ORLANDO, Fla., Sept. 15, 2016 /PRNewswire/ -- Legion Capital Corporation, a direct to market venture firm managed by noted venture capital executive Jim Byrd and President Brad Hilton of the famed Hilton Hotel family, announced that they have launched their newest venture fund, LEGION HIGH YIELD MORTGAGE FUND I, LLC, a $25 million real estate mortgage fund to finance property acquisition, renovation and rent.
"The U.S. Real Estate Market is experiencing a sustained recovery, with home equity nearly doubled since 2011. However, banks are still not lending money to builders and developers – creating a huge void in the market for real estate finance" stated Jim Byrd, Chairman and CEO of Legion Capital Corporation. "This creates a great opportunity for investors looking for secured income in the current volatile market environment."
The Fund targets the growing demand for real estate finance in this expanding market. It will provide short term (6-24 month) loans, secured by mortgages on qualified real estate, to developers, builders and real estate entrepreneurs. Typical loan terms are 2% to 4% origination fee plus 14-16% annualized interest, as well as a 3-5% profit participation in the acquisition and ultimate resale or monetization of the financed property.
The fund pays an 8% fixed annual interest distribution to investors, payable quarterly, with the overall annual return expected to be in the 12% range. Initial demand has been strong, and management expects to sell the fund out quickly.
"This fund was formed as a response to tight bank lending practices during the recession. Those same conditions continue today, providing rewarding opportunities for investors," says Brad Hilton, President and Director (Grandson of iconic American Hotelier Conrad Hilton). "We believe the fund will appeal to investors looking to earn steady secured income with relatively low risk."
The fund will be managed by Byrd, Hilton and Legion Capital Co-Founder and renowned marketing expert Shane Hackett.
About Legion Capital Corporation
Legion is a direct to market venture firm and private fund manager founded on the principles of crowdfunding and direct solicitation under the new federal JOBS Act legislation recently passed by Congress. The JOBS Act and related rules, including the new crowdfunding regulations, allow companies to raise capital through direct investor solicitation using the internet, social media and other direct to market means. As a direct to market venture firm, Legion will be able to fund portfolio companies through such means as Crowdfunding, Reg A+ Offerings (Mini-IPO) and other similar activities.
For more information on Legion Capital Corporation, visit www.legioncapitalcorp.com or call (888) 403-FUND.
Investment performance is not guaranteed and losses are possible. An offer of sale can be made only by the fund's offering documents and should be read carefully before investing. Investors may obtain offering documents by contacting Legion Capital Corporation.
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SOURCE Legion Capital Corporation