Questions investors ask us most.

Build-to-Rent, or BTR, means homes designed and built specifically to be rented, rather than built for sale or converted from existing housing. The Bungalows are Cavan’s BTR communities. Learn more about Build-to-Rent.

Our offerings are open only to accredited investors, as defined by the SEC in Rule 501(a) of Regulation D. In general, an individual qualifies with any of the following:

• Income over $200,000 (or $300,000 together with a spouse or spousal equivalent) in each of the last two years, with a reasonable expectation of the same this year
• Net worth over $1 million, alone or with a spouse or spousal equivalent, not counting your primary residence
• Certain professional licenses in good standing (Series 7, 65 or 82)

Trusts, companies and family offices may qualify under other tests. Because our offerings are made under Rule 506(c), we verify accredited status before providing offering documents and before accepting any investment. The minimum investment is $200,000 for individuals and $1,000,000 for entities, unless an offering’s documents state otherwise.

This is a summary. The full definition is in Rule 501(a), and each offering’s documents control.

Each open offering has a short card on the Invest page. Our team can then invite you to register for our investor portal, where offering documents are provided once accreditation is verified.

The minimum investment is $200,000 for individuals and $1,000,000 for entities, unless an offering’s documents state otherwise.

Tell us a little about yourself through the inquiry form and a designated member of our team will follow up to answer your questions.

An ownership interest in the investment entity formed for one specific Bungalows community. That entity owns the community through construction, lease-up and sale. The offering documents describe the exact interest, rights and structure for each offering.

Cavan acquires the land and completes entitlements before investor capital is used. Investor capital comes in at the start of construction, once the site is approved, the plans are set and the builder is under contract. The senior construction loan typically closes at the same time, so construction financing is in place when building begins.

Under the offering documents, investors receive a preferred return and a return of capital before Cavan participates in profits, subject to available proceeds. The offering documents govern all terms.

A preferred return sets the order in which distributions are allocated. It is not a guaranteed payment or a fixed schedule. Cash distributions depend on the community’s cash flow and, most significantly, its sale. The offering documents describe when and how distributions are made.

Yes. Cavan principals and employees invest in every project, alongside our investors. Any investment by Cavan or its affiliates is made on the terms described in each offering’s documents.

Fees paid to Cavan and its affiliates are disclosed in each offering’s documents.

Our offerings are long-term, illiquid investments. Across past Bungalows communities, the time from construction start to sale has ranged from 32 to 50 months, covering construction, lease-up and stabilization, which often overlap. Each offering’s documents describe its expected hold period and the manager’s ability to extend it. Actual timing depends on the market and financing and is not guaranteed. There is no public market for interests, and transfers are restricted.

Timelines can extend. Construction delays, slower lease-up or market conditions at sale can lengthen the hold period, and Cavan may hold a community longer to sell from a stronger position. The offering documents describe how delays and extensions are handled.

Sale proceeds are distributed according to the offering documents. Cavan has developed, leased and sold eight Bungalows communities since 2019.

Cavan leads development and oversight, and experienced general contractors build each community. Rider Levett Bucknall (RLB), a global construction consulting firm, provides third-party construction oversight on every project. RLB reviews pay applications and change orders and inspects each site monthly.

An institutional, full-service property management partner handles leasing, maintenance and day-to-day operations, with Cavan overseeing performance.

Through our investor portal, powered by InvestNext, and through monthly and quarterly updates on construction, leasing and community performance. Monthly and quarterly updates are also sent by email.

Construction, financing, lease-up and market conditions can all affect results. Investments are illiquid, and you could lose some or all of your capital. The offering documents describe the risks in detail. Read them carefully, and talk with your own legal, tax and investment advisors before investing.

Plan to hold your investment until the community is sold. Transfers are restricted under the offering documents, and there is no public market for these interests.

Investors receive annual tax reporting for the investment entity, typically a Schedule K-1, through the investor portal.

Tax treatment depends on your situation and the structure of each offering. Talk with your own tax advisor.