# EDGAR Filing Document

**Accession Number:** 0002033610
**File Stem:** 0001213900-25-109133
**Filing Date:** 2025-11
**Character Count:** 656872
**Document Hash:** d261a6eb72d8b0898b0b4c999fd6384d
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001213900-25-109133.hdr.sgml**: 20251112

**ACCESSION NUMBER**: 0001213900-25-109133

**CONFORMED SUBMISSION TYPE**: 1-A POS

**PUBLIC DOCUMENT COUNT**: 18

**FILED AS OF DATE**: 20251112

**DATE AS OF CHANGE**: 20251112

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Wahed Real Estate Series 1 LLC
- **CENTRAL INDEX KEY:** 0002033610
- **STANDARD INDUSTRIAL CLASSIFICATION:** REAL ESTATE [6500]
- **ORGANIZATION NAME:** 05 Real Estate & Construction
- **EIN:** 993337084
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 1-A POS
- **SEC ACT:** 1933 Act
- **SEC FILE NUMBER:** 024-12496
- **FILM NUMBER:** 251472164

**BUSINESS ADDRESS:**
- **STREET 1:** 27 EAST 28TH STREET
- **STREET 2:** 8TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10016
- **BUSINESS PHONE:** 817-657-7612

**MAIL ADDRESS:**
- **STREET 1:** 27 EAST 28TH STREET
- **STREET 2:** 8TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10016

## Part

**Post-Qualification Amendment No. 2**

**File No. 024-12496**

**This Post-Qualification Amendment No. 2 amends the Offering Statement of Wahed Real Estate Series 1 LLC originally qualified on December 2, 2024 and as subsequently amended, to add, update and/or replace information contained in the Offering Statement.**

**AN OFFERING STATEMENT PURSUANT TO REGULATION A RELATING TO THESE SECURITIES HAS BEEN FILED WITH THE SECURITIES AND EXCHANGE COMMISSION. INFORMATION CONTAINED IN THIS PRELIMINARY OFFERING CIRCULAR IS SUBJECT TO COMPLETION OR AMENDMENT. THESE SECURITIES MAY NOT BE SOLD NOR MAY OFFERS TO BUY BE ACCEPTED BEFORE THE OFFERING STATEMENT FILED WITH THE COMMISSION IS QUALIFIED. THIS PRELIMINARY OFFERING CIRCULAR SHALL NOT CONSTITUTE AN OFFER TO SELL OR THE SOLICITATION OF AN OFFER TO BUY NOR MAY THERE BE ANY SALES OF THESE SECURITIES IN ANY STATE IN WHICH SUCH OFFER, SOLICITATION OR SALE WOULD BE UNLAWFUL BEFORE REGISTRATION OR QUALIFICATION UNDER THE LAWS OF SUCH STATE. THE COMPANY MAY ELECT TO SATISFY ITS OBLIGATION TO DELIVER A FINAL OFFERING CIRCULAR BY SENDING YOU A NOTICE WITHIN TWO BUSINESS DAYS AFTER THE COMPLETION OF THE COMPANY'S SALE TO YOU THAT CONTAINS THE URL WHERE THE FINAL OFFERING CIRCULAR OR THE OFFERING STATEMENT IN WHICH SUCH FINAL OFFERING CIRCULAR WAS FILED MAY BE OBTAINED.**

**PRELIMINARY OFFERING CIRCULAR DATED NOVEMBER 12, 2025**

![](image_001.jpg)

**WAHED REAL ESTATE SERIES 1 LLC**

**(A DELAWARE SERIES LIMITED LIABILITY COMPANY)**

**27 East 28th Street, 8th Floor**

**New York, New York 10016**

**www.wahed.com/real-estate**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  | **Series Interests Overview** | **Series Interests Overview** | **Series Interests Overview** | |
|  |  | **Price to Public** | **Underwriting <br> Discounts and <br> Commissions(1)** | **Proceeds to Issuer(2)** | <br>**Proceeds<br> to Other<br> Persons** |
| **Series Paign Drive Interests** | **Per Unit** | $**100.00** | $**1.00** | $**99.00** | **N/A** |
|  | **Total Minimum** | **n/a** | **n/a** | **n/a** | **N/A** |
|  | **Total Maximum** | $**313600.00** | $**3136.00** | $**310464.00** | **N/A** |
| **Series Lake Overlook Drive Interests** | **Per Unit** | $**100.00** | $**1.00** | $**99.00** | **N/A** |
|  | **Total Minimum** | **n/a** | **n/a** | **n/a** | **N/A** |
|  | **Total Maximum** | $**410000.00** | $**4100.00** | $**405900.00** | **N/A** |
| **Series Waynick Drive Interests\*** | **Per Unit** | $**100.00** | $**1.00** | $**99.00** | **N/A** |
|  | **Total Minimum** | **n/a** | **n/a** | **n/a** | **N/A** |
|  | **Total Maximum** | $**485000.00** | $**4850.00** | $**480150.00** | **N/A** |
| **Series Golden Honey Interests\*** | **Per Unit** | $**100.00** | $**1.00** | $**99.00** | **N/A** |
|  | **Total Minimum** | **n/a** | **n/a** | **n/a** | **N/A** |
|  | **Total Maximum** | $**498000.00** | $**4980.00** | $**493020.00** | **N/A** |

---

\* An asterisk (\*) denotes series submitted for qualification by the SEC in the Offering Statement of which this Offering Circular forms a part.

&nbsp;&nbsp;&nbsp;&nbsp;(1) The company has engaged Dalmore Group, LLC, member FINRA/SIPC ("Dalmore"), to perform administrative and compliance related functions in connection with this offering, but not for underwriting or placement agent services. This includes the 1% commission but it does not include the portion of the following fees which will be allocated among all Series, subject to a maximum amount of allocable offering expenses of 4% of the gross offering proceeds raised by each such Series: the one-time expense allowance of $5,000, consulting fees of $20,000, and reimbursement of FINRA filing fees of $11,750 initially and $1,000 for each post-qualification amendment, payable by the company to Dalmore. See "Plan of Distribution" for details. The company intends to distribute all offerings of Series Interests in any Series of the company principally through the Wahed real estate investment platform delivered through a digital application ("App") which is available for downloading and installing on a mobile device or computer (the "Wahed Real Estate Platform") through the www.wahed.com/real-estate website or the digital distribution service developed and maintained by Apple or Google where such Apps may be downloaded, as described in greater detail under "Plan of Distribution."

&nbsp;&nbsp;&nbsp;&nbsp;(2) Each Series will also be responsible for reimbursing the Managing Member for its allocated portion of offering expenses (not including brokerage commissions) up to a maximum amount of 4% of the gross offering proceeds raised by such Series. Brokerage commissions will be allocated directly to the Series Interests being sold in each Series offering.

The minimum subscription per investor for each Series is:

Series Paign Drive: 1 Series Interest ($100)

Series Overlook Drive: 1 Series Interest ($100)

Series Waynick Drive: 5 Series Interests ($500)

Series Golden Honey: 5 Series Interests ($500)

**Our company can offer up to $75 million within a rolling 12-month period pursuant to Regulation A. Our company intends to offer additional series within such limit and will file post qualification amendments for the offerings of such series with the U.S. Securities and Exchange Commission (the "SEC"). The offerings of such series will be made available to investors from the date such amendment is qualified by the SEC. There will be separate closings with respect to each offering. An offering will terminate at the earlier of the date at which the maximum offering amount has been sold or the date at which the offering is earlier terminated by the company at its sole discretion. At least every 12 months after this offering has been qualified by the SEC, the company will file a post-qualification amendment to include the company's recent financial statements. The offering covers an amount of securities that we reasonably expect to offer and sell within two years, although the Offering Statement of which this Offering Circular forms a part may be used for up to three years and 180 days under certain conditions. Offers of Series Interests of each Series will commence within two calendar days of the qualification of the Offering Statement adding such Series.** 

**The offering is being conducted on a best-efforts basis without any minimum target. Provided that an investor purchases Series Interests in the amount of the minimum investment set forth above, there is no minimum number of Series Interests that need to be sold in order for funds to be released to the company and for a Series offering to close, which may mean that the company does not receive sufficient funds to cover the cost of the offering. The company may undertake one or more closings for each Series on a rolling basis and, after each closing, funds tendered by investors will be available to such Series.**

**THE SEC DOES NOT PASS UPON THE MERITS OR GIVE ITS APPROVAL OF ANY SECURITIES OFFERED OR THE TERMS OF THE OFFERING, NOR DOES IT PASS UPON THE ACCURACY OR COMPLETENESS OF ANY OFFERING CIRCULAR OR OTHER SOLICITATION MATERIALS. THESE SECURITIES ARE OFFERED PURSUANT TO AN EXEMPTION FROM REGISTRATION WITH THE SEC; HOWEVER THE SEC HAS NOT MADE AN INDEPENDENT DETERMINATION THAT THE SECURITIES OFFERED ARE EXEMPT FROM REGISTRATION.**

**GENERALLY NO SALE MAY BE MADE TO YOU IN THIS OFFERING IF THE AGGREGATE PURCHASE PRICE YOU PAY IS MORE THAN 10% OF THE GREATER OF YOUR ANNUAL INCOME OR NET WORTH. DIFFERENT RULES APPLY TO ACCREDITED INVESTORS AND NON-NATURAL PERSONS. BEFORE MAKING ANY REPRESENTATION THAT YOUR INVESTMENT DOES NOT EXCEED APPLICABLE THRESHOLDS, THE COMPANY ENCOURAGES YOU TO REVIEW RULE 251(d)(2)(i)(C) OF REGULATION A. FOR GENERAL INFORMATION ON INVESTING, THE COMPANY ENCOURAGES YOU TO REFER TO www.investor.gov.**

**This offering is inherently risky. See "Risk Factors" on page 10.**

**The company is following the "Offering Circular" format of disclosure under Regulation A.**

**In the event that the company becomes a reporting company under the Securities Exchange Act of 1934, the company intends to take advantage of the provisions that relate to "Emerging Growth Companies" under the JOBS Act of 2012. See "Summary — Implications of Being an Emerging Growth Company."**

**TABLE OF CONTENTS**

---

| | |
|:---|:---|
| [**Series Offering Table**](#a_001) | ii |
| **[Summary](#a_002)** | 1 |
| [**Risk Factors**](#a_003) | 10 |
| [**Dilution**](#a_004) | 24 |
| [**Plan of Distribution**](#a_005) | 25 |
| [**Use of Proceeds**](#a_006) | 29 |
| [**The Company's Business**](#a_007) | 33 |
| [**The Company's Property**](#a_008) | 46 |
| [**Management's Discussion and Analysis of Financial Condition and Results of Operations**](#a_009) | 47 |
| [**Managers And Executive Officers**](#a_010) | 52 |
| [**Compensation of Directors and Officers**](#a_011) | 54 |
| [**Security Ownership of Management and Certain Securityholders**](#a_012) | 55 |
| [**Interest of Management and Others in Certain Transactions**](#a_013) | 56 |
| [**Securities Being Offered**](#a_014) | 58 |
| [**Financial Statements**](#a_015) | F-1 |
| [**Unaudited Pro Forma Combined Financial Statements**](#a_016) | F-32 |

---

 

In this Offering Circular, the terms "Wahed Real Estate," "we," "us, "our," the "company" and similar terms refer to Wahed Real Estate Series 1 LLC, a Delaware Series Limited Liability Company, together with its consolidated Series; "Wahed Financial," "Manager and "Managing Member" refers to the company's parent and Managing Member, Wahed Financial LLC, together with its consolidated subsidiaries unless the context indicates otherwise.

 

THIS OFFERING CIRCULAR MAY CONTAIN FORWARD-LOOKING STATEMENTS AND INFORMATION RELATING TO, AMONG OTHER THINGS, THE COMPANY, ITS BUSINESS PLAN AND STRATEGY, AND ITS INDUSTRY. THESE FORWARD-LOOKING STATEMENTS ARE BASED ON THE BELIEFS OF, ASSUMPTIONS MADE BY, AND INFORMATION CURRENTLY AVAILABLE TO THE COMPANY'S MANAGEMENT. WHEN USED IN THE OFFERING MATERIALS, THE WORDS "ESTIMATE," "PROJECT," "BELIEVE," "ANTICIPATE," "INTEND," "EXPECT" AND SIMILAR EXPRESSIONS ARE INTENDED TO IDENTIFY FORWARD-LOOKING STATEMENTS, WHICH CONSTITUTE FORWARD-LOOKING STATEMENTS. THESE STATEMENTS REFLECT MANAGEMENT'S CURRENT VIEWS WITH RESPECT TO FUTURE EVENTS AND ARE SUBJECT TO RISKS AND UNCERTAINTIES THAT COULD CAUSE THE COMPANY'S ACTUAL RESULTS TO DIFFER MATERIALLY FROM THOSE CONTAINED IN THE FORWARD-LOOKING STATEMENTS. INVESTORS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON THESE FORWARD-LOOKING STATEMENTS, WHICH SPEAK ONLY AS OF THE DATE ON WHICH THEY ARE MADE. THE COMPANY DOES NOT UNDERTAKE ANY OBLIGATION TO REVISE OR UPDATE THESE FORWARD-LOOKING STATEMENTS TO REFLECT EVENTS OR CIRCUMSTANCES AFTER SUCH DATE OR TO REFLECT THE OCCURRENCE OF UNANTICIPATED EVENTS.

**Market and Other Industry Data**

This Offering Circular includes market and other industry data and estimates that are based on the Managing Member's knowledge and experience in the markets in which we operate. The sources of such data generally state that the information they provide has been obtained from sources they believe to be reliable, but we have not investigated or verified the accuracy and completeness of such information. Our own estimates are based on information obtained from our and our affiliates' experience in the markets in which we operate and from other contacts in these markets. We are responsible for all of the disclosure in this Offering Circular, and we believe our estimates to be accurate as of the date of this Offering Circular or such other date stated in this Offering Circular. However, this information may prove to be inaccurate because of the method by which we obtained some of the data for the estimates or because this information cannot always be verified with complete certainty due to the limits on the availability and reliability of raw data, the voluntary nature of the data gathering process and other limitations and uncertainties. As a result, you should be aware that market and other industry data included in this Offering Circular, and estimates and beliefs based on that data, may not be reliable.

i

**SERIES OFFERING TABLE**

The table below shows key information related to the offering of each Series, as of the date of this Offering Circular. Please also refer to "The Company's Business – Property Overview" and "Use of Proceeds" for further details.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Series Name** | **Underlying Asset(s)** | **Offering<br> Price per<br> Series<br> Interest** | **Maximum<br> Offering<br> Size** | **Minimum /<br> Maximum /<br> Subscribed<br> Series<br> Interests (1)** | **Initial <br> Qualification <br> Date (2)** | **Open <br> Date (3)** | **Closing<br> Date** | **Status** |
| Series Paign Drive | Residential property located at 4121 Paign Dr., Sterling Heights, MI | $100.00 | $313600 | n/a/3,136/1,446 | December 2, 2024 | December 3, 2024 |  | Open |
| Series Lake Overlook Drive | Residential property located at 6724 Lake Overlook Dr., Fort Worth, TX | $100.00 | $410000 | n/a/4,100/0 | June 26, 2025 | June 27, 2025 |  | Open |
| Series Waynick Drive | Residential property located at 8820 Waynick Dr., Raleigh, NC | $100.00 | $485000 | n/a/4,850/0 |  |  |  | pending |
| Series Golden Honey | Residential property located at 1740 <u>Golden Honey Dr, Wake Forest, NC</u> | $100.00 | $498000 | n/a/4,980/0 |  |  |  | pending |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) For open offerings, each row states, with respect to the given offering, the minimum (if any) and maximum number of Series Interests offered and the number of subscriptions for Series Interests received as of the date of this Offering Circular, but the closing of such offering has not yet taken place. For any closed offerings, each row would state the actual number of Series Interests sold.

(2) For each offering, each row states, with respect to the given offering, the date on which the offering was initially qualified by the SEC.

(3) For each offering, each row states, with respect to the given offering, the date on which offers and sales for such offering commenced.

ii

**SUMMARY**

This summary highlights information contained elsewhere and does not contain all of the information that you should consider in making your investment decision. Before investing in the company's Series Interests, you should carefully read this entire Offering Circular, including the company's financial statements and related notes. You should also consider, among other information, the matters described under "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations."

**The Company**

Wahed Real Estate is a Delaware series limited liability company formed on May 14, 2024 by its Managing Member Wahed Financial, a Delaware limited liability company. Wahed Real Estate is an investment vehicle that intends to enable investors to own fractional ownership of specific residential rental properties. We believe our real estate platform will enable investors to invest in residential real estate with lower capital requirements and provide opportunities for income through rental returns, long term capital gains and capital preservation. We believe offering Series Interests lowers the cost-of-entry and minimizes the time commitment for real estate investing, with no investor involvement in asset or property management, while still providing the potential economic benefits normally associated with direct property ownership. The Wahed Real Estate Platform will list each Series and their relevant properties, and investors can browse and choose opportunities in which to invest.

Our investment strategy is to acquire, rent out, manage, operate, and sell residential properties located in vibrant, growing cities across America. Our primary focus initially will be single family homes and we may later expand (e.g., after 2 years) into multi-family properties (e.g., condos). We believe that these markets offer investors a blend of attractive capitalization rates and a strong prospect for long-term property value appreciation. Investment and operational decisions, including the selection and acquisition of residential properties to be included in a Series, will be made in accordance with Islamic financial and contractual principles, as determined by Wahed Financial and pursuant to its Shariah Operation Policy. See "The Company's Business – Shariah Operation Policy." Generally, Islamic financial principles require that investors share in profit and loss, that neither investors, nor any of the property owners or Wahed Real Estate receive or pay usury or interest, nor that legal contracts result in substantive speculation or uncertainty. Generally, this means that we will finance any property with cash or, if available, interest-free financing, rather than traditional interest-bearing mortgage financing.

Wahed Financial serves as our Managing Member and the Managing Member of each Series. Wahed Financial is managed by an individual manager, Ahmar Shaikh, who also serves as its Chief Executive Officer and Chief Financial Officer. Wahed Financial, as our Managing Member, is responsible for the day-to-day management of the company and each Series and will manage all underlying property and other assets related to the various Series including the sales of property, property rentals, maintenance and insurance. We anticipate engaging local property managers for the day to day management of our properties. A Series may purchase the property from a third party or from Wahed Financial or one of its affiliates.

**Our Series LLC Structure**

The company establishes separate Series for the holding of residential properties to be acquired by the company. It is not anticipated that any Series would own any assets other than its respective real estate property and associated assets, the reason for which the applicable Series was created ("The Underlying Asset(s)"), plus cash reserves for maintenance, storage, insurance and other expenses pertaining to such Underlying Assets and amounts earned by each Series from the monetization of the Underlying Asset. It is intended that owners of a Series Interest in a Series will only have assets, liabilities, profits and losses pertaining to the specific Underlying Assets owned by that Series. As a Delaware series limited liability company, the debts, liabilities, obligations and expenses incurred, contracted for or otherwise existing with respect to a particular series are segregated and enforceable only against the assets of such series, as provided under Delaware law. This would include contractual obligations that each Series enters into, such as any property management agreement with respect to the management of the specific property. This would also include the portion of any shared fees, costs or expenses that have been allocated to the Series, as discussed above and under "The Company's Business – Expenses and Allocation Policy."

**Management Compensation**

If a Series raises the maximum offering amount for that Series, a portion of the proceeds would be paid to our Managing Member as a sourcing fee, which is set forth in the Certificate of Designation for the relevant Series and discussed under "Use of Proceeds". The sourcing fee represents a fee payable in connection with the search and negotiation of the property purchase and coordination of the work needed to prepare the property for rental. Our Managing Member determines this fee and sets the amount. To the extent that a Series raises less than the maximum offering amount, resulting in insufficient funds to pay the sourcing fee, the Managing Member may determine to expense the balance of the sourcing fee, which would be deducted from revenues generated by the relevant property, waive the sourcing fee or invest in the relevant Series Interests to cover the balance of the sourcing fee.

 ****

On a quarterly basis beginning on the first quarter end date following the initial closing date of the issuance of Series Interests, each Series shall pay the Managing Member an asset management fee, payable quarterly in arrears, equal to 0.25% (1% annualized) of Asset Value as of the last day of the immediately preceding quarter.

"Asset Value" at any date means the fair market value of assets in a Series representing the purchase price that a willing buyer having all relevant knowledge would pay a willing seller for such assets in an arm's length transaction, determined by the Managing Member in its sole discretion.

Our Managing Member expects to determine "Asset Value" based on an internal review of recent comparable sales and may obtain third party valuations from time to time as needed.

**Expenses and Allocations Policy**

In addition to paying the sourcing fee and asset management fees discussed above, each Series will be responsible for the following fees, costs and expenses, or its allocated portion thereof, in connection with any offering of Series Interests by a Series and the sourcing and acquisition of a Series property shall be borne by the relevant Series (except in the case of an unsuccessful offering in which case all "dead deal costs" shall be borne by the Managing Member, and except to the extent assumed by the Managing Member in writing):

● Purchase price to acquire the Series property;

● Brokerage fees;

● Offering Expenses (in an amount for each Series up to 4% of gross offering proceeds of such Series, with our Managing Member being responsible for any offering expenses above this amount);

● Operating Expenses (as defined and discussed under "The Company's Business – Our Managing Member and Fees and Expenses payable by each Series" below); and

● Fees, costs and expenses incurred in connection with the disposition of a Series property.

The Managing Member will bear its own expenses of an ordinary nature, including all costs and expenses on account of rent, supplies, secretarial expenses, stationery, charges for furniture, fixtures and equipment, payroll taxes, remuneration and expenses paid to employees and utilities expenditures.

If the Operating Expenses exceed the amount of revenues generated from a Series property and cannot be covered by any Operating Expense reserves on the balance sheet of such Series, the Managing Member may (a) pay such Operating Expenses and not seek reimbursement, (b) loan the amount of the Operating Expenses to the applicable series, expected to be on an interest-free basis consistent with Islamic principles, and be entitled to reimbursement of such amount from future revenues generated by such series property, and/or (c) cause Series Interests to be issued to the Managing Member in order to cover such additional amounts.

To the extent relevant, all revenues, costs and expenses associated with a Series' properties will be allocated among the various series interests in accordance with the Managing Member's allocation policy. The allocation policy requires the Managing Member to allocate items that are allocable to a specific Series to be borne by, or distributed to (as applicable), the applicable Series. If, however, an item is not allocable to a specific Series but to our company in general, it will be allocated pro rata based on the value of the Series properties or the number of properties, as reasonably determined by the Managing Member or as otherwise set forth in its allocation policy. See "The Company's Business – Our Managing Member and Fees and Expenses payable by each Series" for a discussion of and examples of the application of the allocation of revenues, costs and expenses.

Notwithstanding the foregoing, the Managing Member may revise and update the allocation policy from time to time in its reasonable discretion without further notice to the investors.

Once such fees, costs or expenses have been allocated in accordance with the Managing Member's allocation policy, each relevant Series would record its allocated portion and become liable for payment or for reimbursing the Managing Member for its pre-allocation payment of such expenses. There may be situations where it is difficult to allocate fees, costs and expenses among specific Series and, therefore, there is a risk that a Series may bear a proportion of the fees, costs and expenses for a service or product for which another Series received a disproportionately high benefit.

**Property Management Fee**

We anticipate appointing a third-party property management company to serve as property manager to manage the property of each Series pursuant to a property management agreement. Each Series would be responsible for paying property management fees for these services, which we expect to be based on a percentage of rental revenue, generally in the range of 8-12%, though the actual fees will be determined through arms-length negotiations with each property manager. The fee arrangements under each property management agreement that we enter into are set forth under "The Company's Business – Property Overview."

**Distributions**

The Managing Member has sole discretion in determining what distributions of Free Cash Flow, if any, are made to interest holders except as otherwise limited by law or the Operating Agreement.

"Free Cash Flow" means any available cash for distribution generated from the net income received by a Series, as determined by the Managing Member to be in the nature of income as defined by U.S. GAAP, *plus* (i) any change in the net working capital (as shown on the balance sheet of such Series) (ii) any amortization to the relevant Series Property (as shown on the income statement of such Series) and (iii) any depreciation to the relevant Series Property (as shown on the income statement of such Series) and (iv) any other non-cash Operating Expenses *less* (a) any capital expenditure related to the Series Property (as shown on the cash flow statement of such Series) (b) any other liabilities or obligations of the Series, in each case to the extent not already paid or provided for and (c) upon the termination and winding up of a Series or the company, all costs and expenses incidental to such termination and winding up. The net income of any Series will be net of fees payable to the Managing Member and any property manager, as well as the costs and expenses incurred by or allocable to such Series.

Our company expects the Managing Member to make distributions of any Free Cash Flow on a quarterly basis. However, the Managing Member may change the timing of distributions or determine that no distributions shall be made, in its sole discretion. For example, the Managing Member may determine to hold distributions until the effective distribution amount, per investor, equals or exceeds a certain amount per Interest. In this case, the Managing Member would accrue these distributions to be distributed once the minimum distribution amount has been reached or exceeded. Investors will be required to update their personal information on a regular basis to make sure they receive all allocated distributions.

Any Free Cash Flow generated by a Series shall be applied within the Series in the following order of priority:

● repay any amounts outstanding for reimbursement of Operating Expenses as discussed above;

● thereafter to create such reserves as the Managing Member deems necessary, in its sole discretion, to meet future liabilities; and

● thereafter by way of distribution to Series Interest holders (net of corporate income taxes applicable to the series), which may include the Managing Member or any of its affiliates.

**The Current Offering** 

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| | |
|:---|:---|
| Securities Being Offered: | We are offering Series Interests of each Series at a price per Series Interest set forth in the "Series Offering Table" section above.<br>Each Series of Series Interests is intended to be a separate Series of our company for purposes of assets and liabilities. See "Securities Being Offered" for further details. The Series Interests will be non-voting except with respect to certain matters set forth in our Series Limited Liability Company Agreement dated May 14, 2024, as amended from time to time (the "Operating Agreement") including the Series Designations applicable to the Series. The purchase of Series Interests in a Series is an investment only in that Series of our company and not an investment in our company as a whole. |
| Minimum and maximum subscription: | The minimum subscription by an investor in Series Paign Drive or Series Overlook Drive is 1 Series Interest ($100) and in Series Waynick Drive or Series Golden Honey is 5 Series Interests ($500). The maximum subscription by any investor is for Series Interests representing 9.8% of the total Series Interests of a particular Series, although such minimum and maximum thresholds may be waived or modified by our Managing Member in its sole discretion. See "Plan of Distribution" for additional information. |
| Transfer Agent | We have entered into an agreement with United Transfer Agency LLC, doing business as Dalmore Transfer, a registered transfer agent, to perform transfer agent functions with respect to the Series Interests. |
| Use of Proceeds: | Net proceeds (after brokerage commissions) from the sale of Series Interests will be used to purchase the relevant Underlying Assets set forth in the "Series Offering Table" above, to pay the Series' allocated portion of offering expenses other than brokerage commissions, pay a sourcing fee to Wahed Financial, and to create an operating reserve for the applicable Underlying Assets. Our Managing Member initially will pay all offering expenses, other than brokerage commissions, on behalf of each Series and such expenses will be allocated among and reimbursed by all Series established by us in an amount up to 4% of gross offering proceeds of each such Series. Our Managing Member will be responsible for any offering expenses above this amount. See "Use of Proceeds" for further details relating to the Series being offered. |
| No Escrow | The proceeds of this offering will not be placed into an escrow account. When we accept subscription payments, following compliance review as discussed in "Plan of Distribution," Series Interests will be issued, and investors will become Interest holders. Funds will be returned by the company, without interest, for any subscriptions that are not accepted by us. |
| Restrictions on Investment | Each investor must be a "qualified purchaser." Generally, no sale may be made to you in any of our Series offerings if the aggregate purchase price you pay is more than 10% of the greater of your annual income or net worth. Different rules apply to accredited investors and non-natural persons. Before making any representation that your investment does not exceed applicable thresholds, we encourage you to review Rule 251(d)(2)(i)(c) of Regulation A. For general information on investing, we encourage you to refer to www.investor.gov. |

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| | |
|:---|:---|
| Transferability | The Managing Member may refuse a transfer by an Interest holder of its interest in a series if such transfer would result in (a) there being more than 2,000 beneficial owners in such series or more than 500 beneficial owners that are not "accredited investors," (b) the assets of a series being deemed plan assets for purposes of ERISA, (c) such interest holder holding in excess of 9.8% of a series, (d) a change of U.S. federal income tax treatment of our company and/or a series, or (e) our company, any series, the manager, or its affiliates being subject to additional regulatory requirements. |

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**Implications of Being an Emerging Growth Company**

The company is not subject to the ongoing reporting requirements of the Securities Exchange Act of 1934, as amended (the "Exchange Act") because the company is not registering its securities under the Exchange Act. Rather, the company will be subject to the more limited reporting requirements under Regulation A, including the obligation to electronically file:

● annual reports (including disclosure relating to our business operations for the preceding two fiscal years, or, if in existence for less than two years, since inception, related party transactions, beneficial ownership of the issuer's securities, executive officers and directors and certain executive compensation information, management's discussion and analysis ("MD&A") of the issuer's liquidity, capital resources, and results of operations, and two years of audited financial statements),

● semiannual reports (including disclosure primarily relating to the issuer's interim financial statements and MD&A) and

● current reports for certain material events.

In addition, at any time after completing reporting for the fiscal year in which the company's Offering Statement was qualified, if the securities of each class to which this Offering Statement relates are held of record by fewer than 300 persons and offers or sales are not ongoing, the company may immediately suspend its ongoing reporting obligations under Regulation A.

If and when the company becomes subject to the ongoing reporting requirements of the Exchange Act, as an issuer with less than $1.07 billion in total annual gross revenues during its last fiscal year, it will qualify as an "emerging growth company" under the Jumpstart Our Business Startups Act of 2012 (the "JOBS Act") and this status will be significant. An emerging growth company may take advantage of certain reduced reporting requirements and is relieved of certain other significant requirements that are otherwise generally applicable to public companies. In particular, as an emerging growth company, the company:

● will not be required to obtain an auditor attestation on its internal controls over financial reporting pursuant to the Sarbanes-Oxley Act of 2002;

● will not be required to provide a detailed narrative disclosure discussing its compensation principles, objectives and elements and analyzing how those elements fit with its principles and objectives (commonly referred to as "compensation discussion and analysis");

● will not be required to obtain a non-binding advisory vote from its unit holders on executive compensation or golden parachute arrangements (commonly referred to as the "say-on-pay," "say-on-frequency" and "say-on-golden-parachute" votes);

● will be exempt from certain executive compensation disclosure provisions requiring a pay-for-performance graph and CEO pay ratio disclosure;

● may present only two years of audited financial statements and only two years of related Management's Discussion and Analysis of Financial Condition and Results of Operations, or MD&A; and

● will be eligible to claim longer phase-in periods for the adoption of new or revised financial accounting standards.

The company intends to take advantage of all of these reduced reporting requirements and exemptions, including the longer phase-in periods for the adoption of new or revised financial accounting standards under Section 107 of the JOBS Act. The company's election to use the phase-in periods may make it difficult to compare its financial statements to those of non-emerging growth companies and other emerging growth companies that have opted out of the phase-in periods under Section 107 of the JOBS Act.

Under the JOBS Act, the company may take advantage of the above-described reduced reporting requirements and exemptions for up to five years after its initial sale of common equity pursuant to a registration statement declared effective under the Securities Act of 1933, as amended, or such earlier time that the company no longer meets the definition of an emerging growth company. Note that this offering, while a public offering, is not a sale of common equity pursuant to a registration statement, since the offering is conducted pursuant to an exemption from the registration requirements. In this regard, the JOBS Act provides that the company would cease to be an "emerging growth company" if it has more than $1.07 billion in annual revenues, have more than $700 million in market value of its common stock held by non-affiliates, or issue more than $1 billion in principal amount of non-convertible debt over a three-year period.

Certain of these reduced reporting requirements and exemptions are also available to us due to the fact that the company may also qualify, once listed, as a "smaller reporting company" under the SEC's rules. For instance, smaller reporting companies are not required to obtain an auditor attestation on their assessment of internal control over financial reporting; are not required to provide a compensation discussion and analysis; are not required to provide a pay-for-performance graph or CEO pay ratio disclosure; and may present only two years of audited financial statements and related MD&A disclosure.

**Selected Risks** 

The company's business is subject to a number of risks and uncertainties, including those highlighted in the section titled "Risk Factors" immediately following this summary. These risks include, but are not limited to, the following:

● An investment in an offering constitutes only an investment in that Series and not in the company or any Underlying Asset.

● If our company's series limited liability company structure is not respected, then investors may have to share any liabilities of our company with all investors and not just those who hold the same series as them.

● Each of our company's Series will hold an interest in a single property, a non-diversified investment.

● There can be no guarantee that our company will reach its funding target from potential investors with respect to any Series or future proposed Series.

● A Series may be unable to obtain financing on favorable terms or at all.

● We may not be able to control our operating costs or our expenses may remain constant or increase, even if our revenues do not increase, causing our results of operations to be adversely affected.

● If we fail to manage our growth, we may not have access to sufficient personnel and other resources to operate our business and our results, financial condition and ability to make distributions to investors may suffer.

● There is competition for time among the various entities sharing the same management team.

● The company has limited operating history for investors to evaluate.

● Possible changes in federal tax laws make it impossible to give certainty to the tax treatment of any Series Interests.

● The company's financial statements include a going concern opinion.

● You may be more likely to sustain a loss on your investment because the Managing Member does not have as strong an economic incentive to avoid losses as do managers who have made significant equity investments in their companies.

● Tenant relief laws may negatively impact our rental income and profitability.

● Rent control or rent stabilization laws could prevent us from raising rents to offset increases in operating costs.

● Our investments may include condominium or home association interests. These common ownership interests are subject to special risks that may reduce your return on investment.

● Our targeted investments may be subject to rules and regulations of HOAs.

● Real estate investments are relatively illiquid and may limit our flexibility.

● The failure of any bank in which we deposit our funds could reduce the amount of cash we have available to pay distributions to our investors and make additional investments.

● The occurrence of a cyber incident, or a deficiency in our cyber security, could negatively impact our business by causing a disruption to our operations, a compromise or corruption of our confidential information, or damage to our business relationships, all of which could negatively impact our financial results.

● If we are required to register under the Exchange Act, it would result in significant expense and reporting requirements that would place a burden on the manager and may divert attention from management of the properties by the manager or could cause the manager to no longer be able to afford to run our business.

● If our company were to be required to register under the Investment Company Act or the Manager were to be required to register under the Investment Advisers Act, it could have a material and adverse impact on the results of operations and expenses of each Series and the Manager may be forced to liquidate and wind up each Series or rescind the offerings for any of the Series.

● Competition with other parties for real estate investments may reduce the company's profitability.

● Competition may impede our ability to attract or retain tenants or re-lease space, which could adversely affect our results of operations and cash flow.

● We may be subject to unknown or contingent liabilities related to properties that we acquire for which we may have limited or no recourse against the sellers.

● We may not be able to sell our properties at a price equal to, or greater than, the price for which we purchased such properties, which may lead to a decrease in the value of our assets.

● We may be unable to renew leases or re-lease space as leases expire.

● We may be required to make rent or other concessions and/or significant capital expenditures to improve the properties in order to retain and attract tenants, generate positive cash flow or make real estate properties suitable for sale, which could adversely affect us, including our financial condition, results of operations and cash flow.

● We will rely on information supplied by prospective residents.

● Our properties may be subject to impairment charges.

● Our real estate investments are expected to be concentrated in single-family rental properties in select geographic markets.

● If a tenant declares bankruptcy, we may be unable to collect balances due under relevant leases, which could adversely affect our financial condition and ability to pay distributions to our investors.

● We are dependent on the Managing Member and its affiliates and their key personnel who provide services to us through the Operating Agreement, and we may not find a suitable replacement if the Operating Agreement is terminated, or if key personnel leave or otherwise become unavailable to us, which could have a material adverse effect on our performance.

● The ability of the Managing Member and its officers and other personnel to engage in other business activities, including managing other similar companies, may reduce the time the Managing Member spends managing the business of our company and may result in certain conflicts of interest.

● The terms of the Operating Agreement make it difficult to end our relationship with the Managing Member.

● The Operating Agreement contains provisions that reduce or eliminate duties (including fiduciary duties) of the Managing Member.

● There are conflicts of interest among us, the manager and its affiliates.

● We do not have a policy that expressly prohibits our Managing Member, security holders or affiliates from having a direct or indirect pecuniary interest in any transaction in which we have an interest or engaging for their own account in business activities of the types conducted by us.

● The Managing Member's liability is limited under the Operating Agreement, and we have agreed to indemnify the Managing Member against certain liabilities. As a result, we may experience poor performance or losses for which the Managing Member would not be liable.

● The company may not raise sufficient funds to achieve its business objectives.

● We do not have a redemption provision and, as a result, if the company does not successfully dispose of real estate assets in a Series, you may have to hold your investment in that Series for an indefinite period.

● The Managing Member has full discretion as to the use of proceeds from the offering.

● There is currently no trading market for the company's securities.

● The purchase prices for the Series Interests have been arbitrarily determined.

● We face possible risks associated with natural disasters and the physical effects of climate change, which may include more frequent or severe storms, hurricanes, flooding, rising sea levels, shortages of water, droughts and wildfires, any of which could have a material adverse effect on our business, results of operations, and financial condition.

● The underlying value and performance of any real estate asset will fluctuate with general and local economic conditions.

● The market in which the company participates is competitive and, if it does not compete effectively, its operating results could be harmed.

● A rental property could be difficult to sell, which could diminish the return on the Underlying Assets.

● The company may decide to sell property which could conflict with an investor's interests.

● A decline in general economic conditions in the markets in which each property is located or in the United States generally could lead to a decrease in demand for rental properties, increased delinquencies and lower rental rates in those markets.

● Lawsuits may arise between the company and its tenants resulting in lower cash distributions to investors.

● Costs imposed pursuant to governmental laws and regulations may reduce the company's net income and the cash available for distributions to its investors.

● The costs of defending against claims of environmental liability, of complying with environmental regulatory requirements, of remediating any contaminated property or of paying personal injury or other damage claims could reduce the amounts available for distribution to the company's investors.

● Costs associated with complying with the Americans with Disabilities Act may decrease cash available for distributions.

● Uninsured losses relating to real property or excessively expensive premiums for insurance coverage could reduce the company's cash flows and the return on investment.

● Actual or threatened epidemics, pandemics, outbreaks, or other public health crises may adversely affect the company's business.

● The company's Operating Agreement and Subscription Agreement each include a forum selection provision, which could result in less favorable outcomes to the plaintiff(s) in any action against our company.

● Investors in this offering may not be entitled to a jury trial with respect to claims arising under the Subscription Agreement or Operating Agreement, which could result in less favorable outcomes to the plaintiff(s) in any action under these Agreements.

**RISK FACTORS**

The SEC requires the company to identify risks that are specific to its business and its financial condition. The company is still subject to all the same risks that all companies in its business, and all companies in the economy, are exposed to. These include risks relating to economic downturns, political and economic events and technological developments (such as cyber-attacks and the ability to prevent those attacks). Additionally, early-stage companies are inherently more risky than more developed companies. You should consider general risks as well as specific risks when deciding whether to invest.

**Risks Relating to the Structure, Operation and Performance of the Company**

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***An investment in an offering constitutes only an investment in that Series and not in the company or any Underlying Asset.*** A purchase of Series Interests in a Series does not constitute an investment in either the company or an Underlying Asset directly, or in any other Series Interest. This results in limited voting rights of the investor, which are solely related to a particular Series, and are further limited by the Operating Agreement, described further in this Offering Circular. Investors will have limited voting rights. Thus, the Managing Member retains significant control over the management of the company, each Series and the Underlying Assets.

Furthermore, because the Series Interests in a Series do not constitute an investment in the company as a whole, holders of the Series Interests in a Series are not expected to receive any economic benefit from, or be subject to the liabilities of, the assets of any other Series. In addition, the economic interest of a holder in a Series will not be identical to owning a direct undivided interest in an Underlying Asset because, among other things, a Series will be required to pay corporate taxes before distributions are made to the holders, and the Managing Member and any property manager will receive fees in respect of the management of the Underlying Asset.

***If our company's series limited liability company structure is not respected, then investors may have to share any liabilities of our company with all investors and not just those who hold the same series as them.*** The company is structured as a Delaware series limited liability company that issues a separate Series Interests for specific Underlying Assets. Each Series will merely be a separate Series and not a separate legal entity. Under the Delaware Limited Liability Company Act (the "LLC Act"), if certain conditions (as set forth in Section 18-215(b) of the LLC Act) are met, the liability of investors holding Series Interests in one Series is segregated from the liability of investors holding Series Interests in another Series and the assets of one Series are not available to satisfy the liabilities of other Series.

Although this limitation of liability is recognized by the courts of Delaware, there is no guarantee that if challenged in the courts of another U.S. State or a foreign jurisdiction, such courts will uphold a similar interpretation of Delaware corporation law, and in the past certain jurisdictions have not honored such interpretation.

If the company's series limited liability company structure is not respected, then investors may have to share any liabilities of the company with all investors and not just those who hold the same Series Interests as them and account for them separately and otherwise meet the requirements of the LLC Act, it is possible a court could conclude that the methods used did not satisfy Section 18-215(b) of the LLC Act and thus potentially expose the assets of a Series to the liabilities of another Series. The consequence of this is that investors may have to bear higher than anticipated expenses, which would adversely affect the value of their Series Interests or the likelihood of any distributions being made by a particular Series to its investors.

In addition, the company is not aware of any court case that has tested the limitations on inter-series liability provided by Section 18-215(b) in federal bankruptcy courts and it is possible that a bankruptcy court could determine that the assets of one Series should be applied to meet the liabilities of the other Series or the liabilities of the company generally where the assets of such other Series or of the company generally are insufficient to meet its liabilities.

If any fees, costs and expenses of the company are not allocable to a specific Series, they will be borne proportionately across all of the Series (which may include future Series to be issued). Although the Managing Member will allocate fees, costs and expenses acting reasonably and in accordance with its allocation policy (see "The Company's Business – Expenses and Allocation Policy" section), there may be situations where it is difficult to allocate fees, costs and expenses to a specific Series and therefore, there is a risk that a Series may bear a proportion of the fees, costs and expenses for a service or product for which another Series received a disproportionately high benefit.

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***Each of our company's Series will hold an interest in a single property, a non-diversified investment.*** We intend for each of our Series, either directly or through its wholly-owned subsidiary, to own and operate a single property. Each Series' return on its investment will depend on the revenues generated by such property and the appreciation of the value of the property over time. These, in turn, are determined by such factors as national and local economic cycles and conditions, financial markets and the economy, competition from existing properties as well as future properties and government regulation (such as tax and building code charges). The value of a property may decline substantially after a series purchases it. Each Series' distribution stream will depend on the revenues generated by such property and the appreciation of the value of the property over time. Additionally, a Series might not be able to fund an unexpected major capital expenditure and this could lead to a complete loss of your investment. As a result of this non-diversified investment strategy, unanticipated capital expenditures could lead to a Series' inability to pay distributions or the loss of your investment entirely.

***There can be no guarantee that our company will reach its funding target from potential investors with respect to any Series or future proposed Series.*** Due to the start-up nature of our company, there can be no guarantee that our company will reach its funding target from potential investors with respect to any Series or future proposed Series. In the event our company does not reach a funding target, it may not be able to achieve its investment objectives by acquiring the relevant Series property or may acquire the relevant property relying in part on related party financing, which may have a material adverse impact on the results of operations of that Series and its ability to generate cash flow to make distributions to investors in the Series. In addition, if our company is unable to raise funding for additional Series, this may impact any investors already holding Series Interests as they will not see the benefits that arise from economies of scale following the acquisition by other Series of additional properties.

***A Series may be unable to obtain financing on favorable terms or at all.*** A Series may seek additional capital in the form of debt financing from other financing sources. Because we intend to operate our business consistent with Islamic principles and pursuant to our Managing Member's Shariah Operation Policy, we will not be able to incur financing that bears interest. As a result, additional financing may not be available to us on a timely basis or at all. If available, any financing may result in additional payment obligations and may involve agreements that include restrictive covenants that limit a Series' ability to take specific actions, such as incurring additional debt, making capital expenditures, creating liens or paying distributions, which could adversely impact the Series' ability to conduct its business or make distributions to investors.

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***We may not be able to control our operating costs or our expenses may remain constant or increase, even if our revenues do not increase, causing our results of operations to be adversely affected.*** Factors that may adversely affect our ability to control operating costs include the need to pay for insurance and other operating costs, including real estate taxes, which could increase over time, the need periodically to repair, renovate and re-lease our properties, the cost of compliance with governmental regulation, including zoning, environmental and tax laws and the potential for liability under applicable laws.

Recent proposals to change the international trade framework have resulted in substantial regulatory uncertainty regarding international trade and trade policy, both in the United States and abroad. The U.S. government has also instituted other initiatives that may affect our business, including a stricter immigration and deportation policy. To the extent such actions result in increased prices for goods or labor shortages and higher prices for services, our costs may be materially adversely impacted. The impact of these and any future actions on the broader US and global economy in the future is uncertain. Rising inflation, slower economic growth and increases in unemployment that may result from global trade disruptions could further deflate consumer demand, which may impact the housing market more broadly, reducing demand for residential housing and reducing rental rates.

If our operating costs increase for any reason, including as a result of any of the foregoing factors, and our revenues do not increase at least proportionally, our results of operations may be materially adversely affected. Furthermore, if revenues decline, we may not be able to reduce our payments and maintenance, which generally will not be reduced even if a property is not rented, or other circumstances cause our revenues to decrease. If we are unable to decrease operating costs when demand for our properties decreases and our revenues decline, our financial condition, results of operations and our ability to make distributions to our investors may be adversely affected.

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***If we fail to manage our growth, we may not have access to sufficient personnel and other resources to operate our business and our results, financial condition and ability to make distributions to investors may suffer.*** We intend to establish additional Series and acquire additional properties in the future. As we do so, we will be increasingly reliant on the resources of our Managing Member to manage our properties and our company. Currently, our Managing Member operates with a small staff of 1 person, who also serves as both Chief Executive Officer and Chief Financial Officer and is critical to the management of the company's business and operations and the development of its strategic direction. The loss of the services of our executive officer and the process to replace any key personnel would involve significant time and expense and may significantly delay or prevent the achievement of the company's business objectives. In addition, although our Managing Member expects to receive administrative support from its affiliates, it may need to hire additional staff. If its resources are not adequate to manage our properties effectively, our results, financial condition and ability to make distributions to investors may suffer.

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***There is competition for time among the various entities sharing the same management team***. Currently, Wahed Financial is the Managing Member of our company and each Series, as well as other real estate investment vehicles that also invest in single family residential real estate. Our Managing Member expects to create more Series and potentially additional investment vehicles in the future. It is foreseeable that at certain times the various Series will be competing for time from the management team. In addition, it is solely within the discretion of our Manager and its affiliates to determine which investment vehicle will acquire any particular property. In addition, the officer and manager of Wahed Financial is part of the larger Wahed corporate group of companies and it is not anticipated that the officer and manager of our Managing Member or any other personnel in the Wahed group of companies would devote themselves full-time to our business. Officers will only be working part-time and devote such time and efforts as they deem reasonably necessary in performance of services for our company.

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***The company has limited operating history for investors to evaluate.*** The company and each Series were recently formed and have generated limited revenues and have only recently commenced operation. As a result, there is little operating and financial history upon which prospective investors may evaluate their performance. No guarantee can be given that the company or any Series will achieve their investment objectives, the value of any Underlying Assets will increase or that any Underlying Assets will be successfully monetized.

***Possible changes in federal tax laws make it impossible to give certainty to the tax treatment of any Series Interests.*** The Code is subject to change by Congress, and interpretations of the Code may be modified or affected by judicial decisions, by the Treasury Department through changes in regulations and by the Internal Revenue Service through its audit policy, announcements, and published and private rulings. Although significant changes to the tax laws historically have been given prospective application, no assurance can be given that any changes made in that law affecting an investment in any Series of the company would be limited to prospective effect.

For instance, prior to effectiveness of the Tax Cuts and Jobs Act of 2017, an exchange of the Series Interests of one Series for another might have been a non-taxable 'like-kind exchange' transaction, while transactions would only qualify for that treatment with respect to real property. Accordingly, the ultimate effect on an investor's tax situation may be governed by laws, regulations or interpretations of laws or regulations which have not yet been proposed, passed or made, as the case may be.

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***The company's financial statements include a going concern opinion.*** Our financial statements have been prepared assuming the company will continue as a going concern. We have only recently commenced principal operations, plan to incur significant costs in pursuit of our capital financing plans, and are dependent upon our Manager and its affiliates for continued funding of our cash flow needs. Our ability to continue as a going concern in the next twelve months is dependent upon our ability to obtain capital financing from investors sufficient to meet current and future obligations. No assurance can be given that we will be successful in these efforts. These factors, among others, raise substantial doubt about our ability to continue as a going concern for a reasonable period of time.

***You may be more likely to sustain a loss on your investment because the Managing Member does not have as strong an economic incentive to avoid losses as do managers who have made significant equity investments in their companies.*** Because it has no obligation to make a significant equity investment in our company, the Managing Member will have little exposure to loss in the value of a Series' interests. Without this exposure, our investors may be at a greater risk of loss because the Managing Member does not have as much to lose from a decrease in the value of our interests as do those managers who make more significant equity investments in their companies.

***Tenant relief laws may negatively impact our rental income and profitability.*** As landlord of numerous residential properties, we may be involved in evicting residents who are not paying their rent or are otherwise in material violation of the terms of their lease. Eviction activities will impose legal and managerial expenses that will raise our costs. The eviction process is typically subject to legal barriers, mandatory "cure" policies and other sources of expense and delay, each of which may delay our ability to gain possession and stabilize the home. Additionally, state and local landlord-tenant laws may impose legal duties to assist residents in relocating to new housing or restrict the landlord's ability to recover certain costs or charge residents for damage that residents cause to the landlord's premises. We and any property managers we hire will need to be familiar with and take all appropriate steps to comply with all applicable landlord-tenant laws, and we will need to incur supervisory and legal expenses to ensure such compliance. To the extent that we do not comply with state or local laws, we may be subjected to civil litigation filed by individuals, in class actions or by state or local law enforcement. We may be required to pay our adversaries' litigation fees and expenses if judgment is entered against us in such litigation or if we settle such litigation.

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***Rent control or rent stabilization laws could prevent us from raising rents to offset increases in operating costs.*** Various states, cities, or municipalities have a system of rent regulations known as rent stabilization and rent control. Tenants of regulated apartments are entitled to receive required services and to have their leases renewed, and may not be evicted except on grounds allowed by law. If we acquire properties that include regulated apartments, these regulations could limit the amount of rent we are able to collect, which could have a material adverse effect on our ability to fully take advantage of the investments that we make in our properties. In addition, there can be no assurance that changes to rent control or rent stabilization laws will not have a similar or greater negative impact on our ability to collect rents.

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***Our investments may include condominium or home association interests. These common ownership interests are subject to special risks that may reduce your return on investment.*** Common ownership interests are subject to special risks that may reduce your return on investment. For example, common ownership interests are governed by associations in which we, as a unit owner, have a vote. We may be outvoted by the other members of the condominium or association respecting matters that materially impact the management, appearance, safety or financial soundness of the dwelling or of the association.

The value of common ownership interests may be decreased by the default of other interest holders on their homeowners' association, or HOA, fees or similar fees. If enough holders default on their fees, the HOA's liquidity and net worth may decrease dramatically. If the HOA or board is forced to foreclose on any delinquent interests representing the common interests, a lowered value realized at the foreclosure sale may adversely impact the market value of every other unit.

We, as a common ownership interest owner, will also be required to pay HOA fees. If we default in our payment, we may be obligated to pay financial penalties or, in severe circumstances, our unit may be foreclosed on by the board or the HOA. If the board or HOA is mismanaged or if the applicable property suffers from neglect or deferred maintenance, HOA fees may increase, which may reduce our cash flow from operations and your ability to receive distributions.

***Our targeted investments may be subject to rules and regulations of HOAs.*** Our targeted investments may be part of HOAs, which are private entities that regulate the activities of, and levy assessments on properties in, a residential subdivision. HOAs in which we own properties may have onerous or arbitrary rules that restrict our ability to renovate, market or lease our properties or require us to renovate or maintain such properties at standards or costs that are in excess of our planned operating budgets. Such rules may include requirements for landscaping, limitations on signage promoting a property for lease or sale, or the use of specific materials in renovations. The number of HOAs that impose limits on the number of property owners who may rent their homes is increasing. Such restrictions limit acquisition opportunities and could cause us to incur additional costs to resell the property and opportunity costs of lost rental income. Furthermore, many HOAs impose restrictions on the conduct of occupants of homes and the use of common areas and we may have tenants who violate HOA rules and for which we may be liable as the property owner and for which we may not be able to obtain reimbursement from the resident. Additionally, the boards of directors of the HOAs may not make important disclosures about the properties or may block our access to HOA records, initiate litigation, restrict our ability to sell our properties, impose assessments or arbitrarily change the HOA rules. We may be unaware of or unable to review or comply with HOA rules before purchasing the property and any such excessively restrictive or arbitrary regulations may cause us to sell such property at a loss, prevent us from renting such property or otherwise reduce our cash flow from such property, which would have an adverse effect on our returns on these properties.

***Real estate investments are relatively illiquid and may limit our flexibility.*** Real estate investments are relatively illiquid, which may tend to limit our ability to react promptly to changes in economic or other market conditions. Our ability to dispose of assets in the future will depend on prevailing economic and market conditions. Our inability to sell our properties on favorable terms or at all could have an adverse effect on our sources of working capital and our ability to satisfy our debt obligations. In addition, real estate can at times be difficult to sell quickly at prices we find acceptable. When we sell any of our assets, we may recognize a loss on such sale.

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***The failure of any bank in which we deposit our funds could reduce the amount of cash we have available to pay distributions to our investors and make additional investments.*** The Federal Deposit Insurance Corporation, or FDIC, only insures amounts up to $250,000 per depositor per insured bank. We expect to have cash and cash equivalents and restricted cash deposited in certain financial institutions in excess of federally insured levels. If any of the banking institutions in which we have deposited funds ultimately fails, we may lose our deposits over $250,000.

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***The occurrence of a cyber incident, or a deficiency in our cyber security, could negatively impact our business by causing a disruption to our operations, a compromise or corruption of our confidential information, or damage to our business relationships, all of which could negatively impact our financial results.*** We collect and retain certain personal information provided by our investors and tenants in the properties owned by the Series. While we expect to implement a variety of security measures to protect the confidentiality of this information and periodically review and improve our security measures, we can provide no assurance that we will be able to prevent unauthorized access to this information. A cyber incident is considered to be any adverse event that threatens the confidentiality, integrity, or availability of our information resources. More specifically, a cyber incident is an intentional attack or an unintentional event that can include gaining unauthorized access to systems to disrupt operations, corrupt data, or steal confidential information. As our reliance on technology has increased, so have the risks that could directly result from the occurrence of a cyber incident including operational interruption, damage to our relationship with our tenants, and private data exposure, any of which could negatively impact our reputation and financial results.

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***If we are required to register under the Exchange Act, it would result in significant expense and reporting requirements that would place a burden on the manager and may divert attention from management of the properties by the manager or could cause the manager to no longer be able to afford to run our business.*** The Exchange Act requires certain issuers to register its equity securities under the Exchange Act if its securities are held of record by more than 2,000 persons or 500 persons who are not "accredited investors." While the Operating Agreement presently prohibits any transfer that would result in any Series being held of record by more than 2,000 persons or 500 non-"accredited investors," there can be no guarantee that we will not exceed those limits and the manager has the ability to unilaterally amend the Operating Agreement to permit holdings that exceed those limits. If we are required to register under the Exchange Act, it would result in significant expense and reporting requirements that would place a burden on the manager and may divert attention from management of the properties by the manager or could cause the manager to no longer be able to afford to run our business.

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***If our company were to be required to register under the Investment Company Act or the Manager were to be required to register under the Investment Advisers Act, it could have a material and adverse impact on the results of operations and expenses of each Series and the Manager may be forced to liquidate and wind up each Series or rescind the offerings for any of the Series.*** Our company is not registered and will not be registered as an investment company under the Investment Company Act of 1940, as amended (the "Investment Company Act"), and the Managing Member is not and will not be registered as an investment adviser under the Investment Advisers Act of 1940, as amended (the "Investment Advisers Act") and the interests do not have the benefit of the protections of the Investment Company Act or the Investment Advisers Act. Our company and the Managing Member have taken the position that the properties are not "securities" within the meaning of the Investment Company Act or the Investment Advisers Act, and thus our company's assets will consist of less than 40% investment securities under the Investment Company Act and the Managing Member is not and will not be advising with respect to securities under the Investment Advisers Act. This position, however, is based upon applicable case law that is inherently subject to judgments and interpretation. If our company were to be required to register under the Investment Company Act or the Managing Member were to be required to register under the Investment Advisers Act, it could have a material and adverse impact on the results of operations and expenses of each Series and the Managing Member may be forced to liquidate and wind up each Series or rescind the offerings for any of the Series or the offering for any other Series.

***Competition with other parties for real estate investments may reduce the company's profitability.*** The company will compete with other entities engaged in real estate investment for the acquisition or sale of properties, including financial institutions, many of which have greater resources than the company does. Larger entities may enjoy significant competitive advantages that result from, among other things, a lower cost of capital. Furthermore, because we have elected to apply Islamic financial and contractual principles in operating our business, we will not finance our property acquisitions with traditional mortgage loans or any other interest bearing loan, which may make it more difficult for us to compete against the performance of other real estate vehicles that use leverage to increase per share profitability. Competition could make it more difficult for the company to obtain future funding, which could affect the company's growth as a company.

***Competition may impede our ability to attract or retain tenants or re-lease space, which could adversely affect our results of operations and cash flow.*** The leasing of residential real estate is highly competitive. We will compete based on a number of factors that include location, rental rates, security, suitability of a property's design to prospective tenants' needs and the manner in which a property is operated and marketed. The number of competing properties could have a material effect on our occupancy levels, rental rates and on the operating expenses of certain of our properties. If other lessors and developers of similar spaces in our markets offer leases at prices comparable to or less than the prices we offer on the properties we acquire, we may be unable to attract or retain tenants or re-lease space in our properties, which could adversely affect our results of operations and cash flow.

***We may be subject to unknown or contingent liabilities related to properties that we acquire for which we may have limited or no recourse against the sellers.*** Properties that we may acquire in the future may be subject to unknown or contingent liabilities for which we may have limited or no recourse against the sellers. Unknown or contingent liabilities might include liabilities for clean-up or remediation of environmental conditions, claims of tenants, vendors or other persons dealing with the acquired properties, tax liabilities and other liabilities whether incurred in the ordinary course of business or otherwise. In the future we may enter into transactions with limited representations and warranties or with representations and warranties that do not survive the closing of the transactions or that only survive for a limited period, in which event we would have no or limited recourse against the sellers of such properties. While we expect to usually require the sellers to indemnify us with respect to breaches of representations and warranties that survive, such indemnification is often limited and subject to various materiality thresholds, a significant deductible or an aggregate cap on losses.

As a result, there is no guarantee that we will recover any losses due to breaches by the sellers of their representations and warranties. In addition, the total amount of costs and expenses that we may incur with respect to liabilities associated with acquired properties may exceed our expectations, which may adversely affect our business, financial condition, results of operations and cash flow. Finally, we may have indemnification agreements between us and the sellers that would typically provide that the sellers will retain certain specified liabilities relating to the properties acquired by us. While the sellers would generally be contractually obligated to pay all losses and other expenses relating to such retained liabilities, there can be no guarantee that such arrangements will not require us to incur losses or other expenses as well.

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***We may not be able to sell our properties at a price equal to, or greater than, the price for which we purchased such properties, which may lead to a decrease in the value of our assets.*** The value of a property to a potential purchaser may not increase over time, which may restrict our ability to sell a property, or if we are able to sell such property, may lead to a sale price less than the price that we paid to purchase a property. In particular, we may acquire properties that are leased with an option to purchase the property, which may negatively impact our returns on disposition of the property. For example, the purchase option may require us to sell a property to the leasee at a discount sale price to the then market price of the property. Further, the purchase option may require us to sell a property to the leasee after deducting the amount of the leasee's initial option payment, which may have been paid to the prior owner and not to us. These or other terms of any such purchase option may reduce the sale price of the property to below the then prevailing market price and potentially to below the price we paid for the property.

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***We may be unable to renew leases or re-lease space as leases expire.*** If tenants do not renew their leases upon expiration, we may be unable to re-lease the vacated home. Even if the tenants do re-lease the lease or we are able to re-lease to a new tenant, the terms and conditions of the new lease may not be as favorable as the terms and conditions of the expired lease. If the rental rates for our properties decrease or we are not able to release a significant portion of our available and soon-to-be-available space, our financial condition, results of operations, cash flow, the market value of your investment and our ability to make distributions to our investors could be adversely affected.

