High Yield
10.62% Average Annual Return
Consistent
69 Positive Months
Diversified
50+ Markets, 125+ Active Loans
Unique
1st Position Debt on Real Estate

Performance

We are proud of the Fund's excellent track record and continually look for ways to improve our credit analysis and underwriting--making adjustments to lending criteria when required. Our goal is to deliver positive returns to our investors every year and in all economic environments. Aloha's portfolio manager has been running successful alternative investment funds since 1997.

201520162017201820192020
Jan 1.31% 1.01% 0.86% 0.78% 0.73% 1.06%
Feb 0.96% 0.93% 0.91% 0.68% 0.61% 0.83%
March 1.19% 1.03% 0.90% 0.81% 0.71% 0.57%
April 1.09% 0.96% 0.86% 0.77% 0.33% 0.63%
May 1.09% 1.01% 0.94% 0.83% 0.80% 0.61%
June 1.09% 1.03% 0.87% 0.85% 1.15% 0.53%
July 1.34% 0.99% 0.88% 0.77% 0.71% 0.47%
Aug 1.04% 0.91% 0.82% 0.63% 1.18% 0.37%
Sept 1.02% 0.96% 0.82% 0.70% 0.75% 0.42%
Oct 1.03% 0.98% 0.67% 0.79% 0.78% 0.38%*
Nov 1.03% 0.93% 0.65% 0.63% 0.70% ~
Dec 1.04% 0.95% 0.80% 0.44% 0.74% ~
YTD14.06%12.34%10.45%9.02%9.57%5.62%

***Based on timing of our monthly financials, the prior 1 - 2 months returns reflected in the performance capsule are estimated. Further information related to past performance appears at the bottom of this website.

Max Draw-downPositive MonthsNegative MonthsTotal ReturnSharpe Ratio
0.00% 69 0 78.57% 3.10
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$218M

Loans Originated
Since Inception

69

Months
Positive Returns

150+

Active Loans
in the Portfolio

10.62%

Average Annual
Net Return*

Overview

Aloha LTD Income Fund offers investors access to a professionally managed portfolio of high-yield, first position loans on single family and multi-family residential properties in 50+ markets.

Every loan is personally guaranteed by experienced real estate investors who are underwritten by our team of private lending experts.

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brown-and-gray-concrete-building-2556003

High-Yield
Low Volatility

MONTHLY SUBSCRIPTIONS &
Quarterly WITHDRAWALS

MONTHLY INCOME
BY ACH Payment

Our Strategy

The US residential market is our focus because of the strong economic tailwinds in the sector. An aging supply of existing housing, a housing shortage and rapid price appreciation produces a favorable risk-reward profile for Aloha's borrowers and Fund investors. Lending is a lower risk approach to real estate investing with the safeguard of foreclosing and owning property. The Fund has delivered high-yield, consistent returns by diversifying across markets, regions and borrowers. The portfolio is actively managed, with a constant eye on mitigating risks, so we can provide stable
monthly income and liquidity to our investors.
Short-Term, Recourse Loans

Thirteen month bridge loans, with an average payoff in eight months, thereby mitigating market downturn risks.

Borrowers are aligned with Fund investors, since they have capital in their deals and personally guarantee the loan.

Institutional Quality Notes

The underwriting process aligns with our smart money institutional capital partners.

Notes held in the Fund can be sold early in the loan's life cycle, which significantly reduces the probability of defaults.

Multiple Exit Plan Analysis

The borrower's primary and secondary exit plans are key underwriting factors.

Sound exit strategies reduce the probability of loss if market conditions change, or if Aloha is required to take over the project.

Experienced Borrower= Reduced Risk

Our borrowers have proven experience executing their real estate strategies.

Repeat borrowers are typical with Aloha. This creates stronger partnerships, more transparency and ongoing lending opportunities.

Why Invest With Us?

Aloha's principals have been managing money since 1996. With twenty-five years of experience in designing and executing investment strategies, we understand how to navigate the inevitable ups and downs of the business cycle. We made money for our Fund investors in the dot.com bust of 2000-2001 and during the financial crisis of 2007-2009. We believe that real estate lending offers an excellent risk-adjusted return, uncorrelated to the stock market with steady, low volatility returns during both bull and bear markets.

