A 5% early repurchase deduction on cash that has a closing date attached

Ask them to show you the per share NAV history for T and I side by side since inception. Same properties, same rent roll, different numbers, and the gap is the servicing fee accruing month after month. I did this exercise on a different sponsor and the spread over four years was wider than I expected before I saw it written out.

Also worth asking what the I share minimum actually is through that channel, because sometimes the advisor can aggregate client money to hit it.

Dumb question from the outside: who decides the appraisals? If the sponsor picks and pays the appraisal firm, and the sponsor's fee is a percentage of NAV, doesn't everybody in that room want the number to go up?

@plumb that's the conflict every one of these discloses in the risk factors, and the answer is an independent valuation advisor plus rotating third party appraisers. Doesn't make the conflict vanish, it just puts a second set of eyes on it.

Wren, the number I'd chase is distribution coverage. Take the trailing twelve months of distributions paid in cash and divide by cash flow from operations. If it's under 100% the difference is coming from somewhere (offering proceeds, borrowings, or the sponsor waiving fees) and you want to know which. The 5.5% headline tells you almost nothing on its own.

The repurchase cap is pro rata. In a month where requests exceed it, everyone gets a partial fill and the balance is not carried forward unless the plan says so. Model your exit as partial over several quarters rather than a delayed full exit. That is the assumption the whole plan sits on. If the 55k has to be in a title company's account on a date, the caps make this the wrong container for that portion, regardless of the fee schedule.

On the comparison you're stuck on. A monthly NAV built from rotating appraisals moves slowly because its inputs update slowly. Slow is not the same as safe. Public REITs traded at steep discounts to the appraised value of their assets in 2025, which tells you the two methods disagree about the same buildings. Neither method removed the risk from the buildings.

Fees. The Class T upfront commission comes off what you invest, and the ongoing servicing fee accrues against that class's NAV per share, so two investors in identical properties earn different per-share results by class. Ask for total annual expenses as a percentage of NAV in writing, including the advisory fee and any performance participation over a hurdle.

The distribution rate is quoted on NAV, not on what you paid after the commission. Check which figure their illustration used.

Return of capital distributions generally reduce your cost basis rather than arriving tax free, and how that lands depends on your whole return, so that one goes to a CPA.

Split it. Put nothing from the 55k in, put part of the 23k in, and keep enough loose that a surprise on the rental doesn't force you to ask for a repurchase in your first twelve months. The interesting part of this vehicle only shows up over years anyway.

Ran the drag on your numbers. 3% off the top means 23k buys about 22.3k of shares. If total ongoing expenses land near 2% of NAV including the servicing fee and the advisory fee, you need the underlying portfolio doing better than 7.5% gross to see your 5.5% net plus any NAV growth. That's not impossible, it's just a hurdle nobody says out loud when they quote you the headline.

And I say this as someone who has been comparing spreadsheets for a year and buying nothing, so weigh accordingly.

The line I'd push back on is "it doesn't swing." Appraisal lag isn't stability, it's a delayed report on the same buildings. My small portfolio's value didn't stop moving in 2022 because nobody appraised it that year.

What you actually get from the wrapper is that you can't panic sell at a bad print. Some people need that. Some people find out in year three that they needed liquidity more.

What does gated mean here? Is that the board suspending repurchases entirely, or just the cap being hit?

@rigging both get called gating in conversation. Hitting the cap means partial fills. Suspension means the window closes until the board reopens it, and the prospectus will list the conditions.

Wren, the wrapper is getting all your attention and the property mix is getting none. Pull the schedule of investments and see what you'd actually own by NOI. Data centers and senior housing have had the wind behind them, office has not, and a REIT with a quarter of its income from older office buildings is a different animal from one that isn't, whether or not the shares trade.

Illiquidity is only a cost if your timeline is wrong. Mine is measured in decades so a five year lockup barely registers, but you have a closing in nine months and a first rental you've never operated, which is about as uncertain as a timeline gets...

The 23k question I'd answer yes to, in the I share if you can reach it, and then leave it alone.