***We may be required to make rent or other concessions and/or significant capital expenditures to improve the properties in order to retain and attract tenants, generate positive cash flow or make real estate properties suitable for sale, which could adversely affect us, including our financial condition, results of operations and cash flow.*** In the event there are adverse economic conditions in the real estate market which lead to an increase in tenant defaults, lower rental rates and less demand for residential real estate space in that market, we may be more inclined to increase tenant improvement allowances or concessions to tenants, accommodate increased requests for renovations and offer improvements or provide additional services to our tenants in order to compete in a more competitive leasing environment, all of which could negatively affect our cash flow. If the necessary capital is unavailable, we may be unable to make these potentially significant capital expenditures. This could result in non-renewals by tenants upon expiration of their leases and our vacant space remaining untenanted, which could adversely affect our financial condition, results of operations, cash flow and the value of your investment.

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***We will rely on information supplied by prospective residents.*** We will make leasing decisions based on information in rental applications completed by a prospective resident and screened by our third party property manager, and we cannot be certain that this information is accurate. Additionally, these applications will be submitted to us at the time we evaluate a prospective resident, and we will do not expect to require residents to provide us with updated information during the terms of their leases, notwithstanding the fact that this information can, and frequently does, change over time. For example, increases in unemployment levels or adverse economic conditions in certain of our target markets may adversely affect the creditworthiness of our residents in such markets. Even though this information will not be updated, we will use it to evaluate the characteristics of our portfolio over time. If resident-supplied information is inaccurate or our residents' creditworthiness declines over time, we may make poor or imperfect leasing decisions and our portfolio may contain more risk than we believe.

***Our properties may be subject to impairment charges.*** We will periodically evaluate our real estate investments for impairment indicators. The judgment regarding the existence of impairment indicators is based on factors such as market conditions, tenant performance and legal structure. For example, the early termination of, or default under, a lease by a tenant may lead to an impairment charge. If we determine that an impairment has occurred, we would be required to make a downward adjustment to the net carrying value of a property. Impairment charges also indicate a potential permanent adverse change in the fundamental operating characteristics of the impaired property. There is no assurance that these adverse changes will be reversed in the future and the decline in the impaired property's value could be permanent.

***Our real estate investments are expected to be concentrated in single-family rental properties in select geographic markets.*** Our strategy is to concentrate our real estate investments on single-family rental properties in select geographic markets that we believe favor future growth in rents and valuations. A downturn or slowdown in the rental demand for single-family housing generally, or in our target markets specifically, caused by adverse economic, regulatory or environmental conditions, or other events, would have a greater impact on our operating results than if we had more diversified real estate investments.

***If a tenant declares bankruptcy, we may be unable to collect balances due under relevant leases, which could adversely affect our financial condition and ability to pay distributions to our investors.*** Any of our tenants, or any guarantor of a tenant's lease obligations, could be subject to a bankruptcy proceeding pursuant to Chapter 11 of the United States bankruptcy code. A bankruptcy filing by one of our tenants or any guarantor of a tenant's lease obligations would bar all efforts by us to collect pre-bankruptcy debts from these individuals or entities, unless we receive an enabling order from the bankruptcy court. There is no assurance the tenant or its trustee would agree to assume the lease. If a lease is rejected by a tenant in bankruptcy, we would have only a general unsecured claim for damages that is limited in amount and which may only be paid to the extent that funds are available and in the same percentage as is paid to all other holders of unsecured claims. A tenant or lease guarantor bankruptcy could delay efforts to collect past due balances under the relevant leases and could ultimately preclude full collection of these sums. A tenant or lease guarantor bankruptcy could cause a decrease or cessation of rental payments that would mean a reduction in our cash flow and the amount available to pay distributions to our investors.

**Risks Related to Conflicts of Interest**

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***We are dependent on the Managing Member and its affiliates and their key personnel who provide services to us through the Operating Agreement, and we may not find a suitable replacement if the Operating Agreement is terminated, or if key personnel leave or otherwise become unavailable to us, which could have a material adverse effect on our performance.*** We do not expect to have any employees and we are completely reliant on the Managing Member to provide us with investment and advisory services. We expect to benefit from the personnel, relationships and experience of the Managing Member's executive team and other personnel and investors of the Managing Member and its affiliates and expect to benefit from the same highly experienced personnel and resources we need for the implementation and execution of our investment strategy. The Managing Member will have significant discretion as to the implementation of our investment and operating policies and strategies. Accordingly, we believe that our success will depend to a significant extent upon the efforts, experience, diligence, skill and relationships of the executive officers and key personnel of the Managing Member and its affiliates. The executive officer of the Managing Member will evaluate, negotiate, close and monitor our properties. Our success will depend on his continued service.

In addition, we offer no assurance that the Managing Member will remain the Managing Member or that we will continue to have access to the Managing Member's or its affiliates' principals and professionals. If the Operating Agreement is terminated and no suitable replacement is found to manage us, our ability to execute our business plan will be negatively impacted.

***The ability of the Managing Member and personnel of our Manager and its affiliates to engage in other business activities, including managing other similar companies, may reduce the time the Managing Member spends managing the business of our company and may result in certain conflicts of interest.*** The manager and officer of Wahed Financial and other personnel of its affiliates providing administrative support to us also serve as officers or employees of other entities controlled by Wahed Inc. or its affiliates. These other business activities may reduce the time these persons spend on our business. Further, if and when there are turbulent conditions in the real estate markets or distress in the credit markets or other times when we will need focused support and assistance from the Managing Member and its affiliates, the attention of their respective personnel and executive officers and resources may also be required by other business activities of affiliates. In such situations, we may not receive the level of support and assistance that we may receive if we were internally managed or if we were not managed by the Managing Member. In addition, these persons may have obligations to other entities, the fulfilment of which might not be in the best interests of us or any of our investors. The Managing Member's officers may face conflicts of interest in allocating sale, financing, leasing and other business opportunities among the real properties owned by the various companies and each Series.

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***The terms of the Operating Agreement make it difficult to end our relationship with the Managing Member.*** Under the terms of the Operating Agreement, holders of interests in each Series of our company have the right to remove our Managing Member as manager of our company, by a vote of two-thirds of the holders of all interests in each Series of our company (excluding our Managing Member) voting together, in the event our Managing Member is found by a non-appealable judgment of a court of competent jurisdiction to have committed fraud in connection with a Series of interests or our company. Unsatisfactory financial performance does not constitute grounds to terminate and remove the Managing Member under the Operating Agreement. These provisions make it difficult to end our company's relationship with the Managing Member, even if we believe the Managing Member's performance is not satisfactory.

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***The Operating Agreement contains provisions that reduce or eliminate duties (including fiduciary duties) of the Managing Member.*** The Operating Agreement provides that the Managing Member, in exercising its rights in its capacity as the Managing Member, will be entitled to consider only such interests and factors as it desires, including its own interests, and will have no duty or obligation (fiduciary or otherwise) to give any consideration to any interest of or factors affecting us or any of our investors and will not be subject to any different standards imposed by our bylaws, or under any other law, rule or regulation or in equity. These modifications of fiduciary duties are expressly permitted by Delaware law.

***There are conflicts of interest among us, the manager and its affiliates.*** All the agreements and arrangements between us and our Managing Member, including those relating to compensation, are not the result of arm's-length negotiations. Some of the conflicts inherent in our company's transactions with the Managing Member and its affiliates, and the limitations on such parties adopted to address these conflicts, are described below. The Managing Member and its affiliates will try to balance our interests with their own. However, to the extent that such parties take actions that are more favorable to other entities than us, these actions could have a negative impact on our financial performance and, consequently, on distributions to investors and the value of our interests.

The Operating Agreement provides the Managing Member with broad powers and authority which may exacerbate the existing conflicts of interest among your interests and those of the Managing Member, its executive officers and its other affiliates. Potential conflicts of interest include, but are not limited to, the following:

● the Managing Member or an affiliate of the Managing Member may sell certain properties to various Series. The Managing Member will be setting the purchase price that a Series will pay for such a property, which price may be higher than appraised values or comparable property prices;

● the Managing Member, its executive officers and its other affiliates may offer investment opportunities, including equity offerings similar to this offering, and may make investments in real estate assets for their own respective accounts, whether or not competitive with our business;

● the Managing Member, its executive officers and its other affiliates will not be required to disgorge any profits or fees or other compensation they may receive from any other business they own separately from us, and you will not be entitled to receive or share in any of the profits or fees or other compensation from any other business owned and operated by the Managing Member, its executive officers and/or its other affiliates for their own benefit;

● we may engage the Managing Member or affiliates of the manager to perform services at prevailing market rates. Prevailing market rates are determined by the Managing Member based on industry standards and expectations of what the Managing Member would be able to negotiate with third party on an arm's length basis; and

● the Managing Member or affiliates of the manager may provide advances or loans to us in amounts and on terms our Managing Member determines based on its determination of market rates and other terms at the time; and

● the Managing Member, its executive officers and its other affiliates are not required to devote all of their time and efforts to our affairs.

***We do not have a policy that expressly prohibits our Managing Member, security holders or affiliates from having a direct or indirect pecuniary interest in any transaction in which we have an interest or engaging for their own account in business activities of the types conducted by us.*** We do not have a policy that expressly prohibits our Managing Member, security holders or affiliates from having a direct or indirect pecuniary interest in any asset to be acquired or disposed of by us or any of our subsidiaries or in any transaction to which we or any of our subsidiaries are a party or have an interest. Additionally, we do not have a policy that expressly prohibits any such persons from engaging for their own account in business activities of the types conducted by us. In addition, our Operating Agreement with the Managing Member does not prevent the Managing Member and its affiliates from engaging in additional management or investment opportunities, some of which could compete with us.

***The Managing Member's liability is limited under the Operating Agreement, and we have agreed to indemnify the Managing Member against certain liabilities. As a result, we may experience poor performance or losses for which the Managing Member would not be liable.*** Pursuant to our company's Operating Agreement, the Managing Member will not assume any responsibility other than to render the services called for thereunder. The Managing Member maintains a contractual, as opposed to a fiduciary, relationship with us and our investors. Under the terms of the Operating Agreement, the Managing Member, its officers, investors, members, managers, directors and personnel, any person controlling or controlled by the Managing Member and any person providing sub-advisory services to the Managing Member will not be liable to us, any subsidiary of ours, or our investors, members or partners or any subsidiary's investors, members or partners for acts or omissions performed in accordance with and pursuant to the Operating Agreement, except by reason of acts or omissions constituting bad faith, willful misconduct, gross negligence, or reckless disregard of their duties under the Operating Agreement. Accordingly, we and our investors will only have recourse and be able to seek remedies against the Managing Member to the extent it breaches its obligations pursuant to the Operating Agreement. Furthermore, we have agreed to limit the liability of the Managing Member and to indemnify the Managing Member against certain liabilities. We have agreed to reimburse, indemnify and hold harmless the Managing Member, its officers, investors, members, managers, directors and personnel, any person controlling or controlled by the Managing Member and any person providing sub-advisory services to the Managing Member with respect to all expenses, losses, damages, liabilities, demands, charges and claims in respect of, or arising from, acts or omissions of such indemnified parties not constituting bad faith, willful misconduct, gross negligence, or reckless disregard of the Managing Member's duties, which have a material adverse effect on us. In addition, we may choose not to enforce, or to enforce less vigorously, our rights under the Operating Agreement because of our desire to maintain our ongoing relationship with the Managing Member.

**Risks Relating to the Offering**

***The company may not raise sufficient funds to achieve its business objectives.*** There is no minimum amount required to be raised before the company can accept your subscription for the Series Interests, and it can access the funds immediately. The company may not raise an amount sufficient for it to meet all of its objectives, including acquiring the Underlying Assets. Once the company accepts your investment funds, there will be no obligation to return your funds. Even if other Series Interests are sold, there may be insufficient funds raised through this offering to cover the expenses associated with the offering or complete the purchase of the Underlying Assets and the development and implementation of the company's operations. The lack of sufficient funds to pay expenses and for working capital will negatively impact the company's ability to implement and complete its planned use of proceeds.

***We do not have a redemption provision and, as a result, if the company does not successfully dispose of real estate assets in a Series, you may have to hold your investment in that Series for an indefinite period.*** Unlike many REITs and other real estate vehicles, we do not have a provisions entitling investors to redeem their Interests and, as a result, if our Managing Member does not sell the Underlying Assets and distribute those proceeds, you may have to hold your investment for an indefinite period. The determination of whether to dispose of the Underlying Assets associated with any Series is entirely at the discretion of the company. Even if the company decides to dispose of such Underlying Assets, the company cannot guarantee that it will be able to dispose of them at a favorable price to investors.

***The Managing Member has full discretion as to the use of proceeds from the offering.*** The company presently anticipates that the net proceeds from the offering will be used by us to purchase the Underlying Assets of the Series, pay fees and expenses and as general working capital. The company reserves the right, however, to use the funds from the offering for other purposes not presently contemplated herein but which are related directly to growing its current business. As a result of the foregoing, purchasers of the Series Interests hereby will be entrusting their funds to the Managing Member's management, upon whose judgment and discretion the investors must depend, with only limited information concerning management's specific intentions.

***There is currently no trading market for the company's securities.*** There is currently no public trading market for any Series Interests, and an active market may not develop or be sustained. If an active public or private trading market for the Series Interests does not develop or is not sustained, it may be difficult or impossible for you to resell your Series Interests at any price. Even if a public or private market does develop, the market price could decline below the amount you paid for your Series Interests.

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***The purchase prices for the Series Interests have been arbitrarily determined.*** The purchase price for the Series Interests has been arbitrarily determined by the company and bears no relationship to the company's assets, book value, earnings or other generally accepted criteria of value. In determining pricing, the company considered factors such as the purchase and holding costs of the Underlying Assets, the company's limited financial resources, the nature of its assets, estimates of its business potential, the degree of equity or control desired to be retained by Managing Member and general economic conditions.

**Risk Factors Related to the Real Estate Market**

***The company's real estate and real estate-related assets will be subject to the risks typically associated with real estate.*** The properties the company acquires will be subject to the risks typically associated with the global economy and real estate, which may be adversely affected by a number of risks, including:

● natural disasters such as hurricanes, earthquakes and floods;

● pandemics, such as COVID-19;

● acts of war or terrorism, including the consequences of terrorist attacks;

● adverse changes in national and local economic and real estate conditions;

● an oversupply of (or a reduction in demand for) residential rental properties in the areas where particular properties are located and the attractiveness of particular properties to prospective tenants;

● changes in governmental laws and regulations, fiscal policies and zoning ordinances and the related costs of compliance therewith and the potential for liability under applicable laws;

● costs of remediation and liabilities associated with environmental conditions affecting properties; and

● the potential for uninsured or underinsured property losses.

The value of each Series is also related to its ability to generate cash flow and net income, which in turn depends on the amount of rental revenue or other income that can be generated net of expenses required to be incurred with respect to the property. Many expenditures associated with properties (such as operating expenses and capital expenditures) cannot be reduced when there is a reduction in income from the properties. Also see "Risk Factors – We may not be able to control our operating costs or our expenses may remain constant or increase, even if our revenues do not increase, causing our results of operations to be adversely affected."

***We face possible risks associated with natural disasters and the physical effects of climate change, which may include more frequent or severe storms, hurricanes, flooding, rising sea levels, shortages of water, droughts and wildfires, any of which could have a material adverse effect on our business, results of operations, and financial condition.*** To the extent climate change causes changes in weather patterns, our properties could experience increases in storm intensity and rising sea-levels causing damage to our properties and result in reduced rental demand at these properties. Climate change may also affect our business by increasing the cost of, or making unavailable, property insurance on terms we find acceptable in areas most vulnerable to such events, increasing operating costs, including the cost of water or energy, and requiring us to expend funds to repair and protect our properties in connection with such events. Any of the foregoing could have a material adverse effect on our business, results of operations, and financial condition.

***The underlying value and performance of any real estate asset will fluctuate with general and local economic conditions.*** The successful operation of any real estate asset is significantly related to general and local economic conditions. Periods of economic slowdown or recession, significantly rising interest rates, declining employment levels, decreasing demand for rental units, declining real estate values, or the public perception that any of these events may occur, can result in reductions in the underlying value of any asset and result in poor economic performance. In such cases, investors may lose the full value of their investment, or may not experience any distributions from the real estate asset.

***The market in which the company participates is competitive and, if it does not compete effectively, its operating results could be harmed.*** The company competes with many others engaged in the residential real estate market, including but not limited to individuals, corporations, bank and insurance company investment accounts, real estate investment trusts, and private real estate funds. The company's properties will compete will all other properties listed in the same general geographic area which may be managed by companies with significantly greater resources and the ability to withstand economic downturns or other significant disruptions to operations. This market is competitive and rapidly changing. Significant increases in the number of listings for rental units in the geographic areas where the company's properties are located, if not met by a similar increase in demand, is likely to cause downward pressure on rental rates and, potentially, impact to value of the Underlying Asset. The company expects competition to persist and intensify in the future, which could harm its ability to generate sufficient rental income from its properties or acquire additional properties on terms that investors find to be reasonable.

***A rental property could be difficult to sell, which could diminish the return on the Underlying Assets.*** A rental property may incur losses due to extended periods of vacancy and may suffer reduced revenues resulting in less cash available for distribution to its investors. In addition, the resale value of the Underlying Assets could be diminished if the market value of the Underlying Assets declines, due to poor maintenance of the property by a tenant, a decrease in cash flow generated by a property or decline in real estate market values. Such a reduction in the resale value of a property could also reduce the value of investors Series Interests.

***The company may decide to sell property which could conflict with an investor's interests.*** The company may determine when to sell any property at any time in accordance with the management rights afforded to the Managing Member. Investors will not have a say in this decision. The timing and decision to sell a property may conflict with investors personal interests, beliefs or theories regarding the real estate market. Further, it is possible the sale may not be done at an optimal time. In any case, investors would not have any cause of action against the company or Managing Member for such sales.

***A decline in general economic conditions in the markets in which each property is located or in the United States generally could lead to a decrease in demand for rental properties, increased delinquencies and lower rental rates in those markets.*** As a result of these trends, the company may reduce revenue, potentially resulting in losses and lower resale value of properties, which may reduce your return.

***Lawsuits may arise between the company and its tenants resulting in lower cash distributions to investors.*** Disputes between landlords and tenants are common. These disputes may escalate into legal action from time to time. In the event a lawsuit arises between the company and a tenant it is likely that the company will see an increase in costs. Accordingly, cash distributions to investors may be affected.

***Costs imposed pursuant to governmental laws and regulations may reduce the company's net income and the cash available for distributions to its investors.*** Residential rental properties are subject to various covenants, federal, state and local laws and regulatory requirements, including permitting and licensing requirements. Local regulations, including municipal or local ordinances, zoning restrictions and restrictive covenants imposed by community developers, may restrict our use of our residential properties and may require us to obtain approval from local officials or community standards organizations at any time with respect to our residential properties, including prior to acquiring any of our residential properties or when undertaking renovations. Among other things, regulations may relate to fire and safety, seismic, asbestos-cleanup or hazardous material abatement requirements relating to protection of the environment and human health. The company could be subject to liability in the form of fines, penalties or damages for noncompliance with these laws and regulations. Furthermore, any regulations aimed at reducing housing costs may limit the rental rates that we are able to charge for our properties. We cannot assure you that existing regulatory policies will not adversely affect us or the timing or cost of property ownership or any future acquisitions or renovations, or that additional regulations will not be adopted that would result in additional costs or limits on our ability to generate income. Our business and growth strategies may be materially and adversely affected by costs of complying with these regulations. Our failure to comply with these regulations could have a material adverse effect on us and cause the value of Series Interests to decline.

***The costs of defending against claims of environmental liability, of complying with environmental regulatory requirements, of remediating any contaminated property or of paying personal injury or other damage claims could reduce the amounts available for distribution to the company's investors.*** Under various federal, state and local environmental laws, ordinances and regulations, a current or previous real property owner or operator may be liable for the cost of removing or remediating hazardous or toxic substances on, under or in such property. These costs could be substantial. Such laws often impose liability whether or not the owner or operator knew of, or was responsible for, the presence of such hazardous or toxic substances. Environmental laws also may impose liens on property or restrictions on the manner in which property may be used or businesses may be operated, and these restrictions may require substantial expenditures or prevent us booking the property. Environmental laws provide for sanctions for noncompliance and may be enforced by governmental agencies or, in certain circumstances, by private parties. Certain environmental laws and common law principles could be used to impose liability for the release of and exposure to hazardous substances, including asbestos-containing materials and lead-based paint. Third parties may seek recovery from real property owners or operators for personal injury or property damage associated with exposure to released hazardous substances and governments may seek recovery for natural resource damage. The costs of defending against claims of environmental liability, of complying with environmental regulatory requirements, of remediating any contaminated property, or of paying personal injury, property damage or natural resource damage claims could reduce or eliminate the amounts available for distribution to you.

***Costs associated with complying with the Americans with Disabilities Act may decrease cash available for distributions.*** Each Underlying Asset may be subject to the Americans with Disabilities Act of 1990, as amended, or the ADA. Under the ADA, all places of public accommodation are required to comply with federal requirements related to access and use by disabled persons. The ADA has separate compliance requirements for "public accommodations" and "commercial facilities" that generally require that buildings and services be made accessible and available to people with disabilities. The ADA's requirements could require removal of access barriers and could result in the imposition of injunctive relief, monetary penalties or, in some cases, an award of damages. Any funds used for ADA compliance will reduce the company's net income and the amount of cash available for distributions to investors.

***Uninsured losses relating to real property or excessively expensive premiums for insurance coverage could reduce the company's cash flows and the return on investment.*** There are types of losses, generally catastrophic in nature, such as losses due to wars, acts of terrorism, earthquakes, floods, hurricanes, pollution or environmental matters, that are uninsurable or not economically insurable, or may be insured subject to limitations, such as large deductibles or co-payments. Insurance risks associated with potential acts of terrorism could sharply increase the premiums the company pays for coverage against property and casualty claims. In addition, insurance policies may not be available at reasonable costs, which could inhibit the company's ability to obtain financing for its properties and could expose the relevant Series to a high risk of loss. In such instances, the company may be required to provide other financial support, either through financial assurances or self-insurance, to cover potential losses. The company may not have adequate coverage for such losses. If any of the properties incur a casualty loss that is not fully insured, the value of the assets will be reduced by any such uninsured loss, which may reduce the value of investor interests. In addition, other than any working capital reserve or other reserves the company may establish, the company has no additional sources of funding to repair or reconstruct any uninsured property. Also, to the extent the company must pay unexpectedly large amounts for insurance, it could suffer reduced earnings that would result in lower distributions to investors.

***Actual or threatened epidemics, pandemics, outbreaks, or other public health crises may adversely affect the company's business.*** The company's business could be materially and adversely affected by the risks, or the public perception of the risks, related to an epidemic, pandemic, outbreak, or other public health crisis, such as the recent outbreak of novel coronavirus, or COVID-19. The risk, or public perception of the risk, of a pandemic or media coverage of infectious diseases could adversely affect the company's and each Series' business and financial condition. "Shelter-in-place" or other such orders by governmental entities would further negatively impact the company's and each Series' business and could also disrupt the company's operations if employees, who cannot perform their responsibilities from home, are not able to report to work.

**Risks Related to Forum Selection and Jury Waivers**

***The company's Operating Agreement and Subscription Agreement each include a forum selection provision, which could result in less favorable outcomes to the plaintiff(s) in any action against our company.***

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***Investors in this offering may not be entitled to a jury trial with respect to claims arising under the Subscription Agreement or Operating Agreement, which could result in less favorable outcomes to the plaintiff(s) in any action under these Agreements.*** Investors in this offering will be bound by the Subscription Agreement and the Operating Agreement, both of which include a provision under which investors waive the right to a jury trial of any claim, other than claims arising under federal securities laws, that they may have against the company arising out of or relating to these agreement. By signing these agreements, the investor warrants that the investor has reviewed this waiver with his or her legal counsel, and knowingly and voluntarily waives the investor's jury trial rights following consultation with the investor's legal counsel.

If you bring a claim against the company in connection with matters arising under the Subscription Agreement or Operating Agreement, other than claims under the federal securities laws, you may not be entitled to a jury trial with respect to those claims, which may have the effect of limiting and discouraging lawsuits against the company. If a lawsuit is brought against the company under one of those agreements, it may be heard only by a judge or justice of the applicable trial court, which would be conducted according to different civil procedures and may result in different outcomes than a trial by jury would have had, including results that could be less favorable to the plaintiff(s) in such an action.

In addition, when the Series Interests are transferred, the transferee is required to agree to all the same conditions, obligations, and restrictions applicable to the Series Interests or to the transferor with regard to ownership of the Series Interests, that were in effect immediately prior to the transfer of the Series Interests, including the Subscription Agreement and the Operating Agreement.

**DILUTION**

Dilution means a reduction in value, control, or earnings of the Interests the investor owns.

Investors in this offering will be acquiring Series Interests of a Series of the company, the economic rights of each Series Interest will be based on the corresponding Underlying Asset of that Series. As such, investors will not experience dilution except as a result of the sale of additional Series Interests of the Series to which they have subscribed.

**PLAN OF DISTRIBUTION**

We are offering, on a best efforts basis, Series Interests of each of the open Series of our company in the "Series Offering Table". The offering price for each Series was determined by our Manager.

The company plans to market the securities directly on a "best efforts" basis. The company intends initially to use an offering landing page on the Wahed Real Estate Platform or on our website at *www.wahed.com/real-estate*, to offer the Series Interests to eligible investors. Wahed, Inc. recently launched a mobile app-based real estate investment platform, and has transitioned its real estate investment platform to the app. The App is expected to be available to download through *www.wahed.com/real-estate* as well as App stores. The officers, directors, employees, and advisors of the Managing Member or its affiliates may participate in the offering. When applicable, the company intends to prepare written materials and respond to investors after the investors initiate contact with the company, however no officers, directors, employees or advisors to the company or its Managing Member will orally solicit investors. The sale of our common shares is being facilitated by Dalmore, which is a registered broker-dealer under the Exchange Act and member of FINRA and is registered in each state where the offer and sales of the common shares will occur, pursuant to a broker-dealer agreement, dated June 6, 2025 (the "Broker-Dealer Agreement"). Our Series Interests being offered hereby will be primarily offered by associated persons of ours through the Wahed Real Estate Platform<u>.</u> In conducting this offering, such persons intend to rely on the exemption from registration contained in Exchange Act Rule 3a4-1. For additional information about the Wahed Real Estate Platform, please see "Offering Summary—About the Wahed Real Estate Platform."

The Offering Circular will be furnished to prospective investors in this offering via download 24 hours a day, 7 days a week on the company's website www.wahed.com/real-estate and on the Wahed Real Estate App. Prospective investors may subscribe for the Series Interests in this offering only through the website or the App. In order to subscribe to purchase Series Interests, a prospective investor must electronically complete, sign and deliver to us an executed subscription agreement like the one filed as an exhibit to the Offering Statement, of which this Offering Circular is a part, and provide funds for its subscription amount in accordance with the instructions provided therein.

We reserve the right to reject any investor's subscription in whole or in part for any reason. If any prospective investor's subscription is rejected, or the offering is terminated without closing on such investor's subscription, all funds received from such investors will be returned without interest or deduction.

Further, pursuant to the applicable Series Interest Subscription Agreement, the subscriptions are irrevocable by the investor upon the expiration of the period specified in such investor's state for notice filings before sales may be made in such state, if any.

To the extent that the funds are not ultimately received by us or are subsequently withdrawn by the subscriber, whether due to an ACH chargeback or otherwise, the subscription agreement will be considered terminated, and the subscriber will not be entitled to any shares subscribed for or dividends that may have accrued.

The termination of an offering for a Series will occur on the earliest to occur of (i) the date subscriptions for the maximum number of Series Interests offered for a Series have been accepted or (ii) a date determined by our Managing Member in its sole discretion.

Our company can offer up to $75 million within a rolling 12-month period pursuant to Regulation A. Our company intends to offer additional Series within such limit and will file post qualification amendments for the offerings of such Series with the SEC. The offerings of such Series will be made available to investors from the date such amendment is qualified by the SEC. There will be separate closings with respect to each offering. At least every 12 months after this offering has been qualified by the SEC, the company will file a post-qualification amendment to include the company's recent financial statements. The offering covers an amount of securities that we reasonably expect to offer and sell within two years, although the Offering Statement of which this Offering Circular forms a part may be used for up to three years and 180 days under certain conditions.

The company may, in its sole discretion, undertake one or more closings on a rolling basis, and intends to affect a close every 30 days or sooner. After each closing, funds tendered by investors will be available to the company and the company will issue the Series Interests to investors. An investor will become a member of the company, including for tax purposes, and the Series Interests will be issued, as of the date of settlement. Settlement will not occur until an investor's funds have cleared and the company accepts the investor as a member. Not all investors will receive their Series Interests on the same date.

The company has also engaged Dalmore Group, LLC ("Dalmore") a broker-dealer registered with the SEC and a member of FINRA, to perform the following administrative and compliance related functions in connection with this offering, but not for underwriting or placement agent services:

● Review investor information, including KYC ("Know Your Customer") data, AML ("Anti Money Laundering") OFAC compliance background checks (it being understood that KYC and AML processes may be provided by a qualified third party);

● Review each investor's subscription agreement to confirm such investor's participation in the offering and provide a confirmation of completion of such subscription documents to the company;

● Contact and/or notify the company, if needed, to gather additional information or clarification on an investor;

● Not provide any investment advice nor any investment recommendations to any investor;

● Keep investor details and data confidential and not disclose to any third-party except as required by regulatory agencies or in its performance under the agreement (e.g., as needed for AML and background checks);

● Coordinate with third party providers to ensure adequate review and compliance; and.

● Provide, or coordinate the provision by a third party, of an "invest now" payment processing mechanism.

As compensation for the services listed above, the company has agreed to pay Dalmore a commission equal to 1% of the amount raised in the offering to support the offering on all newly invested funds after the issuance of a No Objection Letter by FINRA. In addition, the company has paid Dalmore a $5,000 one-time advance expense allowance to cover reasonable out-of-pocket accountable expenses actually anticipated to be incurred by Dalmore in connection with this offering. Dalmore will refund any amount related to this expense allowance to the extent it is not used, incurred or provided to the company. The company has also agreed to pay Dalmore a one-time consulting fee of $20,000 to provide ongoing general consulting services relating to this offering such as coordination with third party vendors and general guidance with respect to the offering, which will be due and payable within 15 days after this offering is qualified by the SEC and the receipt of a No Objection Letter from FINRA. The company has also agreed to pay FINRA filing fees of $11,750 related to the initial filing with FINRA and $1,000 for each post-qualification amendment. Assuming the offering is fully-subscribed, the company estimates that total fees and expenses, including the one-time advance expense allowance fee of $5,000, the consulting fee of $20,000 and the $11,750 initial FINRA filing fee, would initially be $36,750 plus 1% of the aggregate of offering amounts of all Series shown on the cover page of this Offering Circular.

**Process of Subscribing**

After the Offering Statement has been qualified by the SEC, the company will accept tenders of funds to purchase the Series Interests.

Investors will be required to complete a subscription agreement in order to invest. The subscription agreement includes a representation by the investor to the effect that, if the investor is not an "accredited investor" as defined under securities law, the investor is investing an amount that does not exceed the greater of 10% of their annual income or 10% of their net worth (excluding the investor's principal residence).

To subscribe for the Series Interests, each prospective investor must :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. Go to https://www.wahed.com/real-estate or the App Store to download the app.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. Sign up with your email address.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. Navigate to open the Real Estate from Product Selection to see latest live deals.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. Complete registration to create your account .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. Complete profile setup and link a bank account.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. Carefully read this offering circular, and any current supplement, as well as any documents described in the offering circular and attached hereto or which you have requested. Consult with your tax, legal and financial advisors to determine whether an investment in our Company is suitable for you.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. Navigate to specific Series and click on "Subscribe."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. Complete subscriber information and review and sign the subscription agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. Based on your account status, the company may ask an Investor to provide identification or accreditation proof documents before accepting the subscription.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. If all or a part of your subscription is approved, then the number of Series Interests you are entitled to subscribe for will be issued to you upon the closing.

Any potential investor will have ample time and is advised to review the Subscription Agreement, along with their counsel, prior to making any final investment decision.

By executing the Subscription Agreement, you agree to be bound by the terms of the Subscription Agreement and the Operating Agreement of our company, as it may be amended from time to time. Our company, the Manager and Dalmore will rely on the information you provide in the subscription agreement, including the supplemental information you provide in order for the manager and Dalmore to verify your status as a "qualified purchaser." If any information about your "qualified purchaser" status changes prior to you being issued Series Interests, please notify the Manager immediately using the contact details set out in the Subscription Agreement.

The company may close on investments on a "rolling" basis (so not all investors will receive their Series Interests on the same date). Investors may subscribe by tendering funds by check, wire transfer, or ACH transfer to an account maintained by the company until the company has accepted the investor's subscription. Upon closing, funds tendered by investors will be made available to the company for its use. The company has the right to refuse to sell the Series Interests to any prospective investor or for any reason in its sole discretion, including, without limitation, if such prospective investor does not promptly supply all information requested by the company in connection with such prospective investor subscription. In addition, in the company's sole discretion, it may establish a limit on the purchase of Series Interests by particular prospective investors.

**No Escrow**

The proceeds of this offering will not be placed into an escrow account. When we accept subscription payments, following compliance review as discussed above, Series Interests will be issued, and investors will become Interest holders. Funds will be returned by the company, without interest, for any subscriptions that are not accepted by us.

**Transfer Agent**

The company has engaged United Transfer Agency LLC, doing business as Dalmore Transfer, as its transfer agent.

**Forum Selection Provision** 

The Subscription Agreement that investors will execute in connection with the offering includes a forum selection provision that requires any claims against the company based on the Agreement to be brought in a state or federal court of competent jurisdiction in the State of Delaware for the purpose of any suit, action or other proceeding arising out of or based upon the Agreement, excluding any claims under federal securities laws. Although the company believes the provision benefits us by providing increased consistency in the application of Delaware law in the types of lawsuits to which it applies and in limiting the company's litigation costs, to the extent it is enforceable, the forum selection provision may limit investors' ability to bring claims in judicial forums that they find favorable to such disputes and may discourage lawsuits with respect to such claims. The company has adopted the provision to limit the time and expense incurred by its management to challenge any such claims. As a company with a small management team, this provision allows its officers to not lose a significant amount of time travelling to various forums so they may continue to focus on operations of the company.

 ****

**Jury Trial Waiver** 

The Subscription Agreement that investors will execute in connection with the offering provides that subscribers waive the right to a jury trial of any claim they may have against us arising out of or relating to the Agreement, excluding any claim under federal securities laws. By signing the Subscription Agreement, an investor will warrant that the investor has reviewed this waiver with the investor's legal counsel, and knowingly and voluntarily waives his or her jury trial rights following consultation with the investor's legal counsel. If the company opposed a jury trial demand based on the waiver, a court would determine whether the waiver was enforceable given the facts and circumstances of that case in accordance with applicable case law.

**USE OF PROCEEDS**

**Series Paign Drive** 

Assuming a maximum raise of $313,600, and after deducting brokerage commissions of $3,136, the net proceeds of this offering of Series Paign Drive Interests would be approximately $310,464. The table below sets forth the uses of proceeds of the company's Series Paign Drive Interests.

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| | | |
|:---|:---|:---|
| **Uses** | **Amount<br> Funded<br> from the<br> Offering** | **Percent of<br> Gross<br> Proceeds** |
| Brokerage Commissions | $3136 | 1.0% |
| Purchase Price of Property (1) | $260000 | 82.9% |
| Acquisition Expenses (2) | $4200 | 2.5% |
| Property Improvement Expenses | $4666 | 2.5% |
| Offering Expenses (3) | $12544 | 4.0% |
| Sourcing Fee (4) | $14300 | 4.6% |
| Operating Reserve | $14754 | 2.6% |
| **Total Proceeds** | $**313600** | **100.0%** |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Represents the $260,000 original purchase price of the Paign Drive property paid by Wahed Financial.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Estimated Acquisition Expenses consist of estimated closing cost, inspection cost, insurance and realtor commission.

&nbsp;&nbsp;&nbsp;&nbsp;(3) We will reimburse the Managing Member for offering expenses actually incurred for the Series Paign Drive offering in an amount up to 4% of gross offering proceeds of the Series. Our Managing Member will be responsible for any offering expenses above this amount.

&nbsp;&nbsp;&nbsp;&nbsp;(4) Represents a fee payable to Wahed Financial in connection with the search and negotiation of the property purchase as set forth in the Certificate of Designations for the Series.

Wahed Financial initially purchased the Paign Drive property in August 2024 and, in May 2025, sold the property to Series Paign Drive in exchange for $141,600 in cash and an interest-free loan from Wahed Financial of $127,266, with a loan management fee determined on an arms-length basis, representing the $260,000 property purchase price plus $4,200 in Acquisition Expenses and $4,666 in Property Improvement Expenses. Additional Proceeds will first be used to pay amounts due on the loan, then to pay Wahed Financial for the Offering Expenses and then the Sourcing Fee, with any remaining funds being retained for an Operating Reserve. If the offering is terminated prior to raising the maximum offering amount, any balance remaining on the loan would be paid from revenues generated by the Paign Drive property and the Series would expense the Offering Expenses and Sourcing Fee, which would also be deducted from revenues generated by the Paign Drive property.

**Series Lake Overlook Drive** 

Assuming a maximum raise of $410,000, and after deducting brokerage commissions of $4,100, the net proceeds of this offering of Series Lake Overlook Drive Interests would be approximately $405,900. The table below sets forth the uses of proceeds of the company's Series Lake Overlook Drive Interests.

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| | | |
|:---|:---|:---|
| **Uses** | **Amount<br> Funded<br> from the<br> Offering** | **Percent of<br> Gross<br> Proceeds** |
| Brokerage Commissions | $4100 | 1.0% |
| Purchase Price of Property (1) | $374900 | 91.4% |
| Estimated Acquisition Expenses (2) | $6500 | 1.6% |
| Estimated Property Improvement Expenses | $0 | 0.0% |
| Offering Expenses (3) | $5000 | 1.2% |
| Sourcing Fee (4) | $12500 | 3.1% |
| Operating Reserve | $7000 | 1.7% |
| **Total Proceeds** | $**410000** | **100.0%** |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Represents the $374,900 original purchase price of the Series Lake Overlook Drive property paid by Wahed Financial.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Estimated Acquisition Expenses consist of estimated closing cost, including inspection cost, insurance and home association fees.

&nbsp;&nbsp;&nbsp;&nbsp;(3) Although the Managing Member is initially estimating that the Series will be allocated $5,000 in Offering Expenses, we may reimburse the Managing Member for offering expenses in an amount up to 4% of gross offering proceeds of the Series. Our Managing Member will be responsible for any offering expenses above this amount.

&nbsp;&nbsp;&nbsp;&nbsp;(4) Represents a fee payable to Wahed Financial in connection with the search and negotiation of the property purchase as set forth in the Certificate of Designations for the Series.

Wahed Financial initially purchased the Series Lake Overlook Drive property in March 2025 and intends to sell the property to Series Lake Overlook Drive once funds have been tendered to the company. If the property is sold to the Series by Wahed Financial prior to the Series raising the maximum offering amount, funds from the offering, less brokerage commissions, will first be used to pay Wahed Financial for the Purchase Price of Property and Acquisition Expenses noted above, followed by the Offering Expenses and then the Sourcing Fee, with any remaining funds being retained for an Operating Reserve. If the initial funds raised are not sufficient to pay the above Purchase Price of Property, the Series will issue an interest-free promissory note payable to Wahed Financial to cover the balance of such Purchase Price plus Acquisition Expenses and would apply additional funds raised in the offering to repay amounts outstanding under the promissory note. If the offering is terminated prior to raising the maximum offering amount, any balance remaining on the promissory note would be paid from revenues generated by the Lake Overlook Drive property and the Series would expense the Offering Expenses and Sourcing Fee, which would also be deducted from revenues generated by the Lake Overlook Drive property.

**Series Waynick Drive** 

Assuming a maximum raise of $485,000, and after deducting brokerage commissions of $4,850, the net proceeds of this offering of Series Waynick Drive Interests would be approximately $480,150. The table below sets forth the uses of proceeds of the company's Series Waynick Drive Interests.

---

| | | |
|:---|:---|:---|
| **Uses** | **Amount<br> Funded<br> from the<br> Offering** | **Percent of<br> Gross<br> Proceeds** |
| Brokerage Commissions | $4850 | 1.0% |
| Purchase Price of Property (1) | $435000 | 89.7% |
| Acquisition Expenses (2) | $10324 | 2.1% |
| Property Improvement Expenses | $500 | 0.1% |
| Offering Expenses (3) | $4350 | 0.9% |
| Sourcing Fee (4) | $21276 | 4.4% |
| Operating Reserve | $8700 | 1.8% |
| **Total Proceeds** | $**485000** | **100.0%** |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Represents the $435,000 original purchase price of the Waynick Drive property (as defined below) paid by Wahed Financial.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Estimated Acquisition Expenses consist of estimated closing cost, inspection cost, insurance and realtor commission.

&nbsp;&nbsp;&nbsp;&nbsp;(3) Although the Managing Member is initially estimating that the Series will be allocated $4,350 in Offering Expenses, we may reimburse the Managing Member for offering expenses actually incurred for the Series Waynick Drive offering in an amount up to 4% of gross offering proceeds of the Series. Our Managing Member will be responsible for any offering expenses above this amount.

&nbsp;&nbsp;&nbsp;&nbsp;(4) Represents a fee payable to Wahed Financial in connection with the search and negotiation of the property purchase as set forth in the Certificate of Designations for the Series.

Wahed Financial initially purchased the Waynick Drive property in September 2025 and intends to transfer the property to Series Waynick Drive once sufficient funds from the company's Regulation A offering have been tendered to the company. If the property is sold to the Series by Wahed Financial prior to the Series raising the maximum offering amount, funds from the offering, less brokerage commissions, will first be used to pay Wahed Financial for the Purchase Price of Property and Acquisition Expenses noted above, followed by the Offering Expenses and then the Sourcing Fee, with any remaining funds being retained for an Operating Reserve. If the initial funds raised are not sufficient to pay the above Purchase Price of Property, the Series will issue an interest-free promissory note payable to Wahed Financial to cover the balance of such Purchase Price plus Acquisition Expenses and would apply additional funds raised in the offering to repay amounts outstanding under the promissory note. If the offering is terminated prior to raising the maximum offering amount, any balance remaining on the promissory note would be paid from revenues generated by the Waynick Drive property and the Series would expense the Offering Expenses and Sourcing Fee, which would also be deducted from revenues generated by the Waynick Drive property.

**Series Golden Honey**

Assuming a maximum raise of $498,000, and after deducting brokerage commissions of $4,980, the net proceeds of this offering of Series Waynick Drive Interests would be approximately $493,020. The table below sets forth the uses of proceeds of the company's Series Golden Honey Interests.

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| | | |
|:---|:---|:---|
| **Uses** | **Amount<br> Funded<br> from the<br> Offering** | **Percent of<br> Gross<br> Proceeds** |
| Brokerage Commissions | $4980 | 1.0% |
| Purchase Price of Property (1) | $455000 | 91.4% |
| Acquisition Expenses (2) | $10893 | 2.2% |
| Property Improvement Expenses | $500 | 0.1% |
| Offering Expenses (3) | $4281 | 0.9% |
| Sourcing Fee (4) | $20848 | 4.2% |
| Operating Reserve | $1498 | 0.3% |
| **Total Proceeds** | $**498000** | **100.0%** |

---

&nbsp;&nbsp;&nbsp;&nbsp;(1) Represents the $455,000 original purchase price of the Golden Honey property (as defined below) paid by Wahed Financial.

&nbsp;&nbsp;&nbsp;&nbsp;(2) Estimated Acquisition Expenses consist of estimated closing cost, inspection cost, insurance and realtor commission.

&nbsp;&nbsp;&nbsp;&nbsp;(3) Although the Managing Member is initially estimating that the Series will be allocated $4,281 in Offering Expenses, we may reimburse the Managing Member for offering expenses actually incurred for the Series Waynick Drive offering in an amount up to 4% of gross offering proceeds of the Series. Our Managing Member will be responsible for any offering expenses above this amount.

&nbsp;&nbsp;&nbsp;&nbsp;(4) Represents a fee payable to Wahed Financial in connection with the search and negotiation of the property purchase as set forth in the Certificate of Designations for the Series.

Wahed Financial initially purchased the Golden Honey property in September 2025 and intends to transfer the property to Series Golden Honey once sufficient funds from the company's Regulation A offering have been tendered to the company. If the property is sold to the Series by Wahed Financial prior to the Series raising the maximum offering amount, funds from the offering, less brokerage commissions, will first be used to pay Wahed Financial for the Purchase Price of Property and Acquisition Expenses noted above, followed by the Offering Expenses and then the Sourcing Fee, with any remaining funds being retained for an Operating Reserve. If the initial funds raised are not sufficient to pay the above Purchase Price of Property, the Series will issue an interest-free promissory note payable to Wahed Financial to cover the balance of such Purchase Price plus Acquisition Expenses and would apply additional funds raised in the offering to repay amounts outstanding under the promissory note. If the offering is terminated prior to raising the maximum offering amount, any balance remaining on the promissory note would be paid from revenues generated by the Golden Honey property and the Series would expense the Offering Expenses and Sourcing Fee, which would also be deducted from revenues generated by the Golden Honey property.

**General**

**The company reserves the right to change the above use of proceeds for any Series if management believes it is in the best interests of the company.**

**THE COMPANY'S BUSINESS**

**Overview**

Wahed Real Estate is a Delaware series limited liability company formed on May 14, 2024 by its Managing Member Wahed Financial, a Delaware limited liability company. Wahed Real Estate is an investment vehicle that enables investors to own fractional ownership of specific residential rental properties. We believe our real estate platform will enable investors to invest in residential real estate with lower capital requirements and provide opportunities for income through rental returns, long term capital gains and capital preservation. We believe offering Series Interests lowers the cost-of-entry and minimizes the time commitment for real estate investing, with no investor involvement in asset or property management, while still providing the potential economic benefits normally associated with direct property ownership. The Wahed Real Estate platform will list each Series and their relevant properties, and investors can browse and choose opportunities in which to invest.

**Our Series LLC Structure**

The company establishes separate Series for the holding of residential properties to be acquired by the company. It is not anticipated that any Series would own any assets other than its respective real estate property and associated assets, the reason for which the applicable Series was created ("The Underlying Asset(s)"), plus cash reserves for maintenance, storage, insurance and other expenses pertaining to such Underlying Assets and amounts earned by each Series from the monetization of the Underlying Asset. It is intended that owners of a Series Interest in a Series will only have assets, liabilities, profits and losses pertaining to the specific Underlying Assets owned by that Series. As a Delaware series limited liability company, the debts, liabilities, obligations and expenses incurred, contracted for or otherwise existing with respect to a particular series are segregated and enforceable only against the assets of such series, as provided under Delaware law. This would include contractual obligations that each Series will enter, such as any property management agreement with respect to the management of the specific property. This would also include the portion of any shared fees, costs or expenses that have been allocated to the Series, as discussed above and under "– Expenses and Allocation Policy."

**Strategy and Target Markets**

Our investment strategy is to acquire, rent out, manage, operate, and sell residential properties located in vibrant, growing cities across America. Our primary focus initially will be single family homes and we may later expand (e.g., after 2 years) into multi-family properties (e.g., condos). We believe that these markets offer investors a blend of attractive capitalization rates and a strong prospect for long-term property value appreciation. Investment and operational decisions, including the selection and acquisition of residential properties to be included in a Series, will be made in accordance with Islamic financial and contractual principles, as determined by Wahed Financial and pursuant to its Shariah Operation Policy. Generally, Islamic financial principles require that investors share in profit and loss, that neither investors, nor any of the property owners or Wahed Real Estate receive or pay usury or interest, nor that legal contracts result in substantive speculation or uncertainty. Generally, this means that we will finance any property with cash or, if available, interest-free financing, rather than traditional interest-bearing mortgage financing. Please see "– Shariah Operation Policy" below for a further description of our Managing Member's policy and procedures regarding compliance with Shariah and Islamic principles.

We focus on acquiring properties in urban areas that we believe (1) are likely to generate stable cash flows in the long term and (2) have significant possibilities for long-term capital appreciation. We will seek properties in markets that exhibit the following characteristics:

● Sufficient inventory to make it feasible to achieve scale in the local market (100 – 500 homes);

● Positive rates of job and income growth;

● Large university and skilled workforce;

● Popular with millennials; and

● Favorable competitive landscape with respect to other institutional single family residence buyers.

For a brief overview of the particular geographic market in which a Series property is located, see the individual Series property listings in the section titled " – Property Overview" below.

Our strategy involves retaining and managing properties we acquire in Series for an extended period, which we expect will average around 10 years. The decision to sell a particular property will be made by carefully evaluating current and future market trends, the property's condition, and factors affecting cash flow and profitability.

**Market Dynamics**

The current valuation of the US housing market stands at approximately $50 trillion. Currently, the market is characterized by historically low affordability, driven by elevated housing prices and high mortgage rates. There is a notable shortage of over 4 million housing units in the US. Additionally, the inventory of existing homes is limited, as current homeowners opt to retain their properties due to high interest rates. Recent proposals to change the international trade framework have resulted in substantial regulatory uncertainty regarding international trade and trade policy, both in the United States and abroad. The impact of these and any future actions on the broader US and global economy in the future is uncertain. Rising inflation, slower economic growth and increases in unemployment that may result from global trade disruptions could further deflate consumer demand, which may impact the housing market more broadly, reducing demand for residential housing and reducing rental rates.

Despite these challenges, the company believes that the long-term outlook for the real estate sector in the US remains optimistic.

**Intended Business Process**

Generally, the company and Wahed Financial intend to arrange for the purchase of a specific residential property either directly by the Series or by Wahed Financial or one of its affiliates.

If Wahed Financial or one of its affiliates purchases the property directly, then, after the relevant Series has obtained financing, it would sell the property to that Series for an amount equal to the original purchase price (including closing costs) plus holding costs, as well as any renovation or repair costs incurred prior to the sale to the Series as well as the applicable sourcing fee specified in the Series Designation for the relevant Series. Our Managing Member may determine to sell the property to the Series shortly after the initial sale of Series Interests and prior to the Series raising sufficient funds to pay the purchase price of the property in full. In that case, the Managing Member would provide an interest-free loan to the Series to cover the full purchase price plus acquisition expenses and property improvement expenses, and would then be repaid such amounts out of future proceeds from the offering. If the offering is terminated after some funds have been raised but not a sufficient amount to pay Wahed Financial the full purchase price for the property, the Series would repay the loan from Wahed Financial or its affiliate from revenues generated by the property.

In cases where Wahed Financial identifies and intends to have the Series purchase that property directly from a third party seller, it would use the proceeds of the offering for that Series to purchase the property. Adhering to Islamic principles, all property acquisitions will be conducted with cash or other interest-free financing, mitigating challenges associated with high mortgage rates. If the purchase agreement for the property does not include a financing condition and the closing for the property occurs prior to sufficient proceeds being received, Wahed Financial or an affiliate may provide an interest-free loan to the Series to finance all or part of the purchase price of the property plus acquisition expenses and property improvement expenses that would be repaid with the proceeds of the offering. If the offering is terminated after some funds have been raised but not a sufficient amount to pay Wahed Financial the full purchase price for the property plus acquisition expenses and property improvement expenses, the Series would repay the loan from Wahed Financial or its affiliate from revenues generated by the property.

Intercompany loans between Wahed Financial or an affiliate thereof, on the one hand, and a Series, on the other hand, would generally have the following terms:

● Interest: 0% interest.

● Facility Fees: as determined by the Managing Member in each case, generally expected to be annual rate of 5% of the amount of the loan facility.

● Security: The loan would be unsecured.

● Default: Notwithstanding anything to the contrary in the agreement, if the borrower defaults in the performance of any obligation under the agreement, then the lender may declare the principal amount owing and interest due under the agreement at that time to be immediately due and payable.

● No prepayment penalty

**Shariah Operation Policy** 

As part of the Wahed Inc. group of companies, our Managing Member manages our company in compliance with the Wahed Shariah Operation Policy, designed to ensure that our company's operations are conducted in accordance with Islamic principles and Shariah requirements. The policy provides the structure for a disciplined, objective, and consistent approach to investment selection and related financial services based on set ethical and Shariah screening criteria. The guiding principles established in the policy for our Managing Member's conduct of business include the following:

● truthfulness, honesty and fairness,

● due care and diligence in the operation of business, including acting in the best interests of stakeholders and the evaluation of risk,

● capabilities of senior management, staff and representatives to discharge their respective duties competently,

● knowledge of and clients and transparent, fair and truthful communications with clients, and

● avoidance or appropriate management of conflicts of interest such that stakeholders are treated fairly.

The policy sets out a Shariah governance structure designed to monitor Shariah compliance and ensure the conduct of business in a socially responsible manner, in compliance with the Shariah standards issued by the Accounting and Auditing Organization for Islamic Financial Institutions and under the guidelines and oversight of Wahed's Shariah Supervisory Board (the "SSB"). Our Managing Member has coordinated with the SSB in establishing our company and determining our intended business process and investment approach to ensure our compliance with Shariah and Islamic principles.

**Our Managing Member and Fees and Expenses payable by each Series**

Wahed Financial serves as our Managing Member and the Managing Member of each Series. Our Managing Member acts through its manager, Ahmar Shaikh, its Chief Executive Officer and Chief Financial Officer. As our Managing Member, Wahed Financial has full power and authority to do all things and on such terms as it determines to be necessary or appropriate to conduct the business of the company and each Series.

Our Managing Member is responsible for the day-to-day management of the company and each Series and will manage all underlying property and other assets related to the various Series including the sales of property, property rentals, maintenance and insurance. We anticipate engaging local property managers for the day to day management of our properties and we expect property management fees to be in the range of 8-12% of gross rental receipts, which would be paid out of the revenues generated by such Series. To the extent that we have entered into a property management agreement with respect to any Series property, the terms of such agreement are set forth below under "– Property Overview."

***Sourcing Fee***

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If a Series raises the maximum offering amount for that Series, a portion of the proceeds would be paid to our Managing Member as a sourcing fee, which is set forth in the Certificate of Designation for the relevant Series and discussed under "Use of Proceeds" above. The sourcing fee represents a fee payable in connection with the search and negotiation of the property purchase and coordination of the work needed to prepare the property for rental. Our Managing Member determines this fee and sets the amount. To the extent that a Series raises less than the maximum offering amount resulting in insufficient funds to pay the sourcing fee, the Managing Member may determine to expense the balance of the sourcing fee, which would be deducted from revenues generated by the relevant property, waive the sourcing fee or invest in the relevant Series Interests to cover the balance of the sourcing fee.

***Asset Management Fees***

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On a quarterly basis beginning on the first quarter end date following the initial closing date of the issuance of Series Interests, each Series shall pay the Managing Member an asset management fee, payable quarterly in arrears, equal to 0.25% (1% annualized) of Asset Value as of the last day of the immediately preceding quarter.

"Asset Value" at any date means the fair market value of assets in a Series representing the purchase price that a willing buyer having all relevant knowledge would pay a willing seller for such assets in an arm's length transaction, determined by the Managing Member in its sole discretion.

Our Managing Member expects to determine "Asset Value" based on an internal review of recent comparable sales and may obtain third party valuations from time to time as needed.

***Facility Fees***

To the extent that the Managing Member of any of its affiliates provides a loan to the company or any Series, it will charge a facility fee, determined by the Managing Member or such affiliate to be arms-length terms. To date, that facility fee has equaled an annual rate of 5% of the amount of the loan facility, charged on a monthly basis. Since Inception and through June 30, 2025, the company and its Series have paid an aggregate of $5,809 (net of $42 in facility fees received as discussed in "Management's Discussion and Analysis of Financial Condition and Results of Operations").

***Expenses and Allocations Policy***

In addition to paying the sourcing fee and asset management fees discussed above, each Series will be responsible for the following fees, costs and expenses, or its allocated portion thereof) in connection with any offering of Series Interests by a Series and the sourcing and acquisition of a Series property shall be borne by the relevant Series (except in the case of an unsuccessful offering in which case all "dead deal costs" shall be borne by the Managing Member), and except to the extent assumed by the Managing Member in writing):

● Cost to acquire the Series Property;

● Brokerage fees;

● Offering expenses (as discussed below); and

● Acquisition expenses, meaning the fees, costs and expenses incurred in connection with the evaluation, discovery, investigation, development and acquisition of a Series property, including real estate brokerage and sales fees and commissions, appraisal fees, research fees, transfer taxes, third party industry and due diligence experts, bank fees, and similar costs and expenses incurred in connection with the evaluation, discovery, investigation and acquisition of a Series property.

*Operating Expenses*

Each Series of our company will also be responsible for the following costs and expenses attributable to the activities of our company related to such series (we refer to these as Operating Expenses):

● any and all fees, costs and expenses incurred in connection with the management of a Series property, including Home Ownership Association (HOA) fees, income taxes, marketing, security and maintenance;

● any fees, costs and expenses incurred in connection with preparing any reports and accounts of each Series, including any blue sky filings required in order for interests in a Series to be made available to investors in certain states and any annual audit of the accounts of such Series (if applicable) and any reports to be filed with the SEC including periodic reports on Forms 1-K, 1-SA and 1-U;

● any and all insurance premiums or expenses, including directors' and officers' insurance of the directors and officers of the Managing Member, in connection with the Series;

● any withholding or transfer taxes imposed on our company or a Series or any of the members as a result of its or their earnings, investments or withdrawals;

● any governmental fees imposed on the capital of our company or a Series or incurred in connection with compliance with applicable regulatory requirements;

● any legal fees and costs (including settlement costs) arising in connection with any litigation or regulatory investigation instituted against our company or a Series in connection with the affairs of our company or a Series;

● the fees and expenses of any administrator, if any, engaged to provide administrative services to our company or a Series;

● any fees, costs and expenses of a third-party registrar and transfer agent appointed by the managing Member in connection with a Series;

● the cost of the audit of our company's annual financial statements and the preparation of its tax returns and circulation of reports to investors;

● the cost of any audit of a series annual financial statements and the fees, costs and expenses incurred in connection with making of any tax filings on behalf of a series and circulation of reports to investors;

● any indemnification payments to be made pursuant to the requirements of the Operating Agreement;

● the fees and expenses of our company's or a Series' counsel in connection with advice directly relating to our company's or a series' legal affairs;

● the costs of any other outside appraisers, valuation firms, accountants, attorneys or other experts or consultants engaged by the Managing Member in connection with the operations of our company or a Series; and

● any similar expenses that may be determined to be Operating Expenses, as determined by the Managing Member in its reasonable discretion.

The Managing Member will bear its own expenses of an ordinary nature, including all costs and expenses on account of rent, supplies, secretarial expenses, stationery, charges for furniture, fixtures and equipment, payroll taxes, remuneration and expenses paid to employees and utilities expenditures.

If the Operating Expenses exceed the amount of revenues generated from a Series property and cannot be covered by any Operating Expense reserves on the balance sheet of such Series, the Managing Member may (a) pay such Operating Expenses and not seek reimbursement, (b) loan the amount of the Operating Expenses to the applicable series, expected to be on an interest-free basis consistent with Islamic principles, and be entitled to reimbursement of such amount from future revenues generated by such series property, and/or (c) cause Series Interests to be issued to the Managing Member in order to cover such additional amounts.

*Allocation Policy*

To the extent relevant, Offering Expenses, Acquisition Expenses, Operating Expenses, revenue generated from series properties and any indemnification payments made by the Managing Member will be allocated among the various series interests in accordance with the Managing Member's allocation policy set forth below. The allocation policy requires the Managing Member to allocate items that are allocable to a specific Series to be borne by, or distributed to (as applicable), the applicable Series. If, however, an item is not allocable to a specific Series but to our company in general, it will be allocated pro rata based on the value of the Series properties or the number of properties, as reasonably determined by the Managing Member or as otherwise set forth in the allocation policy. By way of example, as of the date of this Offering Circular it is anticipated that revenues and expenses will be allocated as follows:

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| | | |
|:---|:---|:---|
| **Revenue or Expense Item** | **Details** | **Allocation Policy** |
| *Revenue* | Each of the Series is expected to have monthly rental income from the Series property. | Allocable directly to the applicable Series |
| *Acquisition Expenses* | Appraisal and valuation fees (if incurred pre-closing) | Allocable directly to the applicable Series property |
|  | Appraisal and valuation fees (if incurred post-closing) | Allocable directly to the applicable Series property |
|  | Pre-purchase inspection | Allocable directly to the applicable Series property |
|  | Closing costs (including any broker commissions) | Allocable directly to the applicable Series property |
|  | Insurance of a series property as at time of acquisition | Allocable directly to the applicable Series property |
| *Offering Expenses\** | Legal expenses related to the preparation of regulatory paperwork (offering materials) for a series | Allocable pro rata based on the number of Series properties |
|  | Audit and accounting work related to the regulatory paperwork for the company and each series | Allocable pro rata based on the number of Series properties |
|  | Broker fees other than cash commissions (e.g., expense reimbursement) | Allocable pro rata based on the number of Series properties |
|  | Brokerage commissions | Allocable directly to the applicable Series |
|  | Third party marketing costs (including distribution of marketing materials) | Allocable pro rata based on the Asset Value of the Series |

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| | | |
|:---|:---|:---|
| *Operating Expense* | Property management fees | Allocable directly to the applicable Series property |
|  | Asset management fees | Allocable directly to the applicable Series |
|  | Tax / Accounting / bookkeeping work related to the regulatory paperwork of the Series | Allocable pro rata based on the number of Series properties |
|  | Security (e.g., surveillance and patrols) | Allocable pro rata based on the Asset Value of the Series |
|  | Insurance | Allocable directly to the applicable Series property |
|  | Maintenance | Allocable directly to the applicable Series property |
|  | Property marketing or lease concessions, including special offers and terms | Allocable directly to the applicable Series property |
| *Indemnification Payments* | Indemnification payments under the Operating Agreement | Allocable pro rata based on the Asset Value of the Series |
| *Disposition/Dissolution* | Appraisal and valuations fees | Allocable directly to the applicable Series property |
|  | Pre-sale improvements | Allocable directly to the applicable Series property |
|  | Staging and marketing expenses | Allocable directly to the applicable Series property |
|  | Real estate commissions | Allocable directly to the applicable Series property |

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\* For each Series, the maximum amount of Offering Expenses, excluding brokerage commissions, that will be allocated by the Managing Member to such Series will be 4% of the gross offering proceeds received by such Series.

