How you make money
Cash flow
10% preferred paid monthly, 13% target across 16 payments
Capital goes into a diversified pool of short-term real estate loans. Borrowers pay interest, paid to investors as a 10% preferred return monthly plus quarterly profit, targeting 13% a year, backed by real property.
13%
Annual cash yield
Monthly
Distributions
30 days
First distribution
Tax efficiency
REIT dividends qualify for the 20% Section 199A deduction
The fund holds most assets in a subsidiary REIT. Under Section 199A, qualified REIT dividends are eligible for a 20% deduction, which can lower the effective federal rate on that income from 37% to about 29.6%.
20%
QBI / 199A deduction
How the deal works
Ameristar originates short-term, conservatively underwritten first-lien mortgages against real property and pools them into one fund. Borrowers pay interest; investors receive it as a 10% preferred return paid monthly plus quarterly profit, 16 payments a year, targeting 13% annually. Because the return comes from real-estate-backed loans rather than equity markets, it moves independently of stock prices.
Income from many loans, not a single deal
Capital is spread across a diversified pool of short-term real estate loans rather than one property or syndication. No single loan can exceed 10% of the fund's capital once it reaches $20 million, so no one borrower or default drives the outcome.
Backed by real property, uncorrelated to stocks
The return comes from interest on first-lien mortgages secured by real estate, not from equity markets, so it moves independently of what the stock market does next.
16 payments a year, starting quickly
Investors receive a 10% preferred return paid monthly plus quarterly profit distributions, 16 payments a year, and can begin receiving income as soon as the month after investing.
Conservative lending, a long operating history
Loans are first-position mortgages underwritten below 70% of after-repair value, many in the 50-60% range, by a lender that has originated thousands of real estate loans and renovated 300+ properties through affiliated operations.
About the sponsor
Zero
principal losses to date
1,000s
of real estate loans originated
300+
properties renovated
16 / yr
investor distributions
A private lender and real estate operator that originates short-term mortgages and pools them into an income fund for accredited investors.
Investors consistently reinvest and add capital.
Chuck Cefalu
Founder & CEO
Founder and leader of Ameristar Financial. Oversees fund strategy, lending approvals, and capital raising.
David Harder
President
Builds institutional and broker relationships. Identifies new lending markets and assists the capital raise.
Bonnie Cefalu
COO
Runs day-to-day operations and loan servicing. Oversees underwriting, accounting, and investor onboarding.
What you should know
What are the risks?
- Returns depend on borrowers repaying their loans; defaults or a real-estate downturn can affect income and principal.
- The 10% preferred and ~13% target are not guaranteed, and past performance does not predict future results.
- The fund is designed as a longer-term holding with a 24-month commitment and is not intended for short-term or liquid money.
What does the fund invest in?
A diversified pool of short-term mortgages secured by real property, in first-lien position at conservative loan-to-value. Borrowers pay interest, which is distributed to investors.
How and when am I paid?
A 10% annual preferred return paid monthly, plus quarterly profit distributions, for 16 payments a year. Income can begin as soon as the month after you invest.
What return does it target?
A 10% preferred return and a ~13% annual target return. Targeted, not guaranteed; past performance does not guarantee future results.
Is there a tax advantage?
The fund holds most assets in a subsidiary REIT, so qualified REIT dividends may be eligible for the 20% Section 199A deduction. Consult your own tax advisor.
What about liquidity?
Members commit for at least 24 months. After that, withdrawals are available with 90 days notice, up to 25% of your capital account per quarter, subject to fund-level limits. It is a longer-term, income-focused holding.
Who can invest?
Accredited investors only, with a $50,000 minimum.
