Fund 11

UPDATE: I was in the Vail Valley investment that sold and closed out. I'm also in Fund 4 and that has been horrible. I've had seven distributions since my initial investment in 2021 and nothing since 2023. Although Fund 4 is a Mobile Home Park Fund, I am very nervous after hearing about the recent $15MM loss of investor funds. I've lost trust in ODC and wouldn't recommend investing with them.

I invested $200k with ODC. I didn't receive any distribution for for over a year, and then the fund starting issuing quarterly distributions of $1k. In almost 3 years I've received less than $10k in distributions! So what's the ROI math on that... about a 1.5% return per year, over the 3 years. The portfolio I'm invested in overall is significantly underperforming, and I've read where other funds are also underperforming, and it was just announced that one of their funds completely failed, and they lost $15 million of investors money. A couple of things that really bother me about all of this: One issue I have is that (at least until recently, as in the last few months), Brandon would go on various Podcasts and brag about his portfolio being at or nearing $1 billion dollars, but ironically enough, he never mentions how poorly some of his portfolio is performing. He acted like everything was sunshine and rainbows, which I find to be very misleading. Two, he also brags on a lot of these podcasts about living on the island of Maui and not working more than 10 to 15 hours a week; that's pretty insulting to people like me that invested my hard earned money with him (and bet on him), but apparently he's too busy perfecting his surfing skills and didn't have time to resolve the many issues that are being experienced across multiple funds that he's raised money for... My hope in that investment was that they could earn me close to the same returns I make with my own investments, but without having to do any of the work myself. Learn from my mistakes - do not invest with ODC, or with Brandon in anything he's affiliated with.

I have participated in multiple Open Door Capital (ODC) offerings, and the results have been mainly poor. Most notably, I recently suffered a 100% loss of capital on the Heights on Katy investment. The issues are consistent across the board: Poor Results: Performance has consistently lagged behind initial projections. Absent Leadership: There is a lack of 'boots on the ground' operations. In my opinion, Brandon Turner has not been 'in the trenches' enough to maintain a pulse on performance or address mounting issues effectively. Delayed Communication: Updates are provided a month or more later when comparing to other operators I am invested with. High-Risk Financing: I believe ODC over-leveraged short-term variable-rate loans. In 2021-22 many inexperienced operators were doing deals because it was easy to raise the capital. It appears ODC prioritized closing deals and collecting fees over hedging against interest rate risk and market cycles. I will not be investing with ODC again.

I invested with ODC due to following Brandon Turner and wanting to support him with ODC. This was one of my first LP investments so I just trusted pro forma without the sponsor having the backing of a solid track record on bigger assets and in Houston, TX. On this particular deal they partnered with Disrupt Equity as the property manager. Disrupt Equity appeared to be a solid local operator, however that turn out not to be the case, property lost occupancy and did not perform close to the projections. I would definitely say don't invest with Disrupt Equity as they dropped the ball in property management and I would say ODC has to go through growing pains of a newer sponsor trying to find their footing with their team, hires, etc. Currently this project has paused distributions over the past year and the total distribution is less than 1% annualized since investing late in 2022. Looking back I now tend to favor vertically integrated sponsors feeling like it limits this risk an you don't have to do due diligence on 2 sponsors.