04/27/2026
Most people never ask this question before they wire money into a private real estate fund.
They should.
Knowing exactly what happens after you invest is the difference between feeling confident in your decision — and spending 10 years wondering if you made a mistake.
So here’s the full picture. No jargon. No fine print. Just a straightforward walkthrough of what it actually looks like to be a Praxis Capital LP from day one to final distribution.
Step 1 — Subscription & Capital Call You sign a subscription agreement and receive a capital call notice. You wire your investment ($100K minimum). Clear documentation, a defined deadline, no surprises.
Step 2 — Asset Acquisition Your capital is deployed into skilled nursing facilities, assisted living communities, and memory care centers — acquired at 9–10%+ cap rates, primarily through off-market relationships. The initial portfolio: 9 facilities across Iowa.
Step 3 — Quarterly Reporting Every quarter, you receive a full investor report: property-level performance, occupancy rates, financial statements, and distribution summaries. Plus 24/7 access to your account through Praxis’s online portal. You’re never left wondering what’s happening with your money.
Step 4 — Distributions The fund targets 6–8% cash-on-cash in year one, growing to 12–13% on average over the hold period. Your 8% preferred return is cumulative — you get paid first. The sponsor doesn’t share in profits until that threshold is fully met.
Step 5 — Exit & Return of Capital Target hold period is 10 years, with opportunistic early exits evaluated throughout. At sale, investors receive their remaining capital plus appreciation through the 70/30 waterfall. Target equity multiple: 2.5–3x net.
That’s it. Wire to return — fully mapped out.
The question most accredited investors never ask their financial advisor: why isn’t any of my portfolio in assets like this?
Save this post and come back to it when you’re ready to learn more. Or drop your biggest question about private real estate investing in the comments — we read every one. 👇