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Corporate Organization & 2020 Offerings

Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

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Page 1: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

Corporate Organization & 2020 Offerings

Page 2: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

Founded in 2012, ARIISE began life as a business sustainability consultant and helped its first threeclients grow an average of 400%. It quickly morphed into a dual-pronged consultant and RealEstate investment company that focused on technology and intellectual property creation. Aftercompleting the world’s most sustainable home, while creating 12 patents with the technology,each of ARIISE’s subsidiaries needed to be independent to grow. It was reformed as ARIISEHoldings in 2017 and the consulting branch and equity fund were split into their own companies.ARIISE EQUITY now raises capital for new ventures, focusing on technology and infrastructureprojects while ARIISE PARTNERS focuses on branding, marketing and scaling small businessesnationally and internationally.

Founded in 2012, but spun-off in 2017,ARIISE Partners kept its core business ofaiding startups and established companiesreach market, sustainability and/or growth,with now 37 companies aided and morecoming soon. Industries include but arenot limited to Product, App, Service,Wellness, Construction, Restaurants andRe-brandings.

Founded in 2014, ARIISE EQUITY, LLP hasdelivered 18%+ returns yearly to itsinvestors, growing to over $30M in thattime. It has been kept small to achieve itsFounders goal of choosing who to workwith in addition to increased profit.

Founded in 2019, SHELVED has becomethe manifestation of the dozens ofopportunities created by its parent andsister companies. It will become aninternational marketplace for CompanyAssets, Tech, Real Estate, or IntellectualProperty to be scaled, invested in or soldfrom over 4,000 Investors Worldwide.

Page 3: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

Chief Financial Strategist. As founder of Desai Capital Management, his buyout-focusedequity portfolio totaling $400M, has outperformed the benchmark since inception byanalyzing assets and equities in both international and domestic markets in all marketcapitalizations. Prior to which, he worked for S&P and led Bretwood and Colony CapitalManagement. His shorthand method of analysis (financial, economic, statistical) to valuatecompanies in every sector has been featured in Fortune, Bloomberg and The Wall StreetJournal as well as being named Professor at UNC’s Kenan-Flagler School of Business.Ashish Desai

COO of ARIISE™ and its holdings, including POZER. Robert began at the White House in theClinton Administration and also served at U.S. Department of Agriculture and led initiatives,including efforts to shepherd China into the World Trade Organization. Robert was a PressSecretary on two U.S. presidential campaigns. Robert since started a consulting firmservicing UN agencies and others designing and implementing numerous global projectsand programs. He has established strong partnerships between governments, NGOs, andthe private sector.Robert Palmer

LEADERSHIP TEAM

CEO of ARIISE™ and its holdings, including POZER. By 34, he had developed, designed orfinanced over $1.7bn in Real Estate assets with an average return of 19% for his clients,partners and investors. In addition, his emphasis on finding value then building businessmodels to monetize it led him to found 11 companies, 7 reaching revenue and 6 successfulexits. This has led to diverse recognition including the 2007 LISC award for Chicago UrbanDevelopment, being named Top 100 Influencers in Forbes, 40 under 40 in multipleindustries and having over 20 patents and trademarks.Ryan Kolar

Dilworth Paxson is chieflegal counsel for ARIISEand its holdings.

FIZZ is Marketing consultantfor POZER, they have over150 employees worldwide.

Page 4: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

BOARD of ADVISORS

Ted Wright has been at the forefront of Word of Mouth Marketing since he helped re-ignite the Pabst Blue Ribbon brand in2000. Over the last decade, his agency FIZZ has become a global leader in Word of Mouth Marketing with clients on everycontinent. Often called the best WOMM speaker working today, Ted has won numerous public speaking awards. An alumnusof Booz Allen & Hamilton, Ted holds an MBA with honors from The University of Chicago.

Ted Wright

Edward K. Rutledge serves as CFO and CIO for Urban Investment Research Corporation (UIRC), a $400m PE firm based inChicago since 2008 after years of sourcing real estate capital for Draper and Kramer. Prior to this, Mr. Rutledge was a Managerat Charter Consulting, where he led management consulting assignments at CNA Insurance, BNP Paribas and the FederalReserve Bank of Chicago. Mr. Rutledge also spent several years in Amsterdam with ABN AMRO Asset Management, where heserved on the Global Business Development Committee.

Edward Rutledge

John Iwanski specializes in transaction services. He has served companies in a variety of industries, including financial services,healthcare, construction, real estate, retail, insurance and manufacturing and distribution. By performing buy-side and sell-side due diligence, capital analysis, carve-outs, industry roll-ups, financial modeling, transaction services agreements, andgeneral transaction advisory services, John has been instrumental in his ability to provide highly informed market strategies,and effective leadership, including a Fortune 100 global industrials company.

John Iwanski

David Klusendorf is an ex floor trader at the Chicago BOT. He is a multi-business founder, including co-founder of TyphonCapital. Typhon Capital Management, LLC is a Member of the National Futures Association and registered as a CommodityPool Operator and a Commodity Trading Advisor and only provides services to Qualified Eligible Participants as defined insection 4.7 of the Commodity Exchange Act.

David Klusendorf

Page 5: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

Company Overview and Investment Strategy

Page 6: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

COMPANY OVERVIEWThe General Partner and the Board search for, build up,and sometimes create opportunities every 18 months to 2years. Those opportunities are placed in a presentation ofofferings once every 2-3 years. ARIISE EQUITY then raisescapital in order to capture huge upside value in a variety ofindustries. The team invests first, works with the foundersto create more value, then uses investor funds to scale thecompanies and their profits.

In addition, the GP and Board Members have also rolledback fees and salaries to be rewarded a larger percentageof net return after LPs receive their preferred return.