Once such fees, costs or expenses have been allocated in accordance with the Managing Member's allocation policy, each relevant Series would record their allocated portion and become liable for payment or for reimbursing the Managing Member for its pre-allocation payment of such expenses. There may be situations where it is difficult to allocate fees, costs and expenses among specific Series and, therefore, there is a risk that a Series may bear a proportion of the fees, costs and expenses for a service or product for which another Series received a disproportionately high benefit.

Notwithstanding the foregoing, the manager may revise and update the allocation policy from time to time in its reasonable discretion without further notice to investors.

**Property Overview**

***Series Paign Drive***

Wahed Financial entered into a purchase contract with an unaffiliated third party on June 30, 2024 for the purchase of the below property for a purchase price of $260,000 plus prorated property taxes and water bills from July 5, 2024 plus a $595 compliance/transaction fee. The property was purchased by Wahed Financial in August 2024 and leased back to the seller for a period of 3 days. On April 9, 2025, the property was leased to a renter under a two-year lease for a monthly rent of $2,100. On August 26, 2024, the company established Series Paign Drive for the purposes of acquiring the Paign Drive property. In May 2025, Wahed Financial sold the property to Series Paign Drive in exchange for $141,600 in cash and an interest-free loan from Wahed Financial of $127,266, with a loan facility fee equal to an annual rate of 5% of the amount of the loan facility, representing the $260,000 property purchase price plus $4,200 in acquisition expenses and $4,666 in property improvement expenses, each as described under "Use of Proceeds."

Prior to the purchase by Wahed Financial, the property was owner-occupied and there is no prior rental history.

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| | |
|:---|:---|
| **Address of Property** | 41210 Paign Drive Sterling Heights, MI |
| **Type of Property** | Single-family detached home |
| **Square foot** | 1,334 square feet |
| **Lot size** | 9,147 square feet |
| **Number of Units** | 1 |
| **Configuration** | 3 bedroom, 1.5 bath |
| **Property Improvement Expenses** | $4666 |
| **Debt on property** | None. |
| **Acquisition Expenses** | $4200 |
| **Property Manager and Fees** | 10% of rental revenue. |
| **Sale of Property** | In the event the company decides to sell the property, approval from the Series Paign Drive Interest holders is not required. |

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*Market Dynamics*

Because of its attractive market and neighborhood characteristics, we believe our Sterling Heights property is well-positioned to deliver strong and stable rental income and generate a good return on investment for investors in the Series.

Located in Sterling Heights, the second-largest suburb in Detroit, this property was acquired for $260,000, approximately 15% below the average sale price for homes in Sterling Heights over the 12 months prior to our Managing Member's purchase, based on data from Homes.com. The Sterling Heights housing sales market has experienced a cumulative home appreciation rate (the percentage change in the resale value of existing homes) of 45.4% over the past five years through March 31, 2024, with an annual average appreciation rate of 7.8% over that time period, based on data from Neighborhoodscout.com.

Rental homes represent nearly 25% of occupied homes in Sterling Heights and reflect a median rent price of approximately $2,100. The Paign Drive property is conveniently located within a 5 to 10-minute drive of several major parks, making it a practical choice for families. Dodge Park, with its 51 acres, offers facilities such as an ice rink, basketball court, and sand volleyball court. The 461-acre Clinton River Park North connects multiple area parks through a trail system, providing opportunities for outdoor activities like kayaking and canoeing along the Clinton River. The property is also situated in a highly desirable school district, all of which we believe will attract and retain quality tenants working in downtown Detroit and nearby areas, contributing to stable rental income.

*Property Management Agreement*

 

We have entered into a management agreement with a local unaffiliated property manager to provide for the day to day management of the Paign Drive property for a monthly fee of 10% of rental revenue. Under the agreement, the property manager's responsibilities include:

● Collection of rents and all other fees due, maintain financial records and provide financial reports;

● Advertising and renting the property and providing property services and support for these efforts;

● Managing routine and emergency maintenance and repairs, including semi-annual inspections:

● Performing general lease administration and enforcement; including managing evictions up until any court appearances; and

● Ensuring compliance with all legal property maintenance and rental certification requirements in accordance with local and state housing laws.

The property manager has the authority to make any repairs and maintenance up to $999 and our approval is required for any costs in excess of $1,000 will be presented to Wahed Financial for approval.

The agreement has a term of two years and can be terminated earlier by us either (1) upon 60 days notice to the property manager, (2) default by the property manager that is not cured 30 days of notice or longer in certain cases, (3) certain other events adversely affecting the property manager.

Please see the Paign Drive Property Management Agreement, filed as an exhibit to the Offering Statement of which this Offering Circular is a part for the full terms of this agreement.

***Series Lake Overlook Drive***

Wahed Financial entered into a purchase contract with an unaffiliated third party on February 18, 2025 for the purchase of the below property for a purchase price of $374,900 plus closing costs, including prorated property taxes. The property was purchased by Wahed Financial in March 2025. Wahed Financial rented the Lake Overlook Drive property on June 1, 2025 for one year, automatically renewing on a month-to-month basis unless terminated, for a monthly rent of $2,600. Prior to the purchase by Wahed Financial, the property was owner-occupied and there is no prior rental history.

On May 23, 2025, the company established Series Lake Overlook Drive for the purposes of acquiring the Lake Overlook Drive property. Our Managing Member intends to sell the property to Series Lake Overlook Drive for $374,900. In addition, the Series would reimburse the Managing Member for its acquisition expenses, estimated at $6,500, and, to the extent incurred by the Managing Member prior to its sale of the property to the Series, any property improvement expenses, each as described under "Use of Proceeds."

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| | |
|:---|:---|
| **Address of Property** | 6724 Lake Overlook Drive, Fort Worth, TX |
| **Type of Property** | Single-family detached home |
| **Square foot** | 2,205 square feet |
| **Lot size** | 5,745 square feet |
| **Number of Units** | 1 |
| **Configuration** | 4 bedroom, 3 bath |
| **Estimated Property Improvement Expenses** | $0 |
| **Debt on property** | None. |
| **Estimated Acquisition Expenses** | $6500 |
| **Property Manager and Fees** | 7% of rental revenue, plus additional fees. |
| **Sale of Property** | In the event the company decides to sell the property, approval from the Series Paign Drive Interest holders is not required. |

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*Market Dynamics*

With a population of 978,468 people and 201 associated neighborhoods, Fort Worth is the fifth largest community in Texas. Fort Worth has seen a significant amount of newer housing growth in recent years. The Fort Worth housing sales market has experienced a cumulative home appreciation rate (the percentage change in the resale value of existing homes) of 51.3% over the past five years through fourth quarter of 2024, with an annual average appreciation rate of 8.6% over that time period, based on data from Neighborhoodscout.com.

Located in a gated community built by D.R. Horton, this property was acquired by Wahed Financial for $374,900, with a $20,000 builder discount. The property is under construction and expected to be completed in August 2025. An independent appraisal conducted by Texas Valuation Appraisal confirmed that the property's value aligns with the purchase price. The property is situated in a location with easy access to major highways and commuting to the Dallas-Fort Worth metroplex and DFW Airport. It falls within the Lake Worth ISD school district, making it an attractive option for families. Additionally, the home is just a few miles from Lake Worth Towne Crossing, which features major retail stores such as Walmart and Target, further enhancing the location's convenience and appeal. An independent appraisal conducted by Texas Valuation Appraisal confirmed that the property's value aligns with the purchase price.

We estimate that the rental price for this property, based on our assessment of market rental rates for comparable properties and other factors, would be approximately $2,650.

 

*Property Management Agreement*

 

Wahed Financial has entered into a management agreement with a local unaffiliated property manager to provide for the day to day management of the Lake Overlook Drive property for a monthly fee of 7% of gross monthly rentals, a lease commission equal to one month of gross rent (as exclusive leasing agent) and an initial $500 property onboarding fee. This agreement will be assigned to the Series upon transfer of the property. Under the agreement, the property manager's responsibilities include:

● Collection of rents and all other funds due, paying, out of revenues from the property, expenses of the property, including maintenance, taxes, insurance, repairs, security and management fees, and perform other related services;

● Advertising and renting the property and related services;

● Maintaining records related to the property, file tax reports and provide quarterly statements of receipts, disbursements, and charges;

● Performing general lease administration and enforcement; including managing evictions.

The agreement has a term of one year and extends automatically for successive monthly terms unless terminated. The agreement may be terminated (1) by either party upon or following the one year term of the agreement by providing at least 30 days written notice of termination, (2) by either party if the other party fails to cure a breach or any violation of the agreement within 10 days after receipt of written demand to do so.

For further details, please see the Lake Overlook Drive Property Management Agreement filed as an exhibit to the Offering Statement of which this Offering Circular is a part, and which is incorporated by reference herein.

***Series Waynick Drive***

On September 8, 2025, Wahed Financial completed the acquisition of a residential property located at 8820 Waynick Drive, Raleigh, NC (the "Waynick Drive property") for a purchase price of $435,000 (reflecting sales credits) plus closing costs. On September 25, 2025, the company established Series Waynick Drive for the purposes of acquiring the Waynick Drive property. Wahed Financial intends to transfer the property to Series Waynick Drive once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $435,000 plus reimbursement of the Manager's acquisition expenses, estimated at $10,324, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses, each as described under "Use of Proceeds."

The Waynick Drive property was rented in August 2025 for a monthly rent of $3,425. Under a Value Share Agreement that the seller of the Waynick Drive property assigned to Wahed Financial, the tenant has been granted a one-time right to purchase the property at the expiration of the three year term for a purchase price equal to the greater of the current market value or the initial home value of $435,000, less an adjusted value share payment. The adjusted value share payment would be equal to the original option payment of $21,700 plus 50% of the appreciation in the value of the property or minus 5% of the depreciation in the value of the property. The lease agreement and value share agreement each have a term of three years and may be extended for up to two years, with an adjustment to the monthly rental payment.

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| | |
|:---|:---|
| **Address of Property** | 8820 Waynick Drive, Raleigh, NC |
| **Type of Property** | Single-family detached home |
| **Square foot** | 1,692 square feet |
| **Lot size** | 7,405 square feet |
| **Number of Units** | 1 |
| **Configuration** | 3 bedroom, 2.5 bath |
| **Estimated Property Improvement Expenses** | $500 |
| **Debt on property** | None. |
| **Estimated Acquisition Expenses** | $10324 |
| **Property Manager and Fees** | 8% of rental revenue, plus a 1% property disposition fee. |
| **Sale of Property** | In the event the company decides to sell the property, approval from the Series Paign Drive Interest holders is not required. |

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*Market Dynamics*

Located in northwest Raleigh's Wyngate neighborhood, this 3-bedroom, 2.5-bath home was most recently acquired for $435,000, consistent with the broader Raleigh market. The median home sale price in Raleigh is approximately $451,000 as of July 2025, while Wake County overall reflects a median of around $475,000. Home values in Raleigh have appreciated by more than 122% over the past decade, averaging roughly 8.3% annually, based on data from NeighborhoodScout. Over the past year, home prices in Raleigh have grown by about 6.1%, reflecting continued strength in demand even as inventory has modestly increased.

Rental demand in the area remains healthy. The average rent for three-bedroom homes in Wake County is approximately $2,260 per month. Given its size, location, and configuration, we believe the Waynick Drive property should be competitive within this market and capable of attracting long-term tenants.

The property is located near established employment hubs, schools, and recreational amenities, which enhances its appeal to families and professionals. Raleigh continues to benefit from strong job growth, population inflows, and long-term housing demand. Taken together, we believe the Waynick Drive property offers an attractive balance of appreciation potential and rental income stability, positioning it as a sound investment within the Series.

*Property Management Agreement*

 

Wahed Financial has engaged a third-party property manager for compensation equal to 8% of gross rent payable quarterly in advance, plus a one-time property disposition fee of 1% of the sale price of the property to the resident or to a third party.

Under the property management agreement, the property manager's responsibilities include:

● Perform all maintenance and make all repairs to the property and perform periodic on-site physical inspections of the property, including of the foundation, structure, roof and air conditioning and heating system;

● Collect all payments due from the resident under the Value Share Agreement and the lease agreement, and any other sums payable by resident; make all routine payments incurred by the owner as a result of its ownership of the property, including, without limitation, taxes, HOA dues and other assessments, repair and maintenance costs, and equipment and supply costs, as well as payments payable as compensation to the property manager; and remit to the owner payments under the lease agreement, net of any compensation and other expenses paid, and under the Value Share Agreement; and

● Manage end of term Value Share Agreement and lease agreement options with the resident, including any extensions and monthly payment adjustments, election to purchase, or terminations.

The property management agreement terminates upon the sale of the property to the resident or a third party. The property management agreement may be terminated (1) by either party if the other party fails to cure a material breach of the agreement within 30 days after receipt of notice or (2) by the owner in the event of damage, destruction or condemnation of the property.

For further details, please see the Waynick Drive Property Management Agreement filed as an exhibit to the Offering Statement of which this Offering Circular is a part, and which is incorporated by reference herein.

***Series Golden Honey***

On September 23, 2025, Wahed Financial completed the acquisition of a residential property located at 8820 Waynick Drive, Raleigh, NC (the "Waynick Drive property") for a purchase price of $455,000 plus closing costs. On October 30, 2025, the company established Series Golden Honey for the purposes of acquiring the Golden Honey property. Wahed Financial intends to transfer the property to Series Golden Honey once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $455,000 plus reimbursement of the Manager's acquisition expenses, estimated at $10,893, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses, each as described under "Use of Proceeds."

The Golden Honey property was rented in September 2025 for a monthly rent of $3,314. Under a Value Share Agreement that the seller of the Waynick Drive property assigned to Wahed Financial, the tenant has been granted a one-time right to purchase the property at the expiration of the three year term for a purchase price equal to the greater of the current market value or the initial home value of $455,000, less an adjusted value share payment. The adjusted value share payment would be equal to the original option payment of $22,750 plus 10% of the appreciation in the value of the property or minus 5% of the depreciation in the value of the property. The lease agreement and value share agreement each have a term of three years and may be extended for up to two years, with an adjustment to the monthly rental payment.

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| | |
|:---|:---|
| **Address of Property** | <u>1740 Golden Honey Dr, Wake Forest, NC</u> |
| **Type of Property** | Single-family detached home |
| **Square foot** | 2,789 square feet |
| **Lot size** | 6,534 square feet |
| **Number of Units** | 1 |
| **Configuration** | 4 bedroom, 3 bath |
| **Estimated Property Improvement Expenses** | $500 |
| **Debt on property** | None. |
| **Estimated Acquisition Expenses** | $10893 |
| **Property Manager and Fees** | 8% of rental revenue, plus a 1% property disposition fee. |
| **Sale of Property** | In the event the company decides to sell the property, approval from the Series Paign Drive Interest holders is not required. |

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*Market Dynamics*

Located within the Rosedale community of Wake Forest, this 4-bedroom, 3-bath home was acquired for $455,000, aligning closely with prevailing market conditions in northern Wake County. As of July 2025, the median sale price in Wake County stands at approximately $500,833, according to Zillow. Over the past decade, home values in the county have appreciated by roughly 118%, reflecting an average annual increase of 8–9%, based on long-term data from NeighborhoodScout.

Rental fundamentals in Wake County remain strong, supported by steady population inflows and limited supply of high-quality single-family homes. Premium listings in Wake Forest are achieving rents in the $3,000+ range, underscoring sustained demand for newer homes with upgraded finishes and access to desirable school districts.

Wake Forest continues to benefit from the strong economic fundamentals of the Raleigh–Durham metropolitan area, one of the nation's most dynamic growth regions. The area attracts families, professionals, and remote workers seeking proximity to Research Triangle Park, Raleigh, and other major employment centers, while maintaining suburban convenience and access to top-rated Wake County schools.

Taken together, the Golden Honey property offers a compelling combination of income stability and long-term appreciation potential. The acquisition price of $455,000 is consistent with market comparables, and the property's new construction, location quality, and tenant appeal make it a well-positioned addition to the Series portfolio—balancing cash-flow durability with capital growth prospects.

*Property Management Agreement*

 

Wahed Financial has engaged a third-party property manager for compensation equal to 8% of gross rent payable quarterly in advance, plus a one-time property disposition fee of 1% of the sale price of the property to the resident or to a third party.

Under the property management agreement, the property manager's responsibilities include:

● Perform all maintenance and make all repairs to the property and perform periodic on-site physical inspections of the property, including of the foundation, structure, roof and air conditioning and heating system;

● Collect all payments due from the resident under the Value Share Agreement and the lease agreement, and any other sums payable by resident; make all routine payments incurred by the owner as a result of its ownership of the property, including, without limitation, taxes, HOA dues and other assessments, repair and maintenance costs, and equipment and supply costs, as well as payments payable as compensation to the property manager; and remit to the owner payments under the lease agreement, net of any compensation and other expenses paid, and under the Value Share Agreement; and

● Manage end of term Value Share Agreement and lease agreement options with the resident, including any extensions and monthly payment adjustments, election to purchase, or terminations.

The property management agreement terminates upon the sale of the property to the resident or a third party. The property management agreement may be terminated (1) by either party if the other party fails to cure a material breach of the agreement within 30 days after receipt of notice or (2) by the owner in the event of damage, destruction or condemnation of the property.

For further details, please see the Property Management Agreement (Waynick Drive and Golden Honey properties) filed as an exhibit to the Offering Statement of which this Offering Circular is a part, and which is incorporated by reference herein.

**Employees**

Wahed Real Estate currently has 0 full-time employees and 0 part-time employees. Wahed Financial is managed by an individual manager, Ahmar Shaikh, who also serves as its Chief Executive Officer and Chief Financial Officer.

**The Wahed Real Estate Platform**

Wahed Inc., parent company of Wahed Financial, the Managing Member, owns and operates a real estate investment platform (the "Wahed Real Estate Platform") that allows investors to hold interests in real estate opportunities that may have been historically difficult to access for some investors. Wahed, Inc. recently launched a mobile app-based real estate investment platform, and has transitioned its real estate investment platform to the app. The app is available to download through App stores and is expected to be available to download through the above Wahed real estate website. In the Wahed Real Estate Platform, investors can browse and screen the investments offered by each of our Series, now existing or to be formed by our company in the future, create a wallet account, and electronically sign legal documents to purchase Series interests.

**Intellectual Property**

Wahed Real Estate does not have any patents, trademarks or other intellectual property protections, and has not filed any applications. Wahed Inc., the parent company of Wahed Financial, has a trademark registered with the U.S. Patent and Trademark Office for the mark "Wahed" (Registration No. 5611100) and has applied for trademark registration in the U.S. for the quadrilateral symbol used in the company's logo.

**Regulation**

Residential rental properties are subject to various covenants, local laws and regulatory requirements, including permitting and licensing requirements. Local regulations, including municipal or local ordinances, zoning restrictions and restrictive covenants imposed by community developers, may restrict our use of our residential properties and may require us to obtain approval from local officials or community standards organizations at any time with respect to our residential properties, including prior to acquiring any of our residential properties or when undertaking renovations. Among other things, these restrictions may relate to fire and safety, seismic, asbestos-cleanup or hazardous material abatement requirements. See the discussion in "Risk Factors" regarding some of these regulations and the risks they pose for our business.

**Litigation**

The company is not a party to any current litigation.

**THE COMPANY'S PROPERTY**

Wahed Real Estate currently does not own or lease any property other than any Underlying Assets included in each Series. Wahed Financial, the company's Managing Member maintains an office in New York, NY that it leases and it, not our company, is responsible for bearing the costs of its offices.

**MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION** 

**AND RESULTS OF OPERATIONS**

***You should read the following discussion and analysis of the financial statements and financial condition of Wahed Real Estate and results of its operations together with its consolidated and consolidating financial statements and related notes appearing at the end of this Offering Circular. Unless otherwise indicated, the latest results discussed below are as of June 30, 2025. The consolidated and consolidating financial statements included in this filing as of and for the six months ended June 30, 2025 are unaudited, and may not include year-end adjustments necessary to make those financial statements comparable to audited results, although, in the opinion of management, all adjustments and disclosures necessary for a fair presentation of the unaudited consolidated financial statements have been included. The results of operations for the six-months ended June 30, 2025 are not necessarily indicative of the results that may be expected for the full year.***

 

***This discussion contains forward-looking statements reflecting the company's current expectations that involve risks and uncertainties. Actual results and the timing of events may differ materially from those contained in these forward-looking statements due to a number of factors, including those discussed in the section entitled "Risk Factors" and elsewhere in this Offering Circular.***

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***Please also see the unaudited proforma combined financial statements of Wahed Real Estate as of and for the six months ended June 30, 2025 and for year ended December 31, 2024. The unaudited pro forma combined financial information is provided for informational purposes only and is not necessarily indicative of the operating results or financial position that would have occurred if purchase of the properties by Wahed Real Estate had been completed as of the dates set forth in the unaudited pro forma combined financial information, nor is it indicative of the future results or financial position of the combined company.***

**Overview**

Wahed Real Estate was formed on May 14, 2024 ("Inception") in the state of Delaware. The company was formed to enable public investment in residential rental properties, each of which will be held directly or indirectly by a separate Series of limited liability interests, or "Series," of the company.

Wahed Financial entered into a purchase contract with an unaffiliated third party on June 30, 2024 for the purchase of a residential property located at 41210 Paign Dr., Sterling Heights, MI (the "Paign Drive property") for a purchase price of $260,000 plus prorated property taxes and water bills from July 5, 2024 plus a $595 compliance/transaction fee. On August 26, 2024, the company established Series Paign Drive for the purposes of acquiring the Paign Drive property. Wahed Financial initially purchased the Paign Drive property in August 2024 and, in May 2025, transferred the property to Series Paign Drive in exchange for $141,600 in cash and an interest-free loan from Wahed Financial of $127,266, plus a loan management fee determined on an arms-length basis, representing the $260,000 property purchase price plus $4,200 in acquisition expenses and $4,666 in property improvement expenses. Wahed Financial has engaged a third-party property manager for compensation equal to 10% of rental revenue. On April 9, 2025, the Paign Drive property was leased to a renter under a two-year lease for a monthly rent of $2,100.

In March 2025, Wahed Financial completed the acquisition of a residential property located at 6724 Lake Overlook Dr., Fort Worth, TX (the "Lake Overlook Drive property") for a purchase price of $374,900 plus closing costs, including prorated property taxes. On May 23, 2025, the company established Series Lake Overlook Drive for the purposes of acquiring the Lake Overlook Drive property. Wahed Financial intends to transfer the property to Series Lake Overlook Drive once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $374,900 plus reimbursement of the Manager's acquisition expenses, estimated at $6,500, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses. Wahed Financial has engaged a third-party property manager for compensation equal to 7% of gross monthly rentals. The Manager rented the Lake Overlook Drive property on June 1, 2025 for one year, automatically renewing on a month-to-month basis unless terminated, for a monthly rent of $2,600.

On September 8, 2025, Wahed Financial completed the acquisition of a residential property located at 8820 Waynick Dr., Raleigh, NC (the "Waynick Drive property") for a purchase price of $435,000 (reflecting sales credits) plus closing costs. On September 25, 2025, the company established Series Waynick Drive for the purposes of acquiring the Waynick Drive property. Wahed Financial intends to transfer the property to Series Waynick Drive once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $435,000 plus reimbursement of the Manager's acquisition expenses, estimated at $10,324, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial has engaged a third-party property manager for compensation equal to 8% of gross rent. The Waynick Drive property was rented in August 2025 for a monthly rent of $3,425 for a term of three years. Under a Value Share Agreement that the seller of the Waynick Drive property assigned to Wahed Financial, the tenant has been granted a one-time right to purchase the property at the expiration of the three year term for a purchase price equal to the greater of the current market value or the initial home value of $435,000, less an adjusted value share payment. The adjusted value share payment would be equal to the original option payment of $21,700 plus 50% of the appreciation in the value of the property or minus 5% of the depreciation in the value of the property. The terms of the lease and the Value Share Agreement may be extended for up to two years, with an adjustment to the monthly rental payment.

On September 23, 2025, Wahed Financial completed the acquisition of a residential property located at 1740 Golden Honey Dr., Wake Forest, NC (the "Golden Honey property") for a purchase price of $455,000 plus closing costs. On October 30, 2025, the company established Series Golden Honey for the purposes of acquiring the Golden Honey property. Wahed Financial intends to transfer the property to Series Golden Honey once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $455,000 plus reimbursement of the Manager's acquisition expenses, estimated at $10,893, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial has engaged a third-party property manager for compensation equal to 8% of gross rent. The Waynick Drive property was rented in September 2025 for a monthly rent of $3,314 for a term of three years. Under a Value Share Agreement that has been assigned to Wahed Financial, the tenant has been granted a one-time right to purchase the property at the expiration of the three year term for a purchase price equal to the greater of the current market value or the initial home value of $455,000, less an adjusted value share payment. The adjusted value share payment would be equal to the original option payment of $22,750 plus 10% of the appreciation in the value of the property or minus 5% of the depreciation in the value of the property. The terms of the lease and the Value Share Agreement may be extended for up to two years, with an adjustment to the monthly rental payment.

Wahed Financial is the company's Manager. As the company's Manager, it will manage the company's day-to-day operations. Wahed Financial is also the managing member of each Series.

**Going Concern**

The company's consolidated and consolidating financial statements have been prepared on a going concern basis, , which contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. The company is a business that has recently commenced its principal operations, plans to incur significant costs in pursuit of its capital financing plans, and is dependent upon its Manager and its affiliates for continued funding of its cash flow needs. The company has an accumulated deficit of $32,180, has generated a loss of $11,899 for the six months ended June 30, 2025, and has limited liquid assets to satisfy its obligations as they come due with cash of $5,917 against current liabilities of $404,887 as of June 30, 2025. These factors, among others, raise substantial doubt about the ability of the company to continue as a going concern for a reasonable period.

The company's ability to continue as a going concern in the next twelve months is dependent upon its ability to obtain capital financing from investors sufficient to meet current and future obligations. No assurance can be given that the company will be successful in these efforts.

**Results of Operations for the six months ended June 30, 2025**

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| | | | |
|:---|:---|:---|:---|
|  | **For the six months ended June 30, 2025<br> (unaudited)** | **For the six months ended June 30, 2025<br> (unaudited)** | **For the six months ended June 30, 2025<br> (unaudited)** |
|  | **Series<br> Paign Drive** | **Unallocated** | **Consolidated** |
| **Revenues** |  | $— | $— |
| &nbsp;&nbsp;&nbsp;Revenue from operations | $4200 | - | 4200 |
| **Total Revenues** | 4200 |  | 4200 |
| **Operating expenses** |  |  |  |
| &nbsp;&nbsp;&nbsp;Bank charges | 234 | 153 | 387 |
| &nbsp;&nbsp;&nbsp;Depreciation | 1313 |  | 1313 |
| &nbsp;&nbsp;&nbsp;Commission fee | 2100 |  | 2100 |
| &nbsp;&nbsp;&nbsp;Property management fees | 420 |  | 420 |
| &nbsp;&nbsp;&nbsp;Asset management fees | 241 |  | 241 |
| &nbsp;&nbsp;&nbsp;Repairs and maintenance | 1727 |  | 1727 |
| &nbsp;&nbsp;&nbsp;Insurance charges | 881 |  | 881 |
| &nbsp;&nbsp;&nbsp;Professional fees | 500 | 6300 | 6850 |
| **Total operating expenses** | $**7416** | $**6300** | $**13919** |
| **Loss from operations** | **(3216)** | **(6453)** | **(9719)** |
| **Other income / (expense)** |  |  |  |
| &nbsp;&nbsp;&nbsp;Loan facility fees (net) | 42 | (2222) | (2180) |
| **Total other income / (expense)** | $**42** | $**(2222)** | $**(2180)** |
| **Net loss** | $**(3174)** | $**(8675)** | $**(11899)** |

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| | | | | |
|:---|:---|:---|:---|:---|
|  | **For the period from May 14, 2024 (inception) to<br> June 30, 2024 (unaudited)** | **For the period from May 14, 2024 (inception) to<br> June 30, 2024 (unaudited)** | **For the period from May 14, 2024 (inception) to<br> June 30, 2024 (unaudited)** | **For the period from May 14, 2024 (inception) to<br> June 30, 2024 (unaudited)** |
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Consolidated** |
| **Revenues** | $— | $— | $— | $— |
| &nbsp;&nbsp;&nbsp;Revenue from operations | - | - | - | - |
| **Total Revenues** |  |  |  |  |
| **Operating expenses** |  |  |  |  |
| **Total operating expenses** | $**-** | $**-** | $**-** | $**-** |
| **Net loss** | $**-** | $**-** | $**-** | $**-** |

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The company was formed on May 14, 2024 and has only recently commenced operations with the acquisition of the Paign Drive property in May 2025. Revenues in the six months ended June 30, 2025 represent rental revenue generated by the Paign Drive property. Operating expenses for the six months ended June 30, 2025, consisted primarily of professional fees of $6,850 related mostly to audit services and expenses associated with the Paign Drive property. In addition, the Manager is paid an asset management fee on a quarterly basis beginning on the first quarter end date following the initial closing date of the issuance of interests in a Series, payable quarterly in arrears, equal to 0.25% (1% annualized) of the asset value, as determined by the Manager as of the last day of the immediately preceding quarter. Series Paign Drive incurred asset management fee amounting to $241 during the six months ended June 30, 2025. Commission fees incurred in the six months ended June 30, 2025 represent a payment to the property manager for the initial lease of the Paign Drive property and are not expected to recur until a new tenant rents the property. Similarly, repair and maintenance expenses were somewhat elevated due to the age of the property and the repairs needed to prepare the property for rental.

As of June 30, 2025, the company had also recorded $149,693 of offering expenses as deferred offering costs on its consolidated and consolidating balance sheet, $12,544 of which have been allocated to Series Paign Drive and $5,000 of which have been allocated to Series Lake Overlook Drive. These deferred offering costs will be charged to members' equity upon the completion of an offering or to expense if the offering is not completed. These expenses have been funded by affiliates of the company as described below.

Loan facility fees are those incurred in connection with loans from or to the Manager or its affiliates. Currently, the rate of these fees, both those being paid by the company or a Series as well as those being paid to the company or a Series, are equal to an annual rate of 5% of the amount of the loan facility, charged on a monthly basis.

**Results of Operations for the Period from May 14, 2024 (Inception) to December 31, 2024**

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| | | | |
|:---|:---|:---|:---|
|  | **For the period from May 14, 2024<br> (inception)<br> to December 31, 2024** | **For the period from May 14, 2024<br> (inception)<br> to December 31, 2024** | **For the period from May 14, 2024<br> (inception)<br> to December 31, 2024** |
|  | **Series<br> Paign<br> Drive** | **Unallocated** | **Consolidated** |
| **Total revenues** | $**–** | $**–** | $**–** |
| **<u>Operating expenses</u>** |  |  |  |
| &nbsp;&nbsp;&nbsp;General and administrative | 152 |  | 152 |
| &nbsp;&nbsp;&nbsp;Professional fees | 800 | 15700 | 16500 |
| **Total operating expenses** | $**952** | $**15700** | $**16652** |
| **Loss from operations** | **(952)** | **(15700)** | **(16652)** |
| **<u>Other expense</u>** |  |  |  |
| &nbsp;&nbsp;&nbsp;Loan facility fees | 392 | 3237 | 3629 |
| **Total other expense** | $**392** | $**3237** | $**3629** |
| **Net loss** | $**(1344)** | $**(18937)** | $**(20281)** |

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Operating expenses consisted primarily of professional fees of $16,500 related to audit services. As of December 31, 2024, the company had also incurred an aggregate of $114,693 of offering expenses, which are recorded as deferred offering costs on its consolidated and consolidating balance sheet, $12,544 of which were allocated to Series Paign Drive.

**Liquidity and Capital Resources**

Due to its recent formation and limited operations to date, the company's assets and liabilities relate principally to the properties it has acquired, its deferred offering costs incurred to date and borrowings from related parties. The company is dependent on its Manager and its affiliates for continued funding of its cash flow needs as discussed under " – Going Concern" above.

The company had a total of $368,860 due to the Manager or its affiliates as of June 30, 2025. This amount is net of $29,964 representing offering and other expenses that were inadvertently paid by Paign Drive rather than by the company. As of June 30, 2025, $257,582 of this amount is recorded for Series Paign Drive (including funding of a portion of the purchase price of the Paign Drive property) and $5,050 is recorded for Series Lake Overlook Drive. Once the company has raised sufficient funds through the offering of Series Interests to acquire residential properties, it expects that its capital resources would be derived from operating cash flow. In addition, $34,191 (also net of $29,964 intercompany amount) was recorded as due from related parties representing the inadvertent payment by Series Paign Drive of a portion of offering expenses that had not yet been allocated to the company or any Series.

In December 2024, the company commenced offering Series Interests pursuant to Regulation A of the Securities Act of 1933, as amended (the "Securities Act"), and has raised the following funds through the issuance of Series Interests in the below Series Interests.

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| | | | |
|:---|:---|:---|:---|
| **Series** | **Maximum<br> Series<br> Interests<br> Offered** | **Series<br> Interest<br> issued<br> through<br> September 25, 2025\*** | **Gross<br> Proceeds<br> from issued<br> Series<br> Interests<br> through<br> September 25, 2025** |
| Series Paign Drive | 3136 | 1446 | $144600 |
| Series Lake Overlook Drive | 4100 | 0 | $0 |

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\* Does not include pending subscriptions that have not yet been accepted by the company.

Series Paign Drive purchased the Paign Drive property in May 2025 from the Manager in exchange for $141,600 in cash and an interest-free loan from Wahed Financial of $127,266, plus facility fees as discussed above. All current and future Series will be dependent on the net proceeds from their respective offering for funding to acquire their respective properties.

Other than loans or advances of funds from related parties, the company may, though it does not expect to, secure interest-free financing incurred by a Series, particularly if required to raise sufficient capital to purchase the underlying assets.

**Plan of Operations** 

The company intends to focus on acquiring properties located in the United States, that are expected to include:

● Single family homes,

● Condos and

● Small multi-family properties.

As part of our plan of operations, we intend to execute the following milestones over the course of the next 12 months:

● Through Wahed Financial and its affiliates, build, develop and grow the Wahed Real Estate platform to provide potential investors the ability to view each Series and the Underlying Assets and provide investors the opportunity to invest in one or more Series once qualified.

● Build and develop efficient property management relationships across multiple locations/ states.

● Close on 15 additional properties to be included in additional Series.

**Trend Information**

The company has recently commenced its principal operations with the acquisition of the Paign Drive property in May 2025 and has generated limited revenue to date. The company's business and operations are sensitive to general business and economic conditions in the U.S. and worldwide along with local, state, and federal governmental policy decisions.

Recent proposals to change the international trade framework have resulted in substantial regulatory uncertainty regarding international trade and trade policy, both in the United States and abroad. The U.S. government has also instituted other initiatives that may affect our business, including a stricter immigration and deportation policy. To the extent such actions result in increased prices for goods or labor shortages and higher prices for services, our costs may be materially adversely impacted. The impact of these and any future actions on the broader US and global economy in the future is uncertain. Rising inflation, slower economic growth and increases in unemployment that may result from global trade disruptions or for other reasons could further deflate consumer demand, which may impact the housing market more broadly, reducing demand for residential housing and reducing rental rates.

A host of other factors beyond the company's control could also adversely affect our business, including but not limited to: recession, downturn or otherwise; inflation; government policies surrounding tenant rights; local ordinances where properties reside; changes in the real estate market; and interest-rate fluctuations. Adverse developments in these general business and economic conditions could have a material adverse effect on our financial condition and the results of its operations.

The company expects to incur significant additional expenses as it grows its business. The company will need significant additional capital resources to acquire properties and operate its business thereafter, which is subject to significant risks and uncertainties.

**MANAGERS AND EXECUTIVE OFFICERS** 

In accordance with the Operating Agreement, Wahed Financial is the initial Managing Member of each Series. Wahed Financial is also the Managing Member of Wahed Real Estate. Wahed Real Estate does not have any officers or directors. Wahed Financial is managed by 2 individual managers and has one officer that serves as Chief Executive Officer and Chief Financial Officer as detailed below.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Name** | **Position** | **Age** | **Term of Office <br> (if indefinite, give date appointed)** | **Full Time/<br> Part Time** |
| Ahmar Shaikh | Manager, Chief Executive Officer and Chief Financial Officer | 29 | May 8, 2024 | 10 hours/week |

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**Ahmar Shaikh**

Ahmar is the Head of North America at Wahed Invest LLC, a position he has held since December 2023. At Wahed Invest LLC, Ahmar oversees all activities pertaining to the region, which includes operations, sales, marketing, strategy, and product. Ahmar is a seasoned executive with approximately 7 years of experience and a strong record of managing and growing business through innovation. Prior to joining Wahed Invest LLC and since 2021, Ahmar was a Vice President of strategy, transformation, and growth at Aviso Wealth, Canada's largest independent wealth management firm. Prior to this time and since 2017, Ahmar worked with multiple financial services organizations globally as a management consultant at Deloitte Canada.

**The Managing Member and the Operating Agreement**

The Managing Member will be responsible for directing the management of our business and affairs, managing our day-to-day affairs, and implementing our investment strategy. The Managing Member and its members and officers will not be required to devote all of their time to our business and are only required to devote such time to our affairs as their duties require.

The Managing Member will perform its duties and responsibilities pursuant to the Operating Agreement. The Managing Member will maintain a contractual, as opposed to a fiduciary relationship, with us and our investors. Furthermore, we have agreed to limit the liability of the Managing Member and to indemnify the Managing Member against certain liabilities.

The Operating Agreement further provides that our Managing Member, in exercising its rights in its capacity as Managing Member, will be entitled to consider only such interests and factors as it desires, including its own interests, and will have no duty or obligation (fiduciary or otherwise) to give any consideration to any interest of or factors affecting our company, any Series or any of the Interest holders and will not be subject to any different standards imposed by the Operating Agreement, the LLC Act or under any other law, rule or regulation or in equity. In addition, the Operating Agreement provides that our Managing Member will not have any duty (including any fiduciary duty) to our company, any Series or any of the Interest holders.

Our Managing Member has not-sponsored any prior real estate investment programs. Accordingly, this Offering Circular does not contain any information concerning prior performance of our Managing Member and its affiliates, which means that you will be unable to assess any results from their prior activities before deciding whether to purchase interests in our Series.

***Responsibilities of the Manager***

The responsibilities of the Managing Member include:

●  ***Investment Advisory, Origination and Acquisition Services*** such as approving and overseeing our overall investment strategy, which will consist of elements such as investment selection criteria, diversification strategies and asset disposition strategies;

●  ***Offering Services*** such as the development of our Series offerings, including the determination of their specific terms;

●  ***Management Services*** such as investigating, selecting, and, on our behalf, engaging and conducting business with such persons as the Managing Member deems necessary to the proper performance of its obligations under the Operating Agreement, including but not limited to consultants, accountants, lenders, technical managers, attorneys, corporate fiduciaries, escrow agents, depositaries, custodians, agents for collection, insurers, insurance agents, developers, construction companies, property managers and any and all persons acting in any other capacity deemed by the manager necessary or desirable for the performance of any of the services under the Operating Agreement;

●  ***Accounting and Other Administrative Services*** such as maintaining accounting data and any other information concerning our activities as will be required to prepare and to file all periodic financial reports and returns required to be filed with the SEC and any other regulatory agency, including annual financial statements, and managing and performing the various administrative functions necessary for our day-to-day operations;

●  ***Investor Services*** such as managing communications with our investors, including answering phone calls, preparing and sending written and electronic reports and other communications;

●  ***Financing Services*** such as monitoring and overseeing the service of our debt and other financings, if any; and

●  ***Disposition Services*** such as evaluating and approving potential asset dispositions, sales or liquidity transactions.

**COMPENSATION OF DIRECTORS AND EXECUTIVE OFFICERS**

The company did not compensate any director or executive officer of Wahed Financial for its services to Wahed Real Estate. Pursuant to the Operating Agreement, the Managing Member, or affiliated entities, will receive fees and expense reimbursements for services relating to our Series offerings and the investment and management of our Series and their Underlying Assets. These fees and expense reimbursement are discussed under "The Company's Business – Our Managing Member and Fees and Expenses payable by each Series."

**SECURITY OWNERSHIP OF MANAGEMENT AND CERTAIN SECURITYHOLDERS**

The following table displays the securities of our company beneficially owned by Wahed Financial. No securities of our company or any Series are owned by any manager or officer of Wahed Financial any no other holder beneficially owns more than 10% of any class of the company's securities or Series interests.

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| | | | | |
|:---|:---|:---|:---|:---|
| **Title of class A** | **Amount and nature<br> of beneficial ownership** | **Amount<br> and <br> nature of<br> beneficial<br> ownership<br> acquirable** | **Percent of<br> class (1)** | **Percent of<br> voting<br> power** |
| Wahed Real Estate Membership Interest Wahed Financial LLC<br> 27 East 28<sup>th</sup> Street, 8<sup>th</sup> Floor<br> New York, New York 10016 | 100% of Membership Interests of Wahed Real Estate Series 1 LLC | n/a | 100% | 100% |

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As of the date of this Offering Circular, there were 1,446 Series Interests of Series Paign Drive outstanding and no Series Interests of Series Lake Overlook Drive outstanding. Prior to the initial offering of any Series, Wahed Financial is the Initial Member and sole Managing Member of such Series. Mr. Shaikh is the Manager of Wahed Financial.

Wahed Inc. is currently the sole member and 100% owner of Wahed Financial. Approximately 23% of the capital stock of Wahed Inc. is owned by Junaid Wahedna, who is also the Chairman of its board of directors. No other person beneficially owns more than 10% of Wahed Inc.

Following its regulatory examination of Wahed Invest, a wholly owned subsidiary of Wahed Inc. and a registered investment advisor, beginning in June 2019, the SEC staff requested additional information from Wahed Invest, investigating certain marketing communications and purported operational deficiencies between September 2018 and July 2019. Wahed Invest fully cooperated with the SEC's investigation and elected to make an offer of settlement to the SEC, and based on information that Wahed Invest provided, the SEC issued an Order Instituting Administrative Cease-and-Desist Proceedings against Wahed Invest on February 10, 2022 (the "2022 SEC Order"). The SEC alleged (1) that Wahed Invest made certain misleading statements with respect to marketing of its new equity products in 2018, (2) that from September 2018 through July 2019, Wahed Invest represented that it periodically rebalanced its robo-advisory client accounts when it did so only twice, (3) that Wahed Invest failed to give prior disclosure to its clients of its preference for and affiliation with the Wahed FTSE USA Shariah ETF or of any potential conflicts of interest related to the Wahed FTSE USA Shariah ETF and (4) that Wahed Invest did not have sufficient written policies to ensure the Shariah-compliance of its report on the purification of impermissible income. The SEC alleged that Wahed Invest violated Sections 206(2) and 206(4) of the Investment Advisers Act of 1940, and Rules 206(4)-1 and 206(4)-7 promulgated thereunder. The SEC, among other things, censured Wahed Invest and ordered Wahed Invest to cease-and-desist from any future violations of Sections 206(2) and 206(4) of the Investment Advisers Act of 1940 ("Advisers Act"), and Rules 206(4)-1 and 206(4)-7 promulgated thereunder, and pay a $300,000 civil penalty. Wahed Invest consented to the Order without admitting or denying the SEC's findings (except as to jurisdiction and the subject matter of the action, which was admitted). Prior to the entry of the 2022 SEC Order, Wahed Invest implemented additional remedial measures beyond previously planned operational changes made in 2019.

Also, the SEC issued an Order Instituting Administrative and Cease-and-Desist Proceedings against Wahed Invest on November 1, 2024 (the "2024 SEC Order"). The SEC alleged that from November 4, 2022 through May 2024, Wahed Invest disseminated certain advertisements on its public website and via social media and email containing endorsements from several professional athletes that failed to provide the disclosures required under Section 206(4) of the Advisers Act, and Rule 206(4)-1 thereunder (the "Marketing Rule"). The 2024 SEC Order further alleges that Wahed Invest disseminated advertisements on its public website that presented hypothetical, backtested performance without adopting and implementing required policies and procedures designed to ensure the hypothetical performance was relevant to the likely financial situation and investment objectives of the intended audience, also in violation of the Marketing Rule. By virtue of these actions, the SEC alleged that Wahed Invest violated Section 206(4) of the Advisers Act, and Rule 206(4)-1 thereunder. The SEC censured Wahed Invest and ordered it to cease-and-desist from any future violations of Sections 206(4) of the Advisers Act and Rule 206(4)-1 thereunder; ordered Wahed Invest to pay a civil monetary penalty of $250,000; and ordered Wahed Invest to complete certain undertakings. Wahed Invest consented to the 2024 SEC Order without admitting or denying the SEC's findings (except as to jurisdiction and the subject matter of the action, which was admitted).

**INTEREST OF MANAGEMENT AND OTHERS IN CERTAIN TRANSACTIONS**

**Existing Transactions**

 

***Real Estate Agreements***

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Wahed Financial initially purchased the Paign Drive property in August 2024 and, in May 2025, sold the property to Series Paign Drive in exchange for $141,600 in cash and an interest-free loan from Wahed Financial of $127,266, with a loan management fee determined on an arms-length basis, representing the $260,000 property purchase price plus $4,200 in acquisition expenses and $4,666 in property improvement expenses.

On March 12, 2025, the Managing Member entered into a property management agreement for the Paign Drive property for a monthly fee of 10% of gross monthly rentals, which was transferred to the company in connection with the sale of the Paign Drive property to Series Paign Drive. On April 9, 2025, the Paign Drive property was leased to a renter under a two-year lease for a monthly rent of $2,100, and the lease was assigned to Series Paign Drive upon transfer of the property to the Series.

Wahed Financial entered into a purchase contract with an unaffiliated third party on February 18, 2025 for the purchase of the Lake Overlook Drive property for a purchase price of $374,900 plus closing costs, including prorated property taxes. The property was purchased by Wahed Financial in March 2025. On May 23, 2025, the company established Series Lake Overlook Drive for the purposes of acquiring the Lake Overlook Drive property. Wahed Financial intends to sell the property to Series Lake Overlook Drive for $374,900. In addition, the Series would reimburse the Managing Member for its acquisition expenses, estimated at $6,500, and, to the extent incurred by the Managing Member prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial has entered into a management agreement with a local unaffiliated property manager to provide for the day to day management of the Lake Overlook Drive property for a monthly fee of 7% of gross monthly rentals, a lease commission equal to one month of gross rent (as exclusive leasing agent) and an initial $500 property onboarding fee. The Manager rented the Lake Overlook Drive property on June 1, 2025 for one year, automatically renewing on a month-to-month basis unless terminated, for a monthly rent of $2,600. Each of these agreements will be assigned to the Series upon transfer of the property.

On September 8, 2025, Wahed Financial completed the acquisition of the Waynick Drive property for a purchase price of $435,000 (reflecting sales credits) plus closing costs. On September 25, 2025, the company established Series Waynick Drive for the purposes of acquiring the Waynick Drive property. Wahed Financial intends to transfer the property to Series Waynick Drive once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $435,000 plus reimbursement of the Manager's acquisition expenses, estimated at $10,324, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial has engaged a third-party property manager to provide for the day to day management of the Waynick Drive property for compensation equal to 8% of gross rent payable quarterly in advance. This agreement will be assigned to the Series upon transfer of the property. The Waynick Drive property was rented in August 2025 for a monthly rent of $3,425 for a term of three years. Under a Value Share Agreement that the seller of the Waynick Drive property assigned to Wahed Financial, the tenant has been granted a one-time right to purchase the property at the expiration of the three year term for a purchase price equal to the greater of the current market value or the initial home value of $435,000, less an adjusted value share payment. The adjusted value share payment would be equal to the original option payment of $21,700 plus 50% of the appreciation in the value of the property or minus 5% of the depreciation in the value of the property. The terms of the lease and the Value Share Agreement may be extended for up to two years, with an adjustment to the monthly rental payment. Wahed Financial and expects to assign the property management agreement and the Value Share Agreement to the company following the transfer of the property.

On September 23, 2025, Wahed Financial completed the acquisition of the Golden Honey property for a purchase price of $455,000 plus closing costs. On October 30, 2025, the company established Series Golden Honey for the purposes of acquiring the Golden Honey property. Wahed Financial intends to transfer the property to Series Golden Honey once sufficient funds from the company's Regulation A offering have been tendered to the company. The purchase price is expected to be $455,000 plus reimbursement of the Manager's acquisition expenses, estimated at $10,893, and, to the extent incurred by the Manager prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial has engaged a third-party property manager to provide for the day to day management of the Golden Honey property for compensation equal to 8% of gross rent payable quarterly in advance. This agreement will be assigned to the Series upon transfer of the property. The Golden Honey property was rented in September 2025 for a monthly rent of $3,314 for a term of three years. Under a Value Share Agreement that was assigned to Wahed Financial, the tenant has been granted a one-time right to purchase the property at the expiration of the three year term for a purchase price equal to the greater of the current market value or the initial home value of $455,000, less an adjusted value share payment. The adjusted value share payment would be equal to the original option payment of $22,750 plus 10% of the appreciation in the value of the property or minus 5% of the depreciation in the value of the property. The terms of the lease and the Value Share Agreement may be extended for up to two years, with an adjustment to the monthly rental payment. Wahed Financial and expects to assign the property management agreement and the Value Share Agreement to the company following the transfer of the property.

See "The Company's Business – Property Overview" and "Use of Proceeds" for further information.

***Related Party Loans and Advances***

The company had a total of $368,860 due to the Manager or its affiliates as of June 30, 2025. This amount is net of $29,964 representing offering and other expenses that were inadvertently paid by Paign Drive rather than by the company. As of June 30, 2025, $257,582 of this amount is recorded for Series Paign Drive (including funding of a portion of the purchase price of the Paign Drive property as discussed above) and $5,050 is recorded for Series Lake Overlook Drive. Once the company has raised sufficient funds through the offering of Series Interests to acquire residential properties, it expects that its capital resources would be derived from operating cash flow. In addition, $34,191 (also net of $29,964 intercompany amount) was recorded as due from related parties representing the inadvertent payment by Series Paign Drive of a portion of offering expenses that had not yet been allocated to the company or any Series. In addition, loan facility fees are changes to the borrower for these related party loans. Currently, the rate of these fees, both those being paid by the company or a Series as well as those being paid to the company or a Series, are equal to an annual rate of 5% of the amount of the loan facility, charged on a monthly basis. Loan facilities fees paid by the company and its Series to the managers or its affiliates totaled $2,180, net of the $42 in facility fees received by Series Paign Drive.

**Conflicts of Interest**

 

The company is subject to various conflicts of interest arising out of its relationship with the Managing Member and its affiliates. These conflicts are discussed below.

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***General***

The member and the officer of Wahed Financial, who will make all decisions on behalf of our company, is also a key professional of Wahed Inc and/or its other subsidiaries and has legal obligations with respect to those entities that may be similar to his obligations to the company. In addition, in the future, any officers or members of Wahed Financial and its affiliates may organize other real estate-related entities.

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***Allocation of Acquisition Opportunities***

From time to time, Wahed Financial may create new entities that will acquire real estate assets and make offers of securities to accredited investors, foreign investors and under Regulation D or Regulation A or otherwise. Wahed Financial will, in its sole discretion determine which entity will be responsible for acquiring a specific asset.

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***Allocation of the Company's Affiliates' Time***

The company relies on Wahed Financial's professionals and other personnel of it or its affiliates for the day-to-day operation of our business. These persons' interests in Wahed Financial and other affiliated entities, obligations to other investors and the fact that they engage in and will continue to engage in other business activities on behalf of the Wahed group of companies, mean that they will face conflicts of interest in allocating time among the company, Wahed Financial, other affiliated entities and other business activities in which they are is involved. The company believes that Wahed Financial and its affiliates have sufficient personnel and resources to fully discharge their responsibilities to our company and Series.

**SECURITIES BEING OFFERED**

*The following descriptions of the company's Series Interests, certain provisions of Delaware law, the Series Designation for each Series and the Operating Agreement are summaries and are qualified by reference to the Series Designation of the relevant Series and the Operating Agreement, each of which is filed as an Exhibit to the Offering Statement of which this Offering Circular is a part, as well as Delaware law.*

**Description of the Series Interests**

Our company is a series limited liability company formed pursuant to Section 18-215 of the LLC Act. The purchase of membership interests in a Series of our company is an investment only in that particular Series and not an investment in our company as a whole. In accordance with the LLC Act, each Series is, and any other Series if issuing interests in the future will be, a separate Series of our company and not in a separate legal entity. Our company has not issued, and does not intend to issue, any class of any Series Interests entitled to any preemptive, preferential or other rights that are not otherwise available to the holders purchasing interests in connection with any offering.

Subject to the provisions of the Operating Agreement, the Managing Member can cause our company to establish one or more Series of our company through the creation of a written Series Designation for each new Series. A Series Designation relates solely to the Series established thereby and shall not be construed: (i) to affect the terms and conditions of any other Series, or (ii) to designate, fix or determine the rights, powers, authority, privileges, preferences, duties, responsibilities, liabilities and obligations in respect of interests associated with any other Series, or the members associated therewith. The terms and conditions for each Series are as set forth in the Operating Agreement and in the Series Designation, as applicable. Upon approval of any Series Designation by the Managing Member, the Series Designation is attached to the Operating Agreement as an exhibit. The Series Designation establishing a Series may: (i) specify a name or names under which the business and affairs of such Series may be conducted; (ii) designate, fix and determine the relative rights, powers, authority, privileges, preferences, duties, responsibilities, liabilities and obligations in respect of Series Interests and the members associated therewith (to the extent such terms differ from those set forth in the Operating Agreement); and (iii) designate or authorize the designation of specific officers to be associated with such Series.

As of the date hereof, our company has established the following Series and the number of Series Interest authorized and outstanding for each are as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| **Series** | **Series Interests <br> Authorized** | **Series Interests <br> Authorized** | **Series Interests <br> Outstanding** | **Series Interests <br> Outstanding** |
| Series Paign Drive |  | 3136 |  | 1446 |
| Series Lake Overlook Drive |  | 4100 |  | 0 |
| Series Waynick Drive |  | 4850 |  | 0 |
| Series Golden Honey |  | 4980 |  | 0 |

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Title to the properties will be held by the applicable Series of our company or through a Delaware limited liability company which will be a wholly-owned subsidiary of the applicable Series. We intend that each series will own a single property, which may be a multi-family property. We do not anticipate that any of the Series will acquire any properties other than their respective property. New Series will be formed and will issue their own Series Interests for future properties. An investor who invests in an offering of a Series will not have any indirect interest in any property of any other Series unless the investor also participates in a separate Series offering associated with that other property.

Section 18-215(b) of the LLC Act provides that, if certain conditions are met (including that certain provisions are in the formation and governing documents of the series limited liability company, and upon the closing of an offering for a series, the records maintained for any such series account for the assets associated with such series separately from the assets of the limited liability company, or any other series), then the debts, liabilities, obligations and expenses incurred, contracted for or otherwise existing with respect to a particular series shall be enforceable only against the assets of such series and not against the assets of the limited liability company generally or any other series. Accordingly, our company expects the Managing Member to maintain separate, distinct records, and bank accounts, for each Series and its associated assets and liabilities. As such, the assets of a Series include only the property associated with that Series and other related assets (e.g., cash reserves). As noted in the "Risk Factors" section, the limitations on inter-series liability provided by Section 18-215(b) have never been tested in federal bankruptcy courts and it is possible that a bankruptcy court could determine that the assets of one Series should be applied to meet the liabilities of the other Series or the liabilities of our company generally where the assets of such other Series or of our company generally are insufficient to meet our company's liabilities.

Section 18-215I of the LLC Act provides that a series established in accordance with Section 18-215(b) may carry on any lawful business, purpose or activity, other than the business of banking, and has the power and capacity to, in its own name, contract, hold title to assets (including real, personal and intangible property), grant liens and security interests, and sue and be sued. Our company intends for each Series to conduct its business and enter into contracts in its own name to the extent such activities are undertaken with respect to a particular Series and title to the relevant property will be held by, or for the benefit of, the relevant Series.

Upon payment in full of the consideration payable with respect to the Series interests, as determined by the Managing Member, the holders of such Series Interests will not be liable to our company to make any additional capital contributions with respect to such Series Interests (except for the return of distributions under certain circumstances as required by Sections 18-215, 18-607 and 18-804 of the LLC Act). Holders of Series Interests have no conversion, exchange, sinking fund, redemption or appraisal rights, no pre-emptive rights to subscribe for any interests and no preferential rights to distributions.

The Series described in this Offering Circular will use the proceeds of the respective offerings to repay any promissory notes issued to the Managing Member or loans taken out or payments made by the Managing Member to acquire their respective properties pursuant to the respective purchase and sale agreements, as well as pay certain fees and expenses related to the property acquisitions and each offering (please see the "Use of Proceeds" sections for each Series offering for further details). An investor in an offering will acquire an ownership interest in the Series interests related to that offering and not, for the avoidance of doubt, in (i) our company, (ii) any other Series, (iii) the Managing Member or any of its affiliates, (iv) the Wahed Real Estate platform or (v) the property associated with the Series or any property owned by any other Series.

**Further Issuance of Interests**

The Operating Agreement provides that our company may issue Interests of each Series to no more than 2,000 "qualified purchasers" (no more than 500 of which may be an "accredited investors"). The Managing Member, in its sole discretion, has the option to issue additional interests (in addition to those issued in connection with any offering) on the same terms as the interests of applicable Series being offered hereunder as may be required from time to time in order to pay any Operating Expenses related to the applicable property.

**Distributions**

The Managing Member has sole discretion in determining what distributions of Free Cash Flow, if any, are made to interest holders except as otherwise limited by law or the Operating Agreement.

"Free Cash Flow" means any available cash for distribution generated from the net income received by a Series, as determined by the Managing Member to be in the nature of income as defined by U.S. GAAP, *plus* (i) any change in the net working capital (as shown on the balance sheet of such Series) (ii) any amortization to the relevant Series Property (as shown on the income statement of such Series) and (iii) any depreciation to the relevant Series Property (as shown on the income statement of such Series) and (iv) any other non-cash Operating Expenses *less* (a) any capital expenditure related to the Series Property (as shown on the cash flow statement of such Series) (b) any other liabilities or obligations of the Series, in each case to the extent not already paid or provided for and (c) upon the termination and winding up of a Series or the company, all costs and expenses incidental to such termination and winding up.

The net income of any Series will be net of fees payable to the Managing Member and any property manager, as well as the costs and expenses incurred by or allocatable to such Series. Please see "The Company's Business – Our Managing Member and Fees and Expenses payable by each Series" for a discussion of these fees and expenses.

Our company expects the Managing Member to make distributions of any Free Cash Flow on a quarterly basis. However, the Managing Member may change the timing of distributions or determine that no distributions shall be made, in its sole discretion. For example, the Managing Member may determine to hold distributions until the effective distribution amount, per investor, equals or exceeds a certain amount per Interest. In this case, the Managing Member would accrue these distributions to be distributed once the minimum distribution amount has been reached or exceeded. Investors will be required to update their personal information on a regular basis to make sure they receive all allocated distributions.

If Operating Expenses exceed the amount of revenues generated from a Series property and cannot be covered by any reserves on the balance sheet of such Series property, the Managing Member may (a) pay such Operating Expenses and not seek reimbursement, (b) loan the amount of the Operating Expenses to the applicable series, on an interest-free basis in accordance with Islamic principles, and be entitled to reimbursement of such amount from future revenues generated by such series property and/or (c) cause additional Series Interests to be issued to the Managing Member in order to cover such additional amounts.

