Fantastic Jake and team. Thanks so much for prepared remarks here. I know we also have Kyle joining today who is our head of property investing. Very excited to have him in the virtual room. I think you’ll be jumping in here shortly. Kyle, welcome. Hello. Hello. Nice to be here. Glad to have you here today. This is your first arrived webinar, but obviously wellversed in the real estate space. You probably saw we have folks from all over the country today which is absolutely exceptional. Um Kyle, would you be open to just sharing a little bit about your background um and how your time at Arrived has been so far? Yeah, sure. Appreciate it, Karen. Nice to nice to see everyone uh here in the chat. My name is Kyle Barnes. I’m head of property investments here at Arrived. I’ve been here about four months. Uh my background is in real estate investments and capital markets. Um, and my focus here is really evaluating where we invest, which properties we acquire and when it makes sense to to ultimately sell. Um, and you know, happy to get into how we think about those decisions and what we’re ultimately seeing in the market. But I’m very pleased with my time here so far. Um, it’s a exciting company uh to to work for and invest uh alongside as well. Fantastic. Well, we’re absolutely thrilled to have you here. I know it’s been an absolute pleasure being able to work alongside you and look forward to uh years to come here. So, uh we for folks that are new on the line, feel free to drop any and all questions in chat. This is your time. We want to be sure that you get all your questions answered. So, you should be able to decide if you want to move forward or not. I know there was a question in here from Daniel. I’ll answer this one live just so everybody’s aligned on what the credits are. So, for folks to qualify for a $25 credit, you must have your bank account linked with arrived must attend a new user webinar. So, that is what these are. And then must have not received the same incentive before. So, you can attend as many webinars as you would like, but it only applies for that credit one time. Uh, so for Daniel, I know uh you’re in the webinar right now, which is wonderful. Will I be getting uh this automatically or is there an additional step? Uh if you have an existing account, your bank account’s connected, you’ll automatically get that credit by end of week. When you go to the checkout flow, you can apply those credits towards a new investment. They cannot be withdrawn to your connected bank account. So, it’s only to a new investment that you have. Let’s say, for example, you haven’t created your account yet. You’re maybe taking a little bit more time if you’re not uh connecting your bank account or creating an account within the next few days. and then you’re like, “Shoot, Krenn, I didn’t get the credit.” Just email supportarrive.com um next week or at a different time once you do so and then we’ll manually apply that credit. Uh but Daniel, for your case, be auto since you are an existing investor and we’re thrilled to have you on board. So, let us know if there’s any other questions there. I also dropped an FAQ in chat for folks to take a peek at. Uh so, let us know if there’s any other questions. I did get a few DMs though on questions. So Jake, the first one will be for you. Um I know we’ve had a lot of product updates in the last little bit here. Can you walk through what those are uh for folks to keep an eye out for? Yeah, the the the [clears throat] big one that just came out this past week is the ability to set up a recurring investment. So, you know, in the past, if you wanted to just keep investing into the single family fund or the real estate income fund and, you know, just do so every time you get paid, you know, you actually had to come back to arrive and relog in, recclick the buttons, um, in order to make another investment, which, you know, worked fine, but, you know, people have kind of said, hey, we want to be able to set up something that’s automatic so that it’s like my 401k and I can kind of set it up, walk away, and come back in six months to check on my account, but I don’t need to be judiciously, you know, logging in every month in order to reinvest my dividends. So this new recurring investments feature just launched and you know kind of just like any other investment platform. It lets you just say hey I want to invest this much money into this investment product at this frequency and then we’ll go ahead and you know kind of automatically you know withdraw the money and kind of kick off those trades each month so that you don’t have to do it manually. So really nice way to be able to build up a larger balance because the you know truth is making a single $100 investment you know is not going to you know change your life as far as the investment returns. The key with thrived as with you know your retirement portfolio or any other type of investment is to really kind of build up a larger balance over time. And so for most folks that if you don’t have $100,000 to immediately put into real estate arrive kind of a great solution where you can say hey I can put in you know $200 a week or you know $500 a month and kind of over time build up that larger balance so that the dividends you receive start to become more and more meaningful as your account value grows. Fantastic. I’m very excited. And I know recurring investing has been one of the most asked for features over the last few years. I would say in general too our whole premise or the foundation of what we do is built on uh passive income or passive investment. And so recurring investing really goes hand inand where you can set it and forget it uh update it at any time. So Jake, appreciate you walking through that all the work behind the scenes and building features that folks have been asking for. Uh, I was curious too, we’re we’re into Q4. We have Q1 around the corner here, 2027. From a product perspective, what else are you looking forward