Invest alongside three West Point graduates in income-producing workforce multifamily. You get regular distributions, depreciation that can shelter your income from taxes, and deals underwritten to survive the worst case before we ever close.
Owning real estate comes with depreciation, a deduction for the building's wear and tear, even while the property earns income. We order a cost segregation study on every acquisition to front-load that depreciation. Your share appears on your K-1 and can offset your distributions.
We buy properties that already produce income. We don't buy empty buildings or speculative ground-up bets. Rent from hundreds of households is spread across many leases, and it's paid out to investors as regular cash distributions.
We buy below replacement cost, cap our leverage, rebuild every seller's numbers from source documents and stress-test every deal against three scenarios. Workforce housing is essential and stays in demand through recessions.
With a stock dividend or bond interest, you get a 1099 and you pay tax on every dollar. In real estate, depreciation can offset the cash you receive, so a large share of your distributions may be tax-deferred.
Depending on your tax profile, you may be able to use excess passive losses against other passive income now, or carry them forward. Real estate professionals may be able to do even more. We'll walk you through it on the call, and your CPA can confirm what applies to you.
For illustration only. These are not projections for any KMS offering. Actual distributions, depreciation and tax treatment vary by property, structure and your individual situation, and depreciation may be recaptured on sale. KMS Capital does not provide tax advice, so consult your tax advisor.
You invest as a limited partner. We serve as the general partner and do the work: sourcing, financing, operating and reporting. Your liability is limited to the amount you invest.
Full terms are in the Private Placement Memorandum, which we share after our call and once your accreditation is verified.
| Asset focus | Workforce multifamily, 50–120 units |
|---|---|
| Target raise | $3,000,000 |
| Minimum investment | $100,000 |
| Preferred return | 8% annual |
| Target cash-on-cash | 7–9% |
| Target net IRR | 15–18% |
| Distributions | Monthly, from operating cash flow |
| Hold period | 5–7 years (target) |
| Reporting | Quarterly updates · Annual K-1 |
| Eligibility | Verified accredited investors · Reg D Rule 506(c) |
Targets are projections, not guarantees. Investing involves risk, including loss of principal.
A 15-minute conversation with Gervon about your goals, your tax situation and our current offering. No pressure.
We send the investment summary, the PPM and our underwriting. Ask us anything, and bring your CPA or advisor.
Confirm your accredited status through a quick third-party verification, sign the subscription documents electronically and fund by wire.
You receive monthly distributions, quarterly updates and your K-1 each tax season. We handle everything else.
We met as football teammates at West Point and served together as U.S. Army officers. Every deal has to clear all three of us before your capital goes in.
Licensed managing broker. 450+ homes sold, $250M+ closed since 2020, and 25+ fix-and-flips plus 2 ground-up builds taken to exit.
Builds and stress-tests every model. Chairman & CFO of CP Industries, where he led a turnaround that lifted gross margin from 8.8% to 19.8%.
Drives each property through stabilization and oversees operations, capital projects and reporting. A former Army engineer officer who managed multimillion-dollar budgets.
Our offerings are made under Rule 506(c) of Regulation D and are open only to verified accredited investors. That generally means $200,000+ in annual income ($300,000 with a spouse or partner) in each of the past two years, or $1 million+ in net worth excluding your primary residence. Certain entities, trusts and holders of Series 7, 65 or 82 licenses also qualify. Not sure? Book the call and we'll help you figure it out.
The minimum for our current offering is $100,000. You can invest personally, jointly, or through an entity, trust or self-directed IRA.
As a limited partner you receive your share of the property's depreciation on a Schedule K-1. Because we order a cost segregation study on every acquisition, a significant amount of depreciation can land in the early years, and it can offset the cash distributions you receive. Any excess passive losses may offset other passive income or carry forward. Tax outcomes depend on your situation, and depreciation may be recaptured on sale. Please review this with your CPA.
We target monthly cash distributions from property operations, paid by direct deposit. When a property is sold or refinanced, you receive your share of the proceeds according to the waterfall in the offering documents. Distributions are not guaranteed.
We buy below replacement cost and only buy properties that already produce income. We keep leverage conservative, verify every number from source documents (rent rolls, bank statements, leases) and stress-test each deal against downside, base and upside cases before closing. Three partners review every deal, and any one of them can stop it.
This is an illiquid, long-term investment. The target hold is 5–7 years, and you should invest only capital you won't need during that time. The offering documents describe the limited circumstances in which interests can be transferred.
Quarterly updates with property performance and financials, your distributions, an annual K-1 for your tax return, and direct access to the founders whenever you have a question.
All real estate investments carry risk. These include changes in interest rates, occupancy and operating costs, market conditions, and the possible loss of some or all of your investment. Past performance does not guarantee future results. A full discussion of risk factors is in the Private Placement Memorandum.
Tell us a little about yourself. Gervon will personally call you within one business day to set up a 15-minute conversation at a time that works for you.
| On the call | Your goals, our current offering and how the tax benefits work |
|---|---|
| Time | About 15 minutes, by phone or video |
| Commitment | None. This is a conversation, not a sales pitch |
| Prefer to reach out? | (206) 601-4775 gervon@kms.capital |
Takes about 60 seconds. Your information stays confidential and is never sold or shared.
Important information. This page is for informational purposes only and is not an offer to sell, or a solicitation of an offer to buy, any security. Any offer will be made only through a confidential Private Placement Memorandum, operating agreement and subscription documents, and only to persons whose accredited investor status has been verified under Rule 506(c) of Regulation D under the Securities Act of 1933. These securities have not been registered with the SEC or any state securities regulator.
Investing in private real estate is speculative, illiquid and involves a high degree of risk, including the possible loss of your entire investment. Target returns, distributions and hold periods are projections based on assumptions that may not be realized and are not guarantees. Past performance of the principals is not indicative of future results. The tax illustration above is hypothetical. Tax benefits depend on each investor's individual circumstances and current tax law, which may change. KMS Capital does not provide tax, legal or investment advice, so consult your own advisors. Full disclosures.