Any Free Cash Flow generated by a Series shall be applied within the Series in the following order of priority:

● repay any amounts outstanding for reimbursement of Operating Expenses as discussed above;

● thereafter to create such reserves as the Managing Member deems necessary, in its sole discretion, to meet future liabilities; and

● thereafter by way of distribution to Series Interest holders (net of corporate income taxes applicable to the series), which may include the Managing Member or any of its affiliates.

No series will distribute a property in kind to its interest holders.

The LLC Act (Section 18-607) provides that a member who receives a distribution with respect to a series and knew at the time of the distribution that the distribution was in violation of the LLC Act shall be liable to the series for the amount of the distribution for three years. Under the LLC Act, a series limited liability company may not make a distribution with respect to a series to a member if, after the distribution, all liabilities of such series, other than liabilities to members on account of their limited liability company interests with respect to such series and liabilities for which the recourse of creditors is limited to specific property of such series, would exceed the fair value of the assets of such series. For the purpose of determining the fair value of the assets of the series, the LLC Act provides that the fair value of property of the series subject to liability for which recourse of creditors is limited shall be included in the assets of such series only to the extent that the fair value of that property exceeds the nonrecourse liability. Under the LLC Act, an assignee who becomes a substituted member of a company is liable for the obligations of his assignor to make contributions to the company, except the assignee is not obligated for liabilities unknown to it at the time the assignee became a member and that could not be ascertained from the Operating Agreement.

**Redemption Provisions**

The Series Interests are not redeemable.

**Voting Rights**

The Managing Member is not required to hold an annual meeting of Interest holders. The Operating Agreement provides that meetings of Interest holders may be called by the Managing Member and a designee of the Managing Member shall act as chairman at such meetings. The investor does not have any voting rights as a Series Interest holder in our company or a Series except with respect to:

● the removal of the Managing Member;

● the dissolution of our company upon the for-cause removal of the Managing Member, and

● an amendment to the Operating Agreement that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o decreases
the percentage of outstanding Series Interests required to take any action under the Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o materially adversely affects the rights of any of the members holding Series Interests (including adversely affecting the holders of any particular Series Interests as compared to holders of other Series Interests);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o modifies the section of the Operating Agreement governing liquidation of the company or gives any person the right to dissolve the company; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;o modifies the term of the company.

When entitled to vote on a matter, each Series Interest holder will be entitled to one vote per interest held by it on all matters submitted to a vote of the Interest holders of an applicable Series or of the Interest holders of all Series of our company, as applicable. The removal of the Managing Member as Managing Member of our company and all series must be approved by a Super Majority Vote, that is, an affirmative vote of holders of interests of all series representing at least two thirds of the total votes that may be cast by all outstanding Interests, voting together as a single class. All other matters to be voted on by the Interest holders must be approved by a majority of the votes cast by Interest holders in any Series of our company present in person or represented by proxy.

The consent of the holders of a majority of the interests of a series is required for any amendment to the Operating agreement that would materially adversely change the rights of the Interest holders in such Series, any mergers, consolidations or conversions of such Series or the company and for any other matter as the Managing Member, in its sole discretion, determines will require the approval of the holders of the Interests of a Series voting as a separate class.

The Managing Member or its affiliates (if they hold Series Interests) may not vote as a Series Interest holder in respect of any matter put to a vote of the Series Interest holders. However, the submission of any action of our company or a Series for a vote of the Interest holders shall first be approved by the Managing Member and no amendment to the Operating Agreement may be made without the prior approval of the Managing Member that would decrease the rights of the Managing Member or increase the obligations of the Managing Member thereunder.

The Managing Member has broad authority to take action with respect to our company and any Series, as discussed under "Managers and Executive Officers." Except as set forth above, the Managing Member may amend the Operating Agreement without the approval of the Interest holders. Furthermore, the Managing Member retains sole discretion to create and set the terms of any new Series and will have the sole power to acquire, manage and dispose of property of each Series.

**Liquidation Rights**

The Operating Agreement provides that our company shall remain in existence until the earlier of the following: (i) the election of the Managing Member to dissolve it; (ii) the sale, exchange or other disposition of substantially all of the assets of our company; (iii) the entry of a decree of judicial dissolution of our company; (iv) at any time that our company no longer has any members, unless the business is continued in accordance with the LLC Act; and (v) a vote by a majority of all Interest holders of our company following the for-cause removal of the Managing Member. Under no circumstances may our company be wound up in accordance with Section 18-801(a)(3) of the LLC Act (i.e., the vote of members who hold more than two-thirds of the interests in the profits of our company).

A Series shall remain in existence until the earlier of the following: (i) the dissolution of our company, (ii) the election of the Managing Member to dissolve such series; (iii) the sale, exchange or other disposition of substantially all of the assets of the Series; or (iv) at any time that the Series no longer has any members, unless the business is continued in accordance with the LLC Act. Under no circumstances may a Series be wound up in accordance with Section 18-801(a)(3) of the LLC Act (i.e., the vote of members holding more than two-thirds of the interests in the profits of the Series).

Upon the occurrence of any such event, the Managing Member (or a liquidator selected by the Managing Member) is charged with winding up the affairs of the Series or our company as a whole, as applicable, and liquidating its assets. Upon the liquidation of a Series or our company as a whole, as applicable, the property will be liquidated and any after-tax proceeds distributed: (i) first, to any third party creditors, (ii) second, to any creditors that are the Managing Member or its affiliates (e.g., reimbursement of any outstanding Operating Expenses paid by the Managing Member), and thereafter, (iii) to the Interest holders of the relevant Series, allocated pro rata based on the number of Interests held by each Interest holder (which may include the Managing Member, any of its affiliates and sellers of the properties and which distribution within a Series will be made consistent with any preferences which exist within such Series).

**Restrictions on Ownership and Transfer**

The Interests of each Series are subject to restrictions on transferability. An Interest holder may not transfer, assign or pledge its Interests without the consent of the Managing Member. The Managing Member may withhold consent in its sole discretion, including when the Managing Member determines that such transfer, assignment or pledge would result in (a) there being more than 2,000 beneficial owners of the Series or more than 500 beneficial owners of the Series that are not "accredited investors," (b) the assets of the Series being deemed "plan assets" for purposes of ERISA, (c) such Interest holder holding in excess of 9.8% of the Series, (d) a change of US federal income tax treatment of our company or the Series, I(e) our company, the Series or the Managing Member being subject to additional regulatory requirements. The transferring Interest holder is responsible for all costs and expenses arising in connection with any proposed transfer (regardless of whether such transfer is completed) including any legal fees incurred by our company or any broker or dealer, any costs or expenses in connection with any opinion of counsel and any transfer taxes and filing fees. The Managing Member or its affiliates may, but is not required to, acquire Interests in any Series for their own accounts and may, from time to time and only in accordance with applicable securities laws (which may include filing an amendment to this Offering Circular), transfer these interests, either directly or through brokers.

Additionally, unless and until the Interests of our company are listed or quoted for trading, there are restrictions on the holder's ability to pledge or transfer the interests. There can be no assurance that we will, or will be able to, register the Interests for resale and there can be no guarantee that a liquid market for the Interests will develop. Therefore, investors may be required to hold their interests indefinitely. Please refer to the Operating Agreement and the Subscription Agreement for additional information regarding these restrictions. To the extent certificated, the Interests issued in each offering will bear a legend setting forth these restrictions on transfer and any legends required by state securities laws.

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**Agreement to be Bound by the Operating Agreement; Power of Attorney**

By purchasing Series Interests, the investor will be admitted as a member of our company and will be bound by the provisions of, and deemed to be a party to, the Operating Agreement. Pursuant to the Operating Agreement, each investor grants to the Managing Member a power of attorney to, among other things, execute and file documents required for our company's qualification, continuance or dissolution. The power of attorney also grants the Managing Member the authority to make certain amendments to, and to execute and deliver such other documents as may be necessary or appropriate to carry out the provisions or purposes of, the Operating Agreement.

**Appointment of Officers**

The Operating Agreement provides that, except as may otherwise be provided by the Operating Agreement, the property, affairs and business of each series will be managed under the direction of the Managing Member. The Managing Member has the power to appoint the officers of the company or a Series and such officers have the authority to exercise the powers and perform the duties specified in the Operating Agreement or as may be specified by the Managing Member.

**Indemnification**

Our Operating Agreement limits the liability of and provides for indemnification of (a) any officer of the company or associated with a Series, (b) any Managing Member or liquidator, together with its Affiliates, officers, directors, members, shareholders, employees, managers, partners, controlling persons, agents or independent contractors, (c) any person who is or was serving at the request of the company as an officer, director, member, manager, partner, fiduciary or trustee of another entity, with certain limitations, and (d) any person the Managing Member designates as an Indemnified Person for purposes of the Operating Agreement. Under the Operating Agreement, these Indemnified Persons will not be liable to the company or any Series for any acts or omissions by any of the Indemnified Persons arising from the exercise of their rights or performance of their duties and obligations in connection with the company or any Series, the Operating Agreement or any investment made or held by the company or any Series, including with respect to any acts or omissions made while serving at the request of the company or on behalf of any Series as an officer, director, member, partner, fiduciary or trustee of another entity, other than such acts or omissions that have been determined in a final, non-appealable decision of a court of competent jurisdiction to constitute fraud, willful misconduct or gross negligence. The Indemnified Persons will also be indemnified by the company and, if applicable, one or more Series, in each case, to the fullest extent permitted by law, against all expenses and liabilities (including judgments, fines, penalties, interest, amounts paid in settlement with the approval of the company and counsel fees and disbursements on a solicitor and client basis) (collectively, "Expenses and Liabilities") arising from the performance of any of their duties or obligations in connection with their service to the company and/or such Series or the Operating Agreement, or any investment made or held by the company, such Series, including in connection with any civil, criminal, administrative, investigative or other action, suit or proceeding to which any such Indemnified Person may hereafter be made party by reason of being or having been a Managing Member of the company or such Series under Delaware law, an officer of the company or associated with such Series, a member of any Advisory Board or an officer, director, member, partner, fiduciary or trustee of another entity, provided that this indemnification shall not cover Expenses and Liabilities that arise out of the acts or omissions of any Indemnified Person that has been determined in a final, non-appealable decision of a court, arbitrator or other tribunal of competent jurisdiction to have resulted primarily from such Indemnified Person's fraud, willful misconduct or gross negligence.

**Exclusive Jurisdiction; Waiver of Jury Trial; Federal Securities Law Exceptions**

Each holder of Series Interests will have covenanted and agreed not to bring any claim in any venue other than the Court of Chancery of the State of Delaware, or if required or permitted by applicable federal law, a federal court of the United States. If an interest holder were to bring a claim against our company or the Managing Member pursuant to the Operating Agreement and such claim were governed by state law, it would have to bring such claim in the Delaware Court of Chancery.

If we opposed a jury trial demand based on the waiver, the court would determine whether the waiver was enforceable under the facts and circumstances of that case in accordance with applicable case law. See "Risk Factors – Risks Related to Forum Selection and Jury Waivers." Nevertheless, if this jury trial waiver provision is not permitted by applicable law, an action could proceed under the terms of the Operating Agreement with a jury trial. No condition, stipulation or provision of the Operating Agreement or our Series Interests serves as a waiver by any or beneficial owner of Series Interests or by us of compliance with the U.S. federal securities laws and the rules and regulations promulgated thereunder. Additionally, our company does not believe that claims under the federal securities laws shall be subject to the jury trial waiver provision, and our company believes that the provision does not impact the rights of any or beneficial owner of our Series Interests to bring claims under the federal securities laws or the rules and regulations thereunder.

These provisions apply to investors who purchase Series Interests in the Series offerings directly from our company as well as to purchasers who may buy Series Interests in the secondary market, as they, as well, will become Series members whose rights vis a vis the Interests will be governed according to the terms of the Operating Agreement.

**Listing**

The Series Interests are not currently listed or quoted for trading on any national securities exchange, national quotation system or alternative trading system.

**ONGOING REPORTING AND SUPPLEMENTS TO THIS OFFERING CIRCULAR**

The company will be required to make annual and semi-annual filings with the SEC. The company will make annual filings on Form 1-K, which will be due by the end of April each year and will include audited financial statements for the previous fiscal year. The company will make semi-annual filings on Form 1-SA, which will be due by September 28 each year, which will include unaudited financial statements for the six months to June 30. The company will also file a Form 1-U to announce important events such as the loss of a senior officer, a change in auditors, or certain types of capital-raising. The company will be required to keep making these reports unless it files a Form 1-Z to exit the reporting system, which it will only be able to do if it has less than 300 Interest holders of record and have filed at least one Form 1-K.

At least every 12 months, the company will file a post-qualification amendment to the Offering Statement of which this Offering Circular forms a part, to include the company's recent financial statements.

The company may supplement the information in this Offering Circular by filing a Supplement with the SEC.

All these filings will be available on the SEC's EDGAR filing system. You should read all the available information before investing.

**Relaxed Ongoing Reporting Requirements**

If the company becomes a public reporting company in the future, it will be required to publicly report on an ongoing basis as an "emerging growth company" (as defined in the Jumpstart Our Business Startups Act of 2012, which the company refers to as the JOBS Act) under the reporting rules set forth under the Exchange Act. For so long as the company remains an "emerging growth company," the company may take advantage of certain exemptions from various reporting requirements that are applicable to other Exchange Act reporting companies that are not "emerging growth companies," including but not limited to:

● not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act;

● taking advantage of extensions of time to comply with certain new or revised financial accounting standards;

● being permitted to comply with reduced disclosure obligations regarding executive compensation in the company's periodic reports and proxy statements; and

● being exempt from the requirement to hold a non-binding advisory vote on executive compensation and unit holder approval of any golden parachute payments not previously approved.

If the company becomes a public reporting company in the future, the company expects to take advantage of these reporting exemptions until it is no longer an emerging growth company. The company would remain an "emerging growth company" for up to five years, although if the market value of its Common Stock that is held by non-affiliates exceeds $700 million as of any June 30 before that time, the company would cease to be an "emerging growth company" as of the following December 31.

If the company does not become a public reporting company under the Exchange Act for any reason, the company will be required to publicly report on an ongoing basis under the reporting rules set forth in Regulation A for Tier 2 issuers. The ongoing reporting requirements under Regulation A are more relaxed than for "emerging growth companies" under the Exchange Act. The differences include, but are not limited to, being required to file only annual and semi-annual reports, rather than annual and quarterly reports. Annual reports are due within 120 calendar days after the end of the issuer's fiscal year, and semi-annual reports are due within 90 calendar days after the end of the first six months of the issuer's fiscal year.

In either case, the company will be subject to ongoing public reporting requirements that are less rigorous than Exchange Act rules for companies that are not "emerging growth companies," and its unitholders could receive less information than they might expect to receive from more mature public companies.

**WAHED REAL ESTATE SERIES 1 LLC** 

**A Delaware Limited Liability Company** 

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| | |
|:---|:---|
| **TABLE OF CONTENTS** | |
| [Consolidated and Consolidating Balance Sheets as of June 30, 2025 (unaudited) and December 31, 2024 (audited)](#k_001) | F-2 |
| [Unaudited Consolidated and Consolidating Statements of Operations for the six month ended June 30, 2024 and the period from May 14, 2024 (Inception) to June 30, 2024](#k_002) | F-4 |
| [Unaudited Consolidated and Consolidating Statements of Changes in Members' Equity/(Deficit) for the six month ended June 30, 2024 and the period from May 14, 2024 (Inception) to June 30, 2024](#k_003) | F-6 |
| [Unaudited Consolidated and Consolidating Statements of Cash Flows for the six month ended June 30, 2024 and the period from May 14, 2024 (inception) to June 30, 2024](#k_004) | F-7 |
| [Notes to the Unaudited Consolidated and Consolidating Financial Statements](#k_005) | F-9 |
| [Independent Auditor's Report](#f_001) | F-20 |
| [Consolidated and Consolidating Balance Sheets as of December 31, 2024](#f_002) | F-22 |
| [Consolidated and Consolidating Statements of Operations for the period from May 14, 2024 (inception) to December 31, 2024](#f_003) | F-23 |
| [Consolidated and Consolidating Statements of Changes in Members' Equity/(Deficit) as of December 31, 2024](#f_004) | F-24 |
| [Consolidated and Consolidating Statements of Cash Flows for the period from May 14, 2024 (inception) to December 31, 2024](#f_005) | F-25 |
| [Notes to the Consolidated and Consolidating Financial Statements](#f_006) | F-26 |

---

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING BALANCE SHEETS**

**As of June 30, 2025 (Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Eliminated** | **Consolidated** |
| **ASSETS** | | | | | |
| **Current Assets** | | | | | |
| Cash and cash equivalents | $5917 | $- | $- | $- | $5917 |
| Deferred offering costs | 12544 | 5000 | 132149 |  | 149693 |
| Prepaid expenses | 629 |  | 500 |  | 1129 |
| Rent receivable | 150 |  |  |  | 150 |
| Receivable from property manager | 5100 |  |  |  | 5100 |
| Due from related parties | 64155 | - | - | (29964) | 34191 |
| **Total Current Assets** | **88495** | **5000** | **132649** | **(29964)** | **196180** |
| **Property and equipment, net**  |  |  |  |  |  |
| Real estate assets | 275759 | - | - | - | 275759 |
| **Total Property and equipment, net** | **275759** |  |  |  | **275759** |
| **Total Assets** | $**364254** | $**5000** | $**132649** | $**(29964)** | $**471939** |
| **Liabilities And Members' Equity/(Deficit)** |  |  |  |  |  |
| **Current Liabilities** |  |  |  |  |  |
| Accounts payable | $8808 | $- | $24069 | $- | $32877 |
| Tenant deposits | 3150 |  |  |  | 3150 |
| Due to related parties | 257582 | 5050 | 136192 | (29964) | 368860 |
| **Total Liabilities** | **269541** | **5050** | **160261** | **(29964)** | **404887** |
| **Members' Equity /(Deficit)** |  |  |  |  |  |
| Contributions | 99231 |  |  |  | 99231 |
| Accumulated deficit | (4518) | (50) | (27612) | - | (32180) |
| **Total Members' Equity /(Deficit)** | **94713** | **(50)** | **(27612)** | **-** | **67051** |
| **Total Liabilities and Members' Equity /(Deficit)** | $**364254** | $**5000** | $**132649** | $(**29964**) | $**471939** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING BALANCE SHEETS**

**As of December 31, 2024 (Audited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> overlook<br> Drive** | **Unallocated** | **Consolidated** |
| **ASSETS** | | | | |
| Current Assets: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $3179 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $- | $3179 |
| &nbsp;&nbsp;&nbsp;Deferred offering costs | 12544 |  | 102149 | 114693 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses | 1385 | - | - | 1385 |
| **Total Current Assets** | **17108** | **-** | **102149** | **119257** |
| **TOTAL ASSETS** | $**17108** | $**-** | $**102149** | $**119257** |
| **LIABILITIES AND MEMBERS' EQUITY/(DEFICIT)** |  |  |  |  |
| **Current Liabilities** |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $2158 |  | $27569 | $29727 |
| &nbsp;&nbsp;&nbsp;Due to related party | 16294 | - | 93517 | 109811 |
| **Total liabilities** | **18452** | **-** | **121086** | **139538** |
| **Members' Equity/(deficit)** |  |  |  |  |
| Contributions |  |  |  |  |
| Accumulated deficit | (1344) | - | (18937) | (20281) |
| **Total members' equity /(deficit)** | **(1344)** |  | **(18937)** | **(20281)** |
| **TOTAL LIABILITIES AND MEMBERS' EQUITY/(DEFICIT)** | $**17108** | $- | $**102149** | $**119257** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF OPERATIONS**

**For the six months ended June 30, 2025 (Unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Consolidated** |
| **<u>Revenues</u>** | | | | |
| Revenue From Operations | $4200 | $&nbsp;&nbsp;&nbsp;&nbsp;- | $- | $4200 |
| **Total Revenues** | **4200** | **-** | **-** | **4200** |
| **<u>Operating Expenses</u>** |  |  |  |  |
| Bank Charges | 234 |  | 153 | 387 |
| Depreciation | 1313 |  |  | 1313 |
| Commission Fee | 2100 |  |  | 2100 |
| Property Management Fees | 420 |  |  | 420 |
| Asset Management Fees | 241 |  |  | 241 |
| Repairs & Maintenance | 1727 |  |  | 1727 |
| Insurance Charges | 881 |  |  | 881 |
| Professional Fees | 500 | 50 | 6300 | 6850 |
| **Total Operating Expenses** | **7416** | **50** | **6453** | **13919** |
| **Loss From Operations** | **(3216)** | **(50)** | **(6453)** | **(9719)** |
| **Other Income/(expenses)** |  |  |  |  |
| Loan Facility Fees, net | 42 | - | (2222) | (2180) |
| **Total Other Expenses** | **42** | **-** | **(2222)** | **(2180)** |
| **Net Loss** | $**(3174)** | $**(50)** | $**(8675)** | $**(11899)** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF OPERATIONS**

**For the period from May 14, 2024 (Inception) to June 30, 2024 (Unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Consolidated** |
| **<u>Revenue</u>** | | | | |
| Revenue From Operations | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- |
| **Total Revenues** | **-** | **-** | **-** | **-** |
| **<u>Operating Expenses</u>** |  |  |  |  |
| **Total Operating Expenses** | **-** | **-** | **-** | **-** |
| **Net Loss** | $**-** | $**-** | $**-** | $**-** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF CHANGES IN**

**MEMBERS' EQUITY/(DEFICIT)**

**For the six months ended June 30, 2025 and for the period from May 14, 2024 (inception) to June 30, 2024 (Unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Consolidated** |
| **Balance as of May 14, 2024 (Inception)** | $**-** | $**-** | $**-** | $**-** |
| Contributions | **-** | **-** | **-** | **-** |
| Net loss | - | - | - | - |
| **Balance as of June 30, 2024** | $**-** | $**-** | $**-** | $**-** |
| **Balance as of December 31, 2024** | $**(1344)** | $**-** | $**(18937)** | $**(20281)** |
| Contributions | 144600 |  |  | 144600 |
| Subscription Receivable | (45369) |  |  | (45369) |
| Net loss | (3174) | (50) | (8675) | (11899) |
| **Balance as of June 30, 2025** | $**94713** | $**(50)** | $**(27612)** | $**67051** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF CASH FLOWS**

**For the six months ended June 30, 2025 (Unaudited)**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Elimination** | **Consolidated** |
| **Cash flows from operating activities:** | | | | | |
| Net loss | $(3174) | $(50) | $(8675) | $- | $(11899) |
| **Adjustments to reconcile net loss to net cash provided by operating activities:** |  |  |  |  |  |
| Depreciation | 1313 |  |  |  | 1313 |
| Prepaid expenses | 756 |  | (500) |  | 256 |
| Security deposit | 3150 |  |  |  | 3150 |
| Accounts payable | 1264 |  | (3500) |  | (2236) |
| Payable to related parties | 1781 |  |  |  | 1781 |
| Rent receivable | (150) |  |  |  | (150) |
| Receivable from property manager | (5100) | - | - | - | (5100) |
| **Net cash provided by operating activities** | **(160)** | **50)** | **(12675)** | **-** | **(12885)** |
| **Cash flows from investing activities:** |  |  |  |  |  |
| Acquisition of real estate assets (net of payables) | (7725) |  |  |  | (7725) |
| Cash paid for advances to related parties | (64155) | - | - | 29964 | (34191) |
| **Net cash used in investing activities** | **(71880)** | **-** | **-** | **29964** | **(41916)** |
| **Cash flows from financing** **activities:** |  |  |  |  |  |
| Deferred offering costs |  | (5000) | (30000) |  | (35000) |
| Proceeds from / (repayment of) loans taken (net) | (24453) | 5050 | 42675 | (29964) | (6693) |
| Contributions (Net of receivable from escrow) | 99231 | **-** | **-** | **-** | 99231 |
| **Net cash provided by (used in) financing activities** | **74778** | **50** | **12675** | **(29964)** | **57538** |
| **Net change in cash and cash equivalents during the period** | **2738** | **-** | **-** | **-** | **2738** |
| **Cash and cash equivalents balance, beginning of period** | **3179** | **-** | **-** | **-** | **3179** |
| **Cash and cash equivalents balance, end of period** | $**5917** | $**-** | $**-** | $**-** | $**5917** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF CASH FLOWS**

**For the period from May 14, 2024 (Inception) to June 30, 2024 (Unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Unallocated** | **Consolidated** |
| **Cash flows from operating activities:** | | | | |
| Net loss | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $- | $- |
| Expenses paid by related party | - | - | 82250 | 82250 |
| **Net cash provided by operating activities**  | - | - | **82250** | **82250** |
| **Cash flows from financing activities:** |  |  |  |  |
| Deferred offering costs | - | - | (82250) | (82250) |
| **Net cash used in financing activities** | - | - | **(82250)** | **(82250)** |
| **Net change in cash and cash equivalents during the period** |  |  |  |  |
| **Cash and cash equivalents balance, beginning of period** | - | - | - | - |
| **Cash and cash equivalents balance, end of period** | $- | $- | $- | $**-** |

---

See accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

**<u>NOTE 1: NATURE OF OPERATIONS</u>**

Wahed Real Estate Series 1, LLC (the "Company") is a Delaware Series limited liability company formed on May 14, 2024, under the laws of Delaware, for which Wahed Financial, LLC is the managing member (the "Manager"). The Company was formed to enable public investment in residential rental properties, each of which will be held directly or indirectly by a separate Series of limited liability interests, or "Series," of the Company. The Company formed Series Paign Drive on August 26, 2024, and Series Lake Overlook Drive on May 23, 2025.

As of June 30, 2025, the Company has commenced its initial operations, including launching its crowdfunding campaign for Series Paign Drive. As of that date, the Company has successfully raised $144,600 in investor capital. The Company remains dependent upon additional capital resources to fully implement its planned principal operations and is subject to significant risks and uncertainties, including failing to secure funding to commence the Company's planned operations or failing to profitably operate the business.

**<u>NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</u>**

<u>Basis of Presentation</u>

The accompanying consolidated and consolidating financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). The Company has adopted a calendar year as its fiscal year.

<u>Unaudited Interim Financial Information</u>

The accompanying consolidated and consolidating balance sheets as of June 30, 2025 and the consolidated and consolidating statements of operations, statements of changes in member's equity and cash flows for the six-month period ended June 30, 2025 and for the period from May 14, 2024 (inception) to June 30, 2024 are unaudited. The unaudited interim consolidated and consolidating financial statements have been prepared on the same basis as the audited annual consolidated and consolidating financial statements and, in the opinion of management reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of the Company's financial position as of June 30, 2025 and the results of its operations and its cash flows for the six-month period ended June 30, 2025 and for the period from inception to June 30, 2024. The financial data and other information disclosed in these notes related to the six-month period ended June 30, 2025 and for the period from inception to June 30, 2024 are also unaudited. The results for the six-month period ended June 30, 2025 are not necessarily indicative of results to be expected for the year ending December 31, 2025, any other interim periods, or any future year or period.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

<u>Principles of Consolidation</u>

These consolidated and consolidating financial statements include the accounts of the Company and its Series required to be consolidated under generally accepted accounting principles. Separate financial statements are presented for the Series. All inter-company transactions and balances are eliminated in consolidation.

<u>Use of Estimates</u>

The preparation of the consolidated and consolidating financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the consolidated and consolidating financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates.

<u>Risk and Uncertainties</u>

The Company has a limited operating history. The Company's business and operations are sensitive to general business and economic conditions in the United States. A host of factors beyond the Company's control could cause fluctuations in these conditions. These adverse conditions could affect the Company's financial condition and the results of its operations.

<u>Cash Equivalents and Concentration of Cash Balance</u>

The Company and its Series consider all highly liquid securities with an original maturity of less than three months to be cash equivalents. The Company's cash and cash equivalents in bank deposit accounts, at times, may exceed federally insured limits.

<u>Deferred Offering Costs</u>

The Company and its Series comply with the requirements of FASB ASC 340-10-S99-1 with regards to offering costs. Prior to the completion of an offering, offering costs are capitalized. The deferred offering costs are charged to members' equity upon the completion of an offering or to expense if the offering is not completed. The Company will reimburse its Manager up to 4% of the gross offering proceeds per Series offering for offering costs from the proceeds of each Series offering. We have preliminarily allocated up to 4% of the maximum expected gross offering amount to cover offering costs for each respective Series, as and when such expenses are incurred. In the event that the aggregate funds raised by any Series are less than the amount anticipated, the corresponding allocation of offering expenses to such Series shall be reduced accordingly.

As of June 30, 2025, the Company has deferred $149,693 of offering costs, consisting of $132,149 of unallocated deferred offering costs, $12,544 of Series Paign Drive deferred offering costs, and $5,000 of Series Lake Overlook Drive deferred offering costs. As of that date, the Company has raised $144,600 in investor capital with respect to Series Paign Drive and is in the process of raising the balance of capital resources for this Series as well as raising capital for Series Lake Overlook Drive, in order to fully implement its planned principal operations. The deferred offering costs with respect to each Series (subject to any limit established by the Manager) will be capitalized once the offering for that Series is completed.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

<u>Acquisition Costs</u>

The cost of acquiring the property will be borne by the respective series, including any buyer's premium payable, the sourcing fee payable to the Manager and any sales or similar taxes if required to be paid.

Upon acquisition, the property will be recorded on the Series' books at its original cost basis—essentially its acquisition cost, including any deposits for the Series funded by the Manager and acquisition expenses, which include all fees, costs and expenses incurred.

<u>Property and Equipment</u>

Property and equipment are stated at cost less accumulated depreciation. The Company's property and equipment includes the cost of the purchased Series property, including the building and related land. The Company allocates certain capitalized title fees and relevant acquisition expenses to the building value. All capitalized property and equipment costs, except for the value attributable to the land, are depreciated using the straight-line method over the estimated useful life of 27.5 years. At the time of retirement or other disposition of property and equipment, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is reflected in operations.

<u>Impairment of Long-Lived Assets</u>

The Company continually monitors events and changes in circumstances that could indicate carrying amounts of long-lived assets may not be recoverable. When such events or changes in circumstances are present, the Company assesses the recoverability of long-lived assets by determining whether the carrying value of such assets will be recovered through undiscounted expected future cash flows. If the total of the future cash flows is less than the carrying amount of those assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or the fair value less costs to sell. The Company did not record any impairment losses on long-lived assets for the six months ended June 30, 2025. The Company did not own any long-lived assets as of June 30, 2024.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

<u>Fair Value of Financial Instruments</u>

Financial Accounting Standards Board ("FASB") guidance specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect market assumptions. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows:

Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 1 primarily consists of financial instruments whose value is based on quoted market prices such as exchange-traded instruments and listed equities.

Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly (e.g., quoted prices of similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active).

Level 3 - Unobservable inputs for the asset or liability. Financial instruments are considered Level 3 when their fair values are determined using pricing models, discounted cash flows or similar techniques and at least one significant model assumption or input is unobservable.

The carrying amounts reported in the consolidated and consolidating balance sheets approximate their fair value.

<u>Tenant Deposit</u>

Tenant deposit liabilities represent security deposits received from tenant customers.

<u>Operating expenses</u>

Each Series of the Company will be responsible for the costs and expenses attributable to the activities of the Company related to such Series as well as any portion of shared expenses that the Manager allocates to such Series. As compensation for the services provided by the property manager, each Series will be charged a property management fee as set forth in the property management agreement for the Series property.

<u>Revenue Recognition</u>

Accounting Standards Codification ("ASC") Topic 606, "Revenue from Contracts with Customers" establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity's contracts to provide goods or services to customers.

Revenues will be recognized when control of the promised goods or services is transferred to a customer, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods or services. The Company applies the following five steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: 1) identify the contract with a customer; 2) identify the performance obligations in the contract; 3) determine the transaction price; 4) allocate the transaction price to performance obligations in the contract; and 5) recognize revenue as the performance obligation is satisfied.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

Each Series property is used for rental purposes and earns rental income on a monthly basis. Rental income is recognized over the length of the contract as the performance obligation is satisfied over time.

<u>Organizational Costs</u>

In accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 720, organizational costs, including accounting fees, legal fees, and costs of incorporation, are expensed as incurred.

<u>Expense Allocation</u>

To the extent relevant, offering expenses, acquisition expenses, operating expenses, revenue generated from Series properties and any indemnification payments made by the Manager will be allocated among the various Series interests in accordance with the Manager's allocation policy. The allocation policy requires the Manager to allocate items that are allocable to a specific Series to be borne by, or distributed to (as applicable), the applicable Series. If, however, an item is not allocable to a specific Series but to the Company in general, it will be allocated pro rata based on the value of the Series properties or the number of properties, as reasonably determined by the Manager or as otherwise set forth in the allocation policy. The Manager has sole discretion to amend the allocation policy.

<u>Income Taxes</u>

The Company is a limited liability company. Accordingly, under the Internal Revenue Code, all taxable income or loss flows through to its members. Therefore, no provision for income tax has been recorded in these consolidated and consolidating financial statements. Income from the Company is reported and taxed to the member on its individual tax return. The Company intends to elect for each Series to be taxed as a corporation.

The Company complies with FASB ASC 740 for accounting for uncertainty in income taxes recognized in a company's financial statement, which prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. FASB ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. Based on the Company's evaluation, it has been concluded that there are no significant uncertain tax positions requiring recognition in the Company's consolidated and consolidating financial statements. The Company believes that its income tax position would be sustained on audit and does not anticipate any adjustments that would result in a material change to its financial position.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

The Company may in the future become subject to federal, state and local income taxation though it has not been since its inception. The Company is not presently subject to any income tax audit in any taxing jurisdiction.

**<u>NOTE 3: GOING CONCERN</u>**

The accompanying consolidated and consolidating financial statements have been prepared on a going concern basis, which contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. The Company is a business that has recently commenced its principal operations, plans to incur significant costs in pursuit of its capital financing plans and is dependent upon its Manager and its affiliates for continued funding of its cash flow needs. The Company has an accumulated deficit of $32,180, has generated a loss of $11,899 for the six months ended June 30, 2025, and has limited liquid assets to satisfy its obligations as they come due with cash of $5,917 against current liabilities of $404,887 as of June 30, 2025. These factors, among others, raise substantial doubt about the ability of the Company to continue as a going concern for a reasonable period.

The Company's ability to continue as a going concern in the next twelve months is dependent upon its ability to obtain capital financing from investors sufficient to meet current and future obligations. No assurance can be given that the Company will be successful in these efforts. The consolidated and consolidating balance sheets don't include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

**<u>NOTE 4: MEMBERS' EQUITY/(DEFICIT)</u>**

As of June 30, 2025, the Company has received capital contributions, including $144,600 raised through crowdfunding for Series Paign Drive. Out of this amount, $45,369 is held in an escrow account as of June 30, 2025, recorded as subscription receivable as part of the members' equity/(deficit). The funds held in escrow relate to shares that have already been subsequently allocated to the respective investors. The escrow balance is earmarked to be utilized by the Company towards the repayment of outstanding dues in connection with the property purchased.

No capital has been contributed to the Company as of December 31, 2024.

The Company is managed by Wahed Financial, LLC, a Delaware limited liability company and managing member of the Company (the "Manager") and the Manager holds 100% of the Company's membership units. Pursuant to the terms of the operating agreement, the Manager will provide certain management and advisory services, as well as management team and appropriate support personnel to the Company and to each of the Company's Series.

Profits and losses shall be allocated pro rata by Series among all the members of each of the Company's Series, which may include the Manager.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

The Manager has sole discretion in determining what distributions, if any, are made to interest holders except as otherwise limited by law or the operating agreement. The Company expects the Manager to make distributions on a semi-annual basis. However, the Manager may change the timing of distributions or determine that no distributions shall be made, in its sole discretion.

Distributable cash, as determined by the Manager, may be distributed on a quarterly basis from free cash flows. However, the Manager may change the timing of the distributions or determine no distributions shall be made, in its sole discretion. Distributable cash of each Series shall be applied first to expenses and reserves as determined by the Manager, and thereafter distributed to the members of that Series pro rata to their interests (which, for the avoidance of doubt, may include the Manager and its affiliates).

No member shall be entitled to withdraw or receive return of their capital contribution, except to the extent, if any, that distributions made pursuant to the operating agreement may be considered as such by law and then only to the extent provided for in the operating agreement.

The debts, obligations, and liabilities of the Company, whether arising in contract, tort, or otherwise, are solely the debts, obligations, and liabilities of the Company, and no member of the Company is obligated personally for any such debt, obligation, or liability.

**<u>NOTE 5: PROPERTY AND EQUIPMENT</u>**

Property and equipment at June 30, 2025 and December 31, 2024 consists of the following:

---

| | | | |
|:---|:---|:---|:---|
| **June 30, 2025** | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Consolidated** |
| **Real Estate Assets** | | | |
| Building and building improvements | $60400 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $60400 |
| Land | 216672 | - | 216672 |
| **Total** | **277072** | **-** | **277072** |
| Less: Accumulated depreciation | 1313 | - | 1313 |
| **Property and equipment, net** | $**275759** | $**-** | $**275759** |

---

---

| | | | |
|:---|:---|:---|:---|
| **December 31, 2024** | **Series<br> Paign Drive** | **Series Lake<br> Overlook<br> Drive** | **Consolidated** |
| **Real Estate Assets** | | | |
| Building and building improvements | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- |
| Land | - | - | - |
| **Total** | **-** | **-** | **-** |
| Less: Accumulated depreciation | - | - | - |
| **Property and equipment, net** | $**-** | $**-** | $**-** |

---

Depreciation expense was $1,313 for the six months ended June 30, 2025, and $0 for the period from inception to June 30, 2024.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

**<u>NOTE 6: RELATED PARTY TRANSACTIONS</u>**

The Company is managed by its sole member, Wahed Financial LLC, the Manager of the Company. Pursuant to the terms of the operating agreement, the Manager will provide certain management services to the Company. The Manager shall direct, manage, and control the Company to the best of its ability and shall have full and complete authority, power, and discretion to make any and all decisions and to do any and all things that such Manager may deem to be reasonably required to accomplish the purpose of the Company.

Subject to certain restrictions and limitations, the Manager is responsible for managing the Company's affairs on a day-to-day basis and for identifying and making acquisitions and investments on behalf of the Company. The Manager has power and authority on behalf of the Company to amend the operating agreement.

<u>Asset Management Fee</u>

For the Manager's efforts in conducting due diligence, acquiring the properties, day-to-day management, and making the investment opportunity available to the Company and its members, the Manager shall earn on a quarterly basis beginning on the first quarter end date following the initial closing date of the issuance of interests in a Series, payable quarterly in arrears, equal to 0.25% (1% annualized) of the asset value, as determined by the Manager as of the last day of the immediately preceding quarter. Series Paign Drive incurred asset management fees amounting to $241 for the six months ended June 30, 2025.

<u>Sourcing Fee</u>

Each Series will pay the Manager with a sourcing fee to cover the costs associated with searching and negotiation of the property purchase and preparing the property for rental. The applicable sourcing fee will be set forth in the certificate of designation for each Series. No sourcing fee was incurred for the six months ended June 30, 2025 as none of the Series is yet fully funded.

<u>Reimbursement of Expenses</u>

Pursuant to the operating agreement, the Manager or its affiliates will receive reimbursement of reasonable expenses paid or incurred by the Manager or its affiliates in connection with the Company's operations, including any legal, financial and tax reporting, and accounting costs, which may be paid from capital contributions, revenue, or reserves. The Manager may also reimburse members of the Company for such expenses incurred by them in connection with the Company's operations, as decided in the Manager's sole discretion.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

The Company will reimburse its Manager for offering expenses, which the Managing Member has agreed to cap at 4% of the gross proceeds of the offerings of each of Series Paign Drive and Series Lake Overlook Drive. Any cap on the amount of reimbursement of offering expenses for future Series will be determined by the Manager in its sole discretion.

<u>Distributions</u>

Distributable cash, as determined by the Manager, may be distributed on a quarterly basis from Free Cash Flow. However, the Manager may change the timing of the distributions or determine no distributions shall be made, in its sole discretion. Distributable cash of each Series shall be applied first to expenses and reserves as determined by the Manager, and thereafter distributed to the members of that Series pro rata to their interests (which, for the avoidance of doubt, may include the Manager and its affiliates).

<u>Related party payables and receivables</u>

As of June 30, 2025, due to related party includes loans taken from Wahed Invest LLC and from Wahed Financial LLC for purchase of property (as discussed below), both related parties under common control, as well as to fund certain expenses paid on behalf of the Company, as discussed above, which amounts remain payable as of June 30, 2025. The total amount outstanding as of June 30, 2025 is $368,860 ($86,710 to Wahed Invest LLC and $282,150 to Wahed Financial LLC.) consisting of $106,228 unallocated payable, $257,582 payable from Series Paign Drive and $5,050 payable from Series Lake Overlook Drive. The balance bears no interest, however, loan facility fees of 5% per annum is levied on the principal amount borrowed from Wahed Invest LLC, charged on a monthly basis. Loan facility fees payable to Wahed Invest LLC amounted $2,012 during the six months ended June 30, 2025. The loan and the loan facility fee charged thereon are considered payable on demand. Due to related party as of June 30, 2025 amounting to $368,860 is presented net of inter-series payables of $29,964, representing unallocated expenses and offering costs inadvertently paid by Series Paign Drive.

As of December 31, 2024, due to related party includes loans taken from Wahed Inc. and Wahed Invest LLC, related parties under common control. These entities have paid certain expenses on behalf of the Company, which remain payable as of December 31, 2024. The total amount is $109,811 ($79,170 to Wahed Invest LLC and $30,641 to Wahed Inc.) consisting of $93,517 unallocated payable and $16,294 payable from Series Paign Drive. The balance bears no interest, however, loan facility fees of 5% per annum is levied on the principal amount borrowed from Wahed Inc. and Wahed Invest LLC, charged on a monthly basis. Loan facility fees payable as of December 31, 2024, on these loans is $3,629, consisting of $3,237 unallocated loan facility fee payable and $392 loan facility fee payable from Series Paign Drive.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

As of June 30, 2025, the company has loan receivable from Wahed Inc., a related party under common control. The loan balance is $34,191. The balance bears no interest, however, loan facility fees of 5% per annum is levied on the principal amount borrowed, charged on a monthly basis. Loan facilities fees receivable from Wahed Inc. amounted to $320 during the six months ended June 30, 2025. The loan and the loan facility fee charged thereon are considered receivable on demand. Due from related party as of June 30, 2025, amounting to $34,191, is presented net of inter-series receivables of $29,964, representing unallocated expenses and offering costs inadvertently paid by Series Paign Drive. As of December 31, 2024, there were no receivables from related party.

<u>Acquisition Cost - Paign Drive Property</u> 

On August 9, 2024, Wahed Financial LLC, as the managing member of the Company, completed the acquisition of the property located at 41210 Paign Drive, Sterling Heights, MI "Paign Drive Property" for a total purchase price of $260,000. As of December 31, 2024, title to the Paign Drive Property is held by Wahed Financial LLC (Managing Member) and had not yet been transferred to Series Paign LLC.

On May 2, 2025, the property was transferred to Series Paign Drive in exchange for $141,600 in cash and an interest-free loan from Wahed Financial LLC of $127,266, representing the $260,000 property purchase price plus $3,960 in acquisition expenses and $13,111 in property improvement expenses.

On March 12, 2025, the Managing Member entered into a property management agreement, appointing Ahsan Tarar, as the "Property Manager," effective March 12, 2025. Unless explicitly renewed or terminated, the property management agreement will end on the second anniversary of the effective date and will automatically renew for additional successive 12-month periods. The Property Manager is entitled to withhold 10% from each monthly rental payment including late fees as compensation for management services or management fees. Series Paign Drive incurred property management fee amounting to $420 for the six months ended June 30, 2025.

<u>Acquisition Cost – Lake Overlook Drive Property</u>

In March 2025, Wahed Financial LLC, as the managing member of the Company, completed the acquisition of the property located at 6724 Lake Overlook Drive, Fort Worth, TX 76135, for a total purchase price of $374,900. The Managing Member intends to sell the property to Series Lake Overlook Drive once sufficient funds from the Company's Regulation A offering have been tendered to the Company. As of June 30, 2025, the property title remains under Wahed Financial LLC (Managing Member) and has not yet been transferred to Series Lake Overlook Drive LLC.

On March 21, 2025, the Managing Member entered into a property management agreement with G&O Property Management, LLC, as the "Property Manager," effective March 21, 2025. The property management agreement has a term of one year and extends automatically for successive monthly terms unless terminated. The Property Manager is entitled to withhold 7% from each monthly rental payment, a lease commission equal to one month of gross rent (as exclusive leasing agent) and an initial $500 property onboarding fee.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS (UNAUDITED)**

**As of June 30, 2025, and December 31, 2024, for the six months ended June 30, 2025, and for the period from May 14, 2024<br> (inception) to June 30, 2024**

**<u>NOTE 7: RECENT ACCOUNTING PRONOUNCEMENTS</u>**

Management does not believe that any other recently issued, but not yet effective, accounting standards could have a material effect on the accompanying consolidated and consolidating financial statements. As new accounting pronouncements are issued, we will adopt those that are applicable under the circumstances.

**<u>NOTE 8: COMMITMENTS AND CONTINGENCIES</u>**

The Company may be subject to pending legal proceedings and regulatory actions in the ordinary course of business. The results of such proceedings cannot be predicted with certainty, but the Company does not anticipate that the outcome, if any, arising out of any such matters will have a material adverse effect on its business, financial condition or results of operations.

**<u>NOTE 9: SUBSEQUENT EVENTS</u>**

Management has evaluated all subsequent events through September 25, 2025, the date the consolidated and consolidating financial statements were available to be issued.

On September 8, 2025, Wahed Financial LLC, as the managing member of the Company, completed the acquisition of the property located at 8820 Waynick Drive, Raleigh, North Carolina, for a total purchase price of $435,000 (net of sales credits) plus closing costs. On September 25, 2025, the Company established Series Waynick Drive for the purposes of acquiring the Waynick Drive property. Wahed Financial intends to transfer the property to Series Waynick Drive once sufficient funds from the company's Regulation A offering have been tendered to the Company.

![](image_002.jpg)

To the Managing Member of

Wahed Real Estate Series 1 LLC

Lewes, DE

**INDEPENDENT AUDITOR'S REPORT**

**Opinion**

We have audited the accompanying consolidated financial statements of Wahed Real Estate Series 1 LLC (the "Company") on a consolidated basis, which comprise the balance sheets as of December 31, 2024, and the related statements of operations, changes in members' equity/(deficit), and cash flows for the period from May 14, 2024 (inception) to December 31, 2024, and the related notes to the consolidated financial statements. We have audited the accompanying financial statements of each listed Series of the Company, which comprise each listed Series' balance sheet as of December 31, 2024, and the related statements of operations, changes in members' equity/(deficit), and cash flows for the period from May 14, 2024 (inception) to December 31, 2024 for each listed Series, and the related notes to each listed Series' financial statements.

In our opinion, the consolidated financial statements and each Series' financial statements referred to above presents fairly, in all material respects, the financial position of the Company as of December 31, 2024, the financial position of each listed Series as of December 31, 2024, and the Company's and each listed Series consolidated operations and its cash flows for the period ended December 31, 2024 in accordance with accounting principles generally accepted in the United States of America.

**Basis for Opinion**

We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Consolidated Financial Statements and Each Series' Financial Statements section of our report. We are required to be independent of the Company and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audits. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

**Substantial Doubt About the Company's Ability to Continue as a Going Concern** 

The accompanying consolidated financial statements and each listed Series' financial statements have been prepared assuming that the Company will continue as a going concern. As described in Note 3 to the consolidated and consolidating financial statements, on a total consolidated basis, the Company has not generated revenues nor profits since inception and has sustained net losses of $20,281 for the period from May 14, 2024 (inception) to December 31, 2024. As of December 31, 2024, the Company had an accumulated deficit of $20,281 and limited liquid assets to satisfy its obligations as they come due, with cash of $3,179 relative to current liabilities of $139,539. The Company and each listed Series are reliant upon its manager to fund its current and future obligations. These factors, among others, raise substantial doubt about the Company's ability and each listed Series' ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 3. The consolidated financial statements and each listed Series' financial statements do not include any adjustments that might result from the outcome of this uncertainty. Our opinion is not modified with respect to this matter.

**Responsibilities of Management for the Consolidated Financial Statements and Each Series' Financial Statements**

Management is responsible for the preparation and fair presentation of the consolidated financial statements and each listed Series' financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the consolidated financial statements and each listed Series' financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the consolidated financial statements and each listed Series' financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern within one year after the date that the consolidated financial statements and each listed Series' financial statements are available to be issued.

**Auditor's Responsibilities for the Audit of the Consolidated Financial Statements and Each Series' Financial Statements**

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole as of December 31, 2024 and for the period from May 14, 2024 (inception) to December 31, 2024, each listed Series' financial statements as of December 31, 2024 and for the period from May 14, 2024 (inception) to December 31, 2024 are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements, including omissions, are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the consolidated financial statements and each listed Series' financial statements.

In performing an audit in accordance with generally accepted auditing standards, we:

● Exercise professional judgment and maintain professional skepticism throughout the audit.

● Identify and assess the risks of material misstatement of the consolidated financial statements and each listed Series' financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements and each listed Series' financial statements.

● Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control. Accordingly, no such opinion is expressed.

● Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the consolidated financial statements and each listed Series' financial statements.

● Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability and each Series' ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.

**/s/ Artesian CPA, LLC**

Denver, Colorado

April 8, 2025

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING BALANCE SHEETS**

**As of December 31, 2024**

---

| | | | |
|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Unallocated** | **Consolidated** |
| **ASSETS** | | | |
| Current Assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $3179 | $- | $3179 |
| &nbsp;&nbsp;&nbsp;Deferred offering costs | 12544 | 102149 | 114693 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses | 1385 | - | 1385 |
| **Total Current Assets** | **17108** | **102149** | **119257** |
| **TOTAL ASSETS** | $**17108** | $**102149** | $**119257** |
| **LIABILITIES AND MEMBERS' EQUITY/(DEFICIT)** |  |  |  |
| **Current Liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $2158 | $27569 | $29727 |
| &nbsp;&nbsp;&nbsp;Loans payable, related party | 16294 | 93517 | 109811 |
| **Total liabilities** | **18452** | **121086** | **139538** |
| **Members' equity/(deficit)** |  |  |  |
| Contributions |  |  |  |
| Accumulated deficit | (1344) | (18937) | (20281) |
| **Total members' equity/(deficit)** | **(1344)** | **(18937)** | **(20281)** |
| **TOTAL LIABILITIES AND MEMBERS' EQUITY/(DEFICIT)** | $**17108** | $**102149** | $**119257** |

---

See accompanying Independent Auditor's Report and accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF OPERATIONS**

**For the period from May 14, 2024 (inception) to December 31, 2024**

---

| | | | |
|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Unallocated** | **Consolidated** |
| **Revenue:** | | | |
| &nbsp;&nbsp;&nbsp;Revenue from operations | $- | $- | $- |
| **Total Revenues** | **-** | **-** | **-** |
| **Operating Expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp;General and administrative | 152 |  | 152 |
| &nbsp;&nbsp;&nbsp;Professional fees | 800 | 15700 | 16500 |
| **Total Operating Expenses** | **952** | **15700** | **16652** |
| **Loss from Operations** | **(952)** | **(15700)** | **(16652)** |
| **Other Expense** |  |  |  |
| &nbsp;&nbsp;&nbsp;Loan facility fees | 392 | 3237 | 3629 |
| **Total Other Expenses** | **392** | **3237** | **3629** |
| **Net loss** | $**(1344)** | $**(18937)** | $**(20281)** |

---

See accompanying Independent Auditor's Report and accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF CHANGES IN MEMBERS' EQUITY/(DEFICIT)**

**For the period from May 14, 2024 (inception) to December 31, 2024**

---

| | | | |
|:---|:---|:---|:---|
|  | **Series Paign Drive** | **Series Paign Drive** | **Series Paign Drive** |
|  | **Contributions** | **Accumulated <br> Deficit** | **Total Members' <br> Equity/(Deficit)** |
| **Balance at May 14, 2024 (inception)** | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $- | $- |
| Net loss | - | (1344) | (1344) |
| **Balance as of December 31, 2024** | $- | $(1344) | $(1344) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **Unallocated** | **Unallocated** | **Unallocated** |
|  | **Contributions** | **Accumulated <br> Deficit** | **Total Members' <br> Equity/(Deficit)** |
| **Balance at May 14, 2024 (inception)** | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $- | $- |
| Net loss | - | (18937) | (18937) |
| **Balance as of December 31, 2024** | $- | $(18937) | $(18937) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **Consolidated** | **Consolidated** | **Consolidated** |
|  | **Contributions** | **Accumulated <br> Deficit** | **Total Members' <br> Equity/(Deficit)** |
| **Balance at May 14, 2024 (inception)** | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $- | $- |
| Net loss | - | (20281) | (20281) |
| **Balance as of December 31, 2024** | $- | $(20281) | $(20281) |

---

See accompanying Independent Auditor's Report and accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**CONSOLIDATED AND CONSOLIDATING STATEMENTS OF CASH FLOWS**

**For the period from May 14, 2024 (inception) to December 31, 2024**

---

| | | | |
|:---|:---|:---|:---|
|  | **Series<br> Paign Drive** | **Unallocated** | **Consolidated** |
| **Cash flows from operating activities** | | | |
| &nbsp;&nbsp;&nbsp;Net loss | $(1344) | $(18937) | $(20281) |
| Adjustments to reconcile net loss to net cash provided by operating activities: |  |  |  |
| &nbsp;&nbsp;&nbsp;Expenses paid by related party | 16294 | 93517 | 109811 |
| **Changes in operating assets and liabilities** |  |  |  |
| &nbsp;&nbsp;&nbsp;Increase in prepaid expense | (1385) |  | (1385) |
| &nbsp;&nbsp;&nbsp;Increase in account payable | 2158 | 27569 | 29727 |
| **Net cash provided by operating activities** | **15723** | **102149** | **117872** |
| **Cash flows from investing activities** |  |  |  |
| **Cash flows from financing activities** |  |  |  |
| &nbsp;&nbsp;&nbsp;Deferred offering costs | (12544) | (102149) | (114693) |
| **Net cash used in financing activities** | **(12544)** | **(102149)** | **(114693)** |
| Cash and cash equivalents |  |  |  |
| Net changes during the period | 3179 |  | 3179 |
| Balance, beginning of period | - | - | - |
| **Balance, end of period** | $**3179** | $**-** | $**3179** |

---

See accompanying Independent Auditor's Report and accompanying notes, which are an integral part of these consolidated and consolidating financial statements.

**WAHED REAL ESTATE SERIES 1 LLC**

**NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS**

**As of December 31, 2024 and for the period from May 14, 2024 (inception) to December 31, 2024**

**<u>NOTE 1: NATURE OF OPERATIONS</u>**

Wahed Real Estate Series 1, LLC (the "Company") is a Delaware Series limited liability company formed on May 14, 2024, under the laws of Delaware, for which Wahed Financial, LLC is the managing member (the "Managing Member"). The Company was formed to enable public investment in residential rental properties, each of which will be held directly or indirectly by a separate Series of limited liability interests, or "Series," of the Company. The Company formed Series Paign Drive on August 26, 2024.

As of December 31, 2024, the Company is in the process of commencing its operations. The Company is dependent upon additional capital resources for the commencement of its planned principal operations and is subject to significant risks and uncertainties, including failing to secure funding to commence the Company's planned operations or failing to profitably operate the business.

**<u>NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</u>**

<u>Basis of Presentation</u>

The accompanying consolidated and consolidating financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). The Company has adopted a calendar year as its fiscal year.

<u>Principles of Consolidation</u>

These consolidated and consolidating financial statements include the accounts of the Company and its Series required to be consolidated under generally accepted accounting principles. Separate financial statements are presented for the Series. All inter-company transactions and balances are eliminated in consolidation.

<u>Use of Estimates</u>

The preparation of the consolidated and consolidating financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the consolidated and consolidating financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates.

<u>Risk and Uncertainties</u>

The Company has a limited operating history. The Company's business and operations are sensitive to general business and economic conditions in the United States. A host of factors beyond the Company's control could cause fluctuations in these conditions. These adverse conditions could affect the Company's financial condition and the results of its operations.

<u>Cash Equivalents and Concentration of Cash Balance</u>

The Company and its Series consider all highly liquid securities with an original maturity of less than three months to be cash equivalents. The Company's cash and cash equivalents in bank deposit accounts, at times, may exceed federally insured limits.

<u>Prepaid Expenses</u>

As of December 31, 2024, prepaid expenses of $1,385 were recorded related to insurance for Series Paign Drive.

See accompanying Independent Auditor's Report.

<u>Deferred Offering Costs</u>

The Company and its Series comply with the requirements of FASB ASC 340-10-S99-1 with regards to offering costs. Prior to the completion of an offering, offering costs are capitalized. The deferred offering costs are charged to members' equity upon the completion of an offering or to expense if the offering is not completed. The Company will reimburse its Managing Member up to 4% of the gross offering proceeds per Series offering for offering costs from the proceeds of each Series offering. As of December 31, 2024, the Company has deferred $114,693 of offering costs, consisting of $102,149 of unallocated deferred offering costs and $12,544 of Series Paign Drive deferred offering costs.

<u>Acquisition Costs</u>

The cost of acquiring the property will be borne by Series Paign Drive, including any buyer's premium payable, the sourcing fee payable to the Managing Member and any sales or similar taxes if required to be paid.

Upon acquisition, the property will be recorded on the Series' books at its original cost basis—essentially its acquisition cost, including any deposits for the Series funded by the Managing Member and acquisition expenses, which include all fees, costs and expenses incurred.

<u>Fair Value of Financial Instruments</u>

Financial Accounting Standards Board ("FASB") guidance specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect market assumptions. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows:

Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 1 primarily consists of financial instruments whose value is based on quoted market prices such as exchange-traded instruments and listed equities.

Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly (e.g., quoted prices of similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active).

Level 3 - Unobservable inputs for the asset or liability. Financial instruments are considered Level 3 when their fair values are determined using pricing models, discounted cash flows or similar techniques and at least one significant model assumption or input is unobservable.

The carrying amounts reported in the consolidated and consolidating balance sheet approximate their fair value.

<u>Revenue Recognition</u>

Accounting Standards Codification ("ASC") Topic 606, "Revenue from Contracts with Customers" establishes principles for reporting information about the nature, amount, timing and uncertainty of revenue and cash flows arising from the entity's contracts to provide goods or services to customers.

Revenues will be recognized when control of the promised goods or services is transferred to a customer, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods or services. The Company applies the following five steps in order to determine the appropriate amount of revenue to be recognized as it fulfills its obligations under each of its agreements: 1) identify the contract with a customer; 2) identify the performance obligations in the contract; 3) determine the transaction price; 4) allocate the transaction price to performance obligations in the contract; and 5) recognize revenue as the performance obligation is satisfied.

See accompanying Independent Auditor's Report.

No revenue has been earned or recognized through December 31, 2024.

<u>Organizational Costs</u>

In accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 720, organizational costs, including accounting fees, legal fees, and costs of incorporation, are expensed as incurred.

<u>Expense Allocation</u>

To the extent relevant, offering expenses, acquisition expenses, operating expenses, revenue generated from Series properties and any indemnification payments made by the Managing Member will be allocated among the various Series interests in accordance with the Managing Member's allocation policy. The allocation policy requires the Managing Member to allocate items that are allocable to a specific Series to be borne by, or distributed to (as applicable), the applicable Series. If, however, an item is not allocable to a specific Series but to the Company in general, it will be allocated pro rata based on the value of the Series properties or the number of properties, as reasonably determined by the Managing Member or as otherwise set forth in the allocation policy. The Managing Member has sole discretion to amend the allocation policy.

<u>Income Taxes</u>

The Company is a limited liability company. Accordingly, under the Internal Revenue Code, all taxable income or loss flows through to its members. Therefore, no provision for income tax has been recorded in this consolidated and consolidating financial statements. Income from the Company is reported and taxed to the member on its individual tax return. The Company intends to elect for each Series to be taxed as a corporation.

The Company complies with FASB ASC 740 for accounting for uncertainty in income taxes recognized in a company's financial statement, which prescribes a recognition threshold and measurement process for financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. FASB ASC 740 also provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. Based on the Company's evaluation, it has been concluded that there are no significant uncertain tax positions requiring recognition in the Company's consolidated and consolidating financial statements. The Company believes that its income tax position would be sustained on audit and does not anticipate any adjustments that would result in a material change to its financial position.

The Company may in the future become subject to federal, state and local income taxation though it has not been since its inception. The Company is not presently subject to any income tax audit in any taxing jurisdiction.

**<u>NOTE 3: GOING CONCERN</u>**

The accompanying consolidated and consolidating financial statements have been prepared on a going concern basis, which contemplate the realization of assets and the satisfaction of liabilities in the normal course of business. The Company is a business that is in the process of commencing planned principal operations, plans to incur significant costs in pursuit of its capital financing plans, has not generated any revenues or profits through December 31, 2024 and is dependent upon its Managing Member and its affiliates for continued funding of its cash flow needs. These factors, among others, raise substantial doubt about the ability of the Company to continue as a going concern for a reasonable period.