Many of our investors are friends, family, or past colleagues that trust us with their hard earned wealth. We seek to preserve and growth our partners' wealth in the long run. We take great pride in the fact that many of our new investors are referrals.

FUND BENEFIT AND FEATURES

RELIABLE
RETURNS

Our team of lending experts has produced a stellar 5 year track record of success.

We have 60+ consecutive positive months with low volatility and average annual returns of 11.09%.

ENHANCED
LIQUIDITY

A residential real estate investment that is more liquid than owning property or individual notes.

Monthly additions and quarterly withdrawals of capital.

RESIDENTIAL REAL ESTATE INVESTMENT

Easy access to a robust sector that has strong economic fundamentals. 

The $38 Trillion US housing market is one of the best asset classes in the world.



DIVERSIFIED
PORTFOLIO

Gain instant access to a diversified pool of high yield loans.

1st position, short-term residential real estate loans in over 30 states and 125+ borrowers.

MONTHLY
REPORTING & INCOME

Investors receive monthly reports on their account and details on the portfolio of loans.

You decide to receive monthly income via direct transfer into your bank account, or compound returns.

THIRD PARTY
OVERSIGHT

The Fund employs two third party CPA firms, one for monthly accounting and one for annual audited financial statements.

This redundant structure provides our investors with maximum safety. Service providers are available for reference.

 

FUND DETAILS

LEGAL COUNSEL Rimon Law, PC (Securities); Larocca Hornik Rosen & Greenberg (Lending); Geraci Law (Lending)
FUND ADMINISTRATOR Fleming Fund Services, CPAs
AUDIT AND TAX Stout, Causey & Horning, CPAs
SUBSCRIPTIONS Monthly
DISTRIBUTIONS No lockup; Quarterly W/ 45 Days Notice
MINIMUM INVESTMENT $100,000
MANAGEMENT FEE 1.0% Annually, Charged Monthly (Reduced by 50% if invested by Sept 1, 2020)
LOAN SERVICING FEE 10% Servicing Fee on interest earned
ACCOUNT TYPES Accredited Investors, Non-qualified, IRAs, ERISA, Foundation/501(C)3, Etc.

Interested in investing with us?

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What about defaulted loans?

In the private lending industry, there are several ways a loan can become non-performing including maturity default, interest payment default or construction progress default. We actively monitor loans using key indicators such as interest payment timeliness, construction progress, progress towards loan exit plan. This data gives us the opportunity to manage potential non-performance before it occurs. Our active & early asset management along with strict underwriting guidelines has been the main reason why our non-performing statistics are some of the lowest in the industry.
Loans To Date (#)Loans To Date ($)Default Rate (%)Resolved Default Loan RoR (%)
1221 $210,755,957 2.56% 2.28%
What happens when a loan is in default?
As a lender, we have a variety of tools to mitigate the impact these loans have on the portfolio. The first and foremost is underwriting, that is why Aloha originates only first position, personally guaranteed loans to experienced real estate professionals. When a loan does go into default our asset management team works to find the best outcome for our investors. We take great pride in the success we have had resolving defaulted loans. In fact, defaulted loans have delivered an average of +2.48% to investors.

Below are the three primary methods available to exit from a loan in default along with an actual example of each.

Forbearance | Modification

A forbearance or loan modification is a negotiated agreement between the lender and borrower to adjust the terms of an existing loan. This option can be used to extend the length of the loan, adjust the interest payments by delaying them until loan payoff, or reduce the interest rate to a level that the borrower can manage.

CASE STUDY

THE SITUATION:
A Borrower who had performed on prior loans approached us with concerns and supporting documentation indicating short-term liquidity issues. They had enough cash on hand to complete the rehab of the property, but not enough to stay current on monthly interest payments.

THE FACTS:
1) The Borrower had previously showed that they could execute on the rehab and sale of a property.
2) The fully funded loan balance was <75% of the appraised after repair value of the property.

THE SOLUTION:
With plenty of profit available at sale; Aloha decided to allow interest payments to be rolled into the loan payoff. Within 3 months, the property was sold, and all interest was earned by the Fund investors.

