MTAG Investments

MTAG Investments, the wholly owned investment affiliate of Station 31 Partners, manages investments and assets with a focus on becoming the go-to capital provider across the risk spectrum for real estate assets. With a focus on identifying and managing value-driven opportunities across the real estate sector, MTAG Investments has successfully launched three investment funds aligned with its core strategies including real estate private credit, distressed and specialty debt purchasing, and property tax lending.

Strategies

Private Credit

MTAG Investments provides capital to real estate professionals who need short-term funding for the execution of immediate and profitable opportunities. Through our decade-long experience acquiring, managing, and resolving thousands of properties across the United States via our MTAG Services affiliate, MTAG Investments has developed localized market knowledge and strategies that enable us to offer capital solutions that traditional lenders cannot.

Private Credit Through Tax Loans

MTAG Investments provides capital through property tax loans. These loans are a financial option available to property owners in Texas who are struggling to pay their property taxes. When property owners are unable to pay their property taxes, they can face penalties, interest, and even potential foreclosure. A tax loan is a type of loan offered by private companies or lenders that specialize in paying off property taxes on behalf of the property owner. Once the loan is originated the lender pays directly to the municipality and in exchange receives a tax lien transfer which primes the mortgage and gives the super senior priority position to the tax loan originator. This strategy offers low exposure of a tax lien and the returns of a private credit loan.

Distressed & Specialty Note Purchasing

MTAG Investments has access to non-performing loan (NPL) portfolios as well as special situation real estate backed loans which can be acquired on the secondary market with a significant discount to the outstanding balance, thus creating a high risk return profile. The loans have conservative LTVs and the collateral consists of assets that are highly profitable and easy to liquidate.

Why MTAG Investments

Asset Expertise

Given the history of servicing and investing in real estate assets in various conditions through our tax lien experience, MTAG is uniquely positioned to underwrite and manage all types of real estate properties.

Risk Management

MTAG Investments’ main investment thesis is to find nonmarket correlated, high risk-adjusted return products, to offer investors diversified opportunities to traditional offerings.

Proprietary Innovation

MTAG investments in on the cutting edge of technology and uses in-house proprietary software for sourcing and managing deals.

Competitive Advantage

MTAG Investments leverages its affiliate MTAG Services to combine expertise, innovations, and resources to deliver superior value to investors and clients.

Funds

MTAG Investment Fund

MTAG Investment Fund I was created as a “proof of concept” fund utilizing “friends and family” capital with no leverage. The Fund was launched in 2018 and reached the end of its investment period in January of 2021. Fund I originated eleven loans in the total amount of $12.0 million. The Fund returned a net IRR of 15%.

Edisto Loan Fund

Edisto Loan Fund was structured as an institutional fund with senior bank leverage, third-party subordinated debt, and a first loss capital contribution from our parent company, Station 31 Partners, LLC. Fund II was launched in 2020 and is currently in its amortization period. Fund II has originated a total of 37 loans in the amount of $82 million and $52 million in tax liens, reaching an aggregated portfolio size of $134 million.

MTAG Opportunity Fund

MTAG Opportunity Fund was created to invest in distressed and special situation debt opportunities. Its initial investment is the acquisition of a special situation note backed by commercial real estate in Florida. The discounted note purchase created an investment in a note with a loan basis to collateral value of 37.5%. The fund is projected to return a net IRR of 19.5% to the LP investors.

S31 Texas Loan Fund

S31 Texas Loan Fund is an LP Fund that invests in Texas tax loans to pay for borrowers’ real estate taxes. Texas has a tax lien process in which the taxpayer may proactively take out a property tax loan with an accredited loan company to pay their taxes. In exchange for paying the property taxes, the lender receives a transfer of a municipal tax lien on the property and super priority interest, first lien position on the property. This fund originates these private credit loans at a less than 15% LTV and is targeting a net IRR of 16% and an annual dividend of 6.5% to its LPs which is paid out quarterly. Our current portfolio has a weighted LTV of 12.25% and a weighted interest rate of 13.25%. This is a diverse product that is non-market correlated and gives investors the returns of a real estate private credit loan with the ultra-secure position of a tax lien.

Leadership

Jim Meeks

Chief Executive Officer

Adam Berman

Chief Operating Officer

Robert Vickers

Controller

Charles Bennett

Director of Business Development

Emily Sanford

Director of Asset Management Support Services

Glen Fishman

Director