Investor · Lynchburg, VA · Member since 2016 · 42 posts · 30 votes
I was searching for a PPR Review within the last year and I think the most current one I could find was from 3 or 4 years ago. I wanted to confirm that to date they have never missed a payment and always returned principal?
I'm new the notes world and frankly the 3-year locked in PPR preferred return of 12% seems almost too good to be true if they in 16 years have never missed a payment or failed to repay principal. Obviously past results are not necessarily indicative of future performance, but it seems like a great investment for accredited investors to get a low-risk, solid return in exchange for some illiquidity.
I can also vouch for Dave VanHorn and PPR. I have been a PPR investor since 2019 getting anywhere between 8% to 12% return over the years with no payments ever missed. I have found this much easier than being a private lender. I also usually compound the return by reinvesting my payments, so the present 12% fund effectively returns 14.38% which is pretty awesome.
I do have a fairly high percentage of my net worth (35%) in the PPR fund. Does anyone have another good fund similar to PPR that I could get some diversification? Please advise. Thanks!
If you are worried about the value add portion of the reliant income fund then take a look at 7E investments as they are 100% notes. At the end of the day you have to trust the management team to navigate the zoning, construction, and inflationary costs of an asset. There are definitely some situations where the multi family guys are hurting because of rising costs, especially those pesky interest rates. Might be a good time to buy one of these multifamily on the cheap from a distressed owner!
Just wanted to follow up on this and whether anyone has put their 401k funds in any of PPRs funds. Obviously it concerns me to that but I wanted to see everyone else's experience doing that in the even it does make sense. Leaving it in an S&P 500 fund right now concerns me too given market prices so this may very well be a better option. Thanks in advance for any help.
I did this in 2023 and regretted it because the S&P over that time has way out performed the PPR funds. I had the same exact logic as you, but it didn't work out. I had no issue placing the 401(k) funds there. Just the decision to take the money out of the S&P at that time was a poor decision
With all due respect @Arthur Johnson I think this is not the right way to assess your decision to invest in PPR. Yes after the fact, we know that the stock market has returned 20%+ per year that last 3 years, while PPR offered a 12% pref with no upside, meaning the most you could make was 12%.
But we must assess the decision at the time you made it. To use a poker analogy, if you went all-in with pocket aces pre-flop and ended up losing the hand, you can't say the decision was wrong.
Now there are plenty of good reasons to suggest investing in PPR was a bad decision, just not comparing it to stock market returns after the fact.
I did at the beginning of 2026, before they reduced the preferred on future investments, and so far I'm pleased with the decision and plan to invest more. Let me add that my decision did not focus on comparing the preferred return vs my higher stock market returns and instead was part of my diversification and risk reduction strategy.
@Hank Hernandez I am invested too. Just be aware there was some uncertainty mentioned above in the thread where some redemptions might not have been honored on time which has some of us a little on edge. Hoping they will continue to perform.
Thank you Joseph! I went back through the mentioned thread and found the responses you mentioned. While I currently have no need or desire to redeem any of my investment, I will be monitoring more closely and hoping as you are they will continue to perform as they have for many years in the past.
I am currently investing with PPR's Reliant Income Fund. Today (11/4/2026) I received an email with important investor update, but I cannot open the document in my portal. Did anyone else receive it? What's in the document? I am a bit worried. I received this month's return on time though, like always.
Can you post this letter? So many of us cannot access the website as we are getting the spinning wheel of death, but we are concerned and would like to see the letter.
I’ve tried to be a student of the funds that were initially popular but then ended up collapsing, and the communication from the sponsors seem to follow a somewhat predictable pattern:
Step 1: “Oh the missed payment this month was just an aberration due to a strange mix of redemptions and liquidity”
Step 2: “Actually there are some deeper structural problems that should work themselves out in 3-6 months”
Step 3: “Actually there might be some impairment of investor capital”
Step 4: “Actually there will likely be serious impairment to investor captial”
Unfortunately I find that PPR is on the same track. In late September, they were telling investors expecting to redeem in October that October just had an inordinate amount of redemption requests compared to normal, but that they expected things to go back to normal in November. Then yesterday, we get the letter and accompanying performance report that admits something more structural is going on with compressed returns on the notes and multifamily/BTR problems.
My biggest issue with yesterday’s letter and performance report is the disconnect between how the letter describes the state of RIF/RFF’s multi-family and BTR portfolio and the actual property by property results in the performance report . From the letter: "We track every loan and every property in the Fund individually, and many assets are performing as expected with 4 properties in the lease up phase and a small number of multifamily properties underperforming expectations"
How could PPR say this with a straight face? I made a property by property comparison of the current occupancy of each of the properties compared to budget and compared to underwriting. 16 out of the 17 properties are underperforming and most by a significant margin. The only property performing better on occupancy was acknowledged to have discounted rent by 30%. I know occupancy is only one metric, but they don't give us their underwriting on any other metric such as NOI that we could compare actual performance to.
When PPR announced in 2024 they were "expanding" scope beyond their core expertise - which had always been NPLs - there was widespread skepticism whether they were getting ahead of their skis... Being "in" multi-family (for the ostensible sake of "portfolio diversification") and actually being experienced, cautious, and masterful at multi-family investing & property management are two very different things.... Time will tell.
If PPR stays dedicated to radical, full, open & honest transparency, they can definitely ride this out and right the ship, but the next 12-24 months will test their character as professionals - and humans - of good faith. I hope they pass the test.
In this market, if an evergreen fund owns and develops real estate and offers a defined redemption timetable, my general rule of thumb cutoff for the LP’s last dollar of exposure is 60-65% of property value. That includes the debt and LP preferred equity, which means there probably has to be a meaningful amount of the GP’s own money invested behind the LP as common equity. Above that 60-65% threshold, I have a hard time seeing how any fund can reliably return capital on schedule without selling property (which is no easy task in this market).
This is not PPR specific, but anyone with lock ups in real estate syndications right now needs to understand where their exposure sits in the capital stack with a realistic assessment of property value.
I will say that while I am a bit worried and nervous about the situation, having Dave Van Horn back at the helm gives me some optimism. In my interactions with him, he has been super responsive and provided robust answers whenever asked. Others who know him better than I do have vouched for his character. As @Paresh Patel mentioned, I think the next 12 - 24 months are going to be very telling both from an asset performance / market conditions perspective, but also from a communications perspective.
I do like this commitment to radical transparency, and hope it plays out. It can be tempting for sponsors to sugarcoat bad news and while I don't think they fairly characterized the current state of their multi-family / BTR portfolio, I do like that we are going to get quarterly updates and monthly townhalls so we can directly see if things are progressing as they plan.