The Company's ability to continue as a going concern in the next twelve months is dependent upon its ability to obtain capital financing from investors sufficient to meet current and future obligations. No assurance can be given that the Company will be successful in these efforts. The consolidated and consolidating balance sheets don't include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern.

See accompanying Independent Auditor's Report.

**<u>NOTE 4: MEMBERS' EQUITY/(DEFICIT)</u>**

No capital has been contributed to the Company as of December 31, 2024.

In December 2024, the Company commenced an offering (the "Series Offering") of up to 3,136 Series interests in Series Paign Drive pursuant to Regulation A of the Securities Act of 1933, as amended, for purposes of funding the acquisition of a residential property located at 41210 Paign Dr., Sterling Heights, MI (the "Paign Drive Property"). The Managing Member purchased the Paign Drive Property in August 2024 and intends to sell it to Series Paign Drive once sufficient funds have been raised by the Series in the Series Offering. No Series interests have been sold as of December 31, 2024.

The Company is managed by Wahed Financial, LLC, a Delaware limited liability company and managing member of the Company (the "Managing Member") and the Managing Member holds 100% of the Company's membership units. Pursuant to the terms of the operating agreement, the Managing Member will provide certain management and advisory services, as well as management team and appropriate support personnel to the Company and to each of the Company's Series.

Profits and losses shall be allocated pro rata by Series among all the members of each of the Company's Series, which may include the Managing Member.

Distributable cash, as determined by the Managing Member, will be distributed upon the final accounting of net results from the sale of a property, upon liquidation of the Company or as determined by the Managing Member, subject to available cash. Distributable cash of each Series shall be applied and distributed 100% to the members of that Series (pro rata to their interests and which, for the avoidance of doubt, may include the Managing Member and its affiliates).

No member shall be entitled to withdraw or receive return of their capital contribution, except to the extent, if any, that distributions made pursuant to the operating agreement or upon dissolution or termination of the Company may be considered as such by law and then only to the extent provided for in the operating agreement.

The debts, obligations, and liabilities of the Company, whether arising in contract, tort, or otherwise, are solely the debts, obligations, and liabilities of the Company, and no member of the Company is obligated personally for any such debt, obligation, or liability.

**<u>NOTE 5: RELATED PARTY TRANSACTIONS</u>**

The Company is managed by its sole member, Wahed Financial LLC, the Managing Member of the Company. Pursuant to the terms of the operating agreement, the Managing Member will provide certain management services to the Company. The Managing Member shall direct, manage, and control the Company to the best of its ability and shall have full and complete authority, power, and discretion to make any and all decisions and to do any and all things that such Managing Member may deem to be reasonably required to accomplish the purpose of the Company.

Subject to certain restrictions and limitations, the Managing Member is responsible for managing the Company's affairs on a day-to-day basis and for identifying and making acquisitions and investments on behalf of the Company. The Managing Member has power and authority on behalf of the Company to amend the operating agreement.

<u>Management Fee</u>

For the Managing Member's efforts in conducting due diligence, acquiring the properties, day-to-day management, and making the investment opportunity available to the Company and its members, the Managing Member shall earn on a quarterly basis beginning on the first quarter end date following the initial closing date of the issuance of interests in a Series, payable quarterly in arrears, equal to 0.25% (1% annualized) of the asset value, as determined by the Managing Member as of the last day of the immediately preceding quarter.

See accompanying Independent Auditor's Report.

<u>Sourcing Fee</u>

Each Series will pay the Managing Member with a sourcing fee to cover the costs associated with searching and negotiation of the property purchase and preparing the property for rental. The applicable sourcing fee will be set forth in the certificate of designation for each Series.

<u>Reimbursement of Expenses</u>

Pursuant to the operating agreement, the Managing Member or its affiliates will receive reimbursement of reasonable expenses paid or incurred by the Managing Member or its affiliates in connection with the Company's operations, including any legal, financial and tax reporting, and accounting costs, which may be paid from capital contributions, revenue, or reserves. The Managing Member may also reimburse members of the Company for such expenses incurred by them in connection with the Company's operations, as decided in the Managing Member's sole discretion.

The Company will reimburse its Managing Member's offering expenses, which the Managing Member has agreed to cap at 4% of the gross proceeds of the aggregate offerings of all Series.

<u>Distributions</u>

Distributable cash, as determined by the Managing Member, will be distributed upon the final accounting of net results from the sale of a property, upon liquidation of each Series of the Company or as determined by the Managing Member, subject to available cash. Distributable cash shall be applied and distributed 100% to the members (pro rata to their interests and which, for the avoidance of doubt, may include the Managing Member and its affiliates).

<u>Loans Payable, Related Party</u>

As of December 31, 2024, loans payable, related party includes loans taken from Wahed Inc. and Wahed Invest LLC, related parties under common control. These entities have paid certain expenses on behalf of the Company, which remain payable as of December 31, 2024. The total amount is $109,811 ($79,170 to Wahed Invest LLC and $30,641 to Wahed Inc.) consisting of $93,517 unallocated payable and $16,294 payable from Series Paign Drive. The balance bears no interest, however, loan facility fees at an arm's length is charged on the loan. Loan facility fee payable as of December 31, 2024, on these loans is $3,629, consisting of $3,237 unallocated loan facility fee payable and $392 loan facility fee payable from Series Paign Drive. The loan and the loan facility fee charged thereon are considered payable on demand.

<u>Acquisition Cost - Paign Drive Property</u> 

On August 9, 2024, Wahed Financial LLC, as the managing member of the Company, completed the acquisition of the property located at 41210 Paign Drive, Sterling Heights, MI "Paign Drive Property" for a total purchase price of $260,000 and intends to sell the property to Series Paign Drive once sufficient funds from the Series Offering have been tendered to the Company. As of December 31, 2024, title to the Paign Drive Property is held by Wahed Financial LLC (Managing Member) and has not yet been transferred to Series Paign LLC.

On March 12, 2025, the Managing Member entered into a property management agreement, appointing Ahsan Tarar, as the "Property Manager," effective March 12, 2025. Unless explicitly renewed or terminated, the property management agreement will end on the second anniversary of the effective date and will automatically renew for additional successive 12-month periods. The Property Manager is entitled to a withhold 10% from each monthly rental payment including late fees as compensation for management services or management fees.

**<u>NOTE 6: RECENT ACCOUNTING PRONOUNCEMENTS</u>**

Management does not believe that any other recently issued, but not yet effective, accounting standards could have a material effect on the accompanying consolidated and consolidating financial statements. As new accounting pronouncements are issued, we will adopt those that are applicable under the circumstances.

See accompanying Independent Auditor's Report.

**<u>NOTE 7: COMMITMENTS AND CONTINGENCIES</u>**

The Company may be subject to pending legal proceedings and regulatory actions in the ordinary course of business. The results of such proceedings cannot be predicted with certainty, but the Company does not anticipate that the outcome, if any, arising out of any such matters will have a material adverse effect on its business, financial condition or results of operations.

**<u>NOTE 8: SUBSEQUENT EVENTS</u>**

Subsequent to December 31, 2024 through the date of these consolidated and consolidating financial statements, the Company has issued 896 Series interests in Series Paign Drive.

Management has evaluated all subsequent events through April 8, 2025, the date the consolidated and consolidating financial statements were available to be issued.

See accompanying Independent Auditor's Report.

**UNAUDITED PRO FORMA COMBINED FINANCIAL STATEMENTS**

The following unaudited pro forma combined financial information presents the unaudited pro forma combined balance sheet and statement of operations based upon the historical financial statements of Wahed Real Estate Series 1 LLC (the "Company"), and all subsequent Series, after giving effect to the business combination between Wahed Real Estate Series 1, and all subsequent Series, and adjustment described in the accompanying notes.

The Company is a Delaware series limited liability company formed on May 14, 2024, under the laws of Delaware. The Company was formed to permit public investment in rental properties, each of which will be owned by a separate series of limited liability interests, or "Series," that management has or intends to establish. The Company formed Series Lake Overlook Drive, Series Waynick Drive and Series Golden Honey, each a series of Wahed Real Estate Series 1 LLC, for the purpose of acquiring the Series Lake Overlook, Series Waynick Drive and Series Golden Honey properties (collectively, the "Acquisitions").

Wahed Financial LLC (the "Managing Member") entered into a purchase contract with an unaffiliated third party on June 30, 2024, for the purchase of the Paign Drive property for a purchase price of $260,000, plus prorated property taxes and water bills from July 5, 2024, and a $595 compliance/transaction fee. Wahed Financial initially purchased the Paign Drive property in August 2024 and, in May 2025, sold the property to Series Paign Drive.

Wahed Financial LLC (the "Managing Member") entered a purchase contract with an unaffiliated third party on February 18, 2025 for the purchase of the Lake Overlook Drive property for a purchase price of $374,900 plus closing costs, including prorated property taxes. The property was purchased by the Managing Member in March 2025. Our Managing Member intends to sell the property to Series Lake Overlook Drive for $374,900. In addition, the Series would reimburse the Managing Member for its acquisition expenses and, to the extent incurred by the Managing Member prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial LLC (the "Managing Member") entered a purchase contract with an unaffiliated third party on September 8, 2025, for the purchase of the Series Waynick Drive property for a purchase price of $435,000 plus prorated property taxes from January 1, 2025, plus a $2,180 compliance/transaction fee. The property was purchased by the Managing Member, Wahed Financial in September 8, 2025. The property is newly constructed and there is no prior rental history. Our Managing Member intends to sell the property to Series Waynick Drive for $435,000. In addition, the Series would reimburse the Managing Member for its acquisition expenses and, to the extent incurred by the Managing Member prior to its sale of the property to the Series, any property improvement expenses.

Wahed Financial LLC (the "Managing Member") entered into a purchase contract with an unaffiliated third party on September 8, 2025, for the purchase of the Series Golden Honey property for a purchase price of $455,000. The property was purchased by the Managing Member, Wahed Financial in September 23, 2025. The property is newly constructed and there is no prior rental history. Our Managing Member intends to sell the property to Series Golden Honey for $455,000. In addition, the Series would reimburse the Managing Member for its acquisition expenses and, to the extent incurred by the Managing Member prior to its sale of the property to the Series, any property improvement expenses.

The unaudited pro forma combined balance sheets of Wahed Real Estate Series 1 LLC as of June 30, 2025, have been prepared to reflect the effects of the Lake Overlook Drive, Waynick Drive, and Golden Honey acquisitions as if each had occurred on January 1, 2025. The Paign Drive acquisition is not included in the June 30, 2025 pro forma presentation, as it is reflected in the financial statements for the period. The unaudited pro forma combined balance sheets of Wahed Real Estate Series 1 LLC as of December 31, 2024, have been prepared to reflect the effects of the Acquisitions (including Paign Drive) as if each had occurred on January 1, 2024.

The unaudited pro forma combined statements of operations for the six months ended June 30, 2025, present the results of operations of the Company, giving effect to the Lake Overlook Drive, Waynick Drive, and Golden Honey acquisitions as if each had occurred on January 1, 2025. The unaudited pro forma combined statements of operations for the year ended December 31, 2024, present the results of operations of the Company, giving effect to the Acquisitions (including Paign Drive) as if each had occurred on January 1, 2024.

The unaudited pro forma combined financial information should be read in conjunction with the audited and unaudited historical financial statements of the Company and the notes thereto.

The unaudited pro forma combined financial information was prepared in accordance with Article 11 of Regulation S-X. The unaudited pro forma adjustments reflecting the Acquisition have been prepared in accordance with business combination accounting guidance as provided in Accounting Standards Codification Topic 805, Business Combinations and will be brought in at predecessor entity's historical cost basis, using the assumptions set forth in the notes to the unaudited pro forma financial information.

The historical financial information has been adjusted to give pro forma effect to events that are (i) directly attributable to the Acquisition, (ii) factually supportable, and (iii) with respect to the unaudited pro forma balance sheets and unaudited pro forma statements of operations, expected to have a continuing impact on the combined results.

The unaudited pro forma combined financial information is provided for informational purposes only and is not necessarily indicative of the operating results or financial position that would have occurred if the Acquisitions had been completed as of the dates set forth above, nor is it indicative of the future results or financial position of the Company following the consummation of the Acquisitions. The unaudited pro forma combined financial information also does not give effect to the potential impact of current financial conditions, any anticipated synergies, operating efficiencies or cost savings that may result from the Acquisitions or any integration costs. Furthermore, the unaudited pro forma combined statements of operations do not include certain nonrecurring charges and the related tax effects which result directly from the Acquisitions. Specifically, the unaudited pro forma combined financial information does not reflect the anticipated reimbursement by Series Lake Overlook Drive, Series Waynick Drive, and Series Golden Honey of acquisition expenses or property improvement expenses that have been or will be incurred by the Managing Member prior to its sale of each property to the relevant Series.

**WAHED REAL ESTATE SERIES 1 LLC<br> BALANCE SHEET<br> As of June 30, 2025<br> (Unaudited Proforma Combined Balance Sheet)**

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Wahed Real<br> Estate Series 1<br> LLC -<br> Unallocated** | **Wahed Real<br> Estate Series 1<br> LLC -<br> Eliminated** | **Actual<br> Series Paign<br> Drive** | **Actual<br> Series Lake<br> Overlook<br> Drive** | **Pro Forma<br> Series Lake<br> Overlook<br> Drive** | **Pro Forma<br> Series<br> Waynick<br> Drive** | **Pro Forma<br> Series<br> Golden<br> Honey** | **Pro Forma<br> Combined** |
| **ASSETS** | | | | | | | | |
| Current Assets |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $- | $- | $5917 | $- | $- | $- | $- | $5917 |
| &nbsp;&nbsp;&nbsp;Deferred offering costs | 132149 |  | 12544 | 5000 |  |  |  | 149693 |
| &nbsp;&nbsp;&nbsp;Prepaid expenses | 500 |  | 629 |  |  |  |  | 1129 |
| &nbsp;&nbsp;&nbsp;Rent receivable |  |  | 150 |  |  |  |  | 150 |
| &nbsp;&nbsp;&nbsp;Receivable from property manager |  |  | 5100 |  |  |  |  | 5100 |
| &nbsp;&nbsp;&nbsp;Due from related parties | - | (29964) | 64155 | - | - | - | - | 34191 |
| **Total Current Assets** | **132649** | **(29964)** | **88495** | **5000** | **-** | **-** | **-** | **196180** |
| **Property and equipment, net** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Real estate assets |  |  | 277071 |  | 374900 (a) | 435000 (a) | 455000 (a) | 1541971 |
| &nbsp;&nbsp;&nbsp;Accumulated depreciation | - | - | (1313) | - | (5543) (b) | (4818)(b) | (6636)(b) | (18310) |
| **Total Property and equipment, net** | **-** | **-** | **275758** | **-** | **369357** | **430182** | **448364** | **1523661** |
| **TOTAL ASSETS** | $**132649** | $**(29964)** | $**364253** | $**5000** | $**369357** | $**430182** | $**448364** | $**1719841** |
| **LIABILITIES AND MEMBERS' EQUITY (DEFICIT)** |  |  |  |  |  |  |  |  |
| Liabilities |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $24069 | $- | $8808 | $- | $7830 (c) | $4813 (c) | $5380 (c) | $50899 |
| &nbsp;&nbsp;&nbsp;Tenant deposit |  |  | 3150 |  |  |  |  | 3150 |
| &nbsp;&nbsp;&nbsp;Due to related parties | 136192 | (29964) | 257582 | 5050 | 374900 (d) | 435000 (d) | 455000 (d) | 1633760 |
| &nbsp;&nbsp;&nbsp;**Total Liabilities** | **160261** | **(29964)** | **269540** | **5050** | **382730** | **439813** | **460380** | **1687809** |
| Members' Equity (Deficit) |  |  | 99231 |  |  |  |  | 99231 |
| Retained earnings (accumulated deficit) | (27612) | - | (4518) | (50) | (13373) | (9631) | (12016) | (67199) |
| &nbsp;&nbsp;&nbsp;**Total Members' Equity (Deficit)** | **(27612)** | **-** | **94713** | **(50)** | **(13373)** | **(9631)** | **(12016)** | **32032** |
| **TOTAL LIABILITIES AND MEMBERS' EQUITY (DEFICIT)** | $**132649** | $**(29964)** | $**364253** | $**5000** | $**369357** | $**430182** | $**448364** | $**1719841** |

---

(a) Represents the purchase price of the Series Lake Overlook Drive,
Series Waynic Drive and Series Golden Honey Drive properties, respectively, that the Company would pay its Managing Member.

(b) Accumulated depreciation reflects depreciation expense for the
six months ended June 30, 2025, as presented in the unaudited pro forma statement of operations for the same period.

(c) Accounts payable - all expenses related to the property as set
forth in the unaudited pro forma statement of operations for the period ended June 30, 2025, have been accrued as follows:

&nbsp;&nbsp;&nbsp;&nbsp;i. Insurance

&nbsp;&nbsp;&nbsp;&nbsp;ii. Property Tax

&nbsp;&nbsp;&nbsp;&nbsp;iii. Management Fee

&nbsp;&nbsp;&nbsp;&nbsp;iv. HOA Fees

(d) Represents an interest-free loan from the Managing Member for
the purpose of funding the purchase of the relevant Series property.

**WAHED REAL ESTATE SERIES 1 LLC<br> BALANCE SHEET<br> As of December 31, 2024<br> (Unaudited Proforma Combined Balance Sheet)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Wahed Real <br> Estate Series 1<br> LLC<br> Consolidated** | **Pro Forma<br> Series Paign<br> Drive** | **Pro Forma<br> Series Lake<br> Overlook<br> Drive** | **Pro Forma<br> Series<br> Waynick<br> Drive** | **Pro Forma<br> Series Golden<br> Honey** | **Pro Forma<br> Combined** |
| **ASSETS** | | | | | | |
| **Current Assets** | | | | | | |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $3179 | $- | $- | $- | $- | $3179 |
| &nbsp;&nbsp;&nbsp;Deferred offering costs | 114693 |  |  |  |  | 114693 |
| &nbsp;&nbsp;&nbsp;Prepaid Expenses | 1385 | - | - | - | - | 1385 |
| **Total Current Assets** | **119257** | **-** | **-** | **-** | **-** | **119257** |
| **Property and equipment, net** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Property |  | 260000 (a) | 374900 (a) | 435000 (a) | 455000 (a) | 1524900 |
| &nbsp;&nbsp;&nbsp;Accumulated Depreciation | - | (7505)(b) | (11087)(b) | (9636)(b) | (13273)(b) | (41501) |
| **Total Property and equipment, net** | **-** | **252495** | **363813** | **425364** | **441727** | **1483399** |
| **TOTAL ASSETS** | $**119257** | $**252495** | $**363813** | **425364** | **441727** | $**1602656** |
| **LIABILITIES AND MEMBERS' EQUITY (DEFICIT)** |  |  |  |  |  |  |
| **Liabilities** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $29727 | $7484 (c) | $15657 (c) | 9612 (c) | 10760 | $73240 |
| &nbsp;&nbsp;&nbsp;Due to related party | 109811 | 260000 (d) | 374900 (d) | 435000 (d) | 455000 | 1634711 |
| &nbsp;&nbsp;&nbsp;**Total Liabilities** | **139538** | **267484** | **390557** | **444612** | **465760** | **1707951** |
| Members' Equity (Deficit): |  |  |  |  |  |  |
| Retained earnings (accumulated deficit) | (20281) | (14989) | (26744) | (19248) | (24033) | (105295) |
| &nbsp;&nbsp;&nbsp;**Total Members' Equity (Deficit)** | **(20281)** | **(14989)** | **(26744)** | **(19248)** | **(24033)** | **(105295)** |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**TOTAL LIABILITIES AND MEMBERS' EQUITY (DEFICIT)** | $**119257** | $**252495** | $**363813** | $**425364** | $**441727** | $**1602656** |

---

(a) Represents the purchase price of the Series Paign Drive, Series
Lake Overlook Drive, Series Waynic Drive and Series Golden Honey Drive properties, respectively, that the Company would pay its Managing
Member.

(b) Accumulated depreciation reflects depreciation expense for the
year ended December 31, 2024, as discussed below in the unaudited pro forma statement of operations for the same period.

(c) Accounts payable - all expenses related to the property as set
forth in the unaudited pro forma statement of operations for the period ended December 31, 2024, have been accrued as follows:

&nbsp;&nbsp;&nbsp;&nbsp;i. Insurance

&nbsp;&nbsp;&nbsp;&nbsp;ii. Property Tax

&nbsp;&nbsp;&nbsp;&nbsp;iii. Management Fee

&nbsp;&nbsp;&nbsp;&nbsp;iv. HOA Fees

(d) Represents an interest-free loan from the Managing Member for
the purpose of funding the purchase of the relevant Series property

**WAHED REAL ESTATE SERIES 1 LLC<br> STATEMENT OF OPERATIONS<br> For the period from January 1, 2025 to June 30, 2025<br> (Unaudited Proforma Combined Statement of Operations)**

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Wahed Real<br> Estate Series 1<br> LLC -<br> Unallocated** | **Wahed Real<br> Estate Series 1<br> LLC -<br> Eliminated** | **Actual<br> Series Paign<br> Drive** | **Actual<br> Series Lake<br> Overlook Drive** | **Pro Forma<br> Series Lake<br> Overlook Drive** | **Pro Forma<br> Series Waynick<br> Drive** | **Pro Forma<br> Series Golden<br> Honey** | **Pro Forma<br> Combined** |
| **Revenues** | | | | | | | | |
| &nbsp;&nbsp;&nbsp;Revenues from operations | $- | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;- | $4200 | $&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0 | $- | $- | $- | $4200 |
| **Total Revenues** | **-** | **-** | **4200** | **-** | **-** | **-** | **-** | **4200** |
| **Operating expenses** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Insurance |  |  | 881 |  | 1063 (a) | 722 (a) | 432 (a) | 3098 |
| &nbsp;&nbsp;&nbsp;Property Taxes |  |  |  |  | 4442 (b) | 1791 (b) | 2223 (b) | 8456 |
| &nbsp;&nbsp;&nbsp;Depreciation |  |  | 1313 |  | 5543 (c) | 4818 (c) | 6636 (c) | 18310 |
| &nbsp;&nbsp;&nbsp;Asset management fees |  |  | 241 |  | 1875 (d) | 2175 (d) | 2275 (d) | 6566 |
| &nbsp;&nbsp;&nbsp;Bank charges | 153 |  | 234 |  |  |  |  | 387 |
| &nbsp;&nbsp;&nbsp;Property management fees |  |  | 2520 |  |  |  |  | 2520 |
| &nbsp;&nbsp;&nbsp;General and administrative |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Repairs & maintenance |  |  | 1727 |  |  |  |  | 1727 |
| &nbsp;&nbsp;&nbsp;Professional fees | 6300 |  | 500 | 50 |  |  |  | 6850 |
| &nbsp;&nbsp;&nbsp;HOA fees | - | - | - | - | 450 (e) | 125 (e) | 450 (e) | 1025 |
| **Total operating expenses** | **6453** | **-** | **7416** | **50** | **13373** | **9631** | **12016** | **48938** |
| **Loss from operations** | **(6453)** | **-** | **(3216)** | **(50)** | **(13373)** | **(9631)** | **(12016)** | **(44738)** |
| **Other Expenses/Income** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Loan Facility Fees | (2222) | - | 42 | - | - | - | - | (2180) |
| **Total operating expenses** | **(2222)** | **-** | **42** | **-** | **-** | **-** | **-** | **(2180)** |
| **Net loss** | **(8675)** | **-** | **(3174)** | **(50)** | **(13373)** | **(9631)** | **(12016)** | **(46918)** |

---

Annual figures have been prorated to six months, resulting in half-year 2025 expenses.

(a) Insurance Premium

● Series Lake Overlook Drive: Estimated using a 2025 quote of $2,126 per annum

● Series Waynick Drive: Estimated using a 2025 quote of $1444 per annum

● Series Golden Honey: Estimated using a 2025 quote of $864 per annum

(b) Property tax

● Series Lake Overlook Drive: 2024 property tax estimated using the Tarrant County Tax Office constructed in 2025)

● Series Waynick Drive: 2024 property tax derived from the 2024 Wake County online portal.

● Series Golden Honey: 2024 property tax derived from the 2024 Wake County online portal.

(c) Depreciation

Depreciation is applied to the building value (purchase price less allocated land value) using the straight-line method over 27.5 years, in accordance with IRS guidelines for residential real property. Land values were obtained from the respective local municipality or county assessor's website and deducted from the purchase price to determine the depreciable base.

● Series Lake Overlook Drive: Depreciable base $304,900 🡪 Annual depreciation $11,087

● Series Waynick Drive: Depreciable base $265,000 🡪 Annual depreciation $9,636

● Series Golden Honey: Depreciable base $365,000 🡪 Annual depreciation $13,273

(d) Management fees payable to the Managing Member have been calculated
at 1% per annum of Asset Value, pursuant to the Operating Agreement, assuming the Asset Value is equal to the purchase price of the respective
properties that the relevant Series would pay the Managing Member.

(e) HOA Fees

Reflect the 2025 charges levied by homeowners associations

● Series Lake Overlook Drive: Annual HOA fees at current 2025 levels

● Series Waynick Drive: Annual HOA fees at current 2025 levels

● Series Golden Honey: Annual HOA fees at current 2025 levels

**WAHED REAL ESTATE SERIES 1 LLC<br> STATEMENT OF OPERATIONS<br> For the period from January 1, 2024 to December 31, 2024<br> (Unaudited Proforma Combined Statement of Operations)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Wahed Real<br> Estate Series 1<br> LLC<br> Consolidated** | **Pro Forma<br> Series Paign<br> Drive** | **Pro Forma<br> Series Lake<br> Overlook<br> Drive** | **Pro Forma<br> Series Waynick<br> Drive** | **Pro Forma<br> Series Golden<br> Honey** | **Pro Forma<br> Combined** |
| **Operating expenses:** | | | | | | |
| &nbsp;&nbsp;&nbsp;Insurance | $- | $1385 (a) | $2125 (a) | $1444 (a) | $865 (a) | $5819 |
| &nbsp;&nbsp;&nbsp;Property Taxes |  | 3499 (b) | 8883 (b) | 3568 (b) | 4445 (b) | 20395 |
| &nbsp;&nbsp;&nbsp;Depreciation |  | 7505 (c) | 11087 (c) | 9636 (c) | 13273 (c) | 41501 |
| &nbsp;&nbsp;&nbsp;Management Fees |  | 2600 (d) | 3749 (d) | 4350 (d) | 4550 (d) | 15249 |
| &nbsp;&nbsp;&nbsp;General and Administrative | 152 |  |  |  |  | 152 |
| &nbsp;&nbsp;&nbsp;Professional Fees | 16500 |  |  |  |  | 16500 |
| &nbsp;&nbsp;&nbsp;HOA Fees | - | - | 900 (e) | 250 (e) | 900 (e) | 2050 |
| **Total operating expenses** | **16652** | **14989** | **26744** | **19248** | **24033** | **101666** |
| **Loss from operations** | **(16652)** | **(14989)** | **(26744)** | **(19248)** | **(24033)** | **(101666)** |
| **Other Expense** |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Loan facility fees | 3629 | - | - | - | - | 3629 |
| **Total Other Expenses** | **3629** | **-** | **-** | **-** | **-** | **3629** |
| **Net loss** | $**(20281)** | $**(14989)** | $**(26744)** | $**(19248)** | $**(24033)** | $**(105295)** |

---

a) Insurance Premium

● Series Paign Drive *:* 2024 insurance premium estimated based on a 2024 quote of 1,385 per annum

● Series Lake Overlook Drive: 2024 insurance premium estimated using a 2025 quote of $2,125 per annum

● Series Waynick Drive: 2024 insurance premium estimated using a 2025 quote of $1,444 per annum

● Series Golden Honey: 2024 insurance premium estimated using a 2025 quote of $865 per annum

b) Property tax

● Series Paign Drive: 2024 property tax sourced from BS&A Online

● Series Lake Overlook Drive: 2024 property tax estimated using the Tarrant County Tax Office constructed in 2025)

● Series Waynick Drive: 2024 property tax dreived from the 2024 Wake County online portal

● Series Golden Honey: 2024 property tax derived from the 2025 property tax invoice available on Wake County online portal.

c) Depreciation

Depreciation is applied to the building value (purchase price less allocated land value) using the straight-line method over 27.5 years, in accordance with IRS guidelines for residential real property. Land values were obtained from the respective local municipality or county assessor's website and deducted from the purchase price to determine the depreciable base.

● Series Paign Drive: Depreciable base $206,400 à Annual depreciation $7,505

● Series Lake Overlook Drive: Depreciable base $304,900 à Annual depreciation $11,087

● Series Waynick Drive: Depreciable base $265,000 à Annual depreciation $9,636

● Series Golden Honey: Depreciable base $365,000 à Annual depreciation $13,273

d) Management fees

Payable to the Managing Member at 1% per annum of Asset Value, pursuant to the Operating Agreement

● Series Paign Drive: Based on Asset value of $260,000

● Series Lake Overlook Drive: Based on Asset Value of $374,000

● Series Waynick Drive: Based on Asset Value of $435,000

● Series Golden Honey: Based on Asset Value of $455,000

e) HOA Fees

Reflect the 2025 charges levied by homeowners associations

● Series Lake Overlook Drive: Annual HOA fees at current 2025 levels

● Series Waynick Drive: Annual HOA fees at current 2025 levels

● Series Golden Honey: Annual HOA fees at current 2025 levels

**PART III**

**INDEX TO EXHIBITS**

The documents listed in the Exhibit Index of this Offering Statement are incorporated by reference or are filed with this Offering Statement, in each case as indicated below.

---

| | |
|:---|:---|
| 2.1 | [Certificate of Formation of Wahed Real Estate Series 1 LLC (incorporated by reference to Exhibit 2.1 of the Company's Offering Statement on Form 1-A filed with the SEC on August 29, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024073759/ea021233501ex2-1_wahed1.htm) |
| 2.2 | [Limited Liability Company Agreement of Wahed Real Estate Series 1 LLC (incorporated by reference to Exhibit 2.2 of the Company's Offering Statement on Form 1-A filed with the SEC on August 29, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024073759/ea021233501ex2-2_wahed1.htm) |
| 2.3 | [Series Paign Drive Series Designation (incorporated by reference to Exhibit 2.3 of Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on November 20, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024100415/ea022186901ex2-3_wahed1.htm) |
| 2.4 | [Series Lake Overlook Drive Series Designation (incorporated by reference to Exhibit 2.4 of Post-Qualification Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on May 29, 2025)](https://www.sec.gov/Archives/edgar/data/2033610/000121390025048780/ea024346101ex2-4_wahed1.htm) |
| 2.5 | [Series Waynick Drive Series Designation (incorporated by reference to Exhibit 2.5 of the Company's Semi-Annual Report on Form 1-SA filed with the SEC on September 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025092917/ea025889201ex2-5_wahed1.htm) |
| 2.6 | [Series Golden Honey Series Designation](ea026336101ex2-6_wahed1.htm) |
| 4.1 | [Form of Subscription Agreement (incorporated by reference to Exhibit 4.1 of Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on November 20, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024100415/ea022186901ex4-1_wahed1.htm) |
| 6.1 | [Dalmore Agreement (incorporated by reference to Exhibit 6.1 of the Company's Offering Statement on Form 1-A filed with the SEC on August 29, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024073759/ea021233501ex6-1_wahed1.htm) |
| 6.2 | [Series Paign Drive Purchase Agreement (incorporated by reference to Exhibit 6.2 of the Company's Offering Statement on Form 1-A filed with the SEC on August 29, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024073759/ea021233501ex6-2_wahed1.htm) |
| 6.3 | [Form of Facility Agreement between the Company or a Series thereof and the Managing Member of an affiliate thereof (incorporated by reference to Exhibit 6.3 of the Company's Semi-Annual Report on Form 1-SA filed with the SEC on September 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025092917/ea025889201ex6-3_wahed1.htm) |
| 6.4 | [Paign Drive Property Management Agreement (incorporated by reference to Exhibit 6.4 of Post-Qualification Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on May 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025048780/ea024346101ex6-4_wahed1.htm) |
| 6.5 | [Addendum to Series Paign Drive Purchase Agreement (incorporated by reference to Exhibit 6.5 of Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on November 20, 2024)](http://www.sec.gov/Archives/edgar/data/2033610/000121390024100415/ea022186901ex6-5_wahed1.htm) |
| 6.6 | [Form of Lease Agreement for the Paign Drive property (incorporated by reference to Exhibit 6.8 of Post-Qualification Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on May 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025048780/ea024346101ex6-8_wahed1.htm) |
| 6.7 | [Lake Overlook Drive Purchase Agreement (incorporated by reference to Exhibit 6.9 of Post-Qualification Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on May 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025048780/ea024346101ex6-9_wahed1.htm) |
| 6.8 | [Lake Overlook Drive Property Management Agreement (incorporated by reference to Exhibit 6.10 of Post-Qualification Amendment No. 1 to the Company's Offering Statement on Form 1-A filed with the SEC on May 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025048780/ea024346101ex6-10_wahed1.htm) |
| 6.9 | [Form of Residential Lease for the Lake Overlook Drive property (incorporated by reference to Exhibit 6.9 of the Company's Semi-Annual Report on Form 1-SA filed with the SEC on September 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025092917/ea025889201ex6-9_wahed1.htm) |
| 6.10 | [North Carolina Special Warranty Deed of Waynick Drive property (incorporated by reference to Exhibit 6.10 of the Company's Semi-Annual Report on Form 1-SA filed with the SEC on September 29, 2025)](http://www.sec.gov/Archives/edgar/data/2033610/000121390025092917/ea025889201ex6-10_wahed1.htm) |
| 6.11 | [Property Management Agreement (Waynick Drive and Golden Honey properties](ea026336101ex6-11_wahed1.htm) |
| 6.12 | [Form of Lease Agreement and Value Share Agreement (Waynick Drive and Golden Honey properties)](ea026336101ex6-12_wahed1.htm) |
| 6.13 | [Form of Value Share Transfer Agreement (Waynick Drive and Golden Honey properties)](ea026336101ex6-13_wahed1.htm) |
| 6.14 | [Golden Honey Offer to Purchase and Contract](ea026336101ex6-14_wahed1.htm) |
| 11 | [Auditor's Consent](ea026336101ex11_wahed1.htm) |
| 12\* | Opinion of CrowdCheck Law LLP |

---

\* To be filed by amendment.

**SIGNATURES**

Pursuant to the requirements of Regulation A, the issuer certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form 1-A and has duly caused this Offering Statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of New York, State of New York, on November 12, 2025.

**Wahed Real Estate Series 1 LLC,** 

**a Delaware limited liability company**

---

| | | |
|:---|:---|:---|
| By | Wahed Financial LLC, a Delaware corporation <br> Its: Managing Member | Wahed Financial LLC, a Delaware corporation <br> Its: Managing Member |
|  | By: | /s/ Ahmar Shaikh |
|  | Name: | Ahmar Shaikh |
|  | Title: | Manager |

---

This Offering Statement has been signed by the following persons in the capacities and on the dates indicated.

---

| | |
|:---|:---|
| By: | /s/ Ahmar Shaikh |
| Name: | Ahmar Shaikh |
| Title: | Manager, Chief Executive Officer <br> (principal executive officer), Chief Financial Officer <br> (principal financial officer and principal accounting officer) of Wahed Financial LLC |

---

Date: November 12, 2025

## Ex1A-2A

**Exhibit 2.6**

**SERIES DESIGNATION**

**SERIES GOLDEN HONEY**

In accordance with the Limited Liability Company Agreement of Wahed Real Estate Series 1 LLC (the "Company") dated May 14, 2024 (the "Agreement") and upon the execution of this designation by the Company and Wahed Financial LLC, in its capacity as Managing Member of the Company and Initial Member of Series Golden Honey, a series of Wahed Real Estate Series 1 LLC ("Series Golden Honey"), this exhibit shall be attached to, and deemed incorporated in its entirety into, the Agreement.

References to Sections and Articles set forth herein are references to Sections and Articles of the Agreement, as in effect as of the effective date of establishment set forth below.

---

| | |
|:---|:---|
| **Name of Series** | Series Golden Honey, a series of Wahed Real Estate Series 1 LLC |
| **Effective date of establishment** | October 30, 2025 |
| **Managing Member**<br>| Wahed Financial LLC was appointed as the Managing Member of Series Golden Honey with effect from the date of the Agreement and shall continue to act as the Managing Member of Series Golden Honey until dissolution of Series Golden Honey pursuant to Section 11.1(b) or its removal and replacement pursuant to Section 4.3 or Article X |
| **Series Property**<br>| The Series Property of Series Golden Honey shall comprise a detached 4 bedroom, 3 bathroom residential property located at 1740 Golden Honey Dr, Wake Forest, NC, which will be acquired by Series Golden Honey, and any assets and liabilities associated with such asset and such other assets and liabilities acquired by Series Golden Honey from time to time, as determined by the Managing Member in its sole discretion |
| **Management Fee** | As stated in Section 6.3 |
| **Sourcing Fee** | $20848 |
| **Purpose** | As stated in Section 2.4 |
| **Issuance**<br>| Subject to Section 6.4(a)(i), the number of Series Golden Honey Interests that the Company will initially issue is 4,980 |
| **Broker (with respect to the Regulation A offering only)** | Dalmore Group, LLC |
| **Brokerage Fee** | 1.0%, in cash, of the purchase price of the Series Golden Honey Interests sold in the Offering of the Series Golden Honey Interests |
| **Interest Designation** | No Member holding Series Golden Honey Interests shall be entitled to any preemptive, preferential or similar rights connection with the issuance of Series Golden Honey Interests. |

---

---

| | |
|:---|:---|
| **Voting** | Subject to Section 3.5, the Series Golden Honey Interests shall entitle the Record Holders thereof to one vote per Interest on any and all matters submitted to the consent or approval of Members generally. No separate vote or consent of the Record Holders of Series Golden Honey Interests shall be required for the approval of any matter, except as required by the Delaware Act or except as provided elsewhere in this Agreement.<br>The affirmative vote of the holders of not less than a majority of the Series Golden Honey Interests then Outstanding shall be required for:<br>(a) any amendment to this Agreement (including this Series Designation) that would materially adversely change the rights of the Series Golden Honey Interests;<br>(b) mergers, consolidations or conversions of Series Golden Honey or the Company; and<br>(c) all such other matters as the Managing Member, in its sole discretion, determines shall require the approval of the holders of the Outstanding Series Golden Honey Interests voting as a separate class.<br>Notwithstanding the foregoing, the separate approval of the holders of Series Golden Honey Interests shall not be required for any of the other matters specified under Section 12.1 |
| **Splits** | There shall be no subdivision of the Series Golden Honey Interests other than in accordance with Section 3.7 |
| **Other rights** | Holders of Series Golden Honey Interests shall have no conversion, exchange, sinking fund, appraisal rights, no preemptive rights to subscribe for any securities of the Company and no preferential rights to distributions of Series Golden Honey Interests |
| **Officers** | There shall initially be no specific officers associated with Series Golden Honey, although, the Managing Member may appoint Officers of Series Golden Honey from time to time, in its sole discretion |
| **Aggregate Ownership Limit** | As stated in Section 1.1 |
| **Minimum Interests** | 5 Interest per Member |
| **Fiscal Year** | As stated in Section 8.2 |
| **Information Reporting** | As stated in Section 8.1(c) |
| **Termination** | As stated in Section 11.1(b) |
| **Liquidation** | As stated in Section 11.3 |
| **Amendments to this Exhibit** | As stated in Article XII |

---

**IN WITNESS WHEREOF**, this Series Designation has been executed as of the effective date of establishment written above.

---

| | |
|:---|:---|
| MANAGING MEMBER | MANAGING MEMBER |
| **WAHED FINANCIAL LLC** | **WAHED FINANCIAL LLC** |
| By: | /s/ Ahmar Shaikh |
|  | Ahmar Shaikh |
|  | Manager |

---

## Ex1A-6

**Exhibit 6.11**

<u>**PROPERTY MANAGEMENT MASTER SERVICES AGREEMENT**</u>

**THIS PROPERTY MANAGEMENT MASTER SERVICES AGREEMENT ("Services Agreement**"), dated as of August 25, 2025, is by and between Acre Home Operations, LLC, a Delaware limited liability company ("**Acre**"), and the undersigned individual or entity (the "**Owner**"). Each of foregoing is sometimes hereinafter referred to individually as a "**Party**," and collectively as the "**Parties**."

**RECITALS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A. The Owner and/or one of its subsidiaries is the 100% fee interest owner of such real property, together with all buildings and other improvements and fixtures situated thereon, the real property shall be more particularly described on Exhibit "A" attached hereto and incorporated herein by reference ("**Real Property**"), which shall be updated from time to time upon purchase of the Real Property. Located on the Real Property is a single-family dwelling ("**Home**"). The Home and the Real Property are hereinafter called the "**Residence**."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B. Owner intends that a third-party consumer (whether individually or collectively, "**Resident**") be granted the right to share in the home's appreciation and the option, from Owner, to purchase the Residence, with Resident living within the Home and occupying the Residence while the purchase option is in effect. Owner and Resident have entered into or will enter into a "**Value Share Agreement**" to specify the terms and provisions of Resident's right to share in the home's appreciation and option to purchase the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D. To help ensure that the Residence is professionally managed and serviced and complies with the Acre Program as well as the terms of the Value Share Agreement and the Home Residency Agreement (as defined below), Owner desires, pursuant to the terms and provisions of this Services Agreement, to retain Acre as the sole and exclusive property and servicing manager for the Residence, with Acre having responsibility as set forth herein for all matters involving the servicing, management, operation, use, and occupancy of the Residence, including promotional and solicitation efforts related to Resident solicitation, and tasks related to property sale in the event of Resident exercise of the purchase option or otherwise.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E. Acre, pursuant to its services to Owner under this Services Agreement, has entered into or will enter into a "**Home Residency Agreement**" with Resident, with Acre being the "**Property Manager**" of the Residence thereunder. The Home Residency Agreement sets forth Acre's scope of servicing and management responsibility in regards to Resident, with all such servicing and management activities incorporated herein as part of the Management Services (as defined below) provided under this Services Agreement.

**NOW THEREFORE**, in consideration of the mutual covenants and conditions contained in this Services Agreement and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree that the foregoing recitals are true and correct and incorporated herein, and also agree as set forth below.

**AGREEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>APPOINTMENT OF ACRE</u>. The Owner appoints Acre as manager and servicer of the Residences with the responsibilities and upon the terms and conditions outlined in this Services Agreement, and Acre accepts such appointment as manager and servicer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>SCOPE OF RESPONSIBILITIES</u>. Acre shall perform its duties hereunder (including its duties under the Home Residency Agreement) and shall devote sufficient time and effort to the Residence to ensure that the Residence is managed, occupied, operated, maintained and serviced in a manner comparable to residential homes of similar type and location under the Acre Program ("**Services Standard**"). In addition to providing the services specifically set forth in Section 3 and elsewhere in this Services Agreement, Acre shall perform such other services as Owner may reasonably request in connection with the Residence, consistent with the Services Standard. In performing its duties hereunder, Acre shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) Comply with all applicable laws and rulings and orders of governmental authorities having jurisdiction;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Deal at arm's length with all third parties; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) Act in a reasonable manner with respect to the proper protection of and accounting for Owner's assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>SPECIFIC MANAGEMENT AND SERVICING RESPONSIBILITIES</u>. Without limiting the generality of any other term or provision of this Services Agreement, Acre shall provide the services set forth in the following subsections in accordance with the Services Standard (collectively, the "**Management Services**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Maintenance and Repairs</u>. Perform all maintenance and make all repairs to the Home and other buildings, the grounds, and other improvements of the Residence, as determined by Acre in its sole discretion to be necessary to maintain the Residence in a manner consistent with the Services Standard and otherwise in accordance with the Acre Program and such other standards promulgated or approved by Owner, where, in each instance, (i) such maintenance and repairs are either not the responsibility of Resident under the Home Residency Agreement, (ii) Resident has requested that Acre, as Property Manager, perform such maintenance or repair, or (iii) Resident, in Acre's discretion, has not satisfactorily performed such maintenance or repair responsibility under the Home Residency Agreement. Acre will also perform the following as part of its maintenance and repair responsibilities:

● *Emergency Repairs*. Timely and professionally perform any and all emergency repairs or services, whether to major systems or improvements or otherwise, necessary for the preservation of the Residence and to avoid the suspension of any service to the Residence or to avoid inconvenience or harm. Acre may make or furnish emergency repairs or services without Owners prior approval if it determines it is not reasonably feasible to secure such prior approval. In any event, Acre shall give Owner written notice of the details and cost thereof after performing or furnishing any emergency repair or service.

● *Regular Reporting of Work*. Keep records and provide regular reporting to Owner, at least monthly or at such time intervals as Owner may request, of all work performed by Acre or by a third party at Acre's request, at the Residence, whether within the Home or to any other improvements or on the Residence exterior grounds.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Inspections</u>. Perform periodic routine, comprehensive on-site physical inspections of the Residence, including of the foundation, structure, and roof of the Home and of any other improvements located at the Residence, and of the air conditioning and heating system at the Home, as reasonably determined by Acre to be necessary to ensure proper and safe upkeep of the Residence. Acre shall also inspect the Residence when Resident vacates and surrenders the Residence, whether at the expiration of the purchase option term or otherwise, to ensure that Resident has complied with the termination and surrender provisions under the Home Residency Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Obligations Under Property Documents</u>. Perform and comply with all of the obligations, terms and conditions required to be performed or complied with by Acre, as Property Manager, under the Home Residency Agreement, , and under any other agreements relating to the ownership, financing, development, management, operation, maintenance and servicing of the Residence, including, without limitation, to the extent funds of Owner are available, the timely payment of all sums required to be paid thereunder, all to ensure that Owner's interest in the Residence and Owner's interest as the fee owner under the Value Share Agreement are preserved and no default of the owner shall occur under any such agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) <u>Service Contracts</u>. Enter into, in Owner's name (unless Owner otherwise directs), agreements for the furnishing to the Residence of such utility, maintenance and other services and for the acquisition of such equipment and supplies as may be necessary for the routine management, operation, maintenance and servicing of the Residence in accordance with this Services Agreement. All service contracts shall contain a provision permitting Owner to terminate in the event Owner sells or transfers all or any portion of Owner's interest in the Residence, including, without limitation, sale to Resident pursuant to Resident's exercise of the purchase option.

● <u>Resident Relations; Resident Default</u>. Perform all of Acre's duties under the Home Residency Agreement so that such agreement remains in full force and effect, with no default by Acre or Owner, and enforce the performance of all obligations of Resident under the Home Residency Agreement. Acre shall maintain businesslike relations with Resident and receive requests, complaints, notices, and the like from Resident, and timely respond and act upon the foregoing in reasonable, professional fashion. To ensure the performance by Resident of all of Resident's responsibilities under the Home Residency Agreement, Acre shall, pursuant to the terms of the Home Residency Agreement, periodically inspect the Residence, and, if appropriate, shall request that Resident perform Resident's obligations under such agreement in the event Resident, in Acre's discretion, has failed to do so. Acre shall be responsible for addressing and taking corrective action with regard to any Resident default under the Home Residency Agreement, including notice and eviction procedures. Acre shall exercise its own professional judgement and consider the specific circumstances and any extenuating or mitigating factors when deciding how to address each instance and may vary from its standard procedures, if it reasonably determines it is in the best interest of the parties to do so.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) <u>Renewal or Extension of Term of Acre Program:</u> If under the terms of the Value Share Agreement and Residency Agreement, or as otherwise offered by Acre and Owner, the Resident elects to extend their Residency Agreement and Value Share Agreement in accordance with the term of such Agreements, Acre and Owner will take all actions necessary under such agreements to extend the term of such agreements. Acre may make any adjustment, as it determines, reasonable to the terms of such Residency Agreement, including adjustment of the monthly payment, to account for changes in the home value, taxes, and insurance, as reasonably determined by Acre and agreed upon by the Resident.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) <u>End of Resident Term</u>. Follow all procedures and timing protocols identified in the Value Share Agreement and in the Home Residency Agreement relating to notice periods for the purchase option term, home occupancy term renewal or termination, purchase option exercise, and any other timing and notice matters concerning Resident's occupancy and surrender of the Residence. Promptly upon Resident's election to renew the purchase option, terminate the purchase option or otherwise extend the Purchase Option Term, or exercise the purchase option, Acre shall report such status change to Owner and inform Owner of any pending Residence vacancy.

● *Exercise of Purchase Option*. Acre will take all action necessary under the Value Share Agreement or otherwise facilitate Resident's exercise of the purchase option and Resident's purchase of the Residence, including, without limitation, establishing the purchase option price, assessing any deferred maintenance credits and/or exit fees or credits, and calculating the Adjusted Value Share Payment (as defined in the Value Share Agreement) to be applied towards the purchase of the Residence.

● *Transfer to Another Acre Property*. In the event Resident elects, in conjunction with terminating the purchase option, to transfer to another home within the Acre Program, Acre will take all action necessary to facilitate Resident's transfer from the current Residence to such other home, including establishing the market value of the current Residence, assessing any deferred maintenance credits and/or exist fees or credits, and calculating the Adjusted Value Share Payment to be applied towards the Acre Program transfer property.

● *Departure from Acre Program*. In the event Resident elects, in conjunction with terminating the purchase option, to depart from the Acre Program, Acre will take all action necessary to facilitate Resident's exit from the program, including establishing the market value of the current Residence, assessing any deferred maintenance credits and/or exit fees or credits, and calculating any Adjusted Value Share Payment to be paid in cash to Resident within the required timeframe outlined in the Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) <u>Residence Vacancy</u>. Give Owner prompt written notice of any pending vacancy of the Residence, whether the vacancy will be the result of Resident transferring out of the Residence and moving to another home within the Acre Program, Resident electing to terminate the purchase option and depart from the Acre Program, or otherwise. Upon learning of the pending vacancy, the Owner may direct Acre to initiate re-contracting of the Residence to a new Acre resident (to "Re-Acre" the property), seek to rent out the property outside of the Acre Program (a "Traditional Rental"), or initiate efforts to sell the Residence. If Owner instructs Acre to Re-Acre the property, Acre will undertake reasonable efforts to offer the Residence under the Acre Program to a new resident, including preparing advertising plans and promotional materials. Acre will perform the current valuation of the Residence to establish the new monthly payments, and will perform any work required to prepare the Residence for the new occupancy (utilizing as appropriate any funds retained from the previous resident for improper maintenance). Acre will also perform an accounting of all work performed to prepare the Residence for the new occupancy, including the use of funds retained from the prior resident's Option Payment. If Owner instructs Acre to initiate sale efforts for the Residence, Acre will undertake all efforts necessary to prepare the Residence for listing and sale. Acre may contract with a third-party listing agent or agents to market the Residence. Acre will recommend to Owner appropriate improvements, repairs, and so on, to be made to the Residence prior to listing to achieve the highest market value, and will facilitate the completion of such recommendations as approved by Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) <u>Collection and Handling of Money</u>. Acre will collect all payments due from Resident under the Value Share Agreement and the Home Residency Agreement, and any other sums payable by Resident to Owner with respect to the Residence. Owner authorizes Acre to request, demand, collect, and receive on behalf of Owner all payments due from Resident, including, without limitation, authorization to do the following:

● Collect the Value Share Payment from Resident following Resident's execution of the Value Share Agreement, confirm the correct balance thereof, and remit the Value Share Payment to Owner.

● Collect the Monthly Fee (as defined in the Home Residency Agreement) from Resident on the monthly due date as specified in the Home Residency Agreement.

● Within ten (10) business days after the end of each calendar month, disburse to Owner the Monthly Fee and any other monthly collections paid by Resident, (i) net of any Residence management and ownership expenses to be paid that calendar month, such as property taxes, HOA dues, maintenance expenses, and the Services Fee (as hereinafter defined), and (ii) minus any amount withheld, as reasonably determined by Acre, to be retained within the account to meet other anticipated expenses of the Residence.

All sums collected by Acre (including prior to being disbursed to Owner) shall be deposited in an FDIC-insured, interest-bearing account, established in Owner's name with Owner signatories. Unless otherwise approved in writing by Owner, or unless being directly disbursed to Owner, funds may only be withdrawn from Owner's account upon the signature of Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) <u>Payment of Money</u>. Without the prior written consent of Owner and as further described below, Acre shall make all routine payments incurred by Owner as a result of Owner's ownership of the Residence, including, without limitation, taxes, HOA dues and other assessments, repair and maintenance costs, and equipment and supply costs, as well as payments made in accordance with this Services Agreement, and payments made under contracts existing prior to the date of this Services Agreement or approved or authorized pursuant to the terms of this Services Agreement. Acre shall retain receipts of all payments made and periodically provide an accounting of such payments to Owner. Acre's responsibilities with regard to payment of money as part of the Management Services hereunder include the following:

● *Payment of Real Estate Taxes*. Duly and punctually pay all real estate taxes payable with respect to the Residence and retain receipts of payments for record keeping. Acre shall inform Owner of any change in the amount of taxes relating to the Residence.

● *Payment of Dues and Assessments*. Duly and punctually pay all HOA dues and assessments payable with respect to the Residence and retain receipts of payments for record keeping. Acre shall inform Owner of any change in the amount of dues and assessments relating to the Residence.

● *Maintain Lien-Free Title*. Make reasonable efforts to to ensure that title to the Residence remains free and clear of any liens or encumbrances, including free and clear of any mechanics liens. Provided that, Acre shall, at its own discretion, have the right to record the Value Share Agreement or any other instrument necessary to effectuate the Acre Program.

Any authorized payments made by Acre on behalf of Owner shall be made out of such funds as Acre may from time to time hold for the account of Owner or as may be provided by Owner. Owner shall maintain in the bank account or accounts maintained by Acre pursuant to this Services Agreement an amount sufficient to enable Acre to perform its duties hereunder, and Acre shall notify Owner in advance of any foreseeable deficiency of the funds in such account(s). If Acre voluntarily advances for Owner's account any amount for the payment of any authorized expenses, Owner shall, upon written notice from Acre, promptly reimburse Acre therefore, without interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(J) <u>Service Standards</u>. Acre will staff and train personnel and contract with third-party vendors or personnel as it reasonably determines are necessary to perform its obligations under this Services Agreement, including, without limitation, to ensure that interaction with Resident is professional and timely, and that any maintenance, repairs, or improvements at the Residence are performed in a professional and workmanlike manner. Acre shall handle and timely respond to all inbound communications (whether phone call, email, written correspondence, or otherwise) from Resident or from other parties concerning the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(K) <u>Other Services for Owner</u>. Perform all other services that are normally performed in connection with the Services Standard. Acre shall represent Owner as necessary in any legal proceedings in which Acre shall have actual knowledge of the facts alleged in any complaint. Provided that the Owner shall compensate Acre for any expenses occurred related to such an appearance, including but not limited to legal fees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(L) <u>Compliance with Laws</u>. Take such action as may be necessary to comply with all laws, rules and regulations and any and all orders or requirements of any governmental authority having jurisdiction affecting the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(M) <u>Notices</u>. Promptly deliver to Owner all notices received from any mortgagee, governmental or official entity or any other party with respect to the Residence. Acre, in compliance with the terms and provisions of this Services Agreement, may sign and serve in the name of Owner any and all routine notices required in connection with the proper performance by Acre of the Management Services.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(N) <u>Cooperation</u>. Give Owner all pertinent information and reasonable assistance in the defense or disposition of any claims, demands, suits or other legal proceedings which may be made or instituted by any third party against Owner which arise out of any matters relating to the Residence, this Services Agreement, or Acre's performance hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>ADDITIONAL SERVICES</u>. Acre may offer to provide other services, which are in addition to both the Management Services specified herein and the responsibilities of Acre identified in the Home Residency Agreement, directly to and for Resident and concerning Resident's use and occupancy of the Residence. Additional services that Acre may offer include, but are not limited to, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● Routine maintenance and/or landscaping services for the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● Laundry service for Resident.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● Cleaning services for the Home.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● Utilities management for the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;● Design consultation for the Home or Residence.

Acre will invoice Resident separately for additional services; the fee for additional services will not be collected as part of the Monthly Fee or as part of any other fees due and owing to Owner, and the fee for any additional services may not be deducted from the Monthly Fee or from any other fees due and owing to Owner. Any fees that Acre earns and collects by performing additional services for Resident belong solely to Acre.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>INSURANCE</u>.

Owner shall procure and maintain insurance on each Residence. Such insurance shall include but not be limited to insuring each Residence against damage to the property up to an amount equal to the full replacement cost of the Residence and for general liability up to an amount of $100,000 or more per incident. In each instance, the Owner shall cover the costs of such insurance and Acre shall be listed as an additionally insured party on any such insurance policy. If Owner does not procure such insurance, Acre may, at its own election, procure and maintain insurance on each Residence, in such instance Owner shall cover the costs of such insurance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>RECORDS AND REPORTS</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Records</u>. Acre will maintain a comprehensive system of office records, books and accounts, which will be the property of Owner, relating to the Residence. Owner and its representatives will have access to such records, books, and accounts and to all vouchers, files and all other materials pertaining to the Residence and this Services Agreement upon reasonable notice. Acre will cooperate with and give reasonable assistance to any accountant or other person designated by Owner to examine such records.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Financial Reports</u>. Acre will furnish reports of transactions occurring while this Services Agreement is in effect in a mutually agreeable format. These reports will be sent to Owner within ten (10) days after the end of the preceding month. In addition, Acre will prepare forms reasonably prescribed by Owner to facilitate the input of financial information into the fund's accounting system. Acre also agrees, at the request of Owner, to furnish such further accounting and other fiscal information as Owner may reasonably request. Provided that the Owner agrees to pay any costs associated with preparing such reports, including but not limited to allocated employee time, third-party contractors, and accountant expenses.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) <u>Annual Reports</u>. Within ninety (90) days following the end of each calendar year, Acre will deliver to Owner profit and loss statements showing all revenues, expenses and the results of operations for the immediately preceding year, and a balance sheet of the Residence as of the end of such year, all prepared on both a tax and an accrual basis in accordance with generally accepted accounting principles consistently applied and certified by a certified public accountant approved by Owner, provided that the Owner agrees to pay any costs associated with preparing such reports, including but not limited to allocated employee time and third-party contractors and accountants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>COMPENSATION FOR MANAGEMENT SERVICES</u>. Owner shall pay Acre as compensation for the Management Services that Acre performs pursuant to this Services Agreement an amount equal to 8% of the gross rent collected by Acre ("**Services Fee**"). Owner shall pay the Services Fee to Acre quarterly in advance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>COMPENSATION FOR PROPERTY DISPOSITION.</u> Owner shall also pay Acre as compensation to facilitate the sale of a Residence of a one-time fee of 1% of the Resident Disposition Basis (the "Property Disposition Fee"). The "Residence Disposition Basis" will be defined as the fair market value of the property determined by the sale of the property either to the resident or to a third party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>COSTS AND EXPENSES</u>. Owner shall reimburse Acre for all costs incurred by Acre associated with the management and servicing of the Residence, including, without limitation, cost of maintenance, repairs, insurance, legal fees, HOA fees, third-party contractor costs, materials cost, real estate agent commissions, fines, fees, adverse judgements, liability claims, and utility bills. Provided that Acre corporate costs, employee salaries, general overhead expense, and other costs not associated with the management and servicing of the Residence will be the sole responsibility of Acre unless otherwise indicated in this agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>TERM AND TERMINATION</u>. The term of this Services Agreement commenced on the date hereof and shall continue until terminated pursuant to the provisions of Section 8(A), Section 8(B), or Section 8(C) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Termination at End of Services</u>. This Services Agreement will remain in effect for as long as an Owner has ownership or interests in a Residence within the Acre Program or serviced by Acre in any other regards, including but not limited to servicing a property as a Traditional Rental. The Services Agreement will terminate, with regard to a particular Owner or Residence, upon conveyance to Resident by Owner of the Residence following Resident's exercise of the purchase option pursuant to the Value Share Agreement, or upon the sale of the Residence to a third party whereby the property is no longer in the Acre Program.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Termination for Cause</u>. Acre or Owner may only terminate this Services Agreement for Cause by (i) providing notice to the other party of a material breach of this agreement that will cause the notifying party or the Resident substantial harm, provided that the non-noticing party must be afforded a reasonable opportunity based on the circumstances (and in no case less than 30 business days) to cure such material breach, or (ii) upon providing notice to the other party upon knowledge that the other party has committed fraud, willful misconduct, or illegal conduct in all such cases with respect to the subject matter of this agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) <u>Termination without Cause</u>. In the event of (i) damage or destruction to the Residence, where Owner has elected not to rebuild or restore the Residence, or (ii) a taking by condemnation or similar proceeding, Owner may elect to terminate the Services Agreement pursuant to this Section 8(C).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) <u>Termination for Fee</u>. At any point in the course of this contract the Owner may notify of the intent to remove one or all their Residences from the Services under this agreement by paying a termination fee. Such fee shall equal the greater of 10% of the Residence Acquisition Basis or the Residence Disposition Basis. Upon such termination Acre shall make reasonable efforts to accommodate the transition to a new property manager for the Residence if requested by the Owner. The "Residence Acquisition Basis" is defined as the purchase price paid by Owner for the Residence, plus the cost of any required deferred maintenance, remediation, and/or rehabilitation performed and paid for by Owner in conjunction with the purchase, plus the direct transaction costs paid by Owner in conjunction with the purchase.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. <u>SURVIVAL OF OBLIGATIONS TO RESIDENTS.</u> Upon termination of this agreement for any reason, the terms of the Value Share Agreement, the Residency Agreement, and any other agreement entered into between Acre and the Resident or the Owner and the Resident shall remain in full force and effect with regards to each Residence until properly terminated under the terms of those agreements. Any responsibilities of Acre or any Acre affiliates shall be transferred to and assumed by the Owner, or in the instance that the Owner has dissolved or transferred or sold their interests in the Residence, to the new owner of the property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) <u>Owner's Obligations After Termination</u>. Owner agrees that upon the expiration or termination of this Services Agreement, Owner shall do the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Make
all possible efforts to honor all commitments to the Residents in the Home Residency agreement, Value Share agreement, or any other agreements
entered into by Acre or Owner with the Residents are in place at the time of termination, and make all possible efforts to ensure that
no financial harm or inconvenience occurs to the Resident a result of such expiration or termination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Pay
 to Acre all fees earned by Acre and reimburse all cost incurred by Acre in a timely manner,
 and in no case longer than 10 days after receipt of an invoice for such fee or reimbursement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) <u>Acre's Obligations After Termination</u>. Upon the expiration or termination of this Services Agreement, Acre shall do the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Deliver
 to Owner, or to such other person or persons designated by Owner, copies of all books and
 records of the Residence and all funds in the possession of Acre belonging to Owner or received
 by Acre pursuant to the terms of this Services Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Deliver
 to Owner any and all funds of Owner on hand or in any bank account, if not previously delivered
 to Owner, less any unpaid fees or costs incurred due to Acre pursuant to this Services Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Deliver
 to Owner, as received, any funds due to Owner under this Services Agreement or under the
 Value Share Agreement or under the Home Residency Agreement, but received after the termination
 of this Services Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. Assign,
 transfer or convey to such person or persons all service contracts relating to or used in
 the operation and maintenance of the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. <u>NO AGENCY RELATIONSHIP</u>. Acre is an independent contractor and, as such, is solely responsible for all of its employees, for the supervision of all persons, whether an Acre employee or any third- party contractor or otherwise, performing services in connection with the responsibilities of Acre under this Services Agreement or under the Home Residency Agreement, or in performing, pursuant to this Services Agreement or the Home Residency Agreement, any of Owner's obligations relating to the ownership, maintenance, servicing, or operation of the Residence, and for determining the manner and time of performance of all acts hereunder or under the Home Residency Agreement. Nothing herein contained in this Services Agreement or in any other agreement to which Acre and/or Owner are parties shall be construed to establish Acre as an agent of Owner, or to create a joint venture or partnership between Acre and Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. <u>INDEMNIFICATION</u>. Neither party shall not take any action that would violate or nullify or otherwise alter the terms of the Residency Agreement or Value Share Agreement without written permission from the other party. Each party (the "Indemnifying Party") shall indemnify and hold harmless the other party (the "Indemnified Party") against all costs and expenses, including, without limitation, reasonable attorneys' fees, incurred by the Indemnified Party and arising out of any fraud, gross negligence, deliberate misconduct, or substantial failure of the Indemnifying Party to perform any of its obligations under this Services Agreement or under the Value Share Agreement or Home Residency Agreement. The foregoing indemnification shall survive the termination of this Services Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. <u>LIMITATION ON LIABILITY</u>. Acre agrees that its recourse against Owner under this Agreement will be strictly limited to Owner's interest in the Residence, and that Acre will have no recourse to any other asset of Owner, or of any partner, director, officer, employee, policyholder or any other representative of Owner for the satisfaction of any of Owner's obligations hereunder. Owner agrees that its recourse against Acre under this Agreement will be strictly limited to the fees collected by Acre under this agreement, and that Owner will have no recourse to any other asset of Acre, or any partner, director, officer, employee, policyholder or any other representative of Acre for the satisfaction of Acre's obligations hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. <u>BINDING EFFECT; CHOICE OF LAW</u>. This Services Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns. Notwithstanding the foregoing, this Services Agreement is a contract for the personal services of Acre, and Acre may assign this Services Agreement without Owner's prior written approval. The laws of the State in which the Residence is located shall govern this Services Agreement, without regard to such State's conflicts of law principles.

