SPONSOR GRADES / SAMPLE REPORT CARD

Sample report card: what a grade looks like.

SAMPLE — sponsor redacted, data illustrativeFormat of all forthcoming report cards

// Everything below is a demonstration of the report-card format using an invented sponsor with illustrative numbers. Real report cards will name real sponsors, cite real documents on every factual line, and follow the published rubric and editorial standards, including our corrections policy.

MULTIFAMILY · SUNBELT · CURRENT OFFERING: $58M / 62% LTV

Founded [year] · [N] full-cycle programs · [$X]B assets under management

B+OVERALL
Track recordWEIGHT 35%
A−
Fee loadWEIGHT 25%
B−
Deal qualityWEIGHT 25%
B+
CommunicationWEIGHT 15%
A

What earns the grade

The format leads with what the rubric rewards: verified full-cycle history (programs bought, operated, sold, capital returned — compared against their own original projections, with the variance shown), current-offering fee load benchmarked against channel norms from the PPM's Use of Proceeds table, deal-level underwriting reviewed for leverage, loan maturity, and assumption realism, and communication scored on reporting cadence and how the sponsor disclosed problems in prior programs — because every sponsor eventually has one, and the disclosure behavior is the tell.

Red flags — the format

Each flag is a specific, sourced item. Illustrative examples of how they'll appear:

FLAG · FEES

Acquisition priced above third-party appraisal in current offering, with the differential accruing to a sponsor affiliate.

SOURCE: PPM p.[XX], “Conflicts of Interest”; appraisal dated [date]
FLAG · DEBT

Loan matures in year [X] of a projected [X+2]-year hold; PPM states no extension option and no stated refinancing plan.

SOURCE: PPM p.[XX], “Financing” section
FLAG · HISTORY

Distributions in [prior program] reduced in [year]; reduction disclosed in quarterly letter [N] months after effective date.

SOURCE: [Program] investor letters, [dates]

The bottom line block

Every card ends the same way: a plain-English paragraph answering the only question that matters — knowing everything above, what kind of investor does this sponsor fit, and what kind should look elsewhere? Grades summarize; that paragraph decides. And per the wall: whether a sponsor's offerings ever appear in a partner conversation has zero connection to what appears on this card, in either direction.

HIGHLIGHTED

Sponsors: this is the exam. If you want your current offering graded, the materials list is: current PPM, prior-program performance table, and investor communications from your last completed cycle. Documents through the front door. The rubric doesn't negotiate, which is precisely what makes a good grade worth having.

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