For every Limited Partner (LP) in the 3 year term.

• 18% Preferred Return (yearly)• 2.5% Management Fee • 20% Performance Fee above • NO Transaction or Lawyer Fees

Page 7: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

Real Estate Strategy

Page 8: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

THE ARIISE™ STRATEGY

Locate vacant land and tear downs in establishedareas

Prototypes pre-designed and permitted to act fast andcapture hot markets

Private Equity used in escrow and mezzanine forexisting construction loans so turnaround issuedfaster to capture market

Leftover capital used to buy or develop IPtechnologies.

Build true net-zero, sustainable buildings at sameprice point as traditionally built stock, beating themhead-to-head

Highly sought technology, layouts and finishes provideexpected market absorption of less than 60 days

01.

02.

03.

04.

05.

06.

Page 9: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

MARKET OPPORTUNITY

Building sale prices have risen to $225-$250 /per Square Foot

Construction prices are typically $100-$125 in The Southeast, $125-$150 /SF in the Midwest, and $150-$200 in the Major Markets of NYC, NJ, DC, CA.

ARIISE™ has been developing sustainable and profitable buildings for clients and investors for over 12years, and understands exactly how to improve margin without sacrificing quality (avg. construction pricenationally: $125/SF) with patented building technology that cannot be duplicated

The Fund requires that each individualinvests up to $2,000,000, increasing in$200,000 increments with a total fund cap of$50,000,000 to be raised by October 2020.

Page 10: Corporate Organization & 2020 Offerings - Ariise · 2019-12-02 · multi-family projects and low risk predictable real estate mezzanine debt on previously approved and currently built

PROFILE

The ARIISE EQUITY Fund takes

advantage of ground up, high-margin

multi-family projects and low risk

predictable real estate mezzanine

debt on previously approved and

currently built construction projects

that have run into financial difficulty.

Why? Flips require substantial cash

and low margin sell-offs that can

catch a seller in a bad market.

Ground up single families are also

relatively low-margin and are hard to

sell, especially in a down market. Buy

and holds are slow-growth and the

debt load is a massive liability that

won’t allow quick sale and liquidity.

Leftover capital is used to develop

and/or purchase intellectual property

relating to real estate technology.

CONTACT

GENERAL PARTNER: ARIISE

MANAGER: Ryan Kolar

FINANCIAL MANAGER: Ashish Desai

PHONE: +1 (312) 859-4821

WEBSITE:

www.ariise.com

www.ariiseequity.com

EMAIL:

[email protected]

BOARD MEMBERS

David Klusendorf

Ed Rutledge

John Iwanski

Ted Wright

DISCLAIMER

THIS CONFIDENTIAL OFFERING MEMORANDUM (THIS "MEMORANDUM") HAS BEEN PREPARED IN CONNECTION WITH THE PRIVATE PLACEMENT OF LIMITED PARTNERSHIPS INTERESTS ("LP INTERESTS") IN ARIISE™ SUSTAINABILITY, LP, AN ILLINOIS LIMITED PARTNERSHIP (THE "PARTNERSHIP") OFFERED HEREBY AND DOES NOT CONSTITUTE AN OFFER OR SOLICITATION IN ANY JURISDICTION IN WHICH SUCH AN OFFER OR SOLICITATION IS NOT AUTHORIZED OR IN WHICH THE MAKING OF SUCH AN OFFER OR SOLICITATION WOULD BE UNLAWFUL. THIS MEMORANDUM CONSTITUTES AN OFFER ONLY IF A MEMORANDUM NUMBER APPEARS IN THE SPACE PROVIDED ON THE COVER. THIS OFFERING IS BEING MADE ONLY TO "ACCREDITED INVESTORS," AS THAT TERM IS DEFINED IN RULE 501(A) OF REGULATION D PROMULGATED UNDER THE SECURITIES ACT, WHO BY REASON OF THEIR BUSINESS OR FINANCIAL EXPERIENCE CAN BE REASONABLY ASSUMED TO HAVE THE CAPACITY TO PROTECT THEIR OWN INTERESTS IN CONNECTION WITH THE OFFERING.

ABSTRACT

INCEPTION DATE: JAN 2014

INVESTMENT: UP TO $2,000,000 USD

MANAGEMENT FEE: 2.5%

PERFORMANCE FEE: 20%

INVESTMENT TERM: 3 YEAR Minimum w/ Early Withdrawal Penalty

COUNSEL: JAFFE & BERLIN, Chicago

HISTORY (IN USD) NOTE: CAPITAL NUMBERS ARE FOR ILLUTRATION ONLY,

HOWEVER THE IRR FIGURES ARE ACCURATE. ACTUAL FIGURES ARE MUCH LARGER,

GRAPHIC HISTORY

SELECTED PRESS LINKS

https://www.chicagobusiness.com/article/20170620/CRED0701/170629

999/ariise-building-sustainable-house-in-lakeview

https://blog.novedge.com/2016/04/the-edge-ariise-building-greener-

and-better.html

https://wgntv.com/2017/11/06/chicagos-most-sustainable-home-just-

one-of-citys-green-initiatives/

0%

10%

20%

30%

40%

$-

$1,000,000.00

$2,000,000.00

$3,000,000.00

$4,000,000.00

2012 2013 2014 2015 2017 2018

New Capital Invested Total Capital

Leftover capital gross return

net return IRR

New Capital Invested

Leftover capital $- $1,000,000.00 $2,000,000.00

$3,000,000.00

$4,000,000.00

$- - $1,000,000.00 $1,000,000.00 - $2,000,000.00

$2,000,000.00 - $3,000,000.00 $3,000,000.00 - $4,000,000.00