**IN THE INTEREST OF OBTAINING A SPEEDIER AND LESS COSTLY ADJUDICATION OF ANY DISPUTE, THE PARTIES HEREBY KNOWINGLY, INTENTIONALLY, AND IRREVOCABLY WAIVE THE RIGHT TO TRIAL BY JURY IN ANY LEGAL ACTION, PROCEEDING, CLAIM, OR COUNTERCLAIM BROUGHT BY EITHER OF THEM AGAINST THE OTHER ON ALL MATTERS ARISING OUT OF OR RELATED TO THIS SERVICES AGREEMENT.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. <u>NO WAIVER</u>. The failure of Owner to seek redress for breach, or to insist upon the strict performance of any covenant, agreement, provision or condition of this Services Agreement, shall not constitute a waiver thereof, and each party shall have all remedies provided herein and by applicable law with respect to any subsequent act which would have originally constituted a breach.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. <u>FURTHER ASSURANCES</u>. From and after the date hereof, the Parties each respectively agree to do such things, perform such acts, and make, execute, acknowledge, and deliver such documents as may be reasonably necessary and customary to complete the transactions contemplated by this Services Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. <u>FORCE MAJEURE</u>. A force majeure event occurs if Acre or Owner cannot perform any of its obligations due to events beyond such party's control, and in such cases the time provided for performing the applicable obligations will be extended by a period of time equal to the duration of the force majeure events. Events beyond a party's control include, but are not limited to, acts of God, war, civil commotion, terrorist acts, labor disputes, strikes, fire, flood or other casualty, shortages of labor or material, government regulation or restriction, waiting periods for obtaining governmental permits or approvals or inspections, or weather conditions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. <u>NOTICE ADDRESSES</u>.

Notice address for Acre: Acre Home Operations, LLC <br> 212 W. Main St. Suite 200, PMB 203 Durham, NC 27110 <br> Attention: Andrew Toby Email: investors@acrehomes.com

Notice address for Owner is in signature blocks below.

All notices or communications given or required to be given by any party to another party hereunder may be sent electronically, unless applicable law requires physical delivery, in which case any such notice will be sent both electronically and in writing, with such writing to be sent by United States certified or registered mail, postage prepaid, return receipt requested, nationally recognized commercial overnight courier, or delivered personally to the addresses set forth above. Each party will have the right from time to time to change the place notice is to be given under this Services Agreement by written notice thereof to the other party or parties hereto. Any notice will be deemed given three (3) business days after the date it is mailed as provided in this Section 16, or upon the date delivery is made, if delivered by an approved courier (as provided above) or personally delivered, with the exception of any payment, all of which payments will be deemed given only upon the physical receipt thereof by Owner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. <u>ATTORNEYS' FEES</u>. To the extent permitted under applicable law, in the event any dispute arises between Acre, on the one hand, and Owner, on the other hand, concerning this Services Agreement that results in litigation, the losing party shall pay the prevailing party's actual, reasonable attorneys' fees and court costs, which shall be determined by the court and made a part of any judgment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. <u>SEVERABILITY</u>. If any provision of this Services Agreement or the application of this Services Agreement shall, for any reason and to any extent, be invalid or unenforceable, neither the remainder of this Services Agreement nor the application of the provision to other persons, entities or circumstances shall be affected thereby, but instead shall be enforced to the maximum extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. <u>TIME IS OF THE ESSENCE</u>. Time is of the essence of each and every provision of this Services Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23. <u>MODIFICATION</u>. This Services Agreement shall not be modified, changed, altered or amended in any way except through a written amendment signed by the Parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;24. <u>COUNTERPARTS</u>. This Services Agreement may be executed in two or more original or electronic counterparts, each of which shall be deemed an original and all of which together shall constitute but one and the same instrument.

[*Signature page follows*]

The parties have executed this Services Agreement as of the date first written above.

---

| | | | |
|:---|:---|:---|:---|
| **Acre:** | **Acre:** | **Owner:** | **Owner:** |
| Acre Home Operations, LLC, | Acre Home Operations, LLC, | Wahed Financial LLC | Wahed Financial LLC |
| a Delaware limited liability company | a Delaware limited liability company | a Delaware limited liability company | a Delaware limited liability company |
| By: | /s/ Michel Schneider | By: | /s/ Ahmar Shaikh. |
| Name: | Michel Schneider | Name: | Ahmar Shaikh |
| Its: | Manager | Its: |  |

---

---

| |
|:---|
| Notice Address for Owner: |
| 27E, 28<sup>th</sup> Street |
| 8<sup>th</sup> Floor |
| New York, NY 10016 |
| Attention: |
| Phone: +1-437-778-0564 |
| Email: ahmar.shaikh@wahed.com |

---

**EXHIBIT "A"**

**REAL PROPERTY DESCRIPTION**

(attached)

The Real Property has the following street address:

1. **8820 Waynick Drive, Raleigh, NC 27617.** The Home on the Real Property is approximately 1,692
square feet of living space, and contains 3 bedrooms and 2.5 bathrooms.

2. **1740 Golden Honey Drive, Wake Forest, NC 27587**: The Home on the Real Property is approximately
 2,789 square feet of living space, and contains 4 bedrooms and 3 bathrooms.

## Ex1A-6

**Exhibit 6.12**

**PROPERTY SPECIFIC AGREEMENT**

Welcome to Acre! This document is an overview of the property specific terms regarding your participation in the Acre Program. All terms used herein are defined in the **Value Share Agreement** and **Home Residency Agreement** (the "Agreements"), which are incorporated by reference.

For Acre to make an offer to purchase this home you must sign and agree to the terms below that provide the basics of the agreement with regard to this specific property, including the length of your term as well as any payments owed. **<u>THIS IS A BINDING LEGAL DOCUMENT. THE TERMINATION FEES LISTED BELOW ARE EFFECTIVE UPON ACRE'S ACCEPTED OFFER TO PURCHASE THE PROPERTY.</u>**

You must also sign the **Value Share Agreement** and **Home Residency Agreement**, which explain the details of the Acre Program. Together, with this Property Specific Agreement, these documents are binding legal contracts that provide you the right to occupy the Residence as well as the option to exercise your right to purchase the Residence from Acre at the end of your term. Additionally, these documents describe the rights and obligations you have as an Acre Resident as well as your right to use and occupy the Residence during the Term.

By executing this document, I acknowledge that I have had read and understand the terms and conditions of the **Value Share Agreement** and **Home Residency Agreement** of which I have previously executed or am executing concurrently herewith.

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052871 |

---

**PROPERTY SPECIFC AGREEMENT - BASIC AGREEMENT PROVISIONS**

---

| | | |
|:---|:---|:---|
| **<u>TERM</u>** | **<u>DEFINITION OR DESCRIPTION</u>** | **<u>DEFINITION OR DESCRIPTION</u>** |
| &nbsp;&nbsp;1. **Resident:** | &nbsp;&nbsp;&nbsp; [INTENTIONALLY OMITTED]<br>(whether individually or collectively) | &nbsp;&nbsp;&nbsp; [INTENTIONALLY OMITTED]<br>(whether individually or collectively) |
| &nbsp;&nbsp;2. **Real Property:** | &nbsp;&nbsp;The real property having a street address of <u>_ 8820 Waynick Dr, Raleigh, 27617</u>, together with all buildings and other improvements and fixtures situated thereon as of the date hereof, with such real property being more particularly described on Exhibit "A" attached to this Property Specific Agreement and incorporated herein by reference. | &nbsp;&nbsp;The real property having a street address of <u>_ 8820 Waynick Dr, Raleigh, 27617</u>, together with all buildings and other improvements and fixtures situated thereon as of the date hereof, with such real property being more particularly described on Exhibit "A" attached to this Property Specific Agreement and incorporated herein by reference. |
| &nbsp;&nbsp;3. **Home:** | &nbsp;&nbsp; The approximately <u>1,692</u> square foot, single family dwelling containing <u>3</u> bedrooms and <u>3</u> bathrooms located on the Real Property. | &nbsp;&nbsp; The approximately <u>1,692</u> square foot, single family dwelling containing <u>3</u> bedrooms and <u>3</u> bathrooms located on the Real Property. |
| &nbsp;&nbsp;4. **State:** | &nbsp;&nbsp;"**State**" means the state of <u>North Carolina</u>, where the Real Property is located. | &nbsp;&nbsp;"**State**" means the state of <u>North Carolina</u>, where the Real Property is located. |
| &nbsp;&nbsp;5. **Initial Home Value:** | &nbsp;&nbsp;$435000 | &nbsp;&nbsp;$435000 |
| &nbsp;&nbsp;6. **Value Share Payment:** | &nbsp;&nbsp; $<u>21,750</u> (USD); the Value Share Payment is an option payment (the "option Payment") and represents the following percentage of the Initial Home Value (see Section 1(A) of Value Share Agreement):<br><u>5%</u> | &nbsp;&nbsp; $<u>21,750</u> (USD); the Value Share Payment is an option payment (the "option Payment") and represents the following percentage of the Initial Home Value (see Section 1(A) of Value Share Agreement):<br><u>5%</u> |
| &nbsp;&nbsp;7. **Value Share Appreciation:** | &nbsp;&nbsp;50% of the increase between the Initial Home Value and the End of Term Market Value. | &nbsp;&nbsp;50% of the increase between the Initial Home Value and the End of Term Market Value. |
| &nbsp;&nbsp;7a. **Value Share Depreciation:** | &nbsp;&nbsp;5% of the decrease between the Initial Home Value and the End of Term Market Value. | &nbsp;&nbsp;5% of the decrease between the Initial Home Value and the End of Term Market Value. |
| &nbsp;&nbsp;8. **Monthly Fee as of Commencement Date:** | &nbsp;&nbsp;**Monthly Fee**: <u>$3,425</u> | &nbsp;&nbsp;**Monthly Fee**: <u>$3,425</u> |
| &nbsp;&nbsp;9. **Commencement Date:** | &nbsp;&nbsp;August 27<sup>th</sup>, 2025 | &nbsp;&nbsp;August 27<sup>th</sup>, 2025 |
| &nbsp;&nbsp;10. **Length of Term:** | &nbsp;&nbsp;3 years | &nbsp;&nbsp;3 years |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;&nbsp;&nbsp; *The following identifies the percentage amount of the End of Term Market Value which will be retained by Acre as*<br> *consideration for Resident's termination of the Option Agreement* | &nbsp;&nbsp;&nbsp;&nbsp; *The following identifies the percentage amount of the End of Term Market Value which will be retained by Acre as*<br> *consideration for Resident's termination of the Option Agreement* |
| &nbsp;&nbsp;11. **Termination Fees:** | **Original Term Year in Which <br> Termination Notice is Delivered** | **Termination <br> Fee** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**1** | &nbsp;&nbsp;**4.0%** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**2** | &nbsp;&nbsp;**3.0%** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**3** | &nbsp;&nbsp;**2.0%** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**After Year 3** | &nbsp;&nbsp;**0.0%** |

---

**<u>SIGNATURE PAGE FOLLOWS</u>**

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052871 |

---

---

| | | | |
|:---|:---|:---|:---|
| **ACRE:** | **ACRE:** | **RESIDENT:** | **RESIDENT:** |
| Acre Home Ownership Holdings LLC, a Delaware limited liability company | Acre Home Ownership Holdings LLC, a Delaware limited liability company | [INTENTIONALLY OMITTED] | [INTENTIONALLY OMITTED] |
|  |  | Name: | [INTENTIONALLY OMITTED] |
| By: Acre Home Ownership Fund LP, it's managing member | By: Acre Home Ownership Fund LP, it's managing member |  |  |
| By: Acre Home Investments LLC, it's manager | By: Acre Home Investments LLC, it's manager | Date: | 08/22/2025 |
|  |  | [INTENTIONALLY OMITTED] | [INTENTIONALLY OMITTED] |
| By: | /s/ Michael Schneider | Name: | [INTENTIONALLY OMITTED] |
| Name: | Michael Schneider | Date: | 08/22/2025 |
| Its: | Manager |  |  |
| **PROPERTY MANAGER:** | **PROPERTY MANAGER:** |  |  |
| ACRE HOME OPERATIONS LLC, | ACRE HOME OPERATIONS LLC, |  |  |
| a Delaware limited liability company | a Delaware limited liability company |  |  |
| By: | /s/ Michael Schneider |  |  |
| Name: | Michael Schneider |  |  |
| Its: | Manager |  |  |
| Date | 08/22/2025 |  |  |

---

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052871 |

---

**EXHIBIT "A"**

**REAL PROPERTY DESCRIPTION**

**Street Address:** 8820 Waynick Drive

**City:** Raleigh

**Zip:** 27617

**County:** Wake

**The land is described as follows:**

**Being all of Lot 29, Phase Two, Wyngate subdivision, as depicted in Map Book 1996, page 1545-1546, Wake County Registry**

The PIN or other identification number of the Property is: **1609070945**

The Real Estate ID is: **0227540**

Other description: **LO29 WYNGATE SUB PH2 BM1996-1546**

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052871 |

---

**ANNEX "A"<br> EXTENSION TERM MONTHLY FEE**

---

| | |
|:---|:---|
| **Extension Term** | **Monthly Fee at Commencement of <br> Extension Term** |
| &nbsp;&nbsp;First Extension:<u> </u> to<u> </u> | &nbsp;&nbsp;$<u> </u> |
| &nbsp;&nbsp;Second Extension:<u> </u> to<u> </u> | |

---

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052871 |

---

**PROPERTY SPECIFIC AGREEMENT**

Welcome to Acre! This document is an overview of the property specific terms regarding your participation in the Acre Program. All terms used herein are defined in the **Value Share Agreement** and **Home Residency Agreement** (the "Agreements"), which are incorporated by reference.

For Acre to make an offer to purchase this home you must sign and agree to the terms below that provide the basics of the agreement with regard to this specific property, including the length of your term as well as any payments owed. **<u>THIS IS A BINDING LEGAL DOCUMENT. THE TERMINATION FEES LISTED BELOW ARE EFFECTIVE UPON ACRE'S ACCEPTED OFFER TO PURCHASE THE PROPERTY.</u>**

You must also sign the **Value Share Agreement** and **Home Residency Agreement**, which explain the details of the Acre Program. Together, with this Property Specific Agreement, these documents are binding legal contracts that provide you the right to occupy the Residence as well as the option to exercise your right to purchase the Residence from Acre at the end of your term. Additionally, these documents describe the rights and obligations you have as an Acre Resident as well as your right to use and occupy the Residence during the Term.

By executing this document, I acknowledge that I have had read and understand the terms and conditions of the **Value Share Agreement** and **Home Residency Agreement** of which I have previously executed or am executing concurrently herewith.

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052873 |

---

**PROPERTY SPECIFC AGREEMENT - BASIC AGREEMENT PROVISIONS**

---

| | | |
|:---|:---|:---|
| **<u>TERM</u>** | **<u>DEFINITION OR DESCRIPTION</u>** | **<u>DEFINITION OR DESCRIPTION</u>** |
| &nbsp;&nbsp;1. **Resident:** | &nbsp;&nbsp;&nbsp; [INTENTIONALLY OMITTED]<br>(whether individually or collectively) | &nbsp;&nbsp;&nbsp; [INTENTIONALLY OMITTED]<br>(whether individually or collectively) |
| &nbsp;&nbsp;2. **Real Property:** | &nbsp;&nbsp; The real property having a street address of <u>1740 Golden Honey Dr, Wake Forest</u>, together with all buildings and other improvements and fixtures situated thereon as of the date hereof, with such real property being more particularly described on Exhibit "A" attached to this Property Specific Agreement and incorporated herein by reference. | &nbsp;&nbsp; The real property having a street address of <u>1740 Golden Honey Dr, Wake Forest</u>, together with all buildings and other improvements and fixtures situated thereon as of the date hereof, with such real property being more particularly described on Exhibit "A" attached to this Property Specific Agreement and incorporated herein by reference. |
| &nbsp;&nbsp;3. **Home:** | &nbsp;&nbsp; The approximately <u>2,789</u> square foot, single family dwelling containing <u>4</u> bedrooms and <u>3</u> bathrooms located on the Real Property. | &nbsp;&nbsp; The approximately <u>2,789</u> square foot, single family dwelling containing <u>4</u> bedrooms and <u>3</u> bathrooms located on the Real Property. |
| &nbsp;&nbsp;4. **State:** | &nbsp;&nbsp;"**State**" means the state of <u>North Carolina</u>, where the Real Property is located. | &nbsp;&nbsp;"**State**" means the state of <u>North Carolina</u>, where the Real Property is located. |
| &nbsp;&nbsp;5. **Initial Home Value:** | &nbsp;&nbsp;$455000 | &nbsp;&nbsp;$455000 |
| &nbsp;&nbsp;6. **Value Share Payment:** | &nbsp;&nbsp; $<u>22,750</u> (USD); the Value Share Payment is an option payment (the "option Payment") and represents the following percentage of the Initial Home Value (see Section 1(A) of Value Share Agreement):<br><u>5%</u> | &nbsp;&nbsp; $<u>22,750</u> (USD); the Value Share Payment is an option payment (the "option Payment") and represents the following percentage of the Initial Home Value (see Section 1(A) of Value Share Agreement):<br><u>5%</u> |
| &nbsp;&nbsp;7. **Value Share Appreciation:** | &nbsp;&nbsp;10%of the increase between the Initial Home Value and the End of Term Market Value. | &nbsp;&nbsp;10%of the increase between the Initial Home Value and the End of Term Market Value. |
| &nbsp;&nbsp;7a. **Value Share Depreciation:** | &nbsp;&nbsp;5% of the decrease between the Initial Home Value and the End of Term Market Value. | &nbsp;&nbsp;5% of the decrease between the Initial Home Value and the End of Term Market Value. |
| &nbsp;&nbsp;8. **Monthly Fee as of Commencement Date:** | &nbsp;&nbsp;**Monthly Fee**: <u>$3,314</u> | &nbsp;&nbsp;**Monthly Fee**: <u>$3,314</u> |
| &nbsp;&nbsp;9. **Commencement Date:** | &nbsp;&nbsp;September 24<sup>th</sup>, 2025 | &nbsp;&nbsp;September 24<sup>th</sup>, 2025 |
| &nbsp;&nbsp;10. **Length of Term:** | &nbsp;&nbsp;3 years | &nbsp;&nbsp;3 years |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;&nbsp;&nbsp; *The following identifies the percentage amount of the End of Term Market Value which will be retained by Acre as*<br> *consideration for Resident's termination of the Option Agreement* | &nbsp;&nbsp;&nbsp;&nbsp; *The following identifies the percentage amount of the End of Term Market Value which will be retained by Acre as*<br> *consideration for Resident's termination of the Option Agreement* |
| &nbsp;&nbsp;11. **Termination Fees:** | **Original Term Year in Which<br> Termination Notice is Delivered** | **Termination <br> Fee** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**1** | &nbsp;&nbsp;**4.0%** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**2** | &nbsp;&nbsp;**3.0%** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**3** | &nbsp;&nbsp;**2.0%** |
| &nbsp;&nbsp;11. **Termination Fees:** | &nbsp;&nbsp;**After Year 3** | &nbsp;&nbsp;**0.0%** |

---

**<u>SIGNATURE PAGE FOLLOWS</u>**

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052873 |

---

---

| | | | |
|:---|:---|:---|:---|
| **ACRE:** | **ACRE:** | **RESIDENT:** | **RESIDENT:** |
| Acre Home Ownership Holdings LLC, a Delaware limited | Acre Home Ownership Holdings LLC, a Delaware limited | [INTENTIONALLY OMITTED] | [INTENTIONALLY OMITTED] |
| liability company | liability company | Name: | [INTENTIONALLY OMITTED] |
| By: Acre Home Ownership Fund LP, it's managing member | By: Acre Home Ownership Fund LP, it's managing member |  |  |
| By: Acre Home Investments LLC, it's manager | By: Acre Home Investments LLC, it's manager | Date: | 09/17/2025 |
|  |  | [INTENTIONALLY OMITTED] | [INTENTIONALLY OMITTED] |
| By: | /s/ Michael Schneider | Name: | [INTENTIONALLY OMITTED] |
| Name: | Michael Schneider | Date: | 09/17/2025 |
| Its: | Manager |  |  |
| **PROPERTY MANAGER:** | **PROPERTY MANAGER:** |  |  |
| ACRE HOME OPERATIONS LLC, | ACRE HOME OPERATIONS LLC, |  |  |
| a Delaware limited liability company | a Delaware limited liability company |  |  |
| By: | /s/ Michael Schneider |  |  |
| Name: | Michael Schneider |  |  |
| Its: | Manager |  |  |
| Date | 09/17/2025 |  |  |

---

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052873 |

---

**EXHIBIT "A"**

**REAL PROPERTY DESCRIPTION**

**Street Address:** 1740 Golden Honey Drive

**City:** Wake Forest

**Zip:** 27587

**County:**Wake

**The land is described as follows:**

**Being all of Lot 58, Rosedale Subdivision, Phase 1A & 3, as shown on that plat recorded in Book of Maps 2022, Pages 1358-1366, and on that Plat of Correction recorded in Book of Maps 2023, Pages 505-513, Wake County Registry**

The PIN or other identification number of the Property is: **1860098477**

The Real Estate ID is: **0498447**

Other description: **LO58 Rosedale PH1A BM2022-01359**

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-052873 |

---

**ANNEX "A" <br> EXTENSION TERM MONTHLY FEE**

---

| | |
|:---|:---|
| **Extension Term** | **Monthly Fee at Commencement of <br> Extension Term** |
| &nbsp;&nbsp;First Extension:<u> </u> to<u> </u> | &nbsp;&nbsp;$<u> </u> |
| &nbsp;&nbsp;Second Extension:<u> </u> to<u> </u> | |

---

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

---

**<u>HOME RESIDENCY AGREEMENT</u>**

**THIS HOME RESIDENCY AGREEMENT** ("**Agreement**"), dated as of<u> </u>, is by and between<u> </u> ("Resident") and ACRE HOME OPERATIONS LLC, a Delaware limited liability company ("**Property Manager**"). Each of Resident and Property Manager is sometimes hereinafter referred to individually as a "**Party**," and collectively as the "**Parties**."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>RESIDENCE OCCUPANCY AND TERM</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Residence; Term**. Pursuant to the terms and conditions of this Agreement and of the other Residency Agreements (as defined below in Section 4(C) of this Agreement), Resident may occupy the Real Property, and reside within the Home (the Home and the Real Property are hereinafter called the "**Residence**"). Resident may commence occupying the Residence and residing in the Home on the Commencement Date (as defined below), and pursuant to the terms and conditions of this Agreement and of the other Residency Agreements, Resident may continue to occupy the Residence and reside in the Home until that certain calendar date that is three (3) years after the Commencement Date ("**Termination Date**"), unless this Agreement is sooner terminated pursuant to the provisions hereof. "**Commencement Date**" is defined in the Value Share Agreement that Resident and Acre Home Ownership Holdings LLC, a Delaware limited liability company ("**Acre**"), are entering into concurrent with the execution of this Agreement, and which Value Share Agreement establishes, pursuant to the terms and provisions thereof, the grant from Acre to Resident of the right and option to purchase the Residence ("**Value Share Agreement**"). The period of time from the Commencement Date until the Termination Date is hereinafter called the "**Term**." All conditions precedent to the Commencement Date under the Value Share Agreement must, in Acre's discretion, have been satisfied in order to trigger the Commencement Date under both this Agreement and under the Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Renewal Option**. As provided in the Value Share Agreement, Resident may, request to extend the Term for an additional period of one (1) year. An extension of the Value Share Agreement automatically extends this Agreement. Following any extension of the Term pursuant to this Section 1(C), Property Manager will update the Property Specific Agreement by specifying in Annex "A" attached thereto the Monthly Fee applicable to the start date of the current Term extension, and Property Manager shall deliver to Resident a copy of the updated Annex "A."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Quiet Enjoyment**. Resident, upon payment of all sums identified under this Agreement as being payable by Resident, and upon Resident's performance of all of Resident's agreements contained under this Agreement as well as under the other Residency Agreements, and upon Resident's observance of all Applicable Regulations (as defined below), shall and may peacefully and quietly have, hold, and enjoy the Residence for the Term of this Agreement.

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **Fair Housing**. The Acre Entities adhere to the federal Fair Housing Act, which stipulates that it is illegal to discriminate against any person in housing practices because of race, color, religion, sex, national origin, disability, or familial status.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) **Inability to Deliver**. If Resident is unable to occupy the Residence on the Commencement Date as the result of: (i) the Residence not being ready for occupancy, (ii) the holding over of any previous occupant, or (iii) any cause beyond the control of the Acre Entities, or any of them, and the Acre Entities, or any of them, have exercised diligence pursuant to applicable law so that Resident may take possession of the Residence, then no Acre Entity shall be liable to Resident for damages. Any such delay will not extend the Termination Date. Property Manager will determine, in its discretion, when the Residence is ready for occupancy. The Property Manager will not deem the Residence unavailable for occupancy as a result of any outstanding decorations, installments, or punch-list type items and adjustments or as a result of any work of a similar type to be performed in or about the Residence that Resident has requested.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>CONDITION; FURNISHINGS AND FIXTURES.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Inspection and Checklist**. On or prior to the Commencement Date, Resident and Property Manager, or a representative of Property Manager, will inspect the physical condition of the Residence as well as of the appliances, fixtures, and any other personal property located within the Home or about the Residence as of the Residence inspection date ("**Inspection Date**"), and will then execute an occupancy condition checklist, which checklist will be either substantially in the form attached to this Agreement at Exhibit "A" or in the form as may be provided by Property Manager (the "**Residence Occupancy Checklist**"). This inspection may be conducted by the parties through video inspection or by other virtual means. The Residence Occupancy Checklist will identify the physical condition of the Residence as well as the Furnishings and Fixtures as defined below located within the Home or about the Residence as of the Inspection Date. Resident may use the Residence Occupancy Checklist to alert Property Manager of any maintenance issues, as of the Inspection Date, with regard to the Residence. The absence of the identification by Resident of any maintenance issues or other problems within or about the Residence on the Residence Occupancy Checklist, or Resident's failure to timely complete, execute, and deliver the Residence Occupancy Checklist to Property Manager as required pursuant to this Section 2(A), will serve as an acknowledgment and agreement by Resident that the Residence is acceptable and in habitable condition as of the Inspection Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Use of Furnishings and Fixtures**. Resident's occupancy of the Residence will include the use, pursuant to the terms and conditions of this Agreement, of the appliances, fixtures, furnishings, improvements, and any other movable items located within the Home or about the Residence as of the Inspection Date (collectively, the "**Furnishings and Fixtures**"). Together with the use of the Furnishings and Fixtures, Resident will be responsible, as discussed in this Agreement, for the care, maintenance, and repair of the Furnishings and Fixtures. Property Manager may replace any item of Furnishings and Fixtures during the Term with an item that, in Property Manager's discretion, will provide a comparable function as the Furnishings and Fixtures item being replaced and is of a comparable value.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Utilities**. Resident will be responsible for arranging for and paying for all utility services required at the Residence, including, without limitation, electrical, natural gas, propane, water, trash removal, sewer, cable, phone, alarm systems, and pest control, using utility service providers chosen by or acceptable to Property Manager, and Resident will be responsible, at Resident's cost, for paying any transfer or set-up fees associated with such utilities or services. Resident acknowledges and agrees that neither Property Manager nor Acre will be liable for any failure to furnish, stoppage of, or interruption in furnishing any of the utilities provided to the Residence when such failure is caused by accident, breakage, repairs, strikes, lockouts, labor disputes, labor disturbances, governmental regulation, civil disturbances, terrorist acts, acts of war, moratorium or other governmental action, or any other cause beyond any such party's reasonable control. Resident, as any responsible and concerned home occupant, will use all utilities and services only for normal, household purposes. Resident agrees to pay all charges for all utilities and services used at the Residence on or prior to the date specified in the bill or invoice for such utility or service. Resident will be in default under this Agreement if Resident fails to timely make any such payment and, as a result of such payment failure, the applicable utility or service is no longer provided to the Residence.

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>USE OF RESIDENCE</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Use as Single-Family Dwelling**. The Residence may be used and occupied only as a private, single-family dwelling, and not for any business, subletting or rental, or for any other commercial use, although Resident may maintain a home office that is ancillary to an off-property business office or for telecommuting purposes. Resident may use the Residence for any use permitted by applicable laws, ordinances, and regulations of any governmental authority or quasi-governmental authority with jurisdiction over the Residence, so long as such lawful use is consistent with use as a private, single-family dwelling, is not otherwise prohibited under this Agreement, and is not of a type that may result in any diminution in the Residence's market value. Resident will comply with any and all laws, ordinances, rules, regulations, requirements, and orders of any and all governmental or quasi-governmental authorities, including of any homeowners association, or similar entity or authority, environmental regulations or matters, including the occupancy within or about the Residence of any pets or animals of any kind, and as may be provided time to time by Property Manager or by Acre, with regard to the use, occupancy, cleanliness, maintenance, preservation, and surrender of the Residence (collectively, "**Applicable Regulations**"). Resident will park and operate Resident's vehicles and will ensure that the vehicles of guests and of other invitees of Resident, are parked and used only in compliance with all Applicable Regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Prohibitions on Use**. Resident will not use or allow the Home or Residence to be used for any unlawful purpose or for any use prohibited by Applicable Regulations, or for any purpose that Property Manager, Acre, or any Property Manager's or Acre's insurance company, may deem hazardous or unsound, whether because of fire or any other risk. Resident will not keep in or around the Home or Residence, or permit to be kept in or around the Home or Residence, any item of a dangerous, flammable, or explosive character that might increase the danger of fire or explosion or that might be considered hazardous by any governmental agency or quasi-governmental agency or by any insurance company. Resident will not keep any water furniture (i.e., waterbeds) in the Home or Residence. Resident will not permit any act or thing which may be a nuisance (as such term may be defined by Applicable Regulations or by other applicable law), annoyance, or inconvenience to Property Manager, Acre, or to occupants of neighboring properties, but will, at all times, act in a manner to preserve the quality of the Residence and its market value.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Insurance**. Property Manager or Acre, in such parties' discretion, may obtain and carry insurance with coverage and policy limits insuring the Residence ("**Insurance**"). Resident will cooperate with the Acre Entities' insurers in the adjustment of any insurance claim pertaining to the Residence. **<u>Such Insurance will not cover Resident's property, furnishings, or other personal items at the Residence.</u>** *Property Manager and Acre recommend that Resident (1) carry Resident's own insurance, such as renter's liability insurance, on Resident's property, furnishings, and other personal items at the Residence, and (2) consult with Resident's own insurance agent with respect to appropriate or desirable insurance coverage and amounts*. Any such insurance carried by Resident should be (i) written by an insurance company that is licensed to write insurance in the State where the Residence is located; (ii) name Property Manager and Acre as additional insureds; (iii) provide that it cannot be canceled, amended, or non-renewed without at least thirty (30) days' prior written notice to Property Manager and Acre; (iv) provide a waiver of subrogation with respect to Property Manager and Acre; and (v) be primary to any Insurance carried by Property Manager or Acre. Resident will promptly provide written notice to both Property Manager and Acre that Resident has obtained any insurance under this Section 3(C), and in the event of any claim under such insurance which relates to the Residence or any portion thereof, Resident will promptly provide written notice to Property Manager and Acre of such claim. Property Manager may obtain renter's liability insurance on Resident's behalf if, in Property Manager's reasonable discretion, it is advisable to obtain such insurance, with Property Manager providing Resident at least fifteen (15) days' prior written notice that Property Manager has obtained such insurance on Resident's behalf. Resident will reimburse Property Manager within fifteen (15) days after receipt of an invoice for all costs associated with obtaining any renter's liability insurance that Property Manager has obtained pursuant to this Section 3(C).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>MAINTENANCE AND REPAIR</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Overview of Resident Maintenance Obligations; Standard Responsibilities**. Resident, in consideration of Resident's occupancy of the Home and Residence for the Monthly Fee and as part of the Acre Program, will, throughout the Term, diligently and responsibly perform, at Resident's own expense, and pursuant to the terms of this Agreement and of the Acre Program, standard, overall routine maintenance of the Home and Residence ("**Standard Responsibilities**"). Resident's Standard Responsibilities include keeping the Residence, both the Home interior and exterior, and including all Furnishings and Fixtures in the Home or located about the Residence, in good order, condition, and repair at all times during the Term, so that Resident will surrender the same, upon termination of the Term or upon any earlier termination of this Agreement, in as good or better condition than when received by Resident, normal wear and tear excepted. Resident acknowledges and agrees that "normal wear and tear" do not include damage or deterioration that could have been prevented by good and routine maintenance practice, as required of Resident pursuant to Resident's Standard Responsibilities under this Agreement and under the Acre Program. Further, pursuant to Resident's Standard Responsibilities, Resident, at Resident's own expense, as would be typical of any reasonable, concerned home occupant, is responsible for all day-to-day maintenance, repair, and upkeep of the Home and Residence, including the Residence's grounds and landscaping, and Furnishings and Fixtures. Resident will use all Furnishings and Fixtures and any other improvements, fixtures, and furnishings in the Home or about the Residence in a safe manner and in compliance with all Applicable Regulations and only for the purposes for which such items are intended. To assist Resident in performing Resident's Standard Responsibilities as required under this Agreement, Property Manager may provide Resident with the names of approved contractors, such as yard maintenance or swimming pool maintenance service providers, with whom Resident may independently arrange to assist Resident in performing certain of Resident's Standard Responsibilities. Resident acknowledges and agrees that, whether or not Resident uses any third-party contractors to assist with maintenance, and whether or not Property Manager or any Acre Entity may, in such party's discretion, undertake to perform any of Resident's Standard Responsibilities, Resident remains solely responsible for all of Resident's Standard Responsibilities under this Agreement. Resident acknowledges and agrees that Resident's Standard Responsibilities are intended to help preserve the overall market value of the Residence, which market value may be reflected in appreciation of the Resident's Initial Home Value (as defined in the Value Share Agreement).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Summary of Certain Standard Responsibilities**. As specified in Section 4(A) above, Resident, at Resident's own expense, is responsible throughout the Term for Resident's Standard Responsibilities, which consist of all day-to-day maintenance at the Home and Residence, including the following maintenance obligations, which are provided here to be illustrative, and not in limitation of, the Standard Responsibilities:

● Irrigate and maintain the Residence grounds, including lawns and shrubbery, and keep the same clear of rubbish or weeds;

● Maintain in good condition all water improvements and water features at the Residence, including, without limitation, any swimming pool or hot tub;

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● Keep all lavatories, sinks, toilets, and all other water and plumbing apparatus in good order and repair and use the same only for the purposes for which they were constructed. Any damage to any such apparatus and the cost of clearing stopped plumbing resulting from misuse will be borne by Resident;

● Repair or replace all damaged, broken, or worn Furnishings and Fixtures, including maintaining all light fixtures and electrical wiring in good condition and repair, including replacing light bulbs as needed;

● Keep all windows, glass, window coverings, doors, locks, and hardware in good, clean order and repair, and repair or replace any of the same that may be damaged or broken;

● Keep all air conditioning and/or heating system filters clean and free from dirt, and perform regular (no less than annual), periodic maintenance and system tune-ups;

● Deposit all trash, garbage, rubbish, or refuse in the locations provided therefor and do not allow any trash, garbage, rubbish, or refuse to be deposited or permitted to stand around the exterior of the Residence;

● Repair any damage to the Home or Residence or to any Furnishings and Fixtures that may be caused by Resident, by any guest or invitee of Resident, or by any pet or any other animal allowed in or around the Home or Residence by Resident or by any guest or other invitee of Resident, so that such repaired item is of equal or better value to such item as of the date of this Agreement, normal wear and tear excepted;

● Perform routine, standard pest control, including, without limitation and as necessary, for termites, at such periodic intervals as is prudent (but no less than at least annually) for home maintenance in the geographic area where the Residence is located, with Resident immediately notifying Property Manager and Acre in the event structural damage to the Home or any other improvement on the Real Property is discovered in connection with Resident's pest control;

● Notify Property Manager immediately of any malfunction or damage caused by fire, water, or similar cause, or of any defect or problem pertaining to water leaks or plumbing, or electrical problems or wiring at the Home or Residence;

● Notify Property Manager promptly of any heating or cooling problems, broken locks or latches, or other condition that may pose a hazard to health, property, or safety;

● Notify Property Manager immediately of, and immediately provide Property Manager with, any replacement key(s) or door opener(s) for the Home or Residence; and

● Adhere to, at all times, all Applicable Regulations.

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If, due to Resident's negligence or Resident's failure to report to Property Manager a problem or malfunction at the Home or Residence or with regard to any Furnishings and Fixtures, and the Home or Residence or Furnishing and Fixture is damaged in any manner or to any extent, Resident shall be liable for the damages.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Property Management Agreement; Property Manager Services**. Acre and Property Manager have, or concurrent with this Agreement, will enter into a Property Management Agreement with respect to the Residence ("**Property Management Agreement**," and together with the Value Share Agreement and this Agreement, the "**Residency Agreements**"), which establishes the Property Manager Services (as defined in the Property Management Agreement) that Property Manager may perform, on behalf of Resident and Acre, or on behalf of either such party, for certain maintenance and servicing for the Residence. Neither (i) the removal, withdrawal, termination, or resignation of Property Manager as the property manager under the Property Management Agreement; (ii) any assignment for the benefit of creditors by or the adjudication of bankruptcy or incompetency of Property Manager; nor (iii) the termination of the Property Management Agreement, shall cause the termination of this Agreement and this Agreement shall remain in full force and effect notwithstanding any such events.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Property Manager Option to Perform Maintenance**. At Property Manager's option, including, if Resident has so requested that Property Manager undertake any maintenance obligation otherwise required of Resident under this Agreement, or if, in Property Manager's judgment, Resident fails to maintain the Residence and Furnishings and Fixtures pursuant to the maintenance obligation standard specified in this Agreement, then Property Manager may, but need not, undertake to perform such maintenance, repairs, and replacements otherwise required of Resident under this Agreement, and Resident shall pay to Property Manager, upon Property Manager's written notice to Resident thereof, the agreed upon costs for Property Manager to perform such maintenance, repairs, or replacements. If Property Manager has undertaken to perform any of Resident's maintenance obligations under this Agreement in which, in Property Manager's judgment, Resident has failed to perform such maintenance obligations, then Resident shall also pay to Property Manager an additional fifteen percent (15%) of the actual cost incurred by Property Manager to compensate Property Manager for its overhead arising from its involvement with the maintenance, repairs, or replacements. Acre or Property Manager may enter the Residence at all reasonable times and upon reasonable prior notice to Resident (except in the case of emergency, when no prior notice will be required) to perform, either to the Residence or to any Furnishings and Fixtures, the maintenance, repairs, or replacements as described in this Section 4(D).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **Acre Maintenance Obligations**. Acre or Property Manager will, at such parties' own expense and except as specified otherwise in this Agreement, maintain in good order, condition, and repair, normal wear and tear excepted, the structural portions of the Residence, such as the foundation, roof, below-grade plumbing, main water line, and electrical panel. In addition, Acre or Property Manager will, as such parties deem reasonably necessary in their discretion, perform Capital Improvements to the Residence. "**Capital Improvements**" are permanent structural changes and replacement of critical systems that, in the discretion of Acre or Property Manager, enhance the Residence's overall value or prolong its useful life. Examples of Capital Improvements include, by way of illustration only, replacing the Residence's roof, driveway paving, HVAC system, or water heater, in each case when the typical useful life of such item has expired due to normal wear and tear. Property Manager will give Resident prior notice (except in the case of emergency when no prior notice will be required) of commencement of any Capital Improvements. Acre and Property Manager will use reasonable efforts to perform such Capital Improvements in a manner that, to the extent reasonably possible, does not severely negatively impact normal use and occupancy of the Residence. Resident acknowledges and agrees that any maintenance obligation any Acre Entity undertakes pursuant to this Agreement will not constitute an eviction or other termination of this Agreement or of Resident's occupancy rights, and consequently the Monthly Fee and any other amounts that may become due and payable from Resident under this Agreement will not abate.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) **Acre Inspection**. Property Manager, Acre and their agents have the right at all reasonable times during the Term following reasonable prior notice to Resident (except in the case of an emergency, when no prior notice will be required) to enter the Home and Residence for the purpose of inspecting the Home and Residence and for the purposes of making any repairs, additions, or alterations as Property Manager or Acre may deem appropriate or as are required to be made by Acre pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>ALTERATIONS AND IMPROVEMENTS</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Alterations Overview**. Resident may perform, pursuant to the terms and provisions of this Agreement, Cosmetic Alterations (as defined below) and Major Project Alterations (as defined below) to the Home and Residence. Property Manager's judgment will be determinative as to whether any alteration is a Cosmetic Alteration, Major Project Alteration, or Capital Improvement. Prior to commencing any alteration project, Resident is advised to consult with Property Manager as to the classification of the proposed alteration project. In addition, to assist Resident in performing alterations projects, Property Manager may provide Resident with the names of approved consultants or contractors with whom Resident may independently arrange to consult or contract with in order to assist in performing the proposed project. Resident acknowledges and agrees that, whether or not Resident uses any third party to assist with any alterations project, Resident remains solely responsible for complying with all terms and provisions of this Agreement, the other Residency Agreements, and Applicable Regulations with regard to such alterations project.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Cosmetic Alterations**. Resident is encouraged, as would be typical of any reasonable, concerned home occupant, to perform Cosmetic Alterations to the Home interior where such Cosmetic Alterations increase the overall market value of the Residence and are performed pursuant to the terms and conditions of this Agreement and are performed at Resident's cost. "**Cosmetic Alterations**" mean alterations that (i) are nonstructural in nature and thus do not affect the Home's mechanical, electrical, plumbing, life safety or other systems, or the structural integrity of the Home; (ii) do not reduce the value or utility of the Residence or any part thereof; and (iii) are of a purely cosmetic or decorative nature, such as painting interior walls or installing carpeting or other floor coverings. Cosmetic Alterations also include modifying the Residence's exterior grounds and landscaping, provided such modification is performed pursuant to the terms and provisions of this Agreement and of Applicable Regulations, and replacing Furnishings and Fixtures, such as lighting fixtures, window coverings, or updating appliances, provided such replacement is performed pursuant to the terms and provisions of this Agreement and of Applicable Regulations. Cosmetic Alterations to the Home or Residence may be performed, pursuant to the terms of this Agreement, and at Resident's cost, without prior approval from Property Manager.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Major Project Alterations**. In addition to performing Cosmetic Alterations, Resident may perform more significant Major Project Alterations to the Home or Residence where such Major Project Alterations increase the overall market value of the Residence and are performed pursuant to the terms and conditions of this Agreement and are performed at Resident's cost. "**Major Project Alterations**" mean alterations that (i) do not affect the Home's mechanical, electrical, plumbing, life safety or other systems, or the structural integrity of the Home; (ii) do not reduce the value or utility of the Residence or any part thereof; and (iii) are of a more permanent nature than mere cosmetic or decorative alterations. Examples of Major Project Alterations may include, by way of illustration only, remodel of a bathroom, modification of an outdoor patio area, or construction of paved walkways through landscaped areas at the Residence. Property Manager's prior written consent is required in order for Resident to perform any Major Project Alteration. In addition, for any Major Project Alteration, Resident is to consult with Property Manager for specific procedures and guidelines, and Resident must comply with all such procedures and guidelines, including completion of additional forms or other documentation which may be required for Resident's proposed Major Project Alteration project.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Alterations Standards**. All alterations made by or on behalf of Resident to the Home or Residence, whether Cosmetic Alterations, Major Project Alterations, or otherwise, must comply with all provisions specified by the Property Manager and with all provisions of this Agreement, including, without limitation, this Section 5(D), and with all provisions of all other Residency Agreements. Resident will cause, at Resident's sole cost and expense, all alterations to comply with insurance requirements and with Applicable Regulations, including, without limitation, applicable building code requirements as well as the requirements of any applicable homeowner's association. All alterations will be constructed at Resident's sole cost and expense, using only new and good grades of materials, with all work performed in a good and workmanlike manner by contractors who are licensed, bonded, and insured as required by applicable law, and for all Major Project Alterations, such contractors must be reasonably acceptable to Property Manager and Acre. Property Manager may monitor construction of any alterations. Property Manager or Acre will have the right, in such party's discretion, to instruct Resident to remove Major Project Alterations or other improvements or alterations (where any such improvements or alterations are not Cosmetic Alterations) from the Residence which (i) were not approved in advance by Property Manager and Acre (where prior approval is required under this Agreement) or (ii) were not built in conformance with plans and specifications that had otherwise been approved by Property Manager and Acre or were not otherwise built in conformance with this Agreement or Acre Program standards, as may be established by the Acre Entities from time to time. Any alterations made to or in the Home or around the Residence will become the property of Acre unless Acre or Property Manager notifies Resident otherwise. Prior to beginning work on any Major Project Alterations or on any other alteration, other than Cosmetic Alterations, Resident will provide Property Manager and Acre with the identities and mailing addresses of all persons performing the work or supplying materials, and Property Manager may post on and about the Residence notices of non-responsibility pursuant to applicable law. Resident will assure payment for the completion of all work free and clear of liens and will provide certificates of insurance for workers' compensation and other coverage in amounts and from an insurance company reasonably satisfactory to Property Manager protecting Property Manager and Acre against liability for bodily injury or property damage during construction. Upon completion of any Major Project Alteration or any other alteration, other than Cosmetic Alterations, and upon Property Manager's reasonable request, Resident will deliver to Property Manager and to Acre sworn statements setting forth the names of all contractors and subcontractors who did work on the alterations and original final unconditional lien waivers from all such contractors and subcontractors. Resident acknowledges and agrees that the provisions of this Section 5(D) are intended to help maintain the overall market value of the Residence and that the overall market value of the Residence, in the future, may be reflected in appreciation of the Resident's Initial Home Value (as defined in the Value Share Agreement). Resident further acknowledges and agrees that the Acre Entities may, but are not required to, unilaterally enact a program whereby the value added to the Residence by one or more of Resident's Major Project Alterations may be allocated to Resident via adjustment to the Resident's Initial Home Value or other mechanism. The enactment of any such program will be further set forth in a subsequent addendum that may be attached to this Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>MONTHLY FEE</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Monthly Fee Definition and Payment**. As used in this Agreement, "**Monthly Fee**" means the monthly fee that Resident pays to Property Manager, without prior notice or demand, on or prior to the first day of every calendar month, as consideration for the occupancy and use, under the Acre Program, of the Residence. The Basic Agreement Provisions attached to the beginning of this Agreement identifies the Monthly Fee, as of the Commencement Date, that Resident will pay to Property Manager each calendar month. Subject to the provisions of this Agreement, Resident may pay the Monthly Fee by ACH or any other form acceptable to Property Manager. Resident will deliver the Monthly Fee, and any other payments that Resident may owe to Property Manager under this Agreement or under the Property Management Agreement, to the address identified for such payments at Section 18 of this Agreement or such other address as identified from time to time by Property Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Proration; Payment Covenant**. The first Monthly Fee payment will be paid by Resident to Property Manager on the Commencement Date. In the event the Commencement Date is not the first day of a calendar month, the Monthly Fee payment made by Resident on the Commencement Date will be prorated based on the number of days in that calendar month. In the event the Termination Date is not the last day of a calendar month, the Monthly Fee payment made by Resident for such partial month will be prorated based on the number of days in that calendar month. Other than for the prorated Monthly Fee payments provided for here in this Section 6(B), Resident will pay the then-current full amount of the Monthly Fee to Property Manager on or prior to the first day of every calendar month. Resident acknowledges and agrees that the Monthly Fee is determined, in part, by factors over which Resident or the Acre Entities have no control, such as tax and insurance payments on the Residence, and that these costs do not abate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Late Payments; Dishonored Checks**. Any Monthly Fee payment not paid to Property Manager by the third day of the calendar month will be delinquent. Any other payment that may be due to Property Manager under the terms of this Agreement that is not paid within five days of the due date of such payment will be delinquent. If any Monthly Fee or other payment is delinquent, Resident will pay to Property Manager, in addition to the payment otherwise due, a late fee equal to ten percent (10%) of the delinquent payment amount. If any payment by Resident is returned for insufficient funds or if Resident stops payment on any check tendered to Property Manager, Resident will pay Property Manager an additional charge of Fifty Dollars ($50.00). After Resident has tendered a check that is dishonored, Resident hereby agrees to pay all remaining payments, including the Monthly Fee, due under this Agreement by certified funds until such time as Property Manager may notify Resident, in writing, that Property Manager will again accept funds by other means of payment.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>ASSIGNMENT AND SUBLEASING.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Assignment and Subleasing Prohibited**. Resident will not assign this Agreement, or sublease or grant any license to use the Residence or any part thereof without the prior written consent of, in each instance, both Property Manager and Acre, exercisable in the sole discretion of such parties. A consent by Property Manager and Acre to any one assignment, subleasing or license will not be deemed to be a consent to any subsequent assignment, subleasing or license. Any assignment, subleasing or license without the prior written consent of Property Manager and Acre or an assignment or subleasing by operation of law will be absolutely null and void and will, at the Acre Entities' option, terminate this Agreement. Notwithstanding any permitted assignment or subleasing, Resident will remain fully responsible and liable for payment of the Monthly Fee and for the performance of all of Resident's other obligations, including any payment obligations, under this Agreement. Resident will be liable for all actions or damages of all persons who occupy the Home or Residence in violation of this Section 7(A). Resident acknowledges and agrees that the provisions of this Article 7 are intended to help protect the overall market value of the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Short-Term Subleasing Prohibited**. Without limiting the prohibition set forth in Section 7(A) of this Agreement, and without limiting any of the Acre Entities' rights or remedies under this Agreement or at law or in equity, Resident is strictly prohibited from subleasing, licensing, or renting to any third party, or allowing occupancy by any third party, of all or any portion of the Residence, whether for an overnight use or duration of any length, without the prior written consent in each instance of both Property Manager and Acre. This prohibition applies to overnight stays and any other stays arranged on Airbnb.com or other similar internet sites. Resident may not list or advertise the Residence as being available for short-term subleasing, rental or occupancy by others on Airbnb.com or similar internet websites. Listing or advertising the Residence on Airbnb.com or similar internet websites will be a violation of this Agreement and a Resident default. Resident will be liable for all actions or damages of all persons who occupy the Residence in violation of this Section 7(B).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Mortgage or Other Pledge Prohibited**. Resident will not mortgage, pledge, encumber, or permit any lien to attach to, other otherwise transfer, this Agreement or any interest herein, or permit any assignment, or other transfer of this Agreement or any interest hereunder by operation of law. Any violation by Resident of this Section 7(C) will be a Resident default.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>TERMINATION</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Termination; Surrender of the Residence**. Upon the expiration of the Term or upon any other earlier termination of this Agreement, Resident will (i) vacate and surrender the Home and Residence in as good or better of a state and condition as the Home and Residence were in on the Inspection Date, normal wear and tear excepted, and (ii) remove all of Resident's furniture and other personal property from the Home and Residence in accordance with all Applicable Regulations. Unless this Agreement has been terminated earlier as provided for herein, Resident will vacate and surrender the Home and Residence in the condition required by this Section 8(A) on or prior to the Termination Date. In the event that Resident has, in Property Manager and Acre's discretion, failed to comply, upon the expiration of the Term or upon any other earlier termination of this Agreement, with the Residence maintenance standards and surrender requirements specified in this Agreement and in the Value Share Agreement, then Acre may apply the Resident's Option Payment (as defined in the Value Share Agreement), or any portion thereof, to any damages caused by, or to help pay for any costs imposed because of, Resident's failure to comply with the provisions of this Section 8(A), with any remainder of the Value Share Payment paid back to Resident as provided for under the Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Holdover**. If Resident remains in possession of the Residence without the prior written consent of both Property Manager and Acre after expiration of the Term, or upon any other earlier termination of this Agreement, then in addition to any other rights and remedies Property Manager may have under this Agreement or at law or in equity, Resident will pay the Monthly Fee to Property Manager at one hundred fifty percent (150%) of the rate paid at the time of the expiration of the Term or at the time of such earlier termination of this Agreement, as applicable.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>RESIDENT REPRESENTATIONS AND WARRANTIES</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **True and Correction Information**. Resident represents and warrants to Property Manager that all information given by Resident in this Agreement, or in any other Residency Agreement, or in any other document or application provided by Resident in connection with this Agreement is true and correct. Resident will provide new information to Property Manager if there is any substantial change in such information. The Acre Entities are relying on the truthfulness and completeness of such statements and, should any such statements be found to be untrue, then, at the option of such Acre Entity or Acre Entities: (i) this Agreement may be immediately void, forfeited or terminated, and (ii) Resident will be liable to the Acre Entities for all losses and damages (including attorneys' fees) caused by Resident's action or omission.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **OFAC**. Resident represents and warrants to Property Manager that Resident is not, and shall not become, a person or entity with whom Property Manager or any Acre Entity is restricted from doing business with under regulations of the Office of Foreign Asset Control ("**OFAC**") of the Department of Treasury (including those named on OFAC's Specially Designated and Blocked Persons list) or under any statute, executive order (including the September 24, 2001, Executive Order Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit, or Support Terrorism), or other governmental action and is not and shall not engage in any dealings or transaction or be otherwise associated with such persons or entities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **No Registry Required**. Resident represents and warrants to Property Manager that Resident is not, and covenants that Resident will not become, a person who is required to register or has registered as a convicted sex offender on any federal or state registry.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>DEFAULT</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Events of Default**. Each of the following will be a Resident default under this Agreement:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Resident fails to pay any installment of the Monthly Fee within three (3) days after the date due or within such other period of time as may be specified under applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Resident fails to pay any other amount that may be due under this Agreement within five (5) days after the due date or within such other period of time as may be specified under applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) Resident violates any covenant, term or condition of this Agreement or of any of the Residency Agreements. This includes, without limitation, failure to maintain the Residence in full compliance with the maintenance standard as specified in this Agreement, or Resident's violation of any Applicable Regulations or of any other applicable laws with respect to the use or occupancy of the Home or Residence. Notwithstanding the foregoing, and except as may be provided otherwise in this Agreement, Resident shall have ten (10) days after notice from Property Manager of such violation to cure the same.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) Resident has provided incorrect or false information in this Agreement or in any other Residency Agreement, document, or application provided in connection with the Residency Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) Resident abandons the Home or Residence. Resident's absence from the Home for fifteen (15) consecutive days after the Monthly Fee becomes due and remains unpaid, or Resident's removal of substantially all possessions in the Home (unless the Monthly Fee is current and Resident has notified Property Manager of Resident's absence) will create a conclusive presumption of abandonment of the Home and Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) This Agreement or the Value Share Agreement, or both such agreements, is or are terminated prior to the applicable Termination Date as a result of any action or inaction of Resident, where both Property Manager and Acre have not, in each such party's discretion, given prior written notice to Resident to acknowledge acceptance of such early termination by Resident. This is a "**Termination Default**".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) Resident is the debtor in, or becomes the subject of, a bankruptcy proceeding or makes a voluntary assignment for the benefit of creditors.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) A receiver, guardian or trustee is appointed for Resident's property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Remedies**. Upon the occurrence of any Resident default, Property Manager or Acre may institute eviction proceedings pursuant to applicable law and/or pursue all other remedies provided for under this Agreement, the Value Share Agreement, or applicable law, including, without limitation, suit to collect unpaid amounts, damages, and reasonable attorneys' fees, and applying the monetary amount of the Option Payment, or any portion thereof, to any damages caused by, or to help pay for any costs imposed because of, Resident's default. The Acre Entities may also impose reasonable and non-discriminatory fines for any default, including imposing a fine for any Termination Default, and may satisfy, whether wholly or partially, any Termination Default fine by applying the Option Payment, or any portion thereof, to the fine amount. All remedies available to the Acre Entities are cumulative and may be pursued individually, successively or together. Resident acknowledges that the Acre Entities may (with or without demand for performance) terminate Resident's right of occupancy of the Residence by providing Resident with the minimum prior written notice required by applicable law to vacate, and shall be entitled to possession by eviction suit, and Resident will be liable for any payment deficiency resulting therefrom. In the event Resident vacates or abandons the Residence, Resident expressly waives, to the maximum extent permitted by applicable law, any and all notices to vacate. If Resident abandons the Residence, Property Manager or Acre may repossess the Residence, and Resident will be liable for any payment deficiency resulting therefrom. Upon any default, Property Manager and Acre will be entitled to collect such party's costs of enforcing the terms of this Agreement and of collection, including collection agency costs, litigation costs, and reasonable attorneys' fees (including in-house counsel and appeal, whether or not a lawsuit is brought). Notwithstanding anything in this Agreement to the contrary, Property Manager shall not be deemed to have terminated this Agreement unless expressly set forth in a writing signed by Property Manager.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Non-Waiver**. Failure on the part of any Acre Entity to exercise any of its rights hereunder or under any other Residency Agreement upon any Resident default shall not prevent such Acre Entity from the exercise of any such rights upon any subsequent Resident default. Property Manager's acceptance of any delinquent Monthly Fee or of any other amounts that become due hereunder shall in no event act as a waiver of Property Manager's right to terminate this Agreement or seek any other remedy for nonpayment of such amounts due. Any Acre Entity's waiver of any Resident default hereunder shall not constitute, nor be held or construed as, a waiver of any subsequent or other Resident default. No indulgence, waiver, election, or non-election by any Acre Entity under this Agreement shall affect Resident's duties and liabilities hereunder.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **No Duty to Mitigate**. Unless required by applicable law, neither Property Manager nor Acre has any obligation to mitigate such party's damages in the event of a Residence default. In the event that either Property Manager or Acre attempts to find an occupant for the Residence, Resident agrees that: (i) neither party is required to find an occupant for the Residence before entering into binding agreements with regard to occupancy of any other residences available for any Acre Entity to lease or otherwise make available for occupancy, (ii) Property Manager or Acre may make available for occupancy the Residence for a period longer or shorter than the remaining Term, and (iii) Property Manager and Acre are not required to make available for occupancy the Residence at a rate less than, or on terms less advantageous to such Acre Entity than, it has contracted with other parties to occupy other residences available for any Acre Entity to lease or otherwise make available for occupancy.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **Cross Default**. A default by Resident under this Agreement is a default under all the Residency Agreements (without need of notice of such cross-default to Resident); conversely, a default by Resident under either the Value Share Agreement or the Property Management Agreement is also a default under this Agreement as well as a default under all other Residency Agreements (without need of notice of such cross-default to Resident).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. <u>DAMAGE TO RESIDENCE</u>. Resident will notify Property Manager in writing immediately upon the occurrence of any damage or destruction to the Home or Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Partial Damage; Repair**. In the event the Home is partially damaged so that it remains habitable, and provided that the damage was not the result, whether wholly or partially, of negligence or of any other act or omission of Resident or of any guest or invitee of Resident, then if Acre receives insurance proceeds sufficient to pay for the necessary repairs to the Home, Acre or Property Manager will use such insurance proceeds to repair the damage as soon as reasonably possible. In addition, provided Acre receives insurance proceeds sufficient to pay for any such repairs, then Acre may also, in its discretion, elect to repair any Furnishings and Fixtures, Cosmetic Improvements, or Major Project Alterations. Any damaged Furnishings and Fixtures, Cosmetic Improvements, or Major Project Alterations that Acre elects, in its discretion, not to repair, will be repaired by Resident, at Resident's cost, and with Resident promptly commencing such work and diligently pursuing the same to completion, provided this Agreement is not otherwise terminated. All of Resident's covenants and obligations under this Agreement and under all other Residency Agreements will be in effect during any period of repair. If any damage to the Home or Residence or any Furnishings and Fixtures is the result, whether wholly or partially, of negligence or of any other act or omission of Resident or of any guest or invitee of Resident, then Resident will be responsible, at Resident's cost, for repairing all such damage, whether or not this Agreement is otherwise terminated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Destruction**. In the event the Home or Residence is destroyed so that it is rendered wholly uninhabitable, and provided that the damage was not the result, whether wholly or partially, of negligence or of any other act or omission of Resident or of any guest or invitee of Resident, then this Agreement shall terminate as of the date of such destruction event ("**Casualty Date**"), except for the purpose of enforcing any rights that may have accrued hereunder. The Monthly Fee and any other amounts provided for under this Agreement shall then be accounted for, by and between Property Manager and Resident, up to the Casualty Date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Termination Following Damage or Destruction**. Following any event whereby the Home is partially damaged so that a portion of the Home may not be habitable, Resident may elect, within ninety (90) days following the date of the damage event, to give Acre and Property Manager the Resident's termination notice. If Resident delivers its termination notice to Acre and Property Manager, then provided Resident is otherwise in compliance with all terms and provisions of this Agreement, this Agreement will terminate one hundred twenty (120) days following the date of the damage event. Property Manager may elect, following any damage event, to terminate this Agreement, with Acre or Property Manager delivering such termination notice to Resident within ninety (90) days following the date of the damage event. Notwithstanding any other provision of this Article 11 and its subsections, Resident may elect to terminate this Agreement only if (i) the damage or destruction to the Home or Residence was not the result, whether wholly or partially, of negligence or of any other act or omission of Resident or of any guest or invitee of Resident, and (ii) both at the time of Resident's delivery of Resident's termination notice to Acre and Property Manager, and on the date of termination, Resident is in compliance with all terms and conditions of this Agreement and with all other Residency Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. <u>CONDEMNATION OF RESIDENCE</u>. In the event the Residence is taken through the power of eminent domain, or under the threat of the power of eminent domain, this Agreement will remain in effect until the date upon which Resident must leave the Residence, and then this Agreement will terminate on such date. In the event of a taking of the Residence, the entire award for damage to the Residence will be the sole property, right and cause of action of Acre.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. <u>INDEMNIFICATION AND RELEASE</u>. To the extent permitted under applicable law, Resident, for and on behalf of Resident and any invitees or guests of Resident, releases Acre, Property Manager and Acre's and Property Manager's officers, directors, members, managers, partners, shareholders, employees, affiliates, agents and representatives (collectively, the "**Acre Parties**"), from any loss or damage, as well as any and all claims for offset, setoff or reduction of Monthly Fee, or of any other fee that may be due under this Agreement, resulting from such loss or damage, incurred as a result of:

● Mischief or other crime, vandalism, fire, smoke, water, lightning, rain, flood, water leaks, mold or mildew, hail, ice, snow, wind, explosion, terrorism, sonic boom, interruption of utilities, electrical shock, defect in any of the Furnishings and Fixtures or other contents of the Home or Residence (including latent defects), insects or other pests, acts of God, acts of neighboring residents or their occupants, guests or invitees;

● Outages, interruptions, or fluctuations in the utility services provided to the Home or Residence; or

● Storage, disposal, loss, or sale of any personal property in the Home or Residence, including theft by others.

