Nepc Private Markets Investment Due Diligence Report slide image

Nepc Private Markets Investment Due Diligence Report

Penwood Select Industrial Partners VII Non-Core Real Estate Investment Period Fund Term Sponsor's Investment Assets Under Management Investment Focus Geographic Focus Projected # of Investments Deal Size Leverage Annual Management Fee Other Fees Organizational Costs Carried Interest Preferred Return Distribution Waterfall ERISA Fiduciary Fund Auditor Fund Legal Counsel Website NE PC Three years after the Final Closing Date 10 years 1.5% of capital commitments $599.8 million as of 12/31/2022 Value-Add Industrial Real Estate United States 20-30 $25 million in equity 55% N/A 8% I. Capped at $550k 15% II. ā— III. ā— 1.50% on committed capital during the investment period 1.50% on invested capital following the investment period Discounts may be possible based on size or other factors First, 100% to the Partners on a pari passu basis in proportion to the amounts of their respective Preferred Returns (as defined below), until the Partners have received a monthly compounded 8.0% annual internal rate of return ("IRR") on their total unreturned capital (such 8% amount, the "Preferred Return"); Next, 100% to the Partners on a pari passu basis in proportion to their capital contributions, until the Partners have received a return of their total capital contributed; Thereafter, 85% to the Partners on a pari passu basis in proportion to their capital contributions and 15% to the General Partner (such 15% amount, the "Incentive Allocation"); provided, however, that any Incentive Allocation accruing and distributable to the General Partner during the investment period will not be distributed to the General Partner until the termination of the investment period. ERISA investors are currently less than 25% of the Fund, though if that changes the Fund expects to qualify as a VCOC. In either case, the Fund welcomes investments by ERISA investors and does not expect its assets to constitute "plan assets" for purposes of ERISA. PwC DLA Piper https://penwoodre.com/ CONFIDENTIAL INFORMATION - FOR NEPC CLIENT USE ONLY 5
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