Borrower Takeover

Our loans are business to business loans where the borrower is an LLC instead of an individual. The LLC is typically a single purpose vehicle, meaning it was established for the sole purpose of owning the particular property and receiving a loan from the lender. It has no other assets or liabilities. This allows the opportunity for a new borrower to take over the entity and personal guarantee.

CASE STUDY

THE SITUATION:
A Borrower informed us that there was a disagreement between the members of their partnership and they could not complete rehab or pay interest.

THE FACTS:
1) The Property was in the middle of rehab with 75% of the construction budget unfunded.
2) The fully funded loan balance would allow for a profit based on the appraised after repair value of the property.

THE SOLUTION:
We had many other performing borrowers in that market. We assisted one of our performing borrowers with the negotiation and legal takeover of the non-performing borrower's legal entity. Within 6 months, the property was sold by the takeover borrower, and all interest was earned by the Fund investors.

Foreclosure | Deed in Lieu

Since the loans held in the portfolio are 1st position liens, we have the right to foreclose on the property. If the sale of the foreclosed property does not cover the full indebtedness, including interest & legal fees, the lender will receive a judgment and can sue on the personal guarantee.

Alternatively, the lender may negotiate a Deed in Lieu agreement where the borrower deeds the property to the lender in exchange for release from the personal guaranty.

CASE STUDY

THE SITUATION:
A Borrower stopped paying interest on their loan and was completely unresponsive to multiple emails and phones calls for 60 days.

THE FACTS:
1) The Property did not require rehab had rental income.
2) The loan balance was 75% of the appraised as is value of the property in a market with substantial positive appreciation.

THE SOLUTION:
We actively pursued foreclosure on the property; at public auction, our bid included full indebtedness. We took ownership of the property, are collecting $1,400/mo rent from the long term renter (7%+ Annual Cash on Cash Return) and recently appraised the property for $52K over the previous loan outstanding which represents an additional 23% return on this loan to the Fund investors.

Loan Underwriting Process

Having underwritten thousands of borrowers and transactions, we have created a
systematic underwriting method based on six key borrower characteristics & eight property elements. These fourteen data points combine to make up our credit grade for each loan. We pass on deals that don't meet our minimum criteria.
1

Borrower Underwrite

Loan Application 
Personal Financial Statement 
Credit Report
Background Check
Bank Statements
Experience Verification

2

Property Underwrite

Purchase Price vs. Appraised Value
Rehab Budget & Feasibility Study
Est. ARV vs. Appraised ARV
Profitability w/ Sale Exit
Cash Flow w/ Rental Exit
Zip Code Median Value vs. ARV
Zip Code Median Value Annual Trend
Zip Code Population Density


Testimonials

Don't just take our word... A few thoughts from our investors:
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Our Team

FUND MANAGEMENT

The Aloha Capital leadership team has over 60 years of experience in investment management & real estate investing.

Steve Sapourn

Principal

Steve Sapourn - Bio

Mr. Sapourn is a co-founder and portfolio manager for the Manager and Aloha Capital. From the inception of this business through December 31, 2019, Aloha Capital has underwritten and originated over 1,100 loans with aggregate face amounts exceeding $194 Million. At Aloha Capital, Steve is primarily responsible for designing new lending programs, establishing and overseeing current lending guidelines, portfolio risk management and asset management.  

A real estate investor for over 20 years, Mr. Sapourn actively invests in commercial and single-family residential projects, as well as lending his personal assets alongside those of the Fund’s investors. Steve’s years of experience in the alternative investment industry include founding Sapourn Financial Services (“SFS”) in 1996. As chief investment officer at SFS, Steve managed over $125 million of client assets using quantitative trading strategies he developed. From 2004 to 2007, he served in various roles including compliance officer and chief of operations at Dekker Capital Management, an asset manager with $100 million in assets. In 2007, he co-founded Diamond Peak Capital, where he served as portfolio manager for Diamond Peak’s fund of funds and in-house trading programs. He has deep expertise in analyzing the risk and reward of investment opportunities. 

Steve graduated from the University of Colorado, Boulder in 1992 and currently resides in Boulder, Colorado.

Christopher Jones

PRINCIPAL

Chris Jones - Bio

Mr. Jones is a co-founder and Principal of the Manager and Aloha Capital with two and a half decades of experience in the alternative investment industry. At Aloha Capital, Chris is primarily responsible for business development, capital formation, investor relations, and fund compliance. 

