Investment Committee Memo · Waterfalls
MHPI III, LLC
MHP Portfolio, LLC and RV Horizons, Inc. · Mobile Home Parks · Equity · Vintage 2014
41
Waterfalls composite LP-favorability score (0–100)
80
LP take (absolute)
38
Pref quality
0
Fee drag
10
GP alignment
15
Timing risk
Key economics
- Preferred return
- 8%
- Hurdle rate
- —
- LP / GP split
- 50% / 50%
- GP catch-up
- No
- GP clawback
- No
- GP commitment
- —
Diligence findings (7 · 4 high/critical)
- criticalAll Distributions tier 2 over-allocates: shares sum to 200%, not 100%
- criticalAll Distributions tier 4 over-allocates: shares sum to 200%, not 100%
- criticalAll Distributions tier 5 over-allocates: shares sum to 200%, not 100%
- highDDQ gap: Does the fund engage an independent auditor?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: Does the fund use a third-party fund administrator?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: 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.
DDQ readiness — 79% covered
15 answered · 0 partial · 4 gaps of 19 standard questions.