to? Yeah. So, the other exciting one that we’ve got is um referrals. And so, we are now have the ability for you guys as you start investing with Arrived, you know, assuming you have a positive experience and want to kind of tell your friends about us, we do now have a kind of paid referral program where you can invite friends. I think you each you each get um cash, I believe, or Karen. checking on that um for you know doing the refer so you can invite your friends get a little bit of extra arrive credits to be able to invest into the um the investments and then your friend also gets some amount of cash and then the Kyle I’m not sure how much you want to tease but there are some exciting investments related opportunities that we are poking around with right now that should be launching you know probably over the next couple of months um if you want to touch a little bit on on some of the things we’ve got coming up yeah happy to do So um so apart from kind of the single family residential business both long-term rental and short-term rental we’re also exploring you know more thirdparty partnerships with kind of call it asset class and industry experts in different verticals where you know we might not have the same level of underwriting depth and expertise to say hey we want to go pursue a new strategy in you know senior housing or multif family or power and and data centers. So there are some there’s some partnerships that we’re exploring with reputable operators um and fund managers to consider um you know working alongside them and bringing access to some investments that otherwise you know retail investors wouldn’t have access to um without another platform like arrive. So those are just some things that we’re thinking thinking about. Um and so we’re kind of working through the the pipeline now but it’s going to take a lot of diligence to ultimately get get comfortable with those partners. We’re excited to be kind of going through those those rounds and having those conversations. Absolutely. Yeah. Lots to look forward to, Kyle. I know you’ve been at the helm of driving a lot more options for investors. So, very excited for what we have to come. For folks on the line, too. This is a perfect place to leave any and all feedback on other asset classes you’d like to see. Our goal is to continue to build for and buy each and every investor that we have on our platform. uh which we’ve done a great job thanks to investors to date. So, more to come. The one thing I did want to show here, Jake, you were talking about uh referrals. So, if we jump in here, I just went ahead and clicked on the real estate income fund for example. Again, you do not need to have an account in order to view all investments. But if you go over to your name in the right hand corner, this is if you have an account, this is where um you can see the referrals. And then there your link is right down there in the bottom right. So, let us know if there’s any questions there, but that’s intended to be as easy as possible to navigate. All right, moving back over here. A great qu question in the chat. I’m new to real estate investing. How does your service differ from other online real estate investing sites such as Fundrise? And Jake, maybe just in general, there’s a lot of other options from stocks, bonds, CDs, money market funds, other fractional platforms. What would you say that arrives is Arriv’s biggest differentiator is? Yeah. Um I’ll actually start with a similarity and that’s going to be that Fundrise and us use the same regulatory structure. So we both use you know um the reggga which is created under the jobs act in 2012 and so that’s kind of the same organizational kind of legal setup for hey how are you actually investing into these uh real estate assets if you’re not an accredited investor. The big difference is going to be the asset class. So Fundrise does a lot of great stuff across, you know, industrial, commercial, multifamily properties. And we right now are really focused on single family. So it makes a pretty clear line where if you say, hey, look, I’m really invest interested in investing in, you know, multif family properties, that might be something available on us, you know, in the future as kind of Kyle was alluding to, but for right now, you know, we’re just single family homes. And so then there’s kind of a clear split of, you know, the different assets. And we’re really bullish on single family for a lot of structural reasons that we can get into later, but that’s going to be kind of the biggest headline difference. You know, after that, there’s a lot of differences ac across customizability and transparency. So, on the custom side with Arrive, you know, we do have a couple of funds, but we also have all of these individual single family home properties, and that allows you as the investor to customize exactly what’s in your portfolio. And so we’ve had folks that say, “Hey, I want to invest only in, you know, uh, politically blue states or red states, or I want to invest in areas across the country, but I want to avoid hurricane prone areas.” And so with the customizability of Arrive, you can kind of build a portfolio that’s, you know, tailored to what you as an investor are actually looking for. The flip side is, you know, Fundrise and a lot of the other platforms online tend to be a a just generalized fund structure where you invest and you kind of get what you get and it’s not very it’s kind of rigid. you know, you you get what’s in their fund and you don’t have really any other options to, you know, tweak it to be specific toward what you’re looking for. And so along that line, the other big difference is going to be transparency. So again, with us, you know, when you’re investing in those individual properties, you’re investing in a single address. So you can do a lot of research and diligence into that particular property. You know, what are the schools in that district and where is it located and is it on a busy road? How is it, you