Skip to main content
Invest

In ALFIE

Our mission is to help build the communities we serve. We do this by providing simple real estate financing solutions to our borrowers and a locally focused, defensive investment option to our investors.

Investors find comfort in knowing that our primary goal is PRESERVATION OF INVESTOR CAPITAL and are pleased by our historically consistent and attractive returns.

When our borrowers succeed, our investors, neighborhoods and towns succeed.

What Is ALFIE?

ALFIE is a private debt fund that specializes in construction lending. Established in Asheville, NC in 2015, our fund works by pooling investor capital to provide short term construction loans to builders and real estate entrepreneurs in North and South Carolina.

ALFIE offers builders and developers a time and cost effective solution by providing streamlined access to capital for projects that benefit investors, borrowers, and local communities.

ALFIE IS A…

  • Group of hands-on real estate and finance professionals actively managing your investment capital
  • Community based lending solution
  • Pooled investment fund which distributes risk across all active loans in our portfolio
  • First position lienholder designed to protect investor capital
  • Specialist in short term construction and bridge loans
  • Flexible financing solution for local real estate entrepreneurs in North and South Carolina
  • Simple, straightforward investment offering that generates income reported on IRS Form K1 with the capital QBI deduction of 20% on ALFIE generated income

ALFIE IS NOT A…

  • Primary residence lender
  • Long term mortgage lender
  • Publicly traded investment offering
  • Predatory lender
  • Second position lienholder
  • A bank

Invest In ALFIE

ALFIE has over 260 accredited investors. Our investors come from across the United States. We have originated over 1575 loans totaling over 505 million since inception in 2015.

Our open-ended fund structure enables us to raise and deploy capital quickly to serve our borrowers. We strive to maximize returns on investor capital while simultaneously diversifying exposure to investments in the stock and bond markets.

ALFIE investors MUST qualify as Accredited Investors*

  • Minimum investment of $50,000
  • Minimum investment period: three months for ALFIE Classic Fund
  • Simple Liquidity Feature **
  • Interest distributed to investors quarterly in the form of direct deposit or
    re-investment into the fund
  • Advantageous investment structure: First 4% of earned interest goes to investors, the next 2% to ALFIE Management, and the remaining is distributed in an 80/20 investor/management split
  • Average annual returns:
    Classic Fund: 2018-2022: 7.38%, 2023: 8.25%, 2024: 8.42%
    Income Fund: 2021-2022: 7.86%, 2023: 7.57%, 2024:10.64%
  • Current investor position profile ranges from $50,000 to $4,000,000
  • Average investor position: $250,000
  • Investor references available upon request

* An accredited investor meets the requirement of having either 1) $1 million or more in assets (excluding primary residence) or 2) Annual income of at least $200,000 individually or $300,000 jointly. Contact your financial advisor for more information on SEC accreditation standards.

**Liquidity available subject to market conditions and management discretion.

Investor FAQs

What are the biggest risks to investors in ALFIE?

As with all investment, there is risk of loss of capital. Investors in ALFIE are exposed to the risk of a variable rate of return, but the biggest risk is a temporary or longterm suspension of liquidity by the fund manager. A wave of Real Estate defaults and foreclosures would slow payoffs thus reducing our return and could potentially get to a point that overwhelms the liquidity of our facility. This scenario is most likely to occur in a severe recession or as the result of an external shock to markets.

We protect against this risk by underwriting conservatively and insisting on first lien positions and borrower cash in projects. In the most extreme case of a major real estate downturn, we believe that many of our borrowers would complete their projects and rent their properties to pay ALFIE until the market recovers. The final protection rests on the flexibility of our team to shift into acquisition and property management to ensure preservation of investor capital.

What is ALFIE’s loan default experience?

To date, ALFIE has made over 1500 loans. As of the beginning of 2025, we have foreclosed upon or taken deed-in-lieu of forclosure on forty properties. This puts ALFIE’s historic default rate at less than 2.75%. We make every effort to help our borrowers work themselves out of bad situations, yet we have the experience to manage foreclosures as needed.

Are there any tax advantages to investing in ALFIE?
Distributions from ALFIE are reported in Box 1 of IRS form K1 as business income. This entitles investors to take advantage of the qualified business income (QBI) deduction of 20% on ALFIE generated income. Please consult your tax advisor for specific implications.
How has ALFIE addressed rising interest rates?
ALFIE is not impacted directly by rising interest rates because we are not tied to Federal or other mortgage rates. Historically ALFIE charged borrowers 10-11%. In December of 2022, we increased our rates to 12%. We determine our rates by market competition and demand. ALFIE loans are short term so we have the ability to quickly adjust our interest rates up or down in response to market conditions.

Want to learn more about Investing with ALFIE?

Fill out this form to get started and a member of our team will reach out with more details.