Short Answer
We are expecting that in the beginning the returns will fluctuate, and as we build out our unit count the returns are expected to stabilize. There will likely be a seasonal fluctuation as we are expecting our summers to have higher occupancies than our winters. Below is a matrix with varying rental rates and occupancies.
Medium Length Answer
Most funds have a time frame that it takes them to become “stabilized”. In the early stages often there are expenses that are incurred that are one time expenses. For example the cost of setting up the Fund structure, an expense that occurs whether the fund ultimately raises 1M or 10M. The team also needs some time in order to put the funds to work, our first tranche is earmarked for the Wyoming 1200 acre Ranch and we anticipate that the return will be low for the first few months and increase over time. Once we identify our next location and raise the funds the return will likely drop some until that project is developed and is renting. Once we have a large enough number of units that are fully developed the return will not be affected as much by the next expansion.