know, related close to the city center, to the to the population areas, to where employment is. Um and similarly even if you invest in our funds products you know the single family fund we showcase all of the 50ome properties that are in that fund. So you can really take a good look if you go and you invest in, you know, even one of the big public REITs like, you know, American Homes for Rent, you know, they own 50 or 60,000 different properties and they’ll provide some good summary statistics, but it’s really hard to kind of know as an investor, am I buying a a good set of assets or am I buying something that’s not really that great because you can’t actually do the diligence to look into the individual assets and make the judgment call for yourself. The other thing that really helps there is that we’re looking at single family homes again. And so, you know, where for most folks looking at an industrial deal and, you know, knowing it’s really hard to know, you know, what’s the price per foot that makes sense to lease this to an equipment manufacturer, um, most people have a much easier time at looking at a property and kind of judging, hey, what is the purchase price of this property and what is the rent? And I can go look at Zillow for other homes that have sold in that area and other homes that are for rent. And it’s just much easier to kind of get a sense of the economics and understand what you’re actually investing in. At the end of the day, we want, you know, you guys to be comfortable investing into the properties and and feel comfortable, you know, owning those particular properties. And so, we really think that that transparency is important for you guys to be able to kind of do that diligence, peek around and then feel really confident when you pull the trigger on an investment. Fantastic, Jake. Thanks so much for walking through. Let us know if there’s any other follow-up. Oh, they mentioned thank you in the chat. That’s great. Always appreciate the questions around other investments and the differentiator as well as similarities, Jake. So, I appreciate you walking through it. a great one from Daniel. And I saw Kyle already popped in the chat. Um, Kyle, I’m thinking we show a property example. Um, and we can kind of if you and Jake kind of want to walk through uh what this looks like. So, I just pulled up, let me pull it up here. I’ll go back. So, this is the Rosalie. This is a property that’s currently available to invest in. So, if you’re curious on what the financials are, you can click into these various tabs. I’m going to go to financials. I’m going to slow down scrollly slowly so I don’t make anybody dizzy here. But if you scroll down to the bottom, we’re going to see the offering details here. So, um, Kyle, if you want to walk through briefly what you mentioned in chat and then Jake, if you have any color as well.
Yeah, happy to. So, as folks can see here, I mean, you can you can see the purchase price, you can see the breakdown of estimated closing costs, improvements, reserves, sourcing fee. So all of those costs are lumped in kind of your your total project cost here which also kind of breaks down into the the share price and ultimately you know what what you own. So that’s where you can see just really the the delta I think it’s pretty clearly delineated. Uh we do our best to kind of you know break this out simply but these are you know pretty standard market costs and expenses that you would expect kind of acquiring a property yourself. And as you know, Jake and Ken mentioned, I think the benefit here is kind of the passive uh ownership versus kind of the active management. And a lot of the homes that are being acquired are newer vintage um if not newly built homes, which are generally going to have, you know, all things being equal, less kind of repairs and maintenance expenses or, you know, deferred maintenance like an older property would have. So you would expect less capital to have to go into call it defensive improvements, things that wouldn’t really move the needle from a return on investment perspective. And so those are some of the things that we like about some of the newer homes that we that we acquire. Um kind of part of our part of our thesis, but we we still want to make sure we have adequate reserves um in the event we have a tenant move out or some unexpected cost um just so we aren’t in a situation where we’re short on capital. Absolutely. Yeah, those cash reserves come into play. I like how we are so conservative there. For example, if there’s a roof repair or an HVAC situation, uh that could happen. The last thing we would want to do on our side is ask for a capital call where we essentially ask those investors in that property for additional dollars. We’ve never had to do that today. It’s not in our uh line of business. When you’re doing a passive investment, the last thing we would want is for additional funds to need need to be funded for that property. So, we work hard on the front side to make it as passive as possible um and showcase all that financial data that folks have access to on that property page. So, very much appreciate you walking through it, Kyle. Jake, any color or commentary to add there? No, that was great. Kyle app the only thing I’ll highlight here is that you’ll see that that there’s that total property amount, which is the total amount that we need on this property, which is 423. And you’ll see below that that’s all being raised from investors. And just with interest rates being high right now, we haven’t been using mortgages for the last, you know, three or four years in our ideal world, you know, we would say, “Hey, we need $420,000 to buy this property to operate the investment and let’s maybe go and raise half of that from investors and get a bank loan for the other half. Interest rates are just too high for that to make sense. So the hope is that in the future rates come down and we can start to add mortgages to those properties. That’s where