Without limiting the foregoing, the Acre Parties shall not be liable for any damage or injury of or to Resident, Resident's family, guests, invitees, agents, or employees or to any person entering the Home or Residence or any Furnishings and Fixtures or to other goods or equipment, except to the extent based on an act or omission of Acre or Property Manager or any agent or employee of Acre or Property Manager. Resident agrees to indemnify, defend, and hold harmless Acre, Property Manager, and the Acre Parties for any liability, costs (including reasonable attorneys' fees), or claims for personal injuries or property damage caused by the negligent, willful, or intentional act or omission to act of Resident or Resident's guests or invitees, or from any unauthorized liens placed on the Residence, including, but not limited to, mechanics' liens and judgment liens, placed on the Real Property by Resident, at Resident's direction, or occurring in any manner as a result of Resident's occupancy of the Home or Residence. Each party hereto waives the right of subrogation against the other party.

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In no event shall the Acre Parties be liable to Resident for any damages, costs or expenses in excess of such parties' interest in the Residence. All judgments against the Acre Parties shall be enforced only against such interest and not against any other present or future asset of the Acre Parties. Resident waives any right to make any claim against or seek to impose any personal liability upon Acre, Property Manager, or any Acre Parties. The Acre Parties' liability shall, at all times, be subject to the provisions of applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. <u>TRANSFER OF PROPERTY MANAGER'S INTEREST</u>. Resident acknowledges that Property Manager has the right to transfer all or any portion of its interest in this Agreement, and Resident agrees that in the event of any such transfer, Property Manager will automatically be released from all liability under this Agreement, and Resident agrees to look solely to Property Manager's transferee for the performance of Property Manager's obligations hereunder after the date of transfer and the transferee will be deemed to have fully assumed and be liable for all obligations of this Agreement to be performed by Property Manager, and Resident will attorn to the transferee. Resident further acknowledges that Property Manager may assign its interest in this Agreement to a mortgage lender as additional security and agrees that such an assignment will not release Property Manager from its obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. <u>FURTHER ASSURANCES</u>. From and after the Commencement Date, Resident and Property Manager each agrees to do such things, perform such acts, and make, execute, acknowledge, and deliver such documents as may be reasonably necessary and customary to complete the transactions contemplated by this Agreement, including, without limitation, executing any further agreements or instruments required by any lender under any third-party mortgage.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. <u>FORCE MAJEURE</u>. A force majeure event occurs if Property Manager or Resident cannot perform any of its obligations due to events beyond such party's control (except with respect to the obligations for payment of the Monthly Fee and any other charges that may be required to be paid by Resident under this Agreement), and in such cases the time provided for performing the applicable obligations will be extended by a period of time equal to the duration of the force majeure events. Events beyond Property Manager's or Resident's control include, but are not limited to, acts of God, war, civil commotion, terrorist acts, labor disputes, strikes, fire, flood or other casualty, shortages of labor or material, government regulation or restriction, waiting periods for obtaining governmental permits or approvals or inspections, or weather conditions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. <u>INTERPRETATION; JOINT AND SEVERAL LIABILITY</u>. In this Agreement (unless the context clearly requires another interpretation), the singular includes the plural and the plural includes the singular; words importing any gender include the other genders; and references to articles, sections (or subdivisions of sections) or exhibits are to those of this Agreement. If this Agreement is executed by more than one party as Resident, the obligations of such persons or entities will be joint and several.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. <u>NOTICE ADDRESSES</u>.

Notice address for Property Manager: <u> ACRE HOME OPERATIONS LLC 212 West Main Street <br> Suite 200, PMB 203 Durham, North Carolina <br> 27701 Attention: Andrew <br> Toby Phone: 919-759-5756 Email: support@acrehomes.com</u>

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| &nbsp;&nbsp; NOTICE ADDRESS FOR<br> Acre: | &nbsp;&nbsp; ACRE HOME <br> OWNERSHIP HOLDINGS LLC<br> 212 West Main Street <br> Suite 200, PMB 203<br> Durham, North Carolina <br> 27701 Attention: Andrew <br> Toby Phone: 919-759-5756<br> Email: support@acrehomes.com |
| &nbsp;&nbsp;Notice address for Resident: | &nbsp;&nbsp;*See the Basic Agreement Provisions, in the Property Specific Agreement*. |

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All notices or communications given or required to be given by any party to another party hereunder may be sent electronically, unless applicable law requires physical delivery, in which case any such notice will be sent both electronically and in writing, with such writing to be sent by United States certified or registered mail, postage prepaid, return receipt requested, nationally recognized commercial overnight courier, or delivered personally to the addresses set forth above. Each party will have the right from time to time to change the place notice is to be given under this Agreement by written notice thereof to the other party or parties hereto. Any notice will be deemed given three (3) business days after the date it is mailed as provided in this Section 18, or upon the date delivery is made, if delivered by an approved courier (as provided above) or personally delivered, with the exception of any payment, including any Monthly Fee payment required of Resident hereunder, all of which payments will be deemed given only upon the physical receipt thereof by Property Manager or Acre, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. <u>BINDING EFFECT; CHOICE OF LAW</u>. This Agreement binds any party who legally acquires any rights or interest in this Agreement from Property Manager or Resident. However, Property Manager shall have no obligation to Resident's successor unless the rights or interests of Resident's successor are acquired in accordance with the terms of this Agreement. The laws of the State in which the Residence is located shall govern this Agreement, without regard to such State's conflicts of law principles. Resident hereby knowingly, intentionally, and irrevocably agrees that Property Manager may bring any action or claim to enforce or interpret the provisions of this Agreement in the State and County where the Residence is located, and that Resident irrevocably consents to personal jurisdiction in such State for the purposes of any such action or claim. Nothing in this Section 19 shall be deemed to preclude or prevent Property Manager from bringing any action or claim to enforce or interpret the provisions of this Agreement in any other appropriate place or forum. Resident further agrees that any action or claim brought by Resident to enforce or interpret the provisions of this Agreement, or otherwise arising out of or related to this Agreement or to Resident's use and occupancy of the Residence, regardless of the theory of relief or recovery and regardless of whether third parties are involved in the action, may only be brought in the State and County where the Residence is located, unless otherwise agreed in writing by Property Manager prior to the commencement of any such action.

**IN THE INTEREST OF OBTAINING A SPEEDIER AND LESS COSTLY ADJUDICATION OF ANY DISPUTE, PROPERTY MANAGER AND RESIDENT HEREBY KNOWINGLY, INTENTIONALLY, AND IRREVOCABLY WAIVE THE RIGHT TO TRIAL BY JURY IN ANY LEGAL ACTION, PROCEEDING, CLAIM, OR COUNTERCLAIM BROUGHT BY EITHER OF THEM AGAINST THE OTHER ON ALL MATTERS ARISING OUT OF OR RELATED TO THIS AGREEMENT OR THE USE AND OCCUPANCY OF THE RESIDENCE.**

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;20. <u>ATTORNEYS' FEES</u>. To the extent permitted under applicable law, in the event any dispute arises between Resident and Property Manager concerning this Agreement that results in litigation, the losing party shall pay the prevailing party's actual, reasonable attorneys' fees and court costs, which shall be determined by the court and made a part of any judgment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;21. <u>SEVERABILITY</u>. If any provision of this Agreement or the application of this Agreement shall, for any reason and to any extent, be invalid or unenforceable, neither the remainder of this Agreement nor the application of the provision to other persons, entities or circumstances shall be affected thereby, but instead shall be enforced to the maximum extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;22. <u>TIME IS OF THE ESSENCE</u>. Time is of the essence of each and every provision of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;23. <u>MODIFICATION</u>. Resident and Property Manager hereby agree that this Agreement shall not be modified, changed, altered, or amended in any way except through a written amendment signed by all of the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;24. <u>COUNTERPARTS</u>. This Agreement may be executed in two or more original or electronic counterparts, each of which shall be deemed an original and all of which together shall constitute but one and the same instrument.

[Signature Page]

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**EXHIBIT "A"**

**RESIDENCE OCCUPANCY CHECKLIST**

This Exhibit "A," Residence Occupancy Checklist, is attached to and part of that certain Home Residency Agreement ("**Agreement**"), <u>dated as of</u> , by and between _____________ (individually or collectively, the "**Resident**"), and ACRE HOME OPERATIONS LLC, a Delaware limited liability company ("**Property Manager**"). Capitalized terms used in this Exhibit "A" but not defined herein have the meaning given to them in the Agreement.

Within 14 days of the Commencement Date, Resident and Property Manager will perform a walk- through of the Residence, during which walk-through Resident will use the Residence Occupancy Checklist, whether substantially in the form attached hereto at this Exhibit "A" or in such form as may be provided by Property Manager (the "**Residence Occupancy Checklist**"), to identify any items associated with the Residence that Resident and Property Manager mutually agree require further maintenance, as of the Inspection Date, by Property Manager.

In the event the Residence Occupancy Checklist is not completed, mutually signed, and delivered by Resident to Property Manager within five (5) days after the Inspection Date, then Resident acknowledges and agrees that Resident has accepted the Residence and all Furnishings and Fixtures therein "AS-IS, WITH ALL FAULTS."

In the event any item is marked on the Residence Occupancy Checklist, thereby identifying it as an item which Resident and Property Manager mutually agree, as of the Inspection Date, requires maintenance by Property Manager, then, except as specified otherwise in the Residence Occupancy Checklist, Property Manager shall have thirty (30) days following the Inspection Date to perform such maintenance; provided that, in the event any maintenance item, in Property Manager's reasonable discretion, will require longer than thirty (30) days to complete, Property Manager shall have such time as Property Manager reasonably believes is necessary to complete the maintenance.

**Inspection Date: _______________**

<u>CONDITION OF RESIDENCE; FURNISHINGS AND FIXTURES</u>

Resident stipulates, represents, and warrants that Resident has examined the Residence, and that the Residence is, as of the Inspection Date, in good order, repair, and in a safe, clean, and tenantable condition. Resident acknowledges receipt of the following Furnishings and Fixtures within the Home and Residence as of the Inspection Date (check if present), and unless Resident has indicated otherwise below, any such Furnishing and Fixture is safe, clean, and operable.

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| ☒ Refrigerator | ☒ Air Conditioning | ☐ Intercom System | ☐ |
| ☒ Stove | ☒ Heating | ☐ Alarm System | ☐ |
| ☒ Oven | ☐ Trash Compactor | ☐ Sprinkler System | ☐ |
| ☒ Microwave | ☐ Water Conditioner Equip. | ☐ Floor Coverings | ☐ |
| ☒ Disposal | ☒ Garage Door Opener | ☒ Window Coverings | ☐ |
| ☒ Dishwasher | ☐ BBQ | ☐ Solar Screens | ☐ |
| ☐ Washer | ☒ Light Fixtures | ☐ Pool Equipment | ☐ |
| ☐ Dryer | ☒ Ceiling Fans | ☐ Spa Equipment | ☐ |

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Except as may be specified otherwise above, Resident hereby accepts the Residence and all Furnishings and Fixtures therein as of the Inspection Date "AS-IS, WITH ALL FAULTS."

[Signature page]

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**<u>VALUE SHARE AGREEMENT</u>**

**THIS VALUE SHARE AGREEMENT** is an option agreement ("**Option Agreement**" or "**Value Share Agreement**"), <u>dated as of</u> , by and between__________________("**Resident**") and ACRE HOME OWNERSHIP HOLDINGS LLC, a Delaware limited liability company ("**Acre**"). Each of Resident and Acre is sometimes hereinafter referred to individually as an "**Option Party**," and collectively as the "**Option Parties**."

**RECITALS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A. Acre is the 100% fee interest owner of the Real Property and of the Home located on the Real Property (the Home and the Real Property are hereinafter called the "**Residence**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C. Concurrent with the execution of this Value Share Agreement, Resident and ACRE HOME OPERATIONS LLC, a Delaware limited liability company ("**Property Manager**"), are entering into a Home Residency Agreement, which establishes, pursuant to the Acre Program, terms and provisions of Resident's use, occupancy, and maintenance obligations of the Residence ("**Home Residency Agreement**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D. Resident and Acre are also entering into a "**Property Specific Agreement**," which establishes, pursuant to the Acre Program, the terms and provisions specific to the property including a description of the property, the Initial Home Value, the Value Share Payment, the Monthly Payment, the length of the term, and applicable termination fees (as hereinafter defined).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E. Resident desires, for and in consideration of the Value Share Payment (as hereinafter defined) and other good and valuable consideration, to accept from Acre the exclusive right and option to purchase the Residence at the end of the Term pursuant to the terms and provisions of this Value Share Agreement ("**Purchase Option**").

**NOW THEREFORE**, in consideration of the mutual covenants and conditions contained in this Value Share Agreement and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Acre and Resident agree that the foregoing recitals are true and correct and incorporated herein, and also agree as set forth below.

**AGREEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>GRANT OF PURCHASE OPTION</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Value Share Payment**. As consideration for the grant by Acre of the Purchase Option, Resident will pay to Acre the **"Value Share Payment"** identified in the Property Specific Agreement. The "**Initial Home Value**" is listed on the Property Specific Agreement and represents the initial market value of the Residence (including any adjustments agreed to by the Parties) as determined by Acre. Resident will pay the Value Share Payment to Acre in cash, cashier's check, wire transfer (or other immediately available funds), and will deliver the Value Share Payment to the address or to the bank account that Acre will identify. Resident acknowledges and agrees that (i) Acre has no obligation to hold the Value Share Payment in an escrow, segregated, or interest-bearing account, (ii) Acre or Property Manager may apply, at any time prior to the Termination Date or the Purchase Option Closing (each as hereinafter defined), the Value Share Payment, or any portion thereof, to the costs of any matters concerning the Residence, or any portion thereof, or concerning this Value Share Agreement, including, without limitation, Resident default; and (iii) any portion of the Value Share Payment may be refundable to Resident as specifically authorized pursuant to the terms and provisions of this Value Share Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Purchase Option Term**. Prior to the commencement of the "**Term**" of this Value Share Agreement, and for the Purchase Option for Resident to be in effect, Resident must provide Acre (or, in the case of Item (3) below, by any other appropriate Acre Entity) the following materials:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Fully executed copies of this Value Share Agreement, the Home Residency Agreement, and the Property Specific Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) The Value Share Payment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Any other fees due and owing by Resident upon execution of any of the Residency Agreements (as hereinafter defined);

When conditions (1) through (3), identified above, have all, in Acre's discretion, been satisfied, Acre shall provide Resident with notice of that certain calendar date that the Term of this Value Share Agreement is to commence (the "**Commencement Date**"). The Term of this Value Agreement will expire on that certain calendar date that is three (3) years after the Commencement Date ("**Termination Date**"), unless this Value Share Agreement is sooner terminated pursuant to the provisions hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Updated Property Valuation and Fees. Upon** Resident's request, at or around 100 days prior to the end of the Term, Acre will deliver an estimated current market value of the property, as determined by Acre, and/or a **Purchase Option Price** (such delivery a "**Purchase Option Price Valuation**. Upon such request, Acre shall have 10 days to provide Resident with a **Purchase Option Price Valuation**. The **Purchase Option Price** shall be the greater of the current market value of the home, as determined by Acre, or the Initial Home Value and shall remain current for ten (10) days after it is delivered. Upon Resident's request, at or around 100 days prior to the end of the Term, Acre shall also provide to the Resident an updated Monthly Fee (as defined in the Property Specific Agreement) that Resident will pay during the Term extension if the Resident elects to extend their term. Such updated Monthly Fee, for each requested additional Term extension may be subject to an increase or decrease over the then-current Monthly Fee, due to factors such as, by way of illustration only, tax or insurance obligations for the Residence, or current Residence market value ("**Term Extension Monthly Fee Valuation**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Value Share Term Extension**. Resident may, subject to all terms and provisions of this Value Share Agreement, request to extend the Term for an additional period of one (1) year. Such term extension may be exercised two times, provided that, in each instance, that Acre determines that all the following conditions (collectively, the "**Term Extension Conditions"**) as well as all other provisions of this Value Share Agreement, are fully complied with. After two Term Extensions, any additional Term Extensions are subject to Acre's approval/discretion. A Term Extension under this Agreement extends the terms of the Home Residency Agreement.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Term Extension Conditions :

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Resident has, no later than ninety (90) days prior to the Termination Date, given Acre written notice of Resident's request to extend the Term of the Value Share Agreement, with the extension period being for one (1) year ("**Term Extension Notice**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Resident has reviewed and agreed in writing to the Monthly Fee as described in the Term Extension Monthly Fee Notice;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Resident is concurrently in compliance with all terms and provisions of the Home Residency Agreement, requesting to extend the Home Residency Agreement Term and has satisfied, in Property Manager's discretion, all Residency Term Extension Conditions as specified in the Home Residency Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) All Term Extension Conditions must, in Acre's discretion, be satisfied in order for the Term to be extended; any Term Extension Condition may be waived only in Acre's discretion. Delivery of the Term Extension Notice to Acre will, in Acre's discretion, be irrevocable, so the Option Parties have sufficient time to prepare for the Term extension.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) In the event the Term is extended pursuant to this Section 1(D), the "**Term**" shall mean both the original Term of this Value Share Agreement together with any and all extensions of the original Term, and "**Termination Date**" shall mean the Termination Date of the current extension Term.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **Value Share Termination and Redemption**. Resident will have, subject to all terms and provisions of this Value Share Agreement, the one-time right to terminate the Value Share Agreement upon satisfaction, in Acre's discretion, of all of the following conditions (collectively, the "**Termination Conditions**"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Resident has, at least ninety (90) days prior to Resident's proposed termination date, given Acre written notice of Resident's request to terminate the Value Share Agreement ("**Termination Notice**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Resident, in Acre's discretion, is in compliance with all terms and conditions of the Residency Agreements both as of the date of delivery to Acre of the Termination Notice and as of the date of the proposed termination.

All Termination Conditions must, in Acre's discretion, be satisfied for Resident to exercise the termination option; any Termination Condition may be waived only in Acre's discretion. Delivery of the Termination Notice to Acre will, in Acre's discretion, be irrevocable, so the Option Parties have sufficient time to prepare for the termination of the Value Share Agreement. Provided that all Termination Conditions are complied with pursuant to this Section 1(E), then the termination option shall be available to Resident during the original Term of this Value Share Agreement and during any Term Extension, where the Term Extension has been exercised in compliance with Section 1(D) above. Termination of this Value Share Agreement pursuant to compliance with all provisions of this Section 1(E) shall also terminate the Home Residency Agreement and Property Specific Agreement.

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After Acre has received Resident's Termination Notice, Resident agrees to allow Acre access to the Residence to evaluate the condition of the Residence and prepare the Residence for a new Acre Resident or to place the Residence on the market for sale ("**Post Termination Notice Access**"). Post Termination Notice Access includes, but is not limited to, Acre performing repairs to the Residence, cosmetic alternations, and making the Residence available to showings for potential new residents or purchasers, during Resident's Term.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) **Termination Payment.** A "Termination Payment" will be assessed if during Resident's Term, Acre receives Resident's Termination Notice that Resident has elected to terminate this Agreement for any reason, including Resident electing to leave the Acre Program home network or transfer to another Acre Program home, with Exhibit "A" attached hereto identifying Termination Payment amounts. The Termination Payment is consideration to Acre for the prior grant of the Purchase Option.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) **Expiration of Purchase Option Term; Surrender of Residence**. Upon the expiration of the Term, where the Purchase Option has not been exercised, or upon any other termination of this Value Share Agreement, Resident will vacate and surrender the Residence pursuant to the termination and surrender requirements specified in the Residency Agreements, which requirements may set forth a termination fee upon Resident's earlier termination of this Value Share Agreement or the requirement that Resident may be liable for certain costs if Resident has not maintained the Residence in accordance with the standards of the Acre Program.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(H) **Value Share Payment to Resident.** In the event the Term of this Value Share Agreement expires, where Resident has not exercised the Purchase Option, including as a result of termination by Resident, and provided Resident is not then in default of any term or provision of any of the Residency Agreements, then the portion of the Value Share Payment remaining, following payment to Acre of the Termination Payment and adjustment based on the value of the **Adjusted Value Share Payment** (as defined below) will be paid to Resident, at such account as Resident shall identify in writing to Acre, as soon as reasonably possible and no later than ten (10) days after Acre has placed another Acre Resident in the home or sold the property (each event a "**Market Pricing Event**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I) **Adjusted Value Share Payment.** The **"Adjusted Value Share Payment"** is the Value Share Payment (a) plus any Value Share Appreciation, or minus any Value Share Depreciation, and minus any Termination Payment, and any other fees due to any Acre Entity under any Residency Agreement. If the home appreciates in value during the term, the Value Share Appreciation shall be calculated by taking the Total Home Value Change and multiplying it by the Value Share Appreciation percentage listed in the Property Specific Agreement. If the home depreciates in value during the term, the Value Share Depreciation shall be calculated by taking the Total Home Value Change and multiplying it by the Value Share Depreciation percentage listed in the Property Specific Agreement.

The Total Home Value Change is the End of Term Market Value minus the Initial Home Value. The End of Term Market Value will be determined by Acre, in its sole discretion, based on the price of the home at a Market Pricing Event **minus any capital expenditures by Acre prior to the Market Pricing Event**. When a Resident elects to exercise the Purchase Option the End of Term Market Value is the Purchase Option Price Valuation as described in Section 1(C)**, minus any capital expenditures by Acre.** In the event there is not a timely Market Pricing Event, Acre may elect, at its sole discretion, to determine the End of Term Market Value based on reasonable evaluation methods as determined by Acre.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>NATURE OF PURCHASE OPTION</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Residential Use**. Resident covenants and agrees that Resident is entering into this Value Share Agreement and acquiring the Purchase Option solely for purposes of residential ownership, use and occupancy of the Residence, with such use and occupancy being solely as a single-family dwelling which serves as the primary residence, occupied on a full-time basis, for Resident, and for no other use and purpose, including, without limitation, for no investment purpose or other expectation of profit earned on the Value Share Payment. Resident acknowledges and agrees that ownership, use and occupancy rights in the Residence are subject in all respects to the Acre Program and to the terms and provisions of the Residency Agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **No Encumbrance or Transfer by Resident**. Resident will not mortgage, pledge, encumber, or permit any lien to attach to, or otherwise transfer, the Real Property or any portion thereof, or this Value Share Agreement or any interest herein, or permit any assignment, or other transfer of this Value Share Agreement or any interest hereunder by operation of law or otherwise without a prior written agreement by Acre signed by both parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Transfer by Acre**. Resident acknowledges that Acre has the right to transfer its ownership in the Real Property and in this Value Share Agreement to any person or entity, provided that such transferee agrees to assume all of Acre's rights and obligations under this Value Share Agreement and (provided Resident is not in default of any provision of this Value Share Agreement beyond any applicable notice and cure period as may be provided herein), to not disturb Resident's rights hereunder or in the Residence. Resident further agrees that, in the event of any such transfer by Acre, Acre will automatically be released from all liability under this Value Share Agreement, and Resident agrees to look solely to Acre's transferee for the performance of Acre's obligations hereunder after the date of transfer, and the transferee will be deemed to have fully assumed and be liable for all obligations of this Value Share Agreement to be performed by Acre, and Resident will attorn to the transferee. Resident further acknowledges that Acre may delegate any of its rights or obligations under this Value Share Agreement to one or more Acre Entities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Third**-**Party Mortgages**. Resident acknowledges and agrees that Acre's ownership interest in the Real Property may be encumbered by one or more third-party mortgages from one or more third-party lenders or investors, with Acre as mortgagor thereunder. This Value Share Agreement is subject to applicable law with respect to third-party mortgages secured by the Real Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **No Joint Venture**. Neither this Value Share Agreement, nor any other agreement referred to herein or entered into in connection herewith, and no activity of Resident or Acre in connection with the transaction described in this Value Share Agreement will constitute Resident and Acre as partners or joint venturers for any purposes whatsoever.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(F) **Further Obligations**. The Option Parties each agree to perform such acts as may be reasonably necessary to carry out the terms and conditions of this Value Share Agreement and the exercise or termination of the Purchase Option, including, without limitation, executing such additional documents as may be required under this Value Share Agreement or as may be required to effect the intent of the Option Parties with respect to the Real Property or the Home or any third-party mortgage of Acre affecting the Real Property.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(G) **Power of Attorney**. Resident shall, upon request from Acre, issue a power of attorney in favor of Acre for various matters, including, without limitation, the following ("**Resident's Power of Attorney**"): (i) negotiating and executing service and vendor agreements affecting the Home or Real Property, as well as renewals and amendments to the same; (ii) negotiating and executing any documents required or advisable in connection with any third-party mortgages or other financing for the Real Property; and (iii) performing any of the Resident's Standard Responsibilities or Resident's Major Project Alterations (as defined in the Home Residency Agreement) where Resident fails to perform the same to the satisfaction of any Acre Entity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>EXERCISE OF PURCHASE OPTION.</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Exercise of Purchase Option; Conditions**. Resident will have, subject to all terms and provisions of this Value Share Agreement, the one-time right to exercise the Purchase Option at the end of the Term, with the purchase and sale of the Residence to take effect on the Termination Date or on such other proximate date as the Option Parties may mutually agree to in writing. In order to exercise the Purchase Option, Resident must satisfy, in Acre's discretion, all of the following conditions (collectively, the "**Purchase Option Conditions**"):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Resident has, no later than ninety (90) days prior to the Termination Date ("**Election Date**"), given Acre written notice of Resident's election to exercise the Purchase Option at the then current Purchase Option Price ("**Purchase Option Notice**");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) All terms and conditions of this Article 3 (and all of its subsections) have, in Acre's discretion, been satisfied as of both the date of delivery to Acre of the Purchase Option Notice and as of the date of the proposed conveyance under the Purchase and Sale Agreement (as hereinafter defined);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) All terms and provisions with respect to the closing of the proposed conveyance under the Purchase and Sale Agreement, including terms and conditions to closing as provided by the Title Company (as hereinafter defined) have been satisfied, with Resident being solely responsible for all Loan Costs (as defined below) as well as for all transaction and closing fees and costs associated with the Residence conveyance, whether such fees and costs are incurred pursuant to the Purchase and Sale Agreement or this Value Share Agreement, or otherwise, or are imposed by the Title Company or otherwise; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Resident, in Acre's discretion, is in compliance with all terms and conditions of the Residency Agreements both as of the date of delivery to Acre of the Purchase Option Notice and as of the date of the proposed conveyance under the Purchase and Sale Agreement.

In the event Resident is financing all or any portion of the Purchase Option Price through any financing or loan ("**Loan**"), Resident will be solely responsible for the payment, at or before the Purchase Option Closing, of all costs and expenses arising out of or in connection with the Loan (collectively, the "**Loan Costs**"). Loan Costs may include, but not be limited to: (i) all origination fees and discount points; (ii) required prepaid items; (iii) the cost of any title policy or endorsements required by Resident's lender; (iv) all of such lender's fees and expenses incurred in connection with the Loan; and (v) all closing costs and escrow fees relating to the funding of the Loan.

All Purchase Option Conditions must, in Acre's discretion, be satisfied for the exercise of the Purchase Option to be valid; any Purchase Option Condition may be waived only in Acre's discretion. Delivery of the Purchase Option Notice to Acre will, in Acre's discretion, be irrevocable, so the Option Parties have sufficient time to prepare for and to consummate the Residence purchase and sale that is to occur on or about the Termination Date.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Purchase and Sale Agreement**. Within forty-five (45) days following the receipt by Acre of the Purchase Option Notice, Resident and Acre will deliver into escrow, with a title and escrow agent selected by Acre ("**Title Company**"), a fully executed purchase and sale agreement ("**Purchase and Sale Agreement**"). Resident's Adjusted Value Share Payment (as defined above) may be (1) applied, at the Purchase Option Closing, as a purchase price reduction to the Purchase Option Price; (2) used as earnest money to purchase the Residence; or (3) the Value Share Payment used as earnest money to purchase the Residence and Value Share Appreciation will be applied, at the Purchase Option Closing, as a purchase price reduction to the Purchase Option Price. (**"Adjusted Value Share Payment Election")**. Prior to entering into the Purchase and Sale Agreement Resident will notify Acre of its Adjusted Value Share Payment Election. The Purchase and Sale Agreement will identify the following:

● The Purchase Option Price;

● That the Residence will be conveyed in its "as-is" condition;

● The Adjusted Value Share Payment and the Adjusted Value Share Payment Election;

● Any other deposits or fees to be paid by Resident; and

● Include any other terms and conditions that may be typical for similar transactions in the geographic area where the Residence is located.

If, despite the good faith efforts of Acre and Resident, Acre and Resident are unable to deliver the Purchase and Sale Agreement into escrow within forty-five (45) days following Acre's receipt of the Purchase Option Notice, then the Purchase Option, in Acre's discretion, may no longer be in effect. Upon the closing of the Purchase Option, pursuant to all terms and provisions of the Purchase and Sale Agreement ("**Purchase Option Closing**"), this Value Share Agreement and the other Residency Agreements will automatically terminate without further action by Acre, Resident, or Property Manager, and shall be of no further effect, except for any rights, obligations, and liabilities that may expressly survive such termination or which have accrued prior to such termination, including, without limitation, any monetary obligations that have accrued prior to the Purchase Option Closing but that remain unpaid as of such date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **No Exercise**. If Resident does not exercise the Purchase Option, pursuant to the terms and provisions of this Value Share Agreement, by the Election Date, then (i) the Purchase Option shall automatically expire of its own force and effect on the calendar date immediately following the Election Date, (ii) this Value Share Agreement shall automatically terminate as of the Termination Date, unless sooner terminated pursuant to the provisions of this Value Share Agreement, and (iii) provided the conditions for return of the Adjusted Value Share Payment to Resident as specified in Section 1 are all satisfied, the Adjusted Value Share Payment will be returned to Resident in compliance with Section 1. Upon the termination of this Value Share Agreement for any reason other than exercise of the Purchase Option, Resident will surrender and vacate the Residence pursuant to the provisions of Section 1.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>RESIDENCE OCCUPANCY; MAINTENANCE</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Home Residency Agreement; Maintenance Overview**. The Home Residency Agreement will specify, without limitation, the Resident's Standard Responsibilities (as defined in the Home Residency Agreement) for Residence upkeep and maintenance, and the Resident's Monthly Fee (as defined in the Home Residency Agreement) that Resident will pay monthly to Property Manager to fund, pay for, or reimburse, without limitation, certain Residence reserves, expenses, and fees, as well as for certain services provided by Property Manager under the Property Manager Agreement (as hereinafter defined), and as consideration for Resident's occupancy and use of the Residence. The Home Residency Agreement addresses the rights and obligations of the Option Parties in the event of condemnation or casualty affecting the Real Property or any portion thereof.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Property Management Agreement; Property Manager Services**. Acre and Property Manager have, or concurrent with this Value Share Agreement, will enter into a Property Management Agreement with respect to the Residence ("**Property Management Agreement**," and together with the Home Residency Agreement and this Value Share Agreement, the "**Residency Agreements**"), which establishes the Property Manager Services (as defined in the Property Management Agreement) that Property Manager may perform, on behalf of the Option Parties or on behalf of Resident or Acre, for certain maintenance and servicing for the Residence. Neither (i) the removal, withdrawal, termination, or resignation of Property Manager; (ii) any assignment for the benefit of creditors by or the adjudication of bankruptcy or incompetency of Property Manager; nor (iii) the termination of the Property Management Agreement, shall cause the termination of this Value Share Agreement and this Value Share Agreement shall remain in full force and effect notwithstanding any such events.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5. <u>INDEMNIFICATION</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Indemnification by Resident**. Resident agrees to indemnify, defend, and hold harmless Acre, Property Manager, and Acre's and Property Manager's officers, directors, members, managers, partners, shareholders, employees, affiliates, agents and representatives from any liability, costs (including reasonable attorneys' fees), or claims arising from or related to (i) any of Resident's Standard Responsibilities or Resident's Major Project Alterations, including from any failure to perform pursuant to the Acre Program and the standards established thereunder, as well as from any unauthorized liens, whether mechanics' liens or judgment liens or otherwise, placed on the Real Property or any portion thereof by Resident, at Resident's direction, or occurring in any manner as a result of Resident's occupancy, maintenance, or improvement of the Residence; and (ii) any failure to otherwise timely perform any obligation of Resident or to make any payment under this Value Share Agreement or under any other Residency Agreement, including, without limitation, the Resident's Monthly Fee. Resident hereby waives the right of subrogation against Acre.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Indemnification by Acre**. Acre and Property Manager ("**Acre Indemnitors**") each agrees to indemnify, defend, and hold harmless Resident for each such Acre Indemnitor's respective failure to perform its obligations and services under any of the Residency Agreements and under the Acre Program. Each Acre Indemnitor hereby waives the right of subrogation against Resident.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6. <u>DEFAULT; REMEDIES</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Events of Default**. Each of the following will be a Resident default under this Value Share Agreement: (i) Resident's failure to pay any amount that may be due under this Value Share Agreement within five (5) days after the due date or within such other time period as may be specified under applicable law; (ii) Resident's violation of any covenant, term or condition of this Value Share Agreement, provided that Resident, except as may be provided otherwise in this Value Share Agreement, shall have ten (10) days after notice from Acre of such violation to cure the same; (iii) Resident has provided incorrect or false information, whether in this Value Share Agreement or in any other agreement, document, or application provided in connection with this Value Share Agreement; (iv) Resident is the debtor in, or becomes the subject of, a bankruptcy proceeding or makes a voluntary assignment for the benefit of creditors; or (v) a receiver, guardian or trustee is appointed for Resident's property. Resident has the right to cure a default once in any 12-month period during the Term within the time periods described above or within such other time period as may be specified under applicable law.

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) **Remedies**. Upon the occurrence of any Resident default, Acre may pursue any or all remedies provided for under this Value Share Agreement, or under any of the other Residency Agreements, or available under applicable law or in equity, including, without limitation, eviction, and suit to collect unpaid amounts, damages, and reasonable attorneys' fees. Acre may also impose reasonable and non-discriminatory fines for any default. All remedies available to Acre are cumulative and may be pursued individually, successively, or together. Upon any default, Acre will be entitled to collect its costs of enforcing the terms of this Value Share Agreement and of collection, including collection agency costs, litigation costs, and reasonable attorneys' fees (including in-house counsel and appeal, whether or not a lawsuit is brought). Further, upon any default, Acre will be entitled to the Value Share Payment, or to any portion thereof, for payment or reimbursement of any costs incurred by Acre in connection with such default. In the event any amount of the Value Share Payment is thus applied by Acre following Resident default, then Acre may, in its sole discretion, (a) elect to reset the Value Share Payment to such reduced amount, whereupon the reduced amount will be the Value Share Payment hereunder, or (b) require that Resident fully restore the original amount of the Value Share Payment, whereupon Resident will, within ten (10) business days following notice thereof from Acre, fully restore the original amount of the Value Share Payment, and failure to do so by Resident will be a further Resident default hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Unpaid Amounts**. To the extent Resident fails to pay any funds due under this Value Share Agreement or under any of the Residency Agreements within five (5) days after such funds are due ("**Resident's Unpaid Payments**"), Acre may advance such funds on Resident's behalf. Resident will reimburse Acre, upon demand, the amount of the Resident's Unpaid Payments plus interest thereon at the rate of 12% per annum, or at such other maximum amount as may be permitted under applicable law, as a delinquency fee, until the Resident's Unpaid Payments are reimbursed to Acre in full. If such collection efforts by Acre are unsuccessful or insufficient to fully reimburse Acre for the Resident's Unpaid Payments, then Acre may collect the amounts due from any distribution pursuant to any of the Residency Agreements, or otherwise, including application of the Value Share Payment, until such time as Acre is fully reimbursed for the Resident's Unpaid Payments. The remedies available to Acre provided for herein are in addition to any other remedies that may otherwise be available, whether specified in any of the Residency Agreements, or whether available at law or in equity. In the event any amount of the Value Share Payment is thus applied by Acre pursuant to the provisions of this Section 6(C), then Acre may, in its sole discretion, (a) elect to reset the Value Share Payment to such reduced amount, whereupon the reduced amount will be the Value Share Payment hereunder, or (b) require that Resident fully restore the original amount of the Value Share Payment, whereupon Resident will, within ten (10) business days following notice thereof from Acre, fully restore the original amount of the Value Share Payment, and failure to do so by Resident will be a Resident default hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(D) **Non-Waiver**. Failure on the part of Acre to exercise any of its rights hereunder upon any Resident default shall not prevent Acre from the exercise of any such rights upon any subsequent Resident default. Acre's acceptance of any delinquent amounts that become due hereunder shall in no event act as a waiver of Acre's right to seek any remedy for nonpayment of such amounts due. Acre's waiver of any Resident default hereunder shall not constitute, nor be held or construed as, a waiver of any subsequent or other Resident default. No indulgence, waiver, election, or non-election by Acre under this Value Share Agreement shall affect Resident's duties and liabilities hereunder.

---

| | |
|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(E) **Cross Default**. A default by Resident under this Value Share Agreement is a default under all the Residency Agreements (without need of notice of such cross-default to Resident); conversely, a default by Resident under either the Home Residency Agreement or the Property Management Agreement is also a default under this Value Share Agreement as well as a default under all other Residency Agreements (without need of notice of such cross-default to Resident).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7. <u>ARBITRATION; WAIVER OF JURY TRIAL</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Binding Arbitration**. In the event of any dispute, claim, or controversy arising out of or relating to this Value Share Agreement (including matters relating to valuation of the Residence), such matter shall be settled by arbitration in the county where the Real Property is located, before a sole arbitrator, in accordance with the laws of the State for agreements made in and to be performed in such State. The arbitration shall be administered by the American Arbitration Association. Judgment entered upon any award rendered may be enforced by appropriate judicial action pursuant to the applicable State law. The Option Parties shall unanimously select the arbitrator. In the event the Option Parties are unable to unanimously select an arbitrator within ten (10) days of meeting to appoint an arbitrator, the American Arbitration Association shall select the arbitrator. The Option Parties shall confer with the arbitrator and together shall decide upon a time and place for the arbitration hearing. The parties shall agree within ten (10) days following selection of the arbitrator to any prehearing procedures or further procedures necessary for the arbitration to proceed, including interrogatories or other discovery; provided, that in any event, each Option Party shall be entitled to discovery in accordance with applicable State law. If the Option Parties and the arbitrator are unable to agree upon a time and place for the arbitration hearing, the arbitrator shall determine the time and place for the arbitration hearing. The losing party shall bear any fees and expenses of the arbitrator, other tribunal fees and expenses, reasonable attorneys' fees of both parties, any costs of producing witnesses, and any other reasonable costs or expenses incurred by the losing party or the prevailing party or such costs as shall be allocated by the arbitrator.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Waiver of Jury Trial. IN THE INTEREST OF OBTAINING A SPEEDIER AND LESS COSTLY ADJUDICATION OF ANY DISPUTE, ACRE AND RESIDENT HEREBY KNOWINGLY, INTENTIONALLY, AND IRREVOCABLY WAIVE THE RIGHT TO TRIAL BY JURY IN ANY LEGAL ACTION, PROCEEDING, CLAIM, OR COUNTERCLAIM BROUGHT BY EITHER OF THEM AGAINST THE OTHER ON ALL MATTERS ARISING OUT OF OR RELATED TO THIS VALUE SHARE AGREEMENT OR THE USE AND OCCUPANCY OF THE REAL PROPERTY OR THE HOME.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(C) **Attorneys' Fees**. If any arbitration, action, or proceeding is instituted between the Option Parties arising from or related to this Value Share Agreement, the Option Party prevailing in such arbitration, action, or proceeding will be entitled to recover from the other Option Party all of its or their costs of arbitration, action, or proceeding, including, without limitation, attorneys' fees and costs as fixed by the court or arbitrator therein.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8. <u>INTERCHANGEABLE TERMS.</u> For purposes of all provisions within this Agreement and all attachments hereto, the following terms shall have the same meaning and shall be interchangeable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) "Option Payment" and "Value Share Payment".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) "Option Agreement" and "Value Share Agreement".

---

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|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;9. <u>CHOICE OF LAW</u>. The laws of the State in which the Residence is located shall govern this Value Share Agreement, without regard to such State's conflicts of law principles. Resident hereby knowingly, intentionally, and irrevocably agrees that Acre may bring any action or claim to enforce or interpret the provisions of this Value Share Agreement in the State and County where the Real Property is located, and that Resident irrevocably consents to personal jurisdiction in such State for the purposes of any such action or claim. Nothing in this Section shall be deemed to preclude or prevent Acre from bringing any action or claim to enforce or interpret the provisions of this Value Share Agreement in any other appropriate place or forum. Resident further agrees that any action or claim brought by Resident to enforce or interpret the provisions of this Value Share Agreement, or otherwise arising out of or related to this Value Share Agreement or to Resident's use and occupancy of the Residence, regardless of the theory of relief or recovery and regardless of whether third parties are involved in the action, may only be brought in the State and County where the Real Property is located, unless otherwise agreed in writing by Acre prior to the commencement of any such action.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10. <u>FORCE MAJEURE</u>. A force majeure event occurs if any Option Party cannot perform any of its obligations due to events beyond such party's control (except with respect to the obligations for payment of any charges that may be required to be paid by Resident under this Value Share Agreement), and in such cases the time provided for performing the applicable obligations will be extended by a period of time equal to the duration of the force majeure events. Events beyond Acre's or Resident's control include, but are not limited to, acts of God, war, civil commotion, terrorist acts, labor disputes, strikes, fire, flood or other casualty, shortages of labor or material, government regulation or restriction, waiting periods for obtaining governmental permits or approvals or inspections, or weather conditions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. <u>INTERPRETATION; JOINT AND SEVERAL LIABILITY</u>. In this Value Share Agreement (unless the context clearly requires another interpretation), the singular includes the plural and the plural includes the singular; words importing any gender include the other genders; and references to articles, sections (or subdivisions of sections) or exhibits are to those of this Value Share Agreement. If this Value Share Agreement is executed by more than one party as Resident, the obligations of such persons or entities will be joint and several.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;12. <u>ACRE NOTICE ADDRESSES</u>.

---

| | |
|:---|:---|
| Notice address for Acre for payments owed under this Value Share Agreement: | ACRE HOME OWNERSHIP HOLDINGS LLC<br> 212 West Main Street<br> Suite 200, PMB 203<br> Durham, North Carolina <br> 27701 Attention: Andrew <br> Toby Phone: 919-759-5756<br> Email: support@acrehomes.com |
| Notice address for Acre for non-payment matters: | ACRE HOME OWNERSHIP HOLDINGS LLC<br> 212 West Main Street<br> Suite 200, PMB 203<br> Durham, North Carolina <br> 27701 Attention: Andrew<br> Toby Phone: 919-759-5756<br> Email: support@acrehomes.com |
|  Notice address for<br> Resident: | *See the Basic Agreement Provisions, in the Property Specific Agreement* |

---

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|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

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All notices or communications given or required to be given by any party to another party hereunder may be sent electronically, unless applicable law requires physical delivery, in which case any such notice will be sent both electronically and in writing, with such writing to be sent by United States certified or registered mail, postage prepaid, return receipt requested; nationally recognized commercial overnight courier; or delivered personally to the addresses set forth above. Each party will have the right from time to time to change the place notice is to be given under this Value Share Agreement by written notice thereof to the other party or parties hereto. Any written notice will be deemed given three (3) business days after the date it is mailed as provided in this Section, or upon the date delivery is made, if delivered by an approved courier (as provided above) or personally delivered, with the exception of any payment required of Resident hereunder, all of which payments will be deemed given only upon the physical receipt thereof by Acre.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;13. <u>SEVERABILITY</u>. If any provision of this Value Share Agreement or the application of this Value Share Agreement shall, for any reason and to any extent, be invalid or unenforceable, neither the remainder of this Value Share Agreement nor the application of the provision to other persons, entities or circumstances shall be affected thereby, but instead shall be enforced to the maximum extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;14. <u>FURTHER ASSURANCES</u>. From and after the date of this Value Share Agreement, each Option Party agrees to do such things, perform such acts, and make, execute, acknowledge, and deliver such documents as may be reasonably necessary and customary to complete the transactions contemplated by this Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15. <u>TIME IS OF THE ESSENCE</u>. Time is of the essence of each and every provision of this Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;16. <u>MODIFICATION</u>. The Option Parties hereby agree that this Value Share Agreement shall not be modified, changed, altered, or amended in any way except through a written amendment signed by all the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;17. <u>BROKERAGE COMMISSION</u>. Resident and Acre each acknowledges that, in conjunction with entering into this Value Share Agreement, neither Option Party has engaged a broker or finder or agreed to pay any broker or finder a commission or fee by reason of the sale and purchase contemplated by the Purchase Option. Resident and Acre each hereby agrees to indemnify, defend, and hold harmless the other party for, from and against any and all claims, losses, damages, costs or expenses of any kind or character arising out of or resulting from any agreement, arrangement or understanding made or alleged to have been made with any other broker or finder in connection with entering into this Value Share Agreement or the transaction contemplated hereby.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;18. <u>ACKNOWLEDGEMENTS.</u> The Parties intend for this Value Share Agreement to be a purchase option, and, together with the Home Residency Agreement, intend for the relationship to be that of landlord-optioner and tenant-optionee. The Parties understand and acknowledge that this Value Share Agreement is not intended to be a mortgage, loan, or other financing arrangement. The Parties are executing this Value Share Agreement voluntarily and without any duress or undue influence. The parties have carefully read this Value Share Agreement and have asked any questions needed to understand its terms, consequences, and binding effect and fully understand them and have been given an executed copy. The parties have sought the advice of an attorney of their respective choice if so desired prior to signing this Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;19. <u>COUNTERPARTS</u>. This Value Share Agreement may be executed in two or more original or electronic counterparts, each of which shall be deemed an original and all of which together shall constitute but one and the same instrument.

**RESIDENT HAS THE RIGHT TO CANCEL THIS VALUE SHARE AGREEMENT AT ANY TIME UNTIL MIDNIGHT OF THE THIRD BUSINESS DAY FOLLOWING EXECUTION OF THIS AGREEMENT OR DELIVERY OF THIS AGREEMENT, WHICHEVER OCCURS LAST.**

The parties have executed this Value Share Agreement as of the date first written above.

[Signature page]

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|:---|:---|
| ![](ex6-12_001.jpg) | ACR-  |

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**EXHIBIT "A"**

**VALUE SHARE AGREEMENT TERMINATION<br> PAYMENT AMOUNTS**

*The following Table identifies the percentage amount of the End of Term Market Value which will be retained by Acre as consideration for Resident's termination of the Value Share Agreement.*

 

---

| | |
|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;**Original Term Year in Which <br> Termination Notice Is Delivered** | **Termination Fee** |
| 1 | 4.0% |
| 2 | 3.0% |
| 3 | 2.0% |
| After Year 3 | 0.0% |

---

## Ex1A-6

**Exhibit 6.13**

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|:---|:---|
| ![](ex6-13_001.jpg) | ACR-052871 |

---

**<u>VALUE SHARE TRANSFER AGREEMENT</u>**

**THIS VALUE SHARE TRANSFER AGREEMENT** is an agreement ("**Transfer Agreement**" or "**Agreement**"), dated as of________________, by and between <u>Wahed Financial LLC</u> ("**Investor**") and ACRE HOME OWNERSHIP HOLDINGS LLC, a Delaware limited liability company ("**Acre**"). Each of Investor and Acre is sometimes hereinafter referred to individually as a "**Party**," and collectively as the "**Parties**."

**RECITALS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A. Acre had previously entered into a Value Share Agreement with the Residents of the Real Property and of the Home located at _________________ (the Home and the Real Property are hereinafter called the "**Residence**"), dated __________________ (such agreement is hereinafter called the "**Value Share Agreement**" and is incorporated by reference).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B. Acre has the right to transfer its ownership in the Residence and in the Value Share Agreement to any person or entity, provided that such transferee agrees to assume all of Acre's rights and obligations under the Value Share Agreement and (provided Resident is not in default of any provision of the Value Share Agreement beyond any applicable notice and cure period as may be provided herein), to not disturb Resident's rights hereunder or in the Residence.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C. Resident has agreed that, in the event of any such transfer by Acre, Acre will automatically be released from all liability under this Value Share Agreement, and Resident agreed to look solely to Acre's transferee for the performance of Acre's obligations hereunder after the date of transfer, and the transferee will be deemed to have fully assumed and be liable for all obligations of this Value Share Agreement to be performed by Acre, and Resident will attorn to the transferee.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D. Acre is transferring or selling its ownership in the Residence to Investor, and concurrent with that transfer or sale, Investor has agreed to assume all of Acre's rights and obligations of the Value Share Agreement.

**NOW THEREFORE**, in consideration of the mutual covenants and conditions contained in this Value Share Transfer Agreement and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Acre and Investor agree that the foregoing recitals are true and correct and incorporated herein, and also agree as set forth below.

**AGREEMENT**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>TRANSFER OF VALUE SHARE AGREEMENT</u>.

Effective immediately Acre transfers all its rights and obligations under the Value Share Agreement to Investor. Investor fully assumes and is liable for all obligations of the Value Share Agreement. Acre is hereby released from all liability under the Value Share Agreement. In accordance with the terms of the Value Share agreement, Resident will look solely to Investor for the performance of Acre's obligations under the Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. <u>INDEMNIFICATION</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(A) **Indemnification by Investor**. Investor agrees to indemnify, defend, and hold harmless Acre and Acre's officers, directors, members, managers, partners, shareholders, employees, affiliates, agents and representatives from any liability, costs (including reasonable attorneys' fees), or claims arising from or related the Investor's obligations under the Value Share Agreement.

---

| | |
|:---|:---|
| ![](ex6-13_001.jpg) | ACR-052871 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>SEVERABILITY</u>. If any provision of this Agreement or the application of this Agreement shall, for any reason and to any extent, be invalid or unenforceable, neither the remainder of this Agreement nor the application of the provision to other persons, entities or circumstances shall be affected thereby, but instead shall be enforced to the maximum extent permitted by law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>FURTHER ASSURANCES</u>. From and after the date of this Agreement, each Party agrees to do such things, perform such acts, and make, execute, acknowledge, and deliver such documents as may be reasonably necessary and customary to complete the transactions contemplated by this Value Share Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2. <u>TIME IS OF THE ESSENCE</u>. Time is of the essence of each and every provision of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. <u>MODIFICATION</u>. The Parties hereby agree that this Agreement shall not be modified, changed, altered, or amended in any way except through a written amendment signed by all the parties hereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4. <u>COUNTERPARTS</u>. This Agreement may be executed in two or more original or electronic counterparts, each of which shall be deemed an original and all of which together shall constitute but one and the same instrument.

The parties have executed this Transfer Agreement as of the date first written above.

---

| | | | |
|:---|:---|:---|:---|
| **ACRE:** | **ACRE:** | **INVESTOR:** | **INVESTOR:** |
| Acre Home Ownership Holdings LLC, a Delaware limited liability company | Acre Home Ownership Holdings LLC, a Delaware limited liability company |  |  |
| By: | Acre Home Ownership Fund LP, it's managing member |  |  |
| By: |  | By: |  |
| Name: | Michael Schneider | Name: | Ahmar Shaikh |
| Title: | Manager | Title: | CEO, Wahed Financial LLC |

---

## Ex1A-14

**Exhibit 6.14**

**OFFER TO PURCHASE AND CONTRACT**

(Consult Standard Form 2G for guidance in completing this form.)

For valuable consideration, the receipt and legal sufficiency of which are hereby acknowledged, Buyer offers to purchase and Seller upon acceptance agrees to sell and convey the Property on the terms and conditions of this Offer to Purchase and Contract and any addendum or modification made in accordance with its terms (together the "Contract").

1. TERMS AND DEFINITIONS:

(a) "Seller": James
 J Rheaume, Candace E Rheaume

(b) **"Buyer":** Wahed
Financial LLC

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| | | | |
|:---|:---|:---|:---|
| (c) | **"Property":** | Street Address: | **1740 Golden Honey Drive** |
|  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;City: **<u>Wake Forest</u>**<u> </u> Zip:  **<u>27587</u>** County:  **<u>Wake ,</u>** NC <br> Lot/Unit  **<u>58</u>** , Block/Section<u> </u>, Subdivision/Condominium **<u>Rosedale</u>** <br> Plat Book/Slide  **<u>2022 / 2023</u>** at Page(s) **<u>1359 / 505</u>** PIN/PID: **<u>1860.01-09-8477 0498447</u>** <u> </u><br> Other description: **<u>Lo58 Rosedae Ph 1a, BM 2022, PG 1359 and Correction BM 2023, PG 505</u>** <u> </u><br> Some or all of the Property may be described in Deed Book  **<u>19369</u>** at Page <u>**833**</u>  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;City: **<u>Wake Forest</u>**<u> </u> Zip:  **<u>27587</u>** County:  **<u>Wake ,</u>** NC <br> Lot/Unit  **<u>58</u>** , Block/Section<u> </u>, Subdivision/Condominium **<u>Rosedale</u>** <br> Plat Book/Slide  **<u>2022 / 2023</u>** at Page(s) **<u>1359 / 505</u>** PIN/PID: **<u>1860.01-09-8477 0498447</u>** <u> </u><br> Other description: **<u>Lo58 Rosedae Ph 1a, BM 2022, PG 1359 and Correction BM 2023, PG 505</u>** <u> </u><br> Some or all of the Property may be described in Deed Book  **<u>19369</u>** at Page <u>**833**</u>  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;City: **<u>Wake Forest</u>**<u> </u> Zip:  **<u>27587</u>** County:  **<u>Wake ,</u>** NC <br> Lot/Unit  **<u>58</u>** , Block/Section<u> </u>, Subdivision/Condominium **<u>Rosedale</u>** <br> Plat Book/Slide  **<u>2022 / 2023</u>** at Page(s) **<u>1359 / 505</u>** PIN/PID: **<u>1860.01-09-8477 0498447</u>** <u> </u><br> Other description: **<u>Lo58 Rosedae Ph 1a, BM 2022, PG 1359 and Correction BM 2023, PG 505</u>** <u> </u><br> Some or all of the Property may be described in Deed Book  **<u>19369</u>** at Page <u>**833**</u>  |

---

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| |
|:---|
| The Property ☐ will ☒ will not include a manufactured (mobile) home(s). |
| The Property ☐ will ☒ will not include an off-site and/or separate septic lot, boat slip, garage, parking space, or storage unit. |
| ☐ *Additional Parcels.* If additional parcels are the subject of this Contract, any such parcels are described in an attached exhibit to this Contract, and the term "Property" as used herein shall be deemed to refer to all such parcels. |
| Government authority over taxes, zoning, school districts, utilities, and mail delivery may differ from address. The Property shall include all the above real estate and all appurtenances thereto including the improvements located thereon and the fixtures and personal property in Paragraphs 2 and 3 below. If a manufactured home(s) or a separate septic lot, boat slip, garage, parking space, or storage unit is included, Buyer and Seller are strongly encouraged to include further details in the Additional Provisions Addendum (Form 2A11-T) and attach it to this offer. |

---

(d) "Purchase Price" :

---

| | |
|:---|:---|
| $<u>**455000.00**</u> | paid in U.S. Dollars upon the following terms: |
| $<u>**4000.00**</u> | BY DUE DILIGENCE FEE made payable and delivered to Seller on the Effective Date by ☐ cash ☐ personal check ☐ official bank check ☒ wire transfer |
|  | ☐ electronic transfer (*specify payment service*: <u>)</u> |
| $<u> </u> | BY INITIAL EARNEST MONEY DEPOSIT made payable and delivered to Escrow Agent within five days of the Effective Date by ☐ cash ☐ personal check ☐ official bank check ☐ wire transfer ☐ electronic transfer. |
| $<u> </u> | BY (ADDITIONAL) EARNEST MONEY DEPOSIT made payable and delivered to Escrow Agent no later than 5 p.m. on<u> </u>, ***TIME IS OF THE ESSENCE*** by ☐ cash ☐ official bank check ☐ wire transfer ☐ electronic transfer |
| $<u> </u> | BY ASSUMPTION of the unpaid principal balance and all obligations of Seller on the existing loan(s). See Loan Assumption Addendum (Form 2A6-T). |
| $<u> </u> | BY SELLER FINANCING. See Seller Financing Addendum (Form 2A5-T). |
| $<u> </u> | BY BUILDING DEPOSIT. See New Construction Addendum (Form 2A3-T). |
| $<u>**451000.00**</u> | BALANCE of the Purchase Price in cash at Settlement (some or all of which may be paid with the proceeds of a new loan). |

---

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(e) **"Seller Concessions"**: Seller shall pay at
Settlement **$<u>Zero Dollars</u>** or  **<u>NA</u>** % of the Purchase Price toward any of Buyer's expenses associated with the purchase
of the Property, at the discretion of Buyer and/or lender, including FHA/VA lender and inspection costs that Buyer is not permitted to
pay, if any.

