split 50% to the limited partners, based on your perrata shares, 50% to the general partner.

Question 21

Accredited Investors: $1M net worth joint or each individual?

Accepted Answer

Accrediting investors. so look at nextper. pod. A million dollars net worth, joint or individual. This is very, very important, if you were married. Your net worth is a combination of you and your partner. So if one of you has $650,000 net worth, and the other has $400,000 net worth, you both, if you weren't married, you do not qualify to be an accredited investor. But you are jointly- Pointly. An accredited investor. So because you can take that $650, valuation plus that $400, your net worth total for you as a couple is $1,050,000. You are accredited investors. Which means you can invest into all of BPGs offerings. Hope that was helpful. If you have more questions, please reach out to myself or the team.

FREQUENTLY ASKED QUESTIONS