His career in private money management began in 1996, as director of business development for SFS, where he raised $125 million in client assets and led investor relations. From 2004 to 2007, Mr. Jones was a business development and operations executive with Dekker Capital Management in the managed futures space, contributing greatly to the firm’s rapid growth to $100 million in assets under management. In 2007, he co-founded Diamond Peak Capital, served as its chief compliance officer, led business development and co-managed a fund of funds. 

Chris graduated from the University of Colorado, Boulder in 1993 and currently resides in Boulder, Colorado.

Kevin Hill

Chief Operating Officer

Kevin Hill - Bio

Mr. Hill is the Chief Operating Officer of Aloha Capital and has over 15 years of experience in the alternative investment industry. At Aloha Capital, Kevin is primarily responsible for accounting, operations, borrower and borrower/deal underwriting, compliance, and business development efforts related to lending activities. 

Kevin’s years of experience in the alternative investment industry include leadership roles at two alternative investment fund administration and consulting firms as well as overseeing the operations of a fund of managed accounts with over $2 billion in assets under management. He has been deeply involved with growing several businesses through the development of technology, processes, people and partners to exponentially expand revenue and profitability growth. 

Kevin graduated from the University of Wisconsin, Madison in 2003 and currently resides in Boulder, Colorado.

Steve Sapourn

Managing Member

Steve Sapourn - Bio

Mr. Sapourn is a co-founder and portfolio manager for the Manager and Aloha Capital. From the inception of this business through December 31, 2019, Aloha Capital has underwritten and originated over 1,100 loans with aggregate face amounts exceeding $194 Million. At Aloha Capital, Steve is primarily responsible for designing new lending programs, establishing and overseeing current lending guidelines, portfolio risk management and asset management.  

A real estate investor for over 20 years, Mr. Sapourn actively invests in commercial and single-family residential projects, as well as lending his personal assets alongside those of the Fund’s investors. Steve’s years of experience in the alternative investment industry include founding Sapourn Financial Services (“SFS”) in 1996. As chief investment officer at SFS, Steve managed over $125 million of client assets using quantitative trading strategies he developed. From 2004 to 2007, he served in various roles including compliance officer and chief of operations at Dekker Capital Management, an asset manager with $100 million in assets. In 2007, he co-founded Diamond Peak Capital, where he served as portfolio manager for Diamond Peak’s fund of funds and in-house trading programs. He has deep expertise in analyzing the risk and reward of investment opportunities. 

Steve graduated from the University of Colorado, Boulder in 1992 and currently resides in Boulder, Colorado.

Christopher Jones

Managing Member

Chris Jones - Bio

Mr. Jones is a co-founder and Principal of the Manager and Aloha Capital with two and a half decades of experience in the alternative investment industry. At Aloha Capital, Chris is primarily responsible for business development, capital formation, investor relations, and fund compliance. 

His career in private money management began in 1996, as director of business development for SFS, where he raised $125 million in client assets and led investor relations. From 2004 to 2007, Mr. Jones was a business development and operations executive with Dekker Capital Management in the managed futures space, contributing greatly to the firm’s rapid growth to $100 million in assets under management. In 2007, he co-founded Diamond Peak Capital, served as its chief compliance officer, led business development and co-managed a fund of funds. 

Chris graduated from the University of Colorado, Boulder in 1993 and currently resides in Boulder, Colorado.

Kevin Hill

Chief Operating Officer

Kevin Hill - Bio

Mr. Hill is the Chief Operating Officer of Aloha Capital and has over 15 years of experience in the alternative investment industry. At Aloha Capital, Kevin is primarily responsible for accounting, operations, borrower and borrower/deal underwriting, compliance, and business development efforts related to lending activities. 

Kevin’s years of experience in the alternative investment industry include leadership roles at two alternative investment fund administration and consulting firms as well as overseeing the operations of a fund of managed accounts with over $2 billion in assets under management. He has been deeply involved with growing several businesses through the development of technology, processes, people and partners to exponentially expand revenue and profitability growth. 

Kevin graduated from the University of Wisconsin, Madison in 2003 and currently resides in Boulder, Colorado.

