CRE Income Fund FAQs

• CRE Income Fund is structured as an LLC and issues a K-1 to all investors at the end of each year.
• The private equity investment fund investors own shares in the LLC.
• Management is a separate LLC that has all of the liability.
• Investors have no liability beyond their investment.
• Managers have all responsibility in managing the property.

Our Fund is currently open to all accredited U.S. citizens and permanent residents over the age of 18 and currently living in the United States.

We filter for the following parameters:

• Highest CAP rates
• Highest potential for actual vs. virtual returns
• Potential for appreciation and rent appreciation
  • Population growth & inward migration
  • Employment growth
  • Cost of living
  • Political support of business and development

• Sponsor fees at close to cover our costs to filter and vet the best deals.
• Loan fees to qualify and guarantee the loan
• A percentage of the profits at the sale after the lender is paid, the investors’ original capital is paid back, and all of the preferred returns are paid.

CRE Income Fund charges a 1% management fee, on par or just below industry standard.

USD $10,000

Yes. Shares qualify for the Share Repurchase Program, as described in the Prospectus and subject to limitations discussed in the prospectus.

Yes. The Employee Retirement Income Security Act (ERISA) of 1974 passed the responsibility of retirement saving from the employer to the employee. Created in 1975, IRAs provide individuals a chance to direct where their retirement funds are invested. The IRS code, instead of distinguishing which investments are allowed, identifies which investments are not permitted under these laws. Under both ERISA and IRS Codes, there are only two types of investments excluded: life insurance contracts and collectibles such as works of art, rugs, jewelry, etc. Refer to Internal Revenue Code Section 401 (IRC § 408(a) (3)).

The unique thing with IRAs and 401(k)s are the tax advantages. Most contributions are either tax deductible as is the case of a Traditional IRA or 401(k), or the distributions are tax-free as in the case of a Roth IRA or Roth 401(k). There are no unique rules for self-direction.

You can self-direct the funds by rolling over your account into a traditional IRA or a qualified plan (if you are eligible to have a qualified plan) that permits complete self-direction. Contact your former employer’s plan administrator or benefits department to determine what, if any, special procedures may be required.

If you are still employed, check with your current plan administrator to determine if self-direction is currently allowed within your plan or if this option can be added.

Most employer-sponsored plans, like 401(k) do not let you roll your account into a new vehicle while you are still employed. Some employers, however, do allow you to roll a portion of your funds. To be certain, contact your current 401(k) provider.

If you can roll your funds into a new account, here is a list of the types of accounts that are eligible:

• Traditional IRA
• Roth IRA
• SEP IRA
• SIMPLE
• Individual(k)
• Health Savings Accounts
• Coverdell Education Savings Accounts

CRE Income Fund will provide you with monthly updates on the performance. Additionally, your Form K-1 tax information will be mailed on or around January 31 of each year.

Generally, distributions that you receive will be taxed as ordinary income. We expect that some portion of your distributions may not be subject to tax in the year received due to the fact that depreciation expenses reduce taxable income. This defers a portion of your tax until your investment is sold or liquidated, at which time under current tax laws you will be taxed at capital gains rates.