CLUBHOOPS is a real estate investment company that identifies, acquires, operates, and manages properties that provide opportunities for investors to preserve capital investments and future capital appreciation of the assets. CLUBHOOPS primary focus is commercial and industrial properties that fit the criteria to operate CLUBHOOPS branded programs and services.
CLUBHOOPS is actively looking to grow and has opportunities for private investors to invest in our real estate. We deploy a long term real estate investment strategy and do not pay fees or commission to anyone for raising money. We provide member units directly to you the investors not through sales people or brokers, events or networks who are paid commissions. This results in more of investors’ money being invested in the project.
How it works?
ClubHoops sources the properties, negotiates the purchase.
Investors become partners in our real estate.
ClubHoops operates the properties, generating monthly revenue from programs and services.
You Get Paid
Once we hit our targets, we repurchase investor interests. (Similar to a stock buyback)
Are you a good fit?
You might be a great fit to invest with ClubHoops if you:
Are seeking a passive investment in real estate.
Are not looking to receive monthly, quarterly, and annual distributions.
Are not looking to be involved in the daily operation of ClubHoops.
ClubHoops is not the right opportunity for you if you:
Are looking for a “hands-on” business opportunity.
Are looking to sell real estate to ClubHoops.
Are looking to make management decisions at ClubHoops corporate offices or at ClubHoops facilities.
Frequently Asked Questions
What is a K-1?
As a partner in the LLC that purchases the properties, you will receive a K-1. A K-1 is a tax form used by partnerships to provide investors with detailed information on their share of a partnership’s taxable income. Partnerships are generally not subject to federal or state income tax, but instead issue a K-1 to each investor to report his or her share of the partnership’s income, gains, losses, deductions and credits. The K-1s are provided to investors on an annual basis so that each investor can include K-1 amounts on his or her tax return.
When will the K-1 be available to investors?
Our goal is to finalize all K-1s by March 31st, however, we do rely on outside reporting and may require additional time to furnish the forms in a way that is to the investor’s best advantage. Accordingly, you may be required to obtain one or more extensions for filing federal, state and local tax returns.
Do I have to be an accredited investor to invest?
No. Our investment opportunities are open to accredited and non-accredited investors. However, some restrictions apply to the investment limits of non-accredited investors. These details will be outlined in the offering documents.
Am I an accredited investor?
An accredited investor, in the context of a natural person, includes anyone who:
earned income that exceeded $200,000 (or $300,000 together with a spouse) in each of the prior two years, and reasonably expects the same for the current year, OR
has a net worth over $1 million, either alone or together with a spouse (excluding the value of the person’s primary residence)
On the income test, the person must satisfy the thresholds for the three years consistently either alone or with a spouse, and cannot, for example, satisfy one year based on individual income and the next two years based on joint income with a spouse. The only exception is if a person is married within this period, in which case the person may satisfy the threshold on the basis of joint income for the years during which the person was married and on the basis of individual income for the other years.
In addition, entities such as banks, partnerships, corporations, nonprofits and trusts may be accredited investors. Of the entities that would be considered accredited investors and depending on your circumstances, the following may be relevant to you:
any trust, with total assets in excess of $5 million, not formed to specifically purchase the subject securities, whose purchase is directed by a sophisticated person, or
any entity in which all of the equity owners are accredited investors.
In this context, a sophisticated person means the person must have, or the company or private fund offering the securities reasonably believes that this person has, sufficient knowledge and experience in financial and business matters to evaluate the merits and risks of the prospective investment.
Can I add funds after my initial investment?
You can only add funds to the investment if the offering is still open. If the offering has closed you will not be able to add additional funds.
How long is the term of the investment?
The term of each investment is 10 years. However, the terms of each investment is outlined in the operating agreement for each investment.
Can I invest if I live in another state?
It depends upon state the property is located in and the terms of the offering. CLUBHOOPS uses intrastate crowdfunding exemptions. These exemptions and or amendments to existing blue sky laws permit some type of intrastate crowdfunding.
No. CLUBHOOPS real estate investments by their very nature have a longer term time horizon than that of liquid stocks or bonds. Each investment will have a thoroughly detailed business plan that will outline the timeline to realize the investment and may vary from 10+ years. Please read and understand each investment offering carefully before making an investment.
When should you expect your first distribution?
CLUBHOOPS does not provide monthly, quarterly, and annual distributions to our investors. We exercise a long term hold strategy whereby CLUBHOOPS repurchases investor interests at preplanned dates. Similar to a stock buyback.
What is the difference between this and a REIT?
Investing with in CLUBHOOPS real estate is a direct investment in commercial real property. As our partner, you own a piece our commercial real estate and you will receive the tax advantages of owning real estate. A REIT doesn’t allow individual investors to own actual real property, receive tax advantages, and is sensitive to the market and interest rate fluctuations.