LENDING

All loans are underwritten, originated and serviced by our internal team of lending experts at Aloha Capital (an affiliated entity of the Aloha LTD Income Fund). We take great pride in creating a team that not only understands our lending business, but also intimately understands how their role affects investment return delivered to our Fund Investors. Their compensation is aligned with the performance of the Fund’s loan portfolio to ensure their success is in lock step with yours.  

Ashley Gebben

Loan Coordination - Manager

Ashley manages all aspects of borrower & property underwriting along with coordination of property valuations, title policies, loan document prep, and post close activities. 

Jazmine Vigil

LOAN COORDINATION

Jazmine assists with all aspects of borrower & property underwriting along with coordination of property valuations, title policies, loan document prep, and post close activities. 

Matt Luellen

LOAN COORDINATION

Matt assists with all aspects of borrower & property underwriting along with coordination of property valuations, title policies, loan document prep, and post close activities. 

Caitlin Waldschmidt

Loan Origination

Caitlin manages all outbound sales efforts including Aloha Capital’s presence at real estate investment conferences, meetups and other face to face opportunities.  

Blair Fajkowski

LOAN ORIGINATION

Blair manages our sales efforts on inbound lending opportunities for all loan products and manages the initial borrower and property underwriting. 

Patrick Haddon

LOAN ORIGINATION

Patrick manages our sales efforts on inbound lending opportunities for all loan products and manages the initial borrower and property underwriting. 

Brandon Threlkeld, CPA

Controller

Brandon manages all Finance and Accounting for Aloha Capital as well as the portfolio accounting for the Funds’ loan portfolio.

Scott Barbee

Assistant CONTROLLER

Scott manages all loan servicing related activities including client relations, construction draws, interest collection, and payoff requests.

Insights

Learn more about why we do what we do!

Talk with Aloha about Investing

We expect you to have questions and would appreciate the opportunity to further earn your trust.
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Here for you

Call us now.
(303) 245-0292

Where to find us

4676 N. Broadway
2nd Floor East
Boulder, CO 80304

IMPORTANT DISCLOSURES:
*The performance data listed above represents the past performance of Aloha LTD Income Fund LLC; past performance does not guarantee future results; current performance may be lower or higher than performance data presented; qualified potential investors can contact us for current performance data. The Average Annual Return reflected includes 2015 to 2019 and not the current, partial year. 
This material is provided for informational purposes only. Nothing contained in this material is an offer to sell or solicitation of an offer to buy any security. Any offering of securities by Boulder LTD Management LLC or its affiliates (“Boulder LTD”) will only be made pursuant to the terms of a private placement memorandum. In addition, (i) any securities offered to investors that respond to any general solicitation or general advertisement made by Boulder LTD Management LLC may be sold only to accredited investors; (ii) such securities will be offered in reliance on an exemption from the registration requirements of the 1933 U.S. Securities Act (the “Securities Act”) and such securities are not subject to the protections of the U.S. Investment Company Act of 1940 or required to comply with specific disclosure requirements that apply to registration under the Securities Act; (iii) the United States Securities and Exchange Commission has not passed upon the merits of or given its approval to any securities offered by Boulder LTD, the terms of the offering, or the accuracy or completeness of any offering materials; (iv) the securities will be subject to legal restrictions on transfer and resale, and investors should not assume they will be able to resell their securities; and (v) investing in securities involves significant risks, and investors should be able to bear the loss of their investment. Opinions expressed herein are not intended to be a forecast of future events or a guarantee of future results. Although this material may include investment-related educational information, nothing contained herein, or in any other communications made by Boulder LTD, is a recommendation that you purchase, sell or hold any security or other investment, or that you pursue any investment style or strategy. Boulder LTD Management LLC does not give any advice or make any representations as to whether any security or investment is suitable for you or will be profitable. Past performance is not indicative of future results. Although information in this document has been obtained from sources believed to be reliable, Boulder LTD does not guarantee its accuracy or completeness and accepts no liability for any direct or consequential losses arising from its use. Any referred to indexes are unmanaged and are shown for illustrative purposes only and do not represent the performance of any specific investment. Index returns do not include expenses, fees or sales charges, which would lower performance. Boulder LTD does not provide tax or legal advice. Investors should seek advice based on the taxpayer’s particular circumstances from an independent tax advisor.