Our investors get paid first until they receive an annualized 8% return.
We do the hard work. Everyone wins.
Our process is simple
Forget about permits and picky tenants—real estate investing doesn’t have to be a hassle. In fact, we make it easier than ever.
When you join School of Whales, you’re investing in a small ownership stake (a.k.a. equity) in the properties of our real estate fund.
Our fund will include a number of diverse projects, such as commercial developments and high-end hotel renovations. Through the diversification of your real estate portfolio, you minimize risk and maximize stable returns—ever heard the saying, “don’t put all your eggs in one basket?” Well, that definitely applies to investing!
Using our 60+ years of experience in the real estate industry, we oversee a variety of projects from our developing partners, making sure everything is taken care of, from permits to leasing.
We focus on opportunistic and value-added properties that show the largest potential for high, long-term returns.
Once our properties start making money, our investors get paid first with a preferred rate of return of 8%. Any returns above that are split 80% to the investor and 20% to School of Whales.
How do the profits get split up?
The remainder of the profits are then divided between investors and School of Whales. Our investors get 80% of that slice of the profits, while we keep 20%.
Do you need an example?
Ok, so let’s imagine the fund invested $5 million in an office building in Miami. After 5 years, the property is sold for $10 million. This amounts to a total of $5 million in profits.
You have questions.We've got answers.
What is the recurring investment option?
Instead of putting more money into your savings account on a monthly basis, (or spending it) you can continue to add to your existing investment. Adding just a little bit every month can have a powerful effect on your returns, while not compromising your lifestyle.
I want to invest some money in the real estate market. How do I get started?
Just sign up here. With as little as $500, you can join School of Whales and start making your money work for you.
What is a preferred return?
A preferred return means preferred investors (that’s you!), receive returns on their investment up to a certain percentage (in our case 8% annually), prior to anyone else taking a slice of the profits. Basically, School of Whales does not get the performance fee, until you’re paid first!
What type of bank account can I use to sign up?
You can use either a personal or a corporate account. For corporate accounts, we accept LLCs, C-Corps, S-Corps, Trusts and LLPs.
How much do I have to invest?
Our minimum investment is $500. We don’t have a maximum investment, so feel free to go crazy.
Do I have to be an accredited investor to join?
Nope. Our goal is to open up the real estate market to as many people as possible, therefore our fund is open to both accredited and non-accredited investors.
When do I get paid?
When the properties start making money, you get paid each quarter until you receive an annualized 8% return—this is called the preferred return. The remaining 92% of the profits are divided between our investors and School of Whales. Our investors get 80% of that slice of the profits, while School of Whales gets 20% as a Performance Fee.
What is the holding period and are withdrawals allowed?
This is money that you should be prepared to set aside for 3-5 years in order to see the full potential of your investment. In the case that you want to withdrawal, this can be done after 12 months of your initial investment subject to certain limitations. Please see Section 4.2 of our Offering Agreement for more details.
What fees am I charged for joining School of Whales?
We charge a 1% yearly asset management fee for leveraging our 60+ years’ experience to vet and oversee all the projects for you that go from blueprint to profitable.
I don’t live in the United States. Can I still invest in School of Whales?
Yes! We welcome all potential Whales.
Wait, what’s an accredited investor?
There are two types of investors: accredited and non-accredited.
Accredited investors are high earning individuals or business entities that meet certain financial requirements and are therefore considered “financially sophisticated.” If you’re making an annual income of over $200,000 or have more than $1 million dollars in net worth, then congrats, you’re an accredited investor.
If you make less than 200K a year and don’t have one million dollars to your name, then you’re what the SEC likes to call a non-accredited investor. But don’t worry, that’s not a bad thing.
Before 2016, only accredited investors could participate in crowdfunding investing platforms, like the School of Whales. Lucky for you, that’s no longer the case and anyone with either $2000 or $200,000 in the bank can get in on the fun.
Ok, but how do I know this is legal?
Look up the JOBS Act of 2012 (a.k.a. The Jumpstart Our Business Startups Act). This financial law, which was enacted in 2016, allowed companies like ours to legally solicit small amounts of public money to fund larger projects. Therefore, you can rest easy knowing that everything we do has been approved by Uncle Sam.
And who is regulating all of this?
Like most crowdfunding companies, we are subject to federal and state financial regulations. While we may be changing the way to invest in real estate, we are still monitored by the SEC and everything taking place in our fund is 100% legal and kosher.
How will I know what’s going on with my money?
When you log in to your School of Whales profile, you’ll know the status of your investment and what it’s doing for you. We also send monthly updates and newsletters about our projects, always keeping you updated on their progress.
What kind of real estate projects does School of Whales invest in?
We select different types of projects, but mainly focus on Value Add and Opportunistic commercial real estate properties such as hospitality, retail, multi-family, and office construction. These “diamond in the rough” properties, show the largest potential for high long-term returns, while also contributing to underserved communities—thus, realizing our mission of Profits with a Purpose.
Does School of Whales own its investment properties?
It depends. In some projects, we own all or a portion of the project’s equity. In others, we enter into joint ventures with sponsors to further develop their real estate projects. And sometimes, we lend money to the sponsors of a certain real estate project. We like to diversify our options but fully believe in the potential of each of these real estate projects.
I’m a rookie. What are some tips when it comes to investing in real estate?
After years of handing out real estate investing advice to friends and family that want to dabble in the market, here are the four essential tips we keep coming back to:
Go slow. Don’t invest more than you can afford to lose. As we like to say: If you’re losing sleep over your investment, you’ve probably invested too much.
Be part of the community. When you join School of Whales, you’re joining a community of like-minded investors. And like any community, you should enjoy being a part of it. Get involved, visit our properties, and of course, share the word.
Don’t depend on just one investment. As all of our mothers used to say: Don’t put all of your eggs in one basket. We can’t stress this enough, but it’s incredibly important to diversify your options. You have a higher chance of making a return, if you invest your money in more than one project. Check out School of Whales portfolio, and if you like the projects we’ve invested in, follow our lead and make a few of your own.
Do your homework. If you have questions, don’t be shy and ask. That’s why we’re here. At School of Whales, we have free educational materials and plenty of information about our projects online. If you want to learn more, just give us a call. We’re happy to chat, especially about real estate.
What about taxes?
You are required to report the income gained from your School of Whales returns. If you’re an international investor, withholdings on your gains may apply. Please consult your tax professional.