Investment Committee Memo · Waterfalls
Elevation Fund 8, LLC
Elevation Events, LLC (d/b/a Elevation Capital Group); Manager: Elevation Fund 8 Manager, LLC · Self-storage facilities and manufactured/mobile home parks · Equity · Vintage 2020
61
Waterfalls composite LP-favorability score (0–100)
89
LP take (absolute)
68
Pref quality
24
Fee drag
38
GP alignment
42
Timing risk
Key economics
- Preferred return
- 10%
- Hurdle rate
- —
- LP / GP split
- 50% / 50%
- GP catch-up
- No
- GP clawback
- Yes
- GP commitment
- —
Diligence findings (3)
- mediumDDQ gap: Is there a key-person provision?The offering documents don't answer a standard institutional DDQ question (Governance). An allocator will ask this directly — the GP should be ready with an answer.
- mediumDDQ gap: What is the GP's capital commitment (skin in the game)?The offering documents don't answer a standard institutional DDQ question (Economics). An allocator will ask this directly — the GP should be ready with an answer.
- mediumDisposition Fee (1%) is taken above the waterfallA performance- or transaction-linked fee paid above the waterfall reaches the GP before the LP's distribution priorities run, eroding the pool the pref + return-of-capital draw from. Routine asset-management fees above the line are normal; a disposition/promote-flavored fee there is a leak worth pricing.
DDQ readiness — 84% covered
16 answered · 1 partial · 2 gaps of 19 standard questions.