What COVID-19 Recovery Means for the Rebounding Business Select Hotel Industry and Your Investment

ORIGINALLY BROADCAST ON 12/08/2021
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Q&A from the Webinar:

Q: If I invest $10,000, what happens exactly? And which fund are you talking about?

A: We are currently raising money for AHP REIT, Inc., our REG A+ $50M REIT offering. To give an example for a $10K investment: When we purchase our first property or properties our Board of Directors will declare a “dividend.” Our goal is for 8%, but it can also be lower than 8%. Let’s say it’s year 5 and we have a buyer for our hotels. We sell the hotels to the new buyers. What are you as an investor entitled to? Before we see a penny from the sale of the properties, you would have to see your $10,000 investment back, plus 8% from the moment you purchased shares in the offering. So in this case, you would have to see $10,000, plus $800 for every year you held it. That would be $14,000 before Phoenix American Hospitality participates in the profits. Then the rest of the money is split as follows: 80% to the shareholders and 20% to us, until investors have seen a 12% return. After that, the rest of the money left over is split 60% to investors and 40% to Phoenix American Hospitality.

Q: Can I use my thrift savings account to purchase?

A: If your account is “self-directed,” meaning you can choose the investments inside of it, then you can invest in our offering with those funds. Many Thrift accounts, like 401(k)s, specify what you can invest in—you can choose your allocation but can’t go outside any of the choices they give you.

Q: When is the next webinar?

A: A lot of people asked us this one. We were so pleased with the response to our first webinar that we’ve decided to host an entire series of webinars on all things PAH. The first of the series will be on January 12th, and will cover the impact of COVID-19 on the current value and forecast recovery of hotels. Be sure to sign up for our newsletter for future updates about this!