Our Business Strategy

GMD is accepting investors in the Gateway Village LP., to fund $17,700,000+ of the Opportunity Zone Fund (OZF) capital required for the first acquisition land and construction of the first 50+ homes.

Investors will be Class A Members of Gateway Village LP. The term of this investment is ten years with a projected Investor Level Internal Rate of Return of 19.8% and an equity multiple of 6.08.

The General Partners will have a large investment in time and money for the entitlements and start up of this new Master Planned Community. Depreciation and taxes from normal income produced by Building Company and income producing assets have been calculated into these figures.

Equity

 IRREquity MultipleNet ProfitROI
Capital Partner19.8%6.08x$89,476,266608%

Land Purchase

The 162 acres will cost $6,000,000, entitlements of $1,000,000, infrastructure of $18,000,000 and annexation for $10,000 plus closing cost. Total Cost = $25,010,000.

  • 88 Acres -of which 42 acres is open space and 46 will be developed
  • 40 Acres –purchased in year 3
  • 18 Acres–purchase in year 4
  • 16 Acres –Lucero Egress land to Hwy 24 (1031 exchange with Lydy Farm –35 acres)
  • 400 Acres–Option to purchase at anytime-Outside of Opportunity Zone (not included in the financials)

Experience

We have assembled an all-star management team consisting of seasoned real estate professionals, top proven entrepreneurs and respected local leaders.

Our development executives have “been there and done that” in most every area in the commercial real estate world.

With over 100 years combined experience in the Midwest, Las Vegas, California, Florida and the Caribbean, Gateway’s leadership has the experience and knowledge that turns commercial real estate developments into financial successes.

Granite Mountain Development

Jobs

We have entered discussions with the local trade unions regarding their job training programs and intend to partner with the St. Louis Job Corp. to provide job training, scholarships, and intern opportunities for their students leading to job opportunities in the market place as well as future permanent jobs that will be created as a result of our development.

In addition, the Founders have met with other regional community leaders to discuss investment in redevelopment projects in other area opportunity zones. These projects will lead to even more job creation and will be analyzed by our experienced management team to determine maximize returns while minimizing the risk through real estate secured investments.

Timing

This Planned Unit Development will have final approval by September 2019. Completion of the first plat construction to be 5-6 years with additional entitlements and construction to proceed.

We anticipate to in-fill the site with other hospitality, retail, entertainment and food & beverage businesses and invest additional Fund capital within 24 months.

All funds raised will be deployed within the 31 month “safe harbor” period.

Liquidity

The Founders and management of the Fund are keenly aware of the liquidity needs of the investors. The management will develop an annual liquidity plan to provide the long-term cash needs of investors. The Plan will address among other items the cash flow needs to fund the following:

  • Investor’s Tax Liability on the original gain deferral due December 31, 2026. Provide adequate liquidity to fund investors’ desire to liquidate their investment upon completion of the minimum 10 year holding period.
  • To provide the required liquidity and an exit for investors, the management anticipates utilizing the strategy of maintaining reasonable cash reserves, selling real estate assets held, recapitalization of business assets, as well as exploring the potential of taking the Fund public to generate requisite liquidity needs, and participating in the Entrextrading platform that allows investor to sell or trade their shares based on their investment strategies and needs.
  • Management will maintain direct relations with Investors to assist in their cash flow needs and liquidity requirements.

Returns

Based on our cash flow and investment projections we forecast a return of 15% IRR.

The Fund’s investments are formulated to generate returns through a combination of land sales and equity investments with a target per share price of $3.52 in year 10.

Fees:

  • The Fund’s management is committed to operate the Fund at the lowest possible fees and operating expenses of any Opportunity Fund. The priority of Management is to maximize Investor returns by minimizing the operating expenses of the Fund.
  • Our forecasts are based on total overall fund operating expenses, including management fees, at just 4% of Fund Value.
  • We see many Opportunity Funds charging its investors 3.5% –5% just for management fees.
  • We believe this conservative style of expense management will provide adequate resources to operate the Fund and manage all ofits investments and projects while maximizing its Investors’ returns.

Don’t Miss Your Opportunity

Opportunity Zone investments not only earn early actors annual returns upwards of 19.8%, they also create jobs, provide housing, and add value to local communities throughout the United States. Don’t wait any longer to take advantage. Subscribe to the fund today.

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864-GATEWAY (428-3929)

Gateway Opportunity Fund 11000 Riverview Dr. | St. Louis, Mo. 63138

Gateway Opportunity Fund, LLC is organized and authorized under the laws of the State of Missouri Limited Liability Company Act, and is a qualified opportunity fund operating under current Federal Opportunity Zone Regulations as issued and updated by the IRS.This is not an offer to sell nor a solicitation to buy securities of/in Gateway Opportunity Fund. Any investment in Gateway Opportunity Fund and only be through our current Private Placement Memorandum (“CPOM”). This offering has not been approved or disapproved or registered with the federal Securities and Exchange Commission or any state securities division. Investments in Gateway Opportunity Fund are available only to Accredited Investors as defined by the Securities and Exchange Commission.  No Federal or state agency issued any notice as to the accuracy or adequacy of the CPOM or any other information contained herein.  There may be limited liquidity in any opportunity fund investment.

No statements or documents contained herein are to be construed as Gateway Opportunity Fund providing legal, tax, investment or other professional advice.  Please contact your own professional advisors to see how any investment in an opportunity fund may affect your individual situation.