Beautiful Two Tower Residential Community Signing New Tenants
An Important Note for 2023 Class A Unitholders: If you were a holder of Belpointe PREP, LLC’s (“Belpointe OZ’s”) (NYSE American: “OZ”) Class A units in 2023, you can now access your 2023 Schedule K-1 on our tax package support website: located here.
Belpointe OZ has also physically mail a copy of your Schedule K-1 to your address of record.
Currently set to receive its first residents later in May, Belpointe PREP, LLC’s (“Belpointe OZ’s”) (NYSE American: “OZ”) first major multi-family residential project, Aster & Links, represents what we believe to be the finest urban living experience that Downtown Sarasota has to offer. Located just off the waterfront of Sarasota Bay, we believe Aster & Links offers a distinct vibe in close proximity to world famous Siesta Key, the historical outdoor marketplace, St. Armands Circle, and the barrier island of Longboat Key that stretches for miles along the turquoise waters of the Gulf of Mexico.
In May 2023 U.S. News & World Report ranked Sarasota as the 5th Best Places to Live in the U.S. based on affordability, quality of life, desirability, and job market. Sitting just below Green Bay, Wisconsin, Huntsville, Alabama, Raleigh/Durham, North Carolina, and Boulder, Colorado, Sarasota at the #5 position was the highest rated city in Florida.
Taking an in depth look at The 25 Best Places to Live in the U.S. in 2023-2024, U.S. News & World Report reported that Sarasota “is the second-fastest growing metro area out of 150 places ranked, behind only Myrtle Beach. From 2020 to 2021, Sarasota saw a population increase of 3.55%, due to net migration, according to the U.S. Census Bureau.”
According to data provider Sperling’s Best Places, on average, Sarasota receives 251 sunny days per year. Because of Sarasota’s location on the Gulf of Mexico, the waters there tend to be calmer, and it boasts some of the highest-rated beaches in the country, wide with sugar-like white sand and offering stunning sunset views being on the west side of the state.
We believe the new luxury construction in Sarasota’s downtown district is attracting residents who would have previously considered Miami and Naples. In addition, we think the remote work economy has prompted people to reconsider their living arrangements, seeking full-featured high-rise living near the beach.
Nearby St. Armands boasts resort destinations, while downtown Sarasota offers sites like Bayfront Park and Marina and adjacent Marina Jack, a waterfront dining destination and marina where charter fishing and recreational boating is available. Other key points of interest within short reach of Aster & Links include the Van Wezel Performing Arts Hall, Sarasota Jungle Gardens, Sarasota Opera House, John and Mable Ringling Museum of Art, Sarasota Farmers Market and the Marie Selby Botanical Gardens that sits next to a wide walking/biking path that traverses the downtown waterfront, connecting to the John Ringling Causeway that takes leads out to Bird Key and St. Armands Circle.
Aster & Links is intended to become a benchmark for elevated living, boasting over 900 parking spaces, including garage parking options, and will offer a comprehensive array of amenities, including a clubroom, fitness room, center courtyard with a heated saltwater pool, and an exceptional selection of rooftop amenities. The rooftop spaces will feature community rooms, private dining areas for exclusive events, and outdoor grills, while providing residents with picturesque views and a delightful retreat.
With the first of Aster & Links’ two towers near completion, Belpointe OZ currently expects the second tower to open for new move ins during the second half of 2024. Greystar Real Estate Partners, LLC, one of the largest global property management companies, is managing the new tenant application and move in process.
Investors and future tenants can now preview and pre-lease the available units and floorplans on the updated Aster & Links website, which displays the full-featured, Class A luxury apartment layouts with living spaces from 865 to 2,820 sq. feet, one-bed/one-bath to four-bed/three-and-a-half-bath and a wide array of options to fit the needs and wants of all future tenants. Below is a rendering of a 2,820 sq. foot two-level penthouse that will occupy the topmost floors of the Aster building.
Additionally, below we’ve included a photo of 1000 First Avenue North in St. Petersburg, Florida, another property in Belpointe OZ’s portfolio that is roughly 35% complete.
1000 First is being developed into a 15-story high-rise building named “Viv.” Viv will be comprised of two 11-story residential towers above a 4-story parking garage, featuring approximately 269-apartment homes consisting of studio, one-bedroom, two-bedroom and three-bedroom units, with approximately 15,500 square feet of retail space located on the first level.
We currently anticipate amenities will include a clubroom, fitness center, courtyard with a swimming pool, shared working space and a leasing office. 1000 First is located in the downtown district of St. Petersburg, one mile west of Tampa Bay and the downtown waterfront district and features direct access to downtown amenities such as public parking, restaurants, museums, and cultural sites.
We believe that many people initially invested in OZ’s Class A units because of the attractive tax benefits provided by the Opportunity Zone program, but we want to remind investors that OZ is not a typical public REIT or partnership where stabilized and cash-flowing assets can be contributed day one. Under the Opportunity Zone program Qualified Opportunity Funds (“QOF”) such as Belpointe OZ must invest in ground-up developments, where cash flow generally takes a number of years to achieve.
In our view investors seeking a discounted real estate investment opportunity should consider exploiting the disparity between the current market price of Belpointe OZ’s (NYSE American: “OZ”) Class A units and its NAV, notwithstanding the tax benefits that Belpointe OZ, as QOF, has to offer. What’s more, investors do not need capital gains to take advantage of the NAV-to-Class A unit price disparity, however, without investing capital gains investors will not qualify for any of the Opportunity Zone program tax benefits.
For investors with capital gains, such as those booking profits from the recent AI-driven stock market rally, we believe the trailing 180-day look back period for deferring capital gains makes for a compelling investment proposition: pair off gains with the purchase of Class A units at a discount to NAV just as Belpointe OZ is set to begin leasing up its first property.
Belpointe OZ
255 Glenville Road
Greenwich, CT 06831
T: (203) 883-1944
E: IR@belpointeoz.com
The information in this communication is for illustrative, educational and informational purposes only and is subject to change. Nothing in this communication is or should be construed as an offer to sell or the solicitation of an offer to buy any securities. Offers may only be made by means of a prospectus.
Belpointe PREP, LLC (“Belpointe OZ”) has filed a registration statement (including a prospectus) with the SEC for the offering to which this communication relates. Prior to making an investment decision, you should read Belpointe OZ’s prospectus and the other documents that it has filed with the SEC in their entirety, and carefully consider its investment objectives and strategy, risk factors, fees and expenses and any tax consequences that may results from an investment in the offering. Copies of these documents can be obtained free of charge from www.sec.gov or investors.belpointeoz.com or from any broker-dealer participating in the offering.
The information in this communication should not be relied upon as investment or tax advice. You should consult with your own investment and tax advisers concerning the federal, state and local income tax consequences of purchasing, owning or disposing of securities in the offering, and of Belpointe OZ’s election to qualify as a partnership and qualified opportunity fund for federal income tax purposes. There is no guarantee that Belpointe OZ will continue to qualify as a partnership or qualified opportunity fund.
Past performance is not an indicator or a guarantee of future performance. An investment in the offering to which this communication relates involves a high degree of risk, including a complete loss of your investment, and may not be suitable for all investors. The price of Belpointe OZ’s securities will fluctuate in market value and may trade above or below net asset value. Brokerage commissions and expenses will reduce returns.
The offering to which this communication relates is being made on a best-efforts basis on behalf of Belpointe OZ through Emerson Equity, LLC, Member FINRA, SIPC, as managing broker-dealer.
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