North Star Capital Fund's Continued Success, Another Great Quarter!

CONCORD, Calif., May 1, 2026 /PRNewswire/ -- The North Star Capital Fund LLC (the "Fund") is pleased to report another quarter of strong performance and clear confirmation of its standing as a successful, disciplined and financially sound construction lending fund, which has shown consistent returns during economic ups and downs.

The Fund delivered a 9.15% APR return for Q1 2026, achieving its target return of 8–10% APR and building on the strong results of prior quarters. Members who have reinvested or "rolled over" all distributions since inception continue to benefit from a 13%+ average APR net return, reflecting the power of compounding.

John W. Simonse, Fund Manager, commented: "Exceeding 9% in Q1 of 2026 is a reflection of the opportunities this market is presenting, that can be obtained, to patient, well-capitalized private lenders. We have remained selective and conservative, and the results continue to speak for themselves."

The Fund also reports a robust loan pipeline entering Q2 2026, with multiple loans in various stages of origination and several successful loan payoffs during the first quarter. These payoffs validate the Fund's underwriting discipline and its ability to deliver on its core promise to investors: capital preservation, consistent income in the 8-10% APR range, and transparency.

The broader economic environment continues to support the Fund's lending strategy. According to the U.S. Bureau of Labor Statistics, total nonfarm payroll employment increased by 178,000 in March 2026, and the unemployment rate held steady at 4.3%. This labor market resilience directly supports the housing demand and buyer confidence that underpin the Fund's real estate-backed loan portfolio.

The California Association of Realtors projects 274,400 home sales in 2026, up 2% from last year, with a projected statewide median home price of $905,000, a new record. Low rates in California will keep homes selling and bodes well for experienced private construction lenders and borrowers as traditional banks pull back from residential construction lending.

As the North Star Capital Fund LLC's Manager, Mr. Simonse also wants to bring to light the retraction of the false and misleading statements made by Pacific Private Money's restructuring officer, Bill Brinkman, regarding the Fund. Although those statements have since been formally retracted, not everyone is aware of Brinkman's retraction which is as follows:

"I want to clarify the relationship between Pacific Private Money and North Star Capital Group and North Star Capital Fund. In question #B-5 of the February 11 question and answer document that was shared with the investors, the statement that PPM has an interest in North Star Capital Fund is incorrect. Instead, Pacific Private Money holds a 20% interest in North Star Capital Group, not in North Star Capital Fund. Pacific Private Money never had any significant management role with respect to either of the North Star Capital entities.

In addition, EXHIBIT A included in the February 11 question and answer document includes an organizational entity chart that accurately notes that PPM holds a 20% interest in North Star Capital Group. However, the schematic is inaccurate to the extent it suggests that the North Star entities are a member of the PPM group of companies. The North Star entities have been separately managed since inception in 2020 and are not part of the PPM group of companies. The North Star entities are completely different companies with separate employees and management and, other than the 20% interest in North Star Capital Group, mentioned above, are not associated with the PPM group of companies."

Mr. Simonse wants to state clearly on behalf of the Fund and its current and prospective investors,

"In regards to the North Star Capital Fund LLC:

• The Fund is not, nor has it ever been owned or managed by Pacific Private Money.
• The Fund has always been financially sound, well-capitalized, with strong leadership.
• The Fund is not under investigation, regulatory scrutiny, and has no legal issues.

We have built this fund over many years on a foundation of integrity, hard work and transparency. We will always address misinformation directly and promptly because our investors deserve nothing less."

With a strong loan pipeline and continued outperformance settling into Q2 2026, North Star Capital Fund LLC is well-positioned to build on this momentum. The Fund remains open for investment.

For questions relating to NSCF please contact Amanda Joseph at 925-603-0433.

SOURCE The North Star Capital Fund LLC