INVESTORS
Earn consistent income with limited volatility and wide margin of safety
Philosophy
ICF Fixed Income Fund (Evergreen)
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Minimum Investment
Target Annual Return
Distributions
Asset Management Fee
Discount Points participation
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$100K
7%-8%
Monthly
1% of AUM
ICF Velocity Fund (Evergreen)
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Minimum Investment
Target Annual Return
Distributions
Asset Management Fee
Discount Points participation
​
​​
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$200K
8%-9%
Monthly
1% of AUM
ICF's managing directors have each worked in private real estate as investors for more than 5 years, and together they’ve developed and implemented our investment philosophy.
Deliver consistent current income while preserving principal
We focus on providing attractive risk-adjusted returns that have little to no correlation to the stock market. In fact, we founded ICF in order to avoid the unpredictable returns that so often come with investing in stocks or bonds. We build a margin of safety into every one of our loans by lending at conservative loan-to-value levels and working with experienced borrowers on select properties. We design our offering to provide investors with regular monthly distributions without the interest rate risk and volatility that long duration bonds carry.
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Build long-term relationships with high-quality borrowers
In private real estate lending, the single biggest driver of loan performance is the experience and financial strength of the borrower. The real estate market could go up or down, but the best borrowers will still succeed in any market. We proudly work with some of the most talented real estate developers in their respective markets. They could borrow from any number of private or bank lenders, but they choose to borrow from ICF — and pay a premium to do so — because we provide a level of service and certainty of execution they can’t find anywhere else.
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Provide transparency at every turn
Our investors appreciate our clear, transparent reporting and consistently praise our good stewardship and dependability.
Key Strategy
Ithaca Capital was established on the premise that investment strategies that preserve principal and generate strong returns and current cash flow are available to investors in selected, under-served niche markets. Arixa Capital has identified the mid-range and high-end homes in major urban markets in California as such an investment opportunity and provides investors with the following:
High Current Income
Professional developers have limited access to debt financing, allowing lenders to earn attractive returns by charging interest rates between 9%-11% per annum and for ICF to pay out monthly income to investors.
Comfortable Margin
The overwhelming majority of the portfolio is comprised of loans secured by a first lien on a house. Borrowers typically provide 20%-25% of the capital needed to buy the house. Additionally professional developers often create equity at the time of purchase by buying houses at prices below retail value. They further enhance the value of the collateral through cost effective renovations.
Borrowers
Will provide between 15–25% of cash equity and further enhance the value of the collateral through renovations.
Low Interest Rate Risk
Loans have short maturities as most projects last between 9 and 12 months, which does not put principal at risk in a rising interest rate environment.
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Liquidity
Due to the short-term nature of renovation loans, the portfolio turns over approximately once per year.
