Investment Structure

Each entitlement project will use a Single Entity Limited Liability Company (SELLC). TrendAmerica LLC will be the Managing Member of the SELLC. Stakeholders will be Members of the SELLC with proportionate voting and approval rights and authority based on the percentage that their investment represents of the total funds raised for a project.

Minimum Investment

Per project investment threshold

$20,000

Annualized Preferred Return

Target return for stakeholders

20%

Expense Approval Threshold

Requires 50% stakeholder approval

$10,000+

Managing Member Fee

Paid monthly over project duration

20% of Total Funding

Stakeholder Rights & Protections

Voting Rights: Proportionate voting and approval rights based on investment percentage
Expense Approval: Payment of project costs and expenses over $10,000 per line item requires 50% of total Stakeholder written approval
Bank Account Access: Stakeholder funds deposited into bank account in the name of the SELLC
Audit Rights: Stakeholders have the right to audit the bank account at any time
Limited Liability Protection: Full LLC protections for all stakeholder investments

Project Funding Requirements

Entitlement funding requirements are typically 10-20% of the land purchase price. Below are examples of funding requirements to entitle land to Tentative Subdivision or Plan Development Map Approval:

Land Purchase Price	Entitlement Funding Required
$1,000,000	$150,000 - $200,000
$3,000,000	$250,000 - $300,000
$5,000,000	$350,000 - $400,000
$7,000,000	$450,000 - $500,000
$10,000,000	$550,000 - $600,000

Managing Member Compensation

The Managing Member (TrendAmerica) shall be paid 20% of Total Entitlement Funding Required, paid monthly over the project duration:

Total Funding of $150,000 to $400,000: Paid over 12 months
Total Funding of $401,000 and above: Paid over 18 months

Important Note on Map Validity

In California, a Tentative Subdivision or Planned Development Map once approved by a City or County does not expire for 2 years thereafter, and can be extended an additional 3 years if needed, for a total of 5 years.

The Homebuilder will be solely responsible for taking the approved Tentative Subdivision or Planned Development Map to a Final Map, which is a civil engineering process requiring City or County Planning Department Staff plan approval and typically takes 6-9 months.

The conditions and terms in the Purchase/Option and Sale Agreement we execute with the Homebuilder will typically require closing 30-60 days after execution of the Agreement.

Double Escrow Close

We use a Double Escrow Close structure where we use the new Homebuilder's purchase money — not Stakeholder Funds — to pay the underlying land owner when we roll-over the deal.

This approach provides two key benefits:

Less Up-Front Capital Investment required from stakeholders
Full Control over the property during the entitlement process, marketing, negotiating, and re-sale to new homebuilders

Ready to Learn More?

Contact TrendAmerica

Stakeholder Investment Structure

20% Annualized Preferred Return