As a result of the JOBS (Jumpstart Our Business Startups) Act, co-authored by Arizona 6th District Congressman David Schweikert and passed by Congress to encourage small business capital formation and job growth, Caliber Companies has embraced Title II rules regarding general solicitation of accredited investors to raise over $7.4M in capital investment, double its workforce and be recognized by Inc. 500 as one of America’s fastest growing private companies. Reaching a wider base of private investors has allowed Caliber to utilize the increased capital infusion for its flagship Caliber Distressed Real Estate Income Fund (CDIF). CDIF acquires and improves commercial real estate properties, builds community betterment, creates new jobs and widens property ownership opportunities.
According to Chris Loeffler, Co-Founder and CEO of Caliber Companies, “The relaxation of regulations through the JOBS Act is pivotal because it significantly opens the ability for Caliber to seek new customers and provide investors with an alternative investment opportunity to help rebuild their financial well-being as a result of prior recessionary devastation.”
Broadened Investment Guidelines Build Community Betterment and Ownership Opportunities
Caliber’s Fund focuses on helping clients automate and maximize their income through diverse, asset-based investment strategies. With over $25M worth of commercial properties located throughout Phoenix and Tucson currently in the portfolio, the JOBS Act has allowed Caliber to solicit new accredited investors to the fund to acquire more properties, upgrade those properties faster, create jobs, provide tenants with better facilities while providing a gain in portfolio value of 28.3% in 2013. Key properties acquired and/or renovated through the Fund include the Hampton Inn & Suites Scottsdale-Riverwalk, Crowne Plaza Phoenix Airport, 167-unit Sunrise Apartments in Tucson, 70-unit Mountain View Square Apartments in Phoenix and Baywood Square Professional Park in Mesa.
Encouraging Capital Formation Through the JOBS Act
The JOBS Act untangles small businesses like Caliber from government guidelines giving them access to more capital, which helps encourage job creation. Prior to Title II passage, Caliber was limited to acquiring new accredited investors to join the fund strictly through a “substantial and pre-existing relationship” with the potential investor. While Title II still requires investors to be accredited, Caliber can now publicize the existence of the fund through social media, email and other public forums, thus opening up investment and property ownership opportunities to a wider base of investors. Once Title III of the JOBS Act is reviewed and approved by the Securities and Exchange Commission (SEC), unaccredited investors will also be able to take part with smaller investment increments. These changes are providing unprecedented levels of access to quality alternative investments to a population of investors previously unreachable.
Individuals interested in learning about the Caliber CDIF can contact Caliber at 480-295-7600 or Invest@caliberco.com.
About Caliber Companies
Founded in 2009, Caliber has evolved into a diversified real estate investment company that handles all aspects of real estate offerings. Recently named to the 2014 Inc. 500 list as one of the nation’s fastest growing private companies, Caliber assists clients in growing their portfolios with assets including Private Notes, Single Family Residential Properties, Apartment Communities, Office Buildings, Hotels, Real Estate Development, Real Estate Private Equity Funds, Construction and Brokerage Management. To minimize risk and maximize returns, Caliber handles each aspect of the investment cycle in-house, including acquisition, remodel, management, and resale. For more information, please visit http://www.CaliberCo.com.
