Fund III Opening in November

Connected

Four Points has unmatched community relationships and knowledge, ensuring the best diligence and investments.

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Regional Expertise

Colorado

Four Points is poised to be the leading Opportunity Zone fund in our fast growing state with our geographical focus.

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Large Population Growth

Capital

Activating investments and investors supporting a strategy of additive investments with strong returns.

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Private Equity Real Estate

Angel Investing

Four Points created and manages West Slope Angels.

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Deal Sourcing

OZ Fund

Four Points manages a nationally recognized Opportunity Zone Fund focused on Rural Colorado.

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How it works

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1. Realize and Invest Cap Gains

Investors have 180 days after realizing capital gains to invest it in an Opportunity Zone fund. Both the gain and the associated tax are invested in to the fund. Capital gains of any kind, including gains from stock or real estate, can be invested. Unlike 1031 exchanges, only gains are invested, allowing investors to extract their original basis. If the capital gain came from a partnership, the investor has until the end of the calendar year and 180 days into the following year to invest.

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2. Defer Taxes

By investing their capital gains, investors get to defer their capital gain taxes realized today until 2026. This enables the investment of taxes that would have otherwise been paid to the government.

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3. Reduce Taxes

If the capital gains are left in an Opportunity Zone fund for 5 years, a 10% step up in basis is applied (tooltip on step up in basis: a step-up in basis readjusts the value of an appreciated asset, providing a new cost-basis and lowering the tax liability), which equates to a 10% reduction in taxes. After the capital gains are invested for 7 years, an additional 5% step up is basis is applied, totalling in a 15% basis step up. With 2026 being the year tax is owed, 2019 is the last year to be invested for 7 years in an Opportunity Zone fund and receive a 15% basis step up. 2021 is the last year to receive a 10% basis step up.

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4. Eliminate Taxes

After 10 years of being invested, all appreciation made within the opportunity zone investment can be realized tax free. That’s 100% forgiveness of taxes for gains made in the OZ, resulting in a large boost (projected around 30%) to returns.

All Four Points funds have a 10 year hold requirement, which realizes all Opportunity Zone tax benefits.

Investment Thesis

We are focused on creating efficiencies in typically inefficient, but high value markets across Colorado. Our focus on smaller markets, combined with our unparalleled exposure to under-the-radar projects, creates the potential to generate outsized returns versus larger funds. Our team has the geographic, community, and Opportunity Zone investment expertise to create efficiencies in these markets to deploy capital at scale.

We open a new, diversified Opportunity Zone Fund roughly every 6 months. Leveraging bridge capital, we create a portfolio of pre-committed projects, providing transparency to prospective investors.

Colorado Market Opportunity

The net migration to Colorado is stunning, especially on the Western Slope where we have placed a majority of our current investments. The State of Colorado forecasts the population in our target counties to grow by 25-39% through 2035 and to outpace the rest of the state now and for years to come. In addition to the increase in full-time residents, the increased demand in recreation and outdoor focused hospitality are huge demand drivers transforming the region.

Fund III Summary

We are exceedingly pleased to announce that we were successful in raising all the equity required to develop our projects in Fund II and are well underway in turning these into income producing properties. We are also eager to share the investments we have committed to for Fund III. We secured significant bridge capital before launching any of our funds, which enables us to commit to the highest quality investments before fundraising, granting investors immediate insight and diversification. Our third OZ Fund is our largest and most diversified fund yet.

Active and Funded Projects

Multi-Family Housing - Grand Junction, CO

The Eddy
Deal Total: $23.5M
Total Equity Required: $7.5M

96 unit multi-family housing and 55 units of camping and glamping on a 12-acre site along the Colorado River near downtown Grand Junction. The site borders Las Colonias, a new $14M city riverfront development of parks, an amphitheater, offices and river access. Over the bridge adjacent to our site are trailheads to world-class mountain biking and hiking. The new parks will have beach volleyball and a lake for swimming and stand up paddle boarding. The City of Grand Junction is pro-growth, residential inventory is low, and the use of pre-fab construction lowers cost. This development will create workforce housing and expands access to outdoor recreation. The site is positioned for a potential Phase II of more residential units.

Multi-Family Housing - Glenwood Springs, CO

Bell Rippey
Deal Total: $29.1M
Total Equity Required: $11M

100 unit multi-family housing that borders open space and is next to RFTA Park & Ride stop, which transports workers, skiers, and anyone else trying to get to and from the airport, Aspen, Carbondale and Snowmass. This development aims to address the serious rental unit shortfall in the City of Glenwood Springs and surrounding areas. Glenwood Springs, known for its world famous hot springs, has amazing access to year-round outdoor activities and a strong economy throughout the Roaring Fork Valley.

Outdoor-Focused Hospitality - Naturita, CO

CampV
Deal Total: $3M
Total Equity Required: $2.3M

CampV is 120 acres of beautiful mountainous desert situated between Telluride and Moab. CampV will offer a nightly and short-term accommodation experience providing guests a unique product mix of glamping options: refurnished historic cabins, vintage airstreams, boutique tents, as well as traditional RV parking and tent-style camping. CampV is surrounded by open space for mountain biking and ATV off-roading, and has a river running through the property for rafting and standup paddle boarding. CampV will provide guests with an interactive campus environment with art exhibits and sculptures, guided events, live music, and festivals. CampV intends on working with a mix of 3rd party vendors such as outdoor recreation guides and event organizers to provide an assortment of additional amenities.

Outdoor-Focused Hospitality - Meeker, CO

Trail and Hitch
Deal Total: $897K
Total Equity Required: $448K

Trail and Hitch is our first outdoor hospitality project to be fully activated and is generally exceeding expectations. The wedding venue and brewery going in across the street is the perfect example of additive investment that will serve as an important boost for our project. We are working with the project owners to share the cost of tying into city water and believe they will help drive occupancy on our site. Furthermore, the Town of Meeker has been amazing to work with as supporters of Trail and Hitch.

Food Hall - Craig, CO

The Warehouse
Deal Total: $668K
Total Equity Required: $330K

A drive through coffee shop, food hall and gathering place for Craig. Situated in a building on one of the main streets, will bring much needed opportunity for operators to bring unique food options to the town. Multiple operators have already expressed interest in leasing space inside The Warehouse once open.

Prerequisites to Invest

Investors must be accredited with a minimum of $100K to invest. The OZ legislation enables investors to place pretax dollars in OZ funds. Capital gains must be invested within 180 days of realizing the gain, with the exception of gains realized through a partnership or S-corporation, which have a longer time horizon to invest.

Requesting Access to Fund Documents

Four Points prepares very detailed information regarding each of our investments, our underwriting process and who we are working with in a Dropbox showcase. This showcase includes deal memos, our pitch deck, our PPM, and more. To gain access to the showcase, please message us and state that you are an accredited investor. We can then invite you to view the showcase via email.