Passive investing in apartment communities allows investors to be hands off while still receiving the income and value add potential that comes from ownership of income producing commercial property. New Mission Capital distributes cash flow on a quarterly basis while returning larger, value add, distributions upon the refinance or sale of property. This provides a consistent, steady income with occasional large distributions over time.
Each property is purchased into a single asset entity that the investor is a shareholder in. Investors benefit from pass-through depreciation which helps offset income realized from the property. New Mission Capital routinely uses cost segregations as a tool to further accelerate depreciation and provide additional tax advantages for our investors. Additionally, upon the sale of a property our investors will have the option to benefit from a 1031 Exchange, further reducing or eliminating income tax liabilities.
Mortgage payments that reduce the principal amount of our loan can build a significant amount of equity for investors over a period of time.