in the future if properties are leveraged, you’d see that kind of breakdown of how much money do we have need and what’s coming from investors and what’s coming from a loan. Absolutely. Yeah, Jake, I appreciate you calling that out. If you go back to the details page for the Rosalie, you’ll notice 0% property leverage like Jake called out. The one piece that I get excited about here is that refinance candidate. So Jake had mentioned we can fin refinance in the future, which is fantastic. We don’t have any other properties uh that don’t include this tag. So, we always have that option if rates become more favorable in the future. So, I just wanted to call that out as we’re walking through the property page. All right, I’m going to move this off my screen here. We’ll keep uh sifting through the chat here. Let’s see. Jake, was there any call out for fees specifically? like can you call out that we don’t have additional fees that come after you invest as well? Yeah, so in general with fees there’s two fees that we charge you know um across all the different investments. There’s a sourcing fee which is a onetime fee that goes to us for the work in you know identifying and acquiring the asset and bringing it onto the arrive platform and then there’s a recurring assets under management fee. So, a good example is that that page with use of proceeds we were just looking at showed that there was, you know, the money we’re raising for the purchase, the purchase price of the property, the cash reserves. There’s also a one-time fee to arrive there. Um, and again, that is factored into how much money we’re raising for the property. So, if you say, “I’m going to go and invest $1,000 in this home.” You will invest $1,000 and that includes that sourcing fee. You don’t get hit with like a taxes and fees section at the end. After that sourcing fee, then we earn this recurring assets under management fee which is goes toward our team to you know compensate us for all the work in actually managing the operations of the investment, providing reporting on the arrive platform, providing tax statements and kind of everything else on the back end so that you guys can be fully passive. That fee is just paid out of the cash flow that the investment generates. So at the end of the month, we tally up all the cash that a property has generated. We pay all the expenses. We pay the arrived asset under management fee. and then the rest either gets distributed out to investors as a dividend or gets saved into that cash reserves for the property depending on you know what its cash situation looks like. That’s just nice to call out because again if you say, “Hey, I want to invest $1,000 and then I’m going to take a step away and I’m going to just kind of see how this works out.” You don’t you’re not on the hook to put in another $5 a month or anything. It’s not like a subscription. You can make a onetime investment. You could walk away and you’re not on the hook or obligated to pay any any additional fees out of pocket. The fee amounts are going to vary a little bit by asset class. So, Corin will drop the uh the FAQ for me here. Uh but there’s basically a different set of fees for the single individual properties, the single family fund, the real estate income fund, any kind of etc down the line just because each of these asset classes takes, you know, different amounts of work on the front end for sourcing and different amounts of work on the back end for management. So, the fees are adjusted a little bit to kind of um reflect the operating costs on our side. The the nice thing is that the fees are going to be the same within a category. So if you’re looking at individual single family properties, it’s the exact same fees amounts um across all the different properties. And we did that on purpose so that if you’re evaluating a property that’s in Atlanta and a property that’s in Phoenix, you can just pick that investment based on the merits of the investment itself. you know, what’s the location, what is the rent, what are the returns, and not have to also be factoring in, well, also, what are the arrived fees and and are the arrived fees higher on this one, lower on the other one, and should that drive my decision? So, the fee information is in the uh the FAQ that Karin just dropped. And then on the I think financials tab of those properties that we were just looking at, you’ll see all the same information and links for more content there as well. Fantastic, Jake. Thanks for going into great detail there. Let us know folks if there’s any other questions on fees. We’re happy to walk through it. I think we cruise through everything today so we can gear up to close our virtual doors. But Jake and Kyle, any closing remarks before we shut our virtual webinar doors today.
That’s all I’ve got. Um, thanks for joining. I know we did a lot of content in this whole 45m minute presentation. So don’t be a stranger and feel free to shoot us an email at supported arriveive.com or join another webinar next week and happy to kind of continue the conversation and like we said want you guys to feel like you fully understand everything that’s going on before you get started and thanks for hosting my first webinar debut here. It was it was great to to meet everyone and I’m looking forward to to subsequent webinars and getting a chance to know you. Absolutely Jake. Thanks so much for your time as always Kyle. absolutely exceptional to have you on your first webinar. You’ll also be on our Q3 webinar uh prop or our financial performance webinar coming up next week. So, if folks have not attended, I definitely recommend doing so. Even if you have not invested yet, we walk through performance for all the different funds, individual properties. U sometimes Ryan gives a sneak peek into what’s coming down the pipeline, which you got a little bit of that today from Jake and Kyle. looking forward to all things arrived and hope you all have a great rest of your day. Thanks, Alex. Bye all.