(f) **"Due Diligence Period"**: (Check only one) ☒ The period beginning on the Effective Date
 and extending through 5:00 p.m. on (insert date only; not "N/A")  **<u>09/16/2025</u>** ; **OR** ☐ The period extending for (insert a number only; not "N/A") <u> </u> days after the Effective Date and ending at 5:00 p.m. on the last day of the period.  ***TIME IS OF THE ESSENCE*** .

(g) **"Settlement Date"**: The parties agree that
Settlement will take place on <u>**September 23, 2025**</u> unless otherwise agreed in writing, at a time and place designated
by Buyer.

(h) "**Earnest Money Deposit** ": The Initial Earnest
Money Deposit, the Additional Earnest Money Deposit and any other earnest monies paid or required to be paid in connection with this
transaction, collectively the "Earnest Money Deposit," shall be deposited promptly and held in escrow by Escrow Agent. The
Earnest Money Deposit will be credited to Buyer at Closing or disbursed as required by this Contract. In the event of a dispute between
Seller and Buyer over the disposition of the Earnest Money Deposit held in escrow, Escrow Agent may remit the Earnest Money Deposit to
the clerk of court or otherwise disburse it according to North Carolina Law if the Buyer and Seller cannot resolve the dispute by consent.

(i) **"Escrow Agent"** (insert name):  **<u>Jackson Law, Raleigh, NC</u>** . Buyer and Seller consent to disclosure by the Escrow
Agent of any material facts pertaining to the Earnest Money Deposit to the parties to this transaction, their real estate agent(s) and
Buyer's lender(s). THE PARTIES AGREE THAT A REAL ESTATE BROKERAGE FIRM ACTING AS ESCROW AGENT MAY PLACE THE EARNEST MONEY DEPOSIT IN AN
INTEREST-BEARING TRUST ACCOUNT AND THAT ANY INTEREST EARNED THEREON SHALL BE DISBURSED TO THE ESCROW AGENT MONTHLY IN CONSIDERATION OF
THE EXPENSES INCURRED BY MAINTAINING SUCH ACCOUNT AND RECORDS ASSOCIATED THEREWITH.

(j) "**Effective Date** ": The date that: (1) the
last one of Buyer and Seller has signed or initialed this offer or the final counteroffer, if any, and (2) such signing or initialing
is communicated to the party making the offer or counteroffer, as the case may be. The parties acknowledge and agree that the initials
lines at the bottom of each page of this Contract are merely evidence of their having reviewed the terms of each page, and that the complete
execution of such initial lines shall not be a condition of the effectiveness of this Agreement. The parties further acknowledge that
the effectiveness of this Contract is not contingent on Buyer's payment of any Earnest Money Deposit or Due Diligence Fee. See paragraph
6(a) for Seller's remedy for any untimely delivered or dishonored funds.

(k) "**Due Diligence** ": Buyer's opportunity to investigate
the Property and the transaction contemplated by this Contract, including but not necessarily limited to the matters described in Paragraph
4 below, to decide whether Buyer, in Buyer's sole discretion, will proceed with or terminate the transaction.

(l) "**Due Diligence Fee** ": A negotiated amount,
if any, paid by Buyer to Seller with this Contract for Buyer's right to terminate the Contract for any reason or no reason during the
Due Diligence Period. It shall be the property of Seller upon the Effective Date and shall be a credit to Buyer at Closing. The Due Diligence
Fee shall be non-refundable except in the event of a material breach of this Contract by Seller, or if this Contract is terminated under
Paragraph 23(b) or as otherwise provided in any addendum hereto. Buyer and Seller each expressly waive any right that they may have to
deny the right to conduct Due Diligence or to assert any defense as to the enforceability of this Contract based on the absence or alleged
insufficiency of any Due Diligence Fee, it being the intent of the parties to create a legally binding contract for the purchase and
sale of the Property without regard to the existence or amount of any Due Diligence Fee. Seller, or Seller's agent, may direct Buyer
in writing to make the Due Diligence Fee payable to a party other than "Seller" as that term is defined herein, and Seller
agrees to be bound by such written direction. See paragraph 23 for a party's right to attorneys' fees incurred in collecting the Due
Diligence Fee.

(m) "**Settlement** ": The proper execution and delivery
to the closing attorney of all documents necessary to complete the transaction contemplated by this Contract, including the deed, settlement
statement, deed of trust and other loan or conveyance documents, and the closing attorney's receipt of all funds necessary to complete
such transaction.

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(n) "**Closing** ": The completion of the legal process
which results in the transfer of title to the Property from Seller to Buyer, which includes the following steps: (1) the Settlement (defined
above); (2) the completion of a satisfactory title update to the Property following the Settlement; (3) the closing attorney's receipt
of authorization to disburse all necessary funds; and (4) recordation in the appropriate county registry of the deed(s) and deed(s) of
trust, if any, which shall take place as soon as reasonably possible for the closing attorney after Settlement. Upon Closing, the proceeds
of sale shall be disbursed by the closing attorney in accordance with the settlement statement and the provisions of Chapter 45A of the
North Carolina General Statutes. If the title update should reveal unexpected liens, encumbrances or other title defects, or if the closing
attorney is not authorized to disburse all necessary funds, then the Closing shall be suspended and the Settlement deemed delayed under
paragraph 12 (Delay in Settlement/Closing).

**Attorney Closings in North Carolina:** The North Carolina State Bar has determined that the performance of most acts and services required for a closing constitutes the practice of law and must be conducted only by an attorney licensed to practice law in North Carolina. State law prohibits unlicensed individuals or firms from rendering legal services or advice. Although non-attorney settlement agents may perform limited services in connection with a closing, they may not perform all the acts and services required to complete a closing. Accordingly, it is the position of the North Carolina Bar Association and NC REALTORS® that all buyers should hire an attorney licensed in North Carolina to perform a closing.

(o) "**Special Assessments** ": A charge against the
Property by a governmental authority in addition to ad valorem taxes and recurring governmental service fees levied with such taxes,
or by an owners' association in addition to any regular assessment (dues), either of which may be a lien against the Property. Buyer's
and Seller's respective responsibilities for the payment of Special Assessments are addressed in paragraphs 6(b) and 8(k).

2. **FIXTURES AND EXCLUSIONS**: The parties should not assume that an item will or will not be included in the sale based on a statement or advertisement outside this Contract. See paragraph 19 for details. Buyer and Seller should ensure this paragraph accurately reflects the entire agreement of Buyer and Seller.

(a) **Fixtures Are Included in Purchase Price:** ALL EXISTING
FIXTURES ARE INCLUDED IN THE SALE AS PART OF THE PURCHASE PRICE, FREE OF LIENS, UNLESS EXCLUDED IN SUBPARAGRAPHS (d) OR (e).

(b) **Specified Items:** Buyer and Seller agree that the following
items, if present on the Property on the date of the offer, shall be included in the sale as part of the Purchase Price free of liens,
unless excluded in subparagraphs (d) or (e) below. ALL ITEMS LISTED BELOW INCLUDE BOTH TRADITIONAL AND "SMART" VERSIONS AND
ANY EXCLUSIVELY DEDICATED, RELATED EQUIPMENT AND/OR REMOTE CONTROL DEVICES.

● Alarm and security systems (attached) for security, fire, smoke, carbon monoxide or other toxins with all related access codes, sensors, cameras, dedicated monitors, hard drives, video recorders, power supplies and cables; doorbells/chimes

● All stoves/ranges/ovens; built-in appliances; attached microwave oven; vent hood

● Antennas; satellite dishes and receivers

● Basketball goals and play equipment (permanently attached or in-ground)

● Ceiling and wall-attached fans; light fixtures (including existing bulbs)

● Exercise equipment/devices that are attached

● Fireplace insert; gas logs or starters; attached fireplace screens; wood or coal stoves

● Floor coverings (attached)

● Garage door openers

● Generators that are permanently wired

● Thermostats

● Storage shed; utility building

● Solar electric and solar water heating systems

● Electric vehicle chargers

● Invisible fencing with power supply

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● Landscape and outdoor trees and plants (except in moveable containers); raised garden; landscape and foundation lighting; outdoor sound systems; permanent irrigation systems; rain barrels; landscape water features; address markers

● Mailboxes; mounted package and newspaper receptacles

● Mirrors attached to walls, ceilings, cabinets or doors; all bathroom wall mirrors

● Swimming pools; spas; hot tubs (excluding inflatable pools, spas, and hot tubs)

● Sump-pumps, radon fans and crawlspace ventilators; de- humidifiers that are permanently wired

● Surface-mounting brackets for television and speakers; recess-mounted speakers; mounted intercom system

● Window/Door blinds and shades; curtain/drapery rods and brackets; door and window screens and combination doors; awnings and storm windows

● Water supply equipment, including filters, conditioning and softener systems; re-circulating pumps; well pumps and tanks

&nbsp;&nbsp;&nbsp;&nbsp;(c) **Unpairing/deleting data from devices:** Prior to Closing,
Seller shall "unpair" any devices that will convey from any personal property devices (hubs, intelligent virtual assistants,
mobile devices, vehicles, etc.) with which they are paired, delete personal data from any devices that will convey, and restore all devices
to factory default settings unless otherwise agreed. Seller's obligations under this paragraph 2(c) shall survive Closing.

&nbsp;&nbsp;&nbsp;&nbsp;(d) **Items Leased or Not Owned:** Any item which is leased or
not owned by Seller, such as antennas, satellite dishes and receivers, appliances, and alarm and security systems must be identified
here and shall not convey:

<u>None as identified in Doorify MLS as of 9/9/25</u> <br>   <br>  

In addition, any leased fuel tank identified in paragraph 7(d) shall not convey. Any items leased or not owned by Seller that Seller wishes to convey under certain conditions - for example, if Seller wishes for Buyer to assume a fixture loan before conveying an item - should be addressed in an attorney-drafted addendum after consulting with the lender, if any.

&nbsp;&nbsp;&nbsp;&nbsp;(e) **Other Items That Do Not Convey:** The following items shall not convey *(identify those items to be excluded under subparagraphs (a) and (b)):*  **<u>None as identified in Doorify MLS as of 9/9/2</u>** <u>5 ** </u> 

Seller must repair any damage caused by removal of any items excluded above in a good and workmanlike manner. Seller will notify Buyer upon completion of such repair(s) and provide Buyer with documentation thereof, if any. Buyer is advised to consider attaching the Additional Provisions Addendum (Form 2A11-T) if Buyer has a specific request as to how the repairs should be completed.

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3. **PERSONAL PROPERTY:** The following personal property present on the Property on the date of the offer shall be transferred to Buyer at closing at no value. Any personal property that is part of the sale should be identified in this paragraph. Buyer is advised to consult with Buyer's lender to assure that the Personal Property items listed here can be included: **<u>kitchen appliances as seen in photos on Doorify MLS</u>**

4. **BUYER'S DUE DILIGENCE PROCESS:** BUYER IS STRONGLY ENCOURAGED TO CONDUCT DUE DILIGENCE DURING THE DUE DILIGENCE PERIOD. If Buyer is not satisfied with the results or progress of Buyer's Due Diligence, Buyer should terminate this Contract *prior to the expiration of the Due Diligence Period*, unless Buyer can obtain a written extension from Seller. *Seller is not obligated to grant an extension*. If Buyer terminates outside the Due Diligence Period, Buyer may lose their Earnest Money Deposit. Buyer may continue to investigate the Property following the expiration of the Due Diligence Period as allowed under paragraphs 4 and 8(c) herein.

(a) **Loan:** Buyer, at Buyer's expense, shall be entitled to pursue qualification for and approval of the Loan if any. *There is no loan or appraisal contingency in this Contract*. Therefore, Buyer is advised to consult with Buyer's lender prior to signing this offer to assure that the Due Diligence Period allows sufficient time for the loan process and for Buyer's lender to provide Buyer sufficient information to decide whether to proceed with or terminate the transaction.

(b) **Property Investigation:** Buyer or Buyer's agents or representatives, at Buyer's expense, shall be entitled to conduct all desired tests, surveys, appraisals, investigations, examinations and inspections of the Property as Buyer deems appropriate, including but NOT limited to the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) **Inspections:** Inspections to determine the condition of any improvements on the Property, the presence
of unusual drainage conditions or evidence of excessive moisture adversely affecting any improvements on the Property, the presence of
asbestos or existing environmental contamination, evidence of wood-destroying insects or damage therefrom, and the presence and level
of radon gas on the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **Review of Documents:** Review of the Declaration of Restrictive Covenants, Bylaws, Articles of Incorporation,
Rules and Regulations, and other governing documents of any applicable owners' association and/or subdivision. If the Property is subject
to regulation by an owners' association, it is recommended that Buyer review the completed Residential Property and Owners' Association
Disclosure Statement provided by Seller prior to signing this offer. It is also recommended that the Buyer determine if the owners' association
or its management company charges fees for providing information required by Buyer's lender or confirming restrictive covenant compliance.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) **Insurance:** Investigation of the availability and cost of insurance for the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) **Appraisals:** An appraisal of the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) **Survey:** A survey to determine whether the property is suitable for Buyer's intended use and the
location of easements, setbacks, property boundaries and other issues which may or may not constitute title defects.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) **Zoning, Governmental Regulation, and Governmental Compliance:** Investigation of current or proposed
zoning or other governmental regulation that may affect Buyer's intended use of the Property, adjacent land uses, planned or proposed
road construction, and school attendance zones; and investigation of whether the Property is in violation of any law, ordinance, permit,
or government regulation as outlined in paragraph 8(h).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) **Flood/Wetland/Water Hazard:** Investigation of potential flood hazards, wetlands, or other water
or riparian issues on the Property; and/or any requirement to purchase flood insurance in order to obtain a loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) **Utilities and Access:** Availability, quality, and obligations for maintenance of utilities including
water, sewer, electric, gas, communication services, stormwater management, and means of access to the Property and amenities.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ix) **Streets/Roads:** Investigation of the status of the street/road upon which the Property fronts as
well as any other street/road used to access the Property, including: (1) whether any street(s)/road(s) are public or private, (2) whether
any street(s)/road(s) designated as public are accepted for maintenance by the State of NC or any municipality, or (3) if private or not
accepted for public maintenance, the consequences and responsibility for maintenance and the existence, terms and funding of any maintenance
agreements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(x) **Special Assessments:** Investigation of the existence of Special Assessments that may be under consideration
by a governmental authority or an owners' association.

(c) **Sale/Lease of Existing Property:** As noted in paragraph 5(b), unless otherwise provided in an addendum, this Contract is not conditioned upon the sale/lease or closing of other property owned by Buyer. Therefore, if Buyer must sell or lease other real property in order to qualify for a new loan or to otherwise complete the purchase of the Property, Buyer should seek to close on Buyer's other property prior to the end of the Due Diligence Period or be reasonably satisfied that closing on Buyer's other property will take place prior to the Settlement Date of this Contract.

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(d) **Repair/Improvement Negotiations/Agreement:** Buyer acknowledges and understands the following: (i) Unless the parties agree otherwise, THE PROPERTY IS BEING SOLD IN ITS CURRENT CONDITION; (ii) Seller may, but is not required to, engage in negotiations for repairs/improvements to the Property. Buyer is strongly advised to make any repair/improvement requests in sufficient time to allow negotiations to be concluded prior to the expiration of the Due Diligence Period. Any agreement that the parties may reach with respect to repairs/improvements is an addition to this Contract that must be in writing and signed by the parties in accordance with Paragraph 19.

(e) **Buyer's Obligation to Repair Damage**: Buyer shall, at Buyer's expense, promptly repair any damage to the Property resulting from any activities of Buyer and Buyer's agents and contractors, but Buyer shall not be responsible for any damage caused by accepted practices either approved by the N.C. Home Inspector Licensure Board or applicable to any other N.C. licensed professional performing reasonable appraisals, tests, surveys, examinations, and inspections of the Property. This repair obligation shall survive any termination of this Contract.

(f) **Indemnity:** Buyer will indemnify and hold Seller harmless from all loss, damage, claims, suits or costs, which shall arise out of any contract, agreement, or injury to any person or property as a result of any activities of Buyer and Buyer's agents and contractors relating to the Property except for any loss, damage, claim, suit or cost arising out of pre-existing conditions of the Property and/or out of Seller's negligence or willful acts or omissions. This indemnity shall survive this Contract and any termination hereof.

(g) **Buyer's Right to Terminate:** Provided that Buyer has delivered any agreed-upon Due Diligence Fee, Buyer shall have the right to terminate this Contract for any reason or no reason; by delivering to Seller written notice of termination (the "Termination Notice") during the Due Diligence Period (or any agreed-upon written extension of the Due Diligence Period), ***TIME IS OF THE ESSENCE***. If Buyer timely delivers the Termination Notice, this Contract shall be terminated and the Earnest Money Deposit shall be refunded to Buyer.

(h) **CLOSING SHALL CONSTITUTE ACCEPTANCE OF THE PROPERTY IN ITS THEN EXISTING CONDITION UNLESS PROVISION IS OTHERWISE MADE IN WRITING.**

5. BUYER REPRESENTATIONS:

(a) **Funds to complete purchase:** Buyer's obligations under this Contract are not conditioned on obtaining any loan(s) or other funds from sources other than Buyer's own assets. Some loans and programs providing funds to Buyer may impose repair obligations or additional conditions or costs upon Seller or Buyer, and more information may be needed. Material changes to funding the purchase of the Property that affect the terms of the contract are material facts that must be disclosed.

☒ **Cash**. Buyer intends to pay cash in order to purchase the Property and does not intend to obtain a loan or funds from sources other than Buyer's own assets. If Buyer does not intend to obtain a new loan(s) and/or funds from sources other than Buyer's own assets, Seller is advised, prior to signing this offer, to obtain documentation from Buyer which demonstrates that Buyer will be able to close on the Property without the necessity of obtaining a loan or funds from sources other than Buyer's own assets. Verification of cash available for Settlement ☐ is ☐ is not attached.

**OR:**

☐ **Loan(s)/Other Funds**. Buyer intends to obtain a loan(s) and/or other funds to purchase the Property from the following sources. Material changes to the following are material facts that must be disclosed. The parties should note that some loans may have repair obligations or other costs on Seller or Buyer.

C*heck all applicable sources*:

☐ First Mortgage Loan: Buyer intends to obtain a first mortgage loan of the following: ☐FHA ☐VA (attach FHA/VA Financing Addendum) ☐ Conventional ☐ USDA ☐ Other type:<u> </u> in the principal amount of<u> </u> plus any financed VA Funding Fee or FHA MIP.

☐ Second Mortgage Loan: Buyer intends to obtain a second mortgage loan as follows:<u> </u>

☐ Other funds: Buyer intends to obtain funds from the following other source(s) in order to purchase the Property:<u> </u>

<u> </u>

<u> </u>

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(b) **Other Property:** This subparagraph is only a disclosure by Buyer and does not make this contract contingent on the sale of Buyer's other property. If Buyer and Seller wish to make this Contract contingent on the sale of Buyer's other property, then the parties should attach an attorney-drafted, custom addendum.

Buyer ☐ DOES ☒ DOES NOT have to sell or lease other real property in order to qualify for a new loan or to complete the purchase.

*(Complete the following only if Buyer DOES have to sell or lease other real property:)*

Other Property Address:  

☐ (*Check if applicable*) Buyer's other property IS under contract as of the date of this offer, and a copy of the contract has either been previously provided to Seller or accompanies this offer. *(Buyer may mark out any confidential information, such as the purchase price and the buyer's identity, prior to providing a copy of the contract to Seller.)* Failure to provide a copy of the contract shall not prevent this offer from becoming a binding contract; however, SELLER IS STRONGLY ENCOURAGED TO OBTAIN AND REVIEW THE CONTRACT ON BUYER'S PROPERTY PRIOR TO ACCEPTING THIS OFFER.

☐ (*Check if applicable*) Buyer's other property IS NOT under contract as of the date of this offer. Buyer's property (*check only ONE of the following options*):

☐ is listed with and actively marketed by a licensed real estate broker.

☐ will be listed with and actively marketed by a licensed real estate broker.

☐ Buyer is attempting to sell/lease the Buyer's Property without the assistance of a licensed real estate broker.

(c) **Performance of Buyer's Financial Obligations:** To the best of Buyer's knowledge, there are no other circumstances or conditions existing as of the date of this offer that would prohibit Buyer from performing Buyer's financial obligations in accordance with this Contract, except as may be specifically set forth herein.

(d) **Residential Property and Owners' Association Disclosure Statement** *(check only one):*

 

&nbsp;&nbsp;&nbsp;&nbsp;☒ Buyer has received a signed copy of the N.C. Residential
Property and Owners' Association Disclosure Statement prior to making this offer and acknowledges compliance with N.C.G.S. 47E-5 (Residential
Property Disclosure Act).

☐ Buyer has NOT received a signed copy of the N.C. Residential Property and Owners' Association Disclosure Statement prior to making this offer and shall have the right to terminate or withdraw this Contract without penalty (including a refund of any Due Diligence Fee) prior to WHICHEVER OF THE FOLLOWING EVENTS OCCURS FIRST: (1) the end of the third calendar day following receipt of the Disclosure Statement; (2) the end of the third calendar day following the Effective Date; or (3) Settlement or occupancy by Buyer in the case of a sale or exchange.

☐ Exempt from N.C. Residential Property and Owners' Association Disclosure Statement because (SEE GUIDELINES): <br>   <br> <u>.</u>

(e) **Mineral and Oil and Gas Rights Mandatory Disclosure Statement** *(check only one):*

&nbsp;&nbsp;&nbsp;&nbsp;☒ Buyer has received a signed copy of the N.C. Mineral and
Oil and Gas Rights Mandatory Disclosure Statement prior to making this offer and acknowledges compliance with N.C.G.S. 47E-5 (Residential
Property Disclosure Act).

☐ Buyer has NOT received a signed copy of the N.C. Mineral and Oil and Gas Rights Mandatory Disclosure Statement prior to making this offer and shall have the right to terminate or withdraw this Contract without penalty (including a refund of any Due Diligence Fee) prior to WHICHEVER OF THE FOLLOWING EVENTS OCCURS FIRST: (1) the end of the third calendar day following receipt of the Disclosure Statement; (2) the end of the third calendar day following the Effective Date; or (3) Settlement or occupancy by Buyer in the case of a sale or exchange.

☐ Exempt from N.C. Mineral and Oil and Gas Rights Mandatory Disclosure Statement because (SEE GUIDELINES):<u> </u> <br> <u>.</u>

Buyer's receipt of a Mineral and Oil and Gas Rights Mandatory Disclosure Statement does not modify or limit the obligations of Seller under Paragraph 8(g) of this Contract and shall not constitute the assumption or approval by Buyer of any severance of mineral and/or oil and gas rights, except as may be assumed or specifically approved by Buyer in writing. The parties are advised to consult with a NC attorney prior to signing this Contract if severance of mineral and/or oil and gas rights has occurred.

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6. BUYER OBLIGATIONS:

(a) Timely Payment of Earnest Money Deposit and Due Diligence Fee; Dishonored Funds:

&nbsp;&nbsp;&nbsp;&nbsp;(i) Buyer must timely pay the Earnest Money Deposit and Due Diligence
Fee. Should Buyer fail to deliver either the Due Diligence Fee or any Initial Earnest Money Deposit by their due dates, or should any
check or other funds paid by Buyer be dishonored, for any reason, by the institution upon which the payment is drawn, Buyer shall have
one banking day after written notice to deliver cash, official bank check, wire transfer, or electronic transfer to the payee. Form 355
may be used to demand funds from Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;(ii) In the event Buyer does not timely deliver the required funds, Seller shall have the right to terminate
this Contract upon written notice to Buyer, and Seller shall be entitled to recover the Due Diligence Fee together with all Earnest Money
Deposit paid or to be paid in the future. In addition, Seller may seek any remedies allowed for dishonored funds. See paragraph 23 for
a party's right to attorneys' fees incurred in collecting the Earnest Money Deposit or Due Diligence Fee.

&nbsp;&nbsp;&nbsp;&nbsp;(iii) If the parties agree that Buyer will pay any fee or deposit described above by electronic or wire transfer,
Seller agrees to cooperate in effecting such transfer, including the establishment of any necessary account and providing any necessary
information to Buyer. Buyer shall be responsible for additional costs, if any, associated with such transfer.

(b) **Responsibility for Special Assessments:** Buyer shall take title subject to all Special Assessments that may be approved following Settlement.

(c) **Responsibility for Certain Costs:** Buyer shall be responsible for all costs with respect to: (i) any loan obtained by Buyer; (ii) charges by an owners' association or a management company/vendor as agent of the association under paragraph 9(b) of this Contract; (iii) appraisal; (iv) title search; (v) title insurance; (vi) any fees charged by the closing attorney for the preparation of the Closing Disclosure, Seller Disclosure and any other settlement statement; (vii) recording the deed; and (viii) preparation and recording of all instruments required to secure the balance of the Purchase Price unpaid at Settlement.

(d) **Authorization to Disclose Information:** Buyer authorizes the Buyer's lender(s), the parties' real estate agent(s) and closing attorney: (i) to provide this Contract to any appraiser employed by Buyer or by Buyer's lender(s); and (ii) to release and disclose any buyer's closing disclosure, settlement statement and/or disbursement summary, or any information therein, to the parties to this transaction, their real estate agent(s) and Buyer's lender(s).

7. SELLER REPRESENTATIONS:

(a) **Ownership:** Seller ☒ has owned the Property for at least one year; ☐ has owned the Property for less than one year; or ☐ does not yet own the Property.

(b) **Lead-Based Paint** *(check if applicable)*: ☐ The Property is residential and was built prior to 1978 (Attach Lead-Based Paint or Lead-Based Paint Hazards Disclosure Addendum, Form 2A9-T). IF A LEAD-BASED PAINT DISCLOSURE IS REQUIRED BUT NOT GIVEN TO BUYER PRIOR TO SELLER'S ACCEPTANCE OF THIS OFFER, BUYER MAY NOT BE OBLIGATED TO PURCHASE THE PROPERTY UNDER THIS CONTRACT UNDER FEDERAL LAW.

(c) **Owners' Association(s) and Dues:** Seller authorizes and directs any owners' association, any management company of the owners' association, any insurance company and any attorney who has previously represented the Seller to release to Buyer, Buyer's agents, representative, closing attorney and/or lender true and accurate copies of the following items affecting the Property, including any amendments: Seller's statement of account; master insurance policy showing the coverage provided and the deductible amount; Declaration and Restrictive Covenants; Rules and Regulations; Articles of Incorporation; Bylaws of the owners' association; current financial statement and budget of the owners' association; parking restrictions and information; and architectural guidelines.

☒ Name of Association 1:  **<u>Charleston Management Corporation</u>** whose regular assessments ("dues") are $**<u>75.00</u>** per  **<u>month</u>** . The name, address and telephone number of the president of the owners' association or the association manager is:<u> </u>.

Owners' association website address, if any:<u> </u>

☐ Name of Association 2:<u> </u> whose regular assessments ("dues") are $<u> </u> per<u> </u>. The name, address and telephone number of the president of the owners' association or the association manager is:<u> </u>.

Owners' association website address, if any:<u> </u>

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![](ex6-14_002.jpg)

(d) **Fuel Tank(s)/Fuel:** To the best of Seller's knowledge, there ☐ is ☒ is not a fuel tank(s) located on the Property. If "yes" complete the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Description:

☐ Tank 1: ☐ currently in use ☐ currently NOT in use

● Ownership: ☐ owned ☐ leased. If leased, name and contact information of tank lessor: <u> </u> 

● Location: ☐ above ground ☐ below ground

● Type of fuel: ☐ oil ☐ propane ☐ gasoline and/or diesel ☐other: <u> </u> 

● Name and contact information of fuel vendor: <u> </u> 

☐ Tank 2: ☐ currently in use ☐ currently NOT in use

● Ownership: ☐ owned ☐ leased. If leased, name and contact information of tank lessor: <u> </u> 

● Location: ☐ above ground ☐ below ground

● Type of fuel: ☐ oil ☐ propane ☐ gasoline and/or diesel ☐ other: <u> </u> 

● Name and contact information of fuel vendor: <u> </u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) **Tank(s) included in sale:** Buyer and Seller agree that any tank described above that is owned by
Seller shall be included in the sale as part of the Purchase Price free of liens, unless excluded in paragraph 2(d) or 2(e) above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) **Fuel:** Seller may use fuel in the tank(s) described above through Settlement, but may not otherwise
remove the fuel or resell it. Any fuel remaining in the tank(s) as of Settlement shall be included in the sale as part of the Purchase
Price, free of liens. Seller's use of fuel in any fuel tank is subject to Seller's obligation under Paragraph 8(c) to provide working,
existing utilities through the earlier of Closing or possession by Buyer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) **Inspections;** Supplier Consent: Buyer shall be entitled to conduct inspections to confirm the existence,
type and ownership of any fuel tank located on the Property. Buyer is advised to consult with the owner of any leased fuel tank regarding
the terms under which Buyer may lease the tank and obtain fuel. State law provides that it is unlawful for any person, other than the
supplier or the owner of a fuel supply tank, to disconnect, interrupt or fill the supply tank with liquefied petroleum gas (LP gas or
propane) without the consent of the supplier.

(e) **Leases**. The Property ☐ is ☒ is not subject to any lease(s). If the Property is subject to a lease, Buyer and Seller should include either the Rental/Income/Investment Property provision in the Additional Provisions Addendum (Standard Form 2A11-T) or the Vacation Rental Addendum (Form 2A13-T) with this offer.

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8. SELLER OBLIGATIONS:

(a) Evidence of Title and Payoff Statement(s):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Seller agrees to use best efforts to provide to the closing attorney as soon as reasonably possible after
the Effective Date, copies of all title information in possession of or available to Seller, including but not limited to: title insurance
policies, attorney's opinions on title, surveys, covenants, deeds, notes and deeds of trust, leases, and easements relating to the Property.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) Seller shall provide to the closing attorney all information needed to obtain a written payoff statement
from any lender(s) regarding any security interest in the Property as soon as reasonably possible after the Effective Date, and Seller
designates the closing attorney as Seller's agent with express authority to request and obtain on Seller's behalf payoff statements and/or
short-pay statements from any such lender(s).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) As soon as reasonably possible after the Effective Date, Seller shall provide to the closing attorney
all information needed to obtain a written statement of Seller's account from any owners' association or HOA management company associated
with the Property. Seller designates the closing attorney as Seller's agent with express authority to request and obtain on Seller's behalf
a written statement of Seller's account as to the Property. Upon request from the closing attorney, Seller shall immediately pay any fees
charged by the owners' association or HOA management company for such written statement.

(b) **Authorization to Disclose Information:** Seller authorizes: (i) any attorney presently or previously representing Seller to release and disclose any title insurance policy in such attorney's file to Buyer and both Buyer's and Seller's agents and attorneys; (ii) the Property's title insurer or its agent to release and disclose all materials in the Property's title insurer's (or title insurer's agent's) file to Buyer and both Buyer's and Seller's agents and attorneys and (iii) the closing attorney to release and disclose any seller's closing disclosure, settlement statement and/or disbursement summary, or any information therein, to the parties to this transaction, their real estate agent(s) and Buyer's lender(s).

(c) **Access to Property:** Seller shall provide reasonable access to the Property through the earlier of Closing or possession by Buyer, including, but not limited to, allowing Buyer and/or Buyer's agents or representatives, an opportunity to: (i) conduct any Due Diligence, investigations, or inspections; (ii) verify the satisfactory completion of negotiated repairs/improvements; and (iii) conduct a final walk-through inspection of the Property. Seller's obligation includes providing existing utilities operating at Seller's cost, including any connections and de-winterizing.

(d) **Removal of Seller's Property:** Seller shall remove, by the date possession is made available to Buyer, all personal property which is not a part of the purchase and all garbage and debris from the Property.

(e) **Settlement Deliverables:** If requested by the closing attorney, Seller shall furnish, prior to or at Settlement, the following items in a form satisfactory to Buyer and Buyer's title insurer, if any:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Affidavit and indemnification agreements or other documents that: (1) cover any potential materialman's
lien under N.C.G.S. § 44A-8 for labor, services,
materials, or rental equipment used on the Property within 120 days of Settlement; (2) address the closing attorney's difficulty in accessing
electronic records with the register of deeds and the clerk of court; and (3) allow Buyer to obtain a title insurance policy, subject
to the exceptions in paragraph 8(g) below.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) If Seller is not a foreign person as defined by the Foreign Investment in Real Property Tax Act, Seller
will also provide to the closing attorney a non-foreign status certification (pursuant to the Foreign Investment in Real Property Tax
Act). If Seller does not provide this certification, Seller acknowledges that there may be withholding as provided by the Internal Revenue
Code.

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(f) **Designation of Lien Agent, Payment and Satisfaction of Liens:** If required by N.C.G.S. §44A-11.1, Seller shall have designated a Lien Agent, and Seller shall deliver to Buyer as soon as reasonably possible a copy of the appointment of Lien Agent. All deeds of trust, deferred ad valorem taxes, liens and other charges against the Property, not assumed by Buyer, must be paid and satisfied by Seller prior to or at Settlement such that cancellation may be promptly obtained following Closing. Seller shall remain obligated to obtain any such cancellations following Closing.

(g) **Good Title, Legal Access:** Seller shall execute and deliver a GENERAL WARRANTY DEED for the Property in recordable form no later than Settlement, which shall convey fee simple marketable and insurable title, without exception for mechanics' liens, lis pendens, monetary liens and judgments, and free of other encumbrances or defects that would materially affect the value of the Property, including those which would be revealed by a current and accurate survey of the Property, except: (i) ad valorem taxes for the current year; (ii) utility easements and unviolated covenants, conditions or restrictions; and (iii) such other liens, encumbrances or defects as may be specifically approved by Buyer in writing. The Property must have legal access to a public right of way. Buyer's failure to conduct a survey or examine title of the Property, prior to the expiration of the Due Diligence Period does not relieve the Seller of their obligation to deliver good title under this paragraph.

(h) **Governmental Compliance:** It is a condition of this Contract that the Property be conveyed free of any material violation of law, ordinance, permit, or government regulation (including, but not limited to, those relating to building, stormwater, impervious surface, environmental protection, and zoning), unless Seller has specifically disclosed such violation(s) prior to the Effective Date. If Buyer establishes that a violation exists after the Effective Date and prior to Closing, then Buyer must promptly notify Seller and Seller may cure the violation(s). Unless otherwise agreed, if Seller does not cure the violation(s) prior to Closing, then Buyer may choose to accept the violation(s) and proceed to Settlement/Closing or terminate this Contract and receive a refund of the Earnest Money Deposit and the Due Diligence Fee.

(i) **Deed, Taxes and Fees:** Seller shall pay for preparation of a deed and all other documents necessary to perform Seller's obligations under this Contract, and for state and county excise taxes, and any deferred, discounted or rollback taxes, and local conveyance fees required by law. The deed is to be made to: (i) Buyer; (ii) a corporation, limited liability company, or other business entity of which Buyer is the sole owner or shareholder; (iii) a trust for which Buyer is the beneficiary; (iv) any relative of Buyer; and/or (v) Other: (Insert Name(s) Only) <u>Wahed Financial LLC</u> ![](ex6-14_004.jpg) ![](ex6-14_005.jpg).

(j) **Owners' Association Fees/Charges:** Seller shall pay any charges by an owners' association or a management company/vendor as agent of the association under paragraph 9(a) of this Contract.

(k) **Payment of Special Assessments:** Seller shall pay, in full at Settlement, all Special Assessments that are approved prior to Settlement, whether payable in a lump sum or future installments, provided that the amount thereof can be reasonably determined or estimated. The payment of such estimated amount shall be the final payment between the Parties.

(l) **Late Listing Penalties:** All property tax late listing penalties, if any, shall be paid by Seller.

(m) **Negotiated Repairs/Improvements:** Negotiated repairs/improvements shall be made in a good and workmanlike manner and Buyer shall have the right to verify same prior to Settlement.

(n) **Home Warranty:** *(Select one of the following):*

☒ No home warranty is to be provided by Seller.

☐ Buyer may obtain a one-year home warranty at a cost not to exceed $<u> </u>which includes sales tax and Seller agrees to pay for it at Settlement.

☐ Seller has obtained and will provide a one-year home warranty from<u> </u> at a cost of $<u> </u> which includes sales tax and will pay for it at Settlement.

9. **CHARGES BY OWNERS' ASSOCIATION:** Responsibility for payment of charges by an owners' association or a management company/vendor as agent of the association shall be allocated between Buyer and Seller as follows:

(a) Seller shall pay:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) fee incurred by Seller in completing the Residential Property and Owners' Association Disclosure Statement,
and resale or other certificates related to a proposed sale of the Property;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) fees required for confirming Seller's account payment information on owners' association dues or assessments
for payment or proration, including any expedite fee permitted under N.C. Gen. Stat. § 47F-3-102 that is charged in connection with
providing such information;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) any fees charged for transferring or updating ownership records of the association; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) any fees other than those fees specifically required to be paid by Buyer under paragraph 9(b) below.

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(b) Buyer shall pay:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) charges for providing information required by Buyer's lender;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) charges for working capital contributions, membership fees, or charges imposed for Buyer's use of the common elements and/or services
provided to Buyer in connection with Buyer taking possession of the Property, such as "move-in fees"; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) charges for determining restrictive covenant compliance.

10. **PRORATIONS AND ADJUSTMENTS:** Unless otherwise agreed, the following items shall be prorated, with Seller responsible for the prorated amounts of any taxes and dues through the date of Settlement, and Seller entitled to the amount of prorated rents through the date of Settlement, and either adjusted between the parties or paid at Settlement:

(a) **Taxes on Real Property:** Ad valorem taxes and recurring governmental service fees levied with such taxes on real property shall be prorated on a calendar year basis;

(b) **Taxes on Personal Property:** Ad valorem taxes on personal property for the entire year shall be paid by Seller unless the personal property is conveyed to Buyer, in which case, the personal property taxes shall be prorated on a calendar year basis;

(c) **Rents:** Rents, if any, for the Property;

(d) **Dues:** Owners' association regular assessments (dues) and other like charges.

11. CONDITION OF PROPERTY/RISK OF LOSS:

(a) **Condition of Property at Settlement:** If the Property is not in substantially the same or better condition at Closing as on the date of this offer, reasonable wear and tear excepted, Buyer may terminate this Contract by written notice delivered to Seller and the Due Diligence Fee and Earnest Money Deposit shall be refunded to Buyer. If the Property is not in such condition and Buyer does NOT elect to terminate this Contract, Buyer shall be entitled to receive, in addition to the Property, the proceeds of any insurance claim filed by Seller on account of any damage or destruction to the Property.

(b) **Risk of Loss:** The risk of loss or damage by fire or other casualty prior to Closing shall be upon Seller. Seller is advised not to cancel existing insurance on the Property until after confirming recordation of the deed.

12. **DELAY IN SETTLEMENT/CLOSING:** This paragraph shall apply if one party is ready, willing and able to complete Settlement on the Settlement Date ("Non-Delaying Party") but it is not possible for the other party to complete Settlement by the Settlement Date ("Delaying Party"). In such event, the Delaying Party shall be entitled to a delay in Settlement and shall give as much notice as possible to the Non-Delaying Party and closing attorney. If the Delaying Party fails to complete Settlement and Closing within seven (7) days of the Settlement Date (including any amended Settlement Date agreed to in writing by the parties), then the Delaying Party shall be in breach and the Non-Delaying Party may terminate this Contract and shall be entitled to enforce any remedies available to such party under this Contract for the breach.

13. **POSSESSION:** Possession, including all means of access to the Property and transferable amenities and services (keys including mailbox keys, codes including security codes, garage door openers, electronic devices, etc.), shall be delivered upon Closing as defined in Paragraph 1(n) unless otherwise provided below:

☐ A Buyer Possession Before Closing Agreement is attached (Standard Form 2A7-T)

☐ A Seller Possession After Closing Agreement is attached (Standard Form 2A8-T)

☐ Possession is subject to rights of tenant(s) (Parties should attach either Additional Provisions Addendum (Form 2A11-T) or Vacation Rental Addendum (Form 2A13-T))

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14. **ADDENDA:** Buyer and Seller should note that real estate brokers cannot draft addenda to this Contract.

---

| | |
|:---|:---|
| ☐ Additional Provisions Addendum (Form 2A11-T)<br> ☐ Additional Signatures Addendum (Form 3-T) <br> ☐ Back-Up Contract Addendum (Form 2A1-T) <br> ☐ FHA/VA Financing Addendum (Form 2A4-T)<br> ☐ Lead-Based Paint Or Lead-Based Paint Hazard Addendum (Form 2A9-T) <br> ☐ Loan Assumption Addendum (Form 2A6-T) | ☐ New Construction Addendum (Form 2A3-T) <br> ☐ Owners' Association Disclosure Addendum (Form 2A12-T) <br> ☐ Seller Financing Addendum (Form 2A5-T) <br> ☐ Short Sale Addendum (Form 2A14-T) <br> ☐ Vacation Rental Addendum (Form 2A13-T) |

---

☐ Identify other attorney or party drafted addenda:<u> </u>

15. **ASSIGNMENTS:** This Contract may not be assigned without the written consent of all parties except in connection with a tax- deferred exchange, but if assigned by agreement, then this Contract shall be binding on the assignee and assignee's heirs and successors.

16. **TAX-DEFERRED EXCHANGE:** In the event Buyer or Seller desires to effect a tax-deferred exchange in connection with the conveyance of the Property, Buyer and Seller agree to cooperate in effecting such exchange; provided, however, that the exchanging party shall be responsible for all additional costs associated with such exchange, and provided further, that a non-exchanging party shall not assume any additional liability with respect to such tax-deferred exchange. Buyer and Seller shall execute such additional documents, including assignment of this Contract in connection therewith, at no cost to the non-exchanging party, as shall be required to give effect to this provision.

17. **PARTIES:** This Contract shall be binding upon and shall inure to the benefit of Buyer and Seller and their respective heirs, successors and assigns. As used herein, words in the singular include the plural and the masculine includes the feminine and neuter genders, as appropriate.

18. **SURVIVAL:** If any provision herein contained which by its nature and effect is required to be observed, kept or performed after the Closing, it shall survive the Closing and remain binding upon and for the benefit of the parties hereto until fully observed, kept or performed.

19. **ENTIRE AGREEMENT/RECORDATION:** This Contract contains the entire agreement of the parties and there are no representations, inducements or other provisions other than those expressed herein. All changes, additions or deletions hereto must be in writing and signed by all parties. Nothing contained herein shall alter any agreement between a REALTOR® or broker and Seller or Buyer as contained in any listing agreement, buyer agency agreement, or any other agency agreement between them. This Agreement or any memorandum thereof shall not be recorded without the express written consent of Buyer and Seller.

20. **CONDUCT OF TRANSACTION:** The parties agree that any action between them relating to the transaction contemplated by this Contract may be conducted by electronic means, including the signing of this Contract by one or more of them and any notice or communication given in connection with this Contract. Any written notice or communication may be transmitted to any mailing address, e-mail address or fax number set forth in the "Notice Information" section below. Any notice or communication to be given to a party herein, and any fee, deposit or other payment to be delivered to a party herein, may be given to the party or to such party's agent. Delivery of any notice to a party via means of electronic transmission shall be deemed complete at such time as the sender performs the final act to send such transmission, in a form capable of being processed by the receiving party's system, to any electronic address provided for such party in the "Notice Information" section below. Seller and Buyer agree that the "Notice Information" and "Acknowledgment of Receipt of Monies" sections below shall not constitute a material part of this Contract, and that the addition or modification of any information therein shall not constitute a rejection of an offer or the creation of a counteroffer.

21. **EXECUTION:** This Contract may be signed in multiple originals or counterparts, all of which together constitute one and the same instrument.

22. **COMPUTATION OF DAYS/TIME OF DAY:** Unless otherwise provided, for purposes of this Contract, the term "days" shall mean consecutive calendar days, including Saturdays, Sundays, and holidays, whether federal, state, local or religious. For the purposes of calculating days, the count of "days" shall begin on the day following the day upon which any act or notice as provided in this Contract was required to be performed or made. Any reference to a date or time of day shall refer to the date and/or time of day in the State of North Carolina.

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23. REMEDIES:

(a) **Breach by Buyer:** In the event of material breach of this Contract by Buyer, Seller shall be entitled to any Earnest Money Deposit. The payment of any Earnest Money Deposit and any Due Diligence Fee to Seller (without regard to their respective amounts, including zero) together shall serve as liquidated damages ("Liquidated Damages") and as Seller's sole and exclusive remedy for such breach, provided that such Liquidated Damages shall not limit Seller's rights under Paragraphs 4(e) and 4(f) for damage to the Property as well as Seller's rights under paragraph 6(a) for dishonored funds. It is acknowledged by the parties that the amount of the Liquidated Damages is compensatory and not punitive, such amount being a reasonable estimation of the actual loss that Seller would incur as a result of a breach of this Contract by Buyer. The payment to Seller of the Liquidated Damages shall not constitute a penalty or forfeiture but actual compensation for Seller's anticipated loss, both parties acknowledging the difficulty of determining Seller's actual damages for such breach.

(b) **Breach by Seller:** In the event of material breach of this Contract by Seller, Buyer may (i) elect to terminate this Contract as a result of such breach, and shall be entitled to return of both the Earnest Money Deposit and the Due Diligence Fee, together with the reasonable costs actually incurred by Buyer in connection with Buyer's Due Diligence ("Due Diligence Costs"), or (ii) elect not to terminate and instead treat this Contract as remaining in full force and effect and seek the remedy of specific performance.

(c) **Attorneys' Fees:** If legal proceedings are brought by Buyer or Seller against the other to collect the Earnest Money Deposit, Due Diligence Fee, or Due Diligence Costs, the parties agree that a party shall be entitled to recover reasonable attorneys' fees to the extent permitted under N.C. Gen. Stat. § 6-21.2, and if applicable, N.C. Gen. Stat. § 6-21.3 for dishonored funds. The parties acknowledge and agree that the terms of this Contract with respect to entitlement to the Earnest Money Deposit, Due Diligence Fee, or Due Diligence Costs each constitute an "evidence of indebtedness" pursuant to N.C. Gen. Stat. § 6-21.2.

NC REALTORS® AND THE NORTH CAROLINA BAR ASSOCIATION MAKE NO REPRESENTATION AS TO THE LEGAL VALIDITY OR ADEQUACY OF ANY PROVISION OF THIS FORM IN ANY SPECIFIC TRANSACTION. IF YOU DO NOT UNDERSTAND THIS FORM OR FEEL IT DOES NOT PROVIDE FOR YOUR LEGAL NEEDS, YOU SHOULD CONSULT A NORTH CAROLINA REAL ESTATE ATTORNEY BEFORE YOU SIGN IT.

**This offer shall become a binding contract on the Effective Date. Unless specifically provided otherwise, Buyer's failure to timely deliver any fee, deposit or other payment provided for herein shall not prevent this offer from becoming a binding contract, provided that any such failure shall give Seller certain rights to terminate the contract as described herein or as otherwise permitted by law.**

---

| | | | |
|:---|:---|:---|:---|
| **Buyer:** (Name) | (Signature) | (Date) |  |
| **Buyer:** (Name) | (Signature) | (Date) |  |
| **Entity Buyer:** (Name of LLC, Corp., Trust, etc.) | Wahed Financial LLC | Wahed Financial LLC | Wahed Financial LLC |
| By: (Name & Title) | **Michael Schneider, Managing Member** (Signature) | /s/ Michael Schneider (Date) | 9/10/2025 |
| **Seller:** (Name) | **James J Rheaume** (Signature) | /s/ James J Rheaume |  |
| **Seller:** (Name) | **Candace E Rheaume** (Signature) | /s/ Candace E Rheaume |  |
| **Entity Seller:** (Name of LLC, Corp., Trust, etc.) |  |  |  |
| By: (Name & Title) | (Signature) | (Date) |  |

---

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**WIRE FRAUD WARNING**

**Buyer:** Before wiring any funds, call the closing attorney's office and verify instructions. If you receive wiring instructions for a different bank, branch location, or account after verifying with the closing attorney, presume the instructions are fraudulent, do not send funds, and call the closing attorney again immediately.

**Seller:** If your closing proceeds will be wired, you should provide wiring instructions at Settlement in writing and in the presence of the attorney. If you are unable to attend Settlement, you may be required to send an original notarized directive to the closing attorney's office with wiring instructions. This may be sent with the deed, lien waiver, and tax forms.

**Both Buyer and Seller should independently obtain the closing attorney's phone number to ensure it is legitimate. Do not rely on a phone number from an email, even from the closing attorney's office, your real estate agent, or anyone else.**

**NOTICE INFORMATION**

**NOTE:** INSERT AT LEAST ONE ADDRESS AND/OR ELECTRONIC DELIVERY ADDRESS EACH PARTY AND AGENT APPROVES FOR THE RECEIPT OF ANY NOTICE CONTEMPLATED BY THIS CONTRACT. INSERT "N/A" FOR ANY WHICH ARE NOT APPROVED.

---

| | |
|:---|:---|
| **BUYER NOTICE ADDRESS:** | **SELLER NOTICE ADDRESS:** |
| Mailing Address:<u> </u> | Mailing Address:<u> </u> |
| Buyer Fax#:<u> </u> | Seller Fax#:<u> </u> |
| Buyer E-mail:<u> </u> | Seller E-mail:<u> </u> |

---

**CONFIRMATION OF AGENCY/NOTICE ADDRESSES**

---

| | |
|:---|:---|
| Selling Firm Name: **<u>RE/MAX Legacy</u>** | Listing Firm Name: **<u>Keller Williams Realty</u>** |
| Acting as ☒ Buyer's Agent ☐ Seller's(sub) Agent ☐ Dual Agent | Acting as ☒ Seller's Agent ☐ Dual Agent |
| Firm License #: **<u>C40979</u>** | Firm License #: **<u>C11917</u>** |
| Mailing Address: **<u>147 S. White Street, Wake Forest, NC 27587</u>** | Mailing Address: **<u>4700 Homewood Court, Suite 200, Raleigh, NC 27609</u>** |
| Individual Selling Agent: **<u>Sharon H. Brackins</u>** | Individual Listing Agent: **<u>Cindi Honeycutt</u>** |
| <u>/s/ Sharon H. Brackins</u> |  |
| ☐ Acting as a Designated Dual Agent (check only if applicable) | ☐ Acting as a Designated Dual Agent (check only if applicable) |
| 9/10/2025 |  |
| Selling Agent License #: **<u>221448</u>** | Listing Agent License #: **<u>294963</u>** |
| Selling Agent Phone#: **<u>(252)432-2978</u>** | Listing Agent Phone#: **<u>(919)730-0777</u>** |
| Selling Agent Fax#:<u> </u> | Listing Agent Fax#:<u> </u> |
| Selling Agent E-mail: **<u>Sharon@SharonBrackins.com</u>** | Listing Agent E-mail: **<u>cindihoneycutt@gmail.com</u>** |

---

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**OFFER TO PURCHASE AND CONTRACT <br> ACKNOWLEDGMENT OF RECEIPT OF MONIES**

Seller: **<u>James J Rheaume, Candace E Rheaume</u>** ("Seller")

Buyer:<u> </u>("Buyer")

Property Address: **<u>1740 Golden Honey Drive, Wake Forest, NC 27587</u>** ("Property")

**☐ LISTING AGENT ACKNOWLEDGMENT OF RECEIPT OF DUE DILIGENCE FEE**

Paragraph 1(d) of the Offer to Purchase and Contract between Buyer and Seller for the sale of the Property provides for the payment to Seller of a Due Diligence Fee in the amount of $**<u>4,000.00</u>** , receipt of which Listing Agent hereby acknowledges.

---

| | | |
|:---|:---|:---|
| Date: | Firm: | **Keller Williams Realty** |
|  | By: |  |
|  |  | (Signature) |
|  |  | **Cindi Honeycutt** |
|  |  | (Print name) |

---

**☐ SELLER ACKNOWLEDGMENT OF RECEIPT OF DUE DILIGENCE FEE**

Paragraph 1(d) of the Offer to Purchase and Contract between Buyer and Seller for the sale of the Property provides for the payment to Seller of a Due Diligence Fee in the amount of $**<u>4,000.00</u>** , receipt of which Seller hereby acknowledges.

---

| | | |
|:---|:---|:---|
| Date: | Seller: | |
|  |  | (Signature) |
|  |  | **James J Rheaume** |
| Date: | Seller: | |
|  |  | (Signature) |
|  |  | **Candace E Rheaume** |

---

**☐ ESCROW AGENT ACKNOWLEDGMENT OF RECEIPT OF INITIAL EARNEST MONEY DEPOSIT**

Paragraph 1(d) of the Offer to Purchase and Contract between Buyer and Seller for the sale of the Property provides for the payment to Escrow Agent of an Initial Earnest Money Deposit in the amount of $<u> </u>. Escrow Agent as identified in Paragraph 1(i) of the Offer to Purchase and Contract hereby acknowledges receipt of the Initial Earnest Money Deposit and agrees to hold and disburse the same in accordance with the terms of the Offer to Purchase and Contract.

---

| | | |
|:---|:---|:---|
| Date: | Firm: | **Jackson Law, Raleigh, NC** |
|  | By: |  |
|  |  | (Signature) |
|  |  | (Print name) |

---

**☐ ESCROW AGENT ACKNOWLEDGMENT OF RECEIPT OF (ADDITIONAL) EARNEST MONEY DEPOSIT**

Paragraph 1(d) of the Offer to Purchase and Contract between Buyer and Seller for the sale of the Property provides for the payment to Escrow Agent of an (Additional) Earnest Money Deposit in the amount of $<u> </u>. Escrow Agent as identified in Paragraph 1(i) of the Offer to Purchase and Contract hereby acknowledges receipt of the (Additional) Earnest Money Deposit and agrees to hold and disburse the same in accordance with the terms of the Offer to Purchase and Contract.

---

| | | | |
|:---|:---|:---|:---|
| Date: |  | Firm: | **Jackson Law, Raleigh, NC** |
| Time: | ____________________________☐ AM ☐ PM | By: |  |
|  |  |  | (Signature) |
|  |  |  | (Print name) |

---

Page 16 of 16

![](ex6-14_007.jpg)

## Ex1A-11

**Exhibit 11**

![](ex11_001.jpg)

**CONSENT OF INDEPENDENT AUDITOR**

We consent to the use in the Offering Circular, constituting a part of this Offering Statement on Form 1-A, as it may be amended, of our Independent Auditor's Report dated April 8, 2025 relating to the consolidated financial statements of Wahed Real Estate Series 1 LLC (the "Company") and the financial statements of each of Wahed Real Estate Series 1 LLC's listed series, which comprise the consolidated balance sheets as of December 31, 2024 and the related consolidated statements of operations, changes in members' equity/(deficit), and cash flows for the period from May 14, 2024 (inception) to December 31, 2024, the related notes to the consolidated financial statements, each listed Series' balance sheets as of December 31, 2024, and the related statements of operations, changes in members' equity/(deficit), and cash flows for the period from May 14, 2024 (inception) to December 31, 2024 for each listed Series, and the related notes to each listed Series' financial statements.

**/s/ Artesian CPA, LLC**

Denver, CO

November 4, 2025

**Artesian CPA, LLC**

1312 17<sup>th</sup> Street, #462 \| Denver, CO 80202

p: 877.968.3330 f: 720.634.0905

info@ArtesianCPA.com \| www.ArtesianCPA.com

### UNITED STATES SECURITIES AND EXCHANGE COMMISSION
**Washington, D.C. 20549**

## FORM 1-A

### REGULATION A OFFERING STATEMENT
### UNDER THE SECURITIES ACT OF 1933

### Item 1. Issuer Information

**Exact name of issuer:** Wahed Real Estate Series 1 LLC

**Jurisdiction of Incorporation/Organization:** DE

**Year of Incorporation:** 2024

**CIK:** 0002033610

**I.R.S. Employer Identification Number:** 99-3337084

**Primary Standard Industrial Classification Code:** 6500

**Total number of full-time employees:** 0

**Total number of part-time employees:** 0

**Address of Principal Executive Offices:** 27 East 28th Street, 8th Floor, —, New York, NY 10016

**Company Phone:** 817-657-7612

**Person to contact:** Heidi Mortensen

### Financial Statements

**Balance Sheet Information**

| Metric                                   | Amount     |
|:---|:---|
| Cash and Cash Equivalents                | $5917.00   |
| Investment Securities                    | $0.00      |
| Accounts and Notes Receivable            | $5250.00   |
| Property, Plant and Equipment (PP&E)     | $275759.00 |
| Total Assets                             | $471939.00 |
| Accounts Payable and Accrued Liabilities | $32877.00  |
| Long-Term Debt                           | $0.00      |
| Total Liabilities                        | $404887.00 |
| Total Stockholders' Equity               | $67051.00  |
| Total Liabilities and Equity             | $471939.00 |

**Statement of Comprehensive Income Information**

| Metric                                    | Amount     |
|:---|:---|
| Total Revenues                            | $4200.00   |
| Costs and Expenses Applicable to Revenues | $0.00      |
| Depreciation and Amortization             | $1313.00   |
| Net Income                                | $-11899.00 |
| Earnings Per Share - Basic                | -8.23      |
| Earnings Per Share - Diluted              | -8.23      |

**Auditor Information**

| Metric          | Amount            |
|:---|:---|
| Name of Auditor | Artesian CPA, LLC |

### Outstanding Securities

| Class              |   Outstanding |     CUSIP | Publicly Traded   |
|:---|---:|---:|:---|
| Series Paign Drive |          1446 | 000000000 | n/a               |
| n/a                |             0 | 000000000 | n/a               |
| n/a                |             0 | 000000000 | n/a               |

### Item 2. Issuer Eligibility
- [x] The issuer certifies that all of the statements in this part are true.

### Item 3. Application of Rule 262
- [x] The issuer certifies that it is not disqualified and has not been involved in any disqualifying event.

### Item 4. Summary Information Regarding the Offering

**Tier:** Tier2

**Financial Statement Status:** Audited

**Type of Securities Offered:** Equity (common or preferred stock)

**Is this a delayed or continuous offering?** Yes

**Was or is the offering to take place within one year after qualification?** Yes

**Was or is the offering to commence within two days after qualification?** No

**Is this a best efforts offering?** Yes

**Was there any solicitation of interest?** No

**Are there any resale securities by affiliates of the issuer?** No

**Offering Amounts**

| Description                                                     | Amount      |
|:---|:---|
| Number of securities offered                                    | 17066       |
| Number of securities outstanding                                | 1446        |
| Price per security                                              | $100.00     |
| Issuer's aggregate offering price                               | $1706600.00 |
| Aggregate offering price of securities held by security holders | $0.00       |
| Aggregate price of securities offered concurrently              | $0.00       |
| Total aggregate offering price                                  | $1706600.00 |

**Anticipated Fees**

| Service Provider   | Name               | Fees      |
|:---|:---|:---|
| Auditor            | Artesian CPA, LLC  | $8500.00  |
| Legal              | CrowdCheck Law LLP | $67500.00 |
| Promoters          |  |  |

**Estimated Net Proceeds to the Issuer:** $1613534.00

### Item 5. Jurisdictions in Which Securities are to be Offered

AL, AK, AZ, AR, CA, CO, CT, DE, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, WV, WI, WY, DC, PR

### Item 6. Unregistered Securities Issued or Sold Within One Year

**Name of Such Issuer:** Wahed Real Estate Series 1 LLC

**Title of Securities Issued:** Series Paign Drive Series Interests

**Total Amount of Securities Issued:** 1446

**Amount of such securities sold by principal security holders:** 0

**Aggregate consideration:** $144,600 at $100 for each Series Interest

**Basis for aggregate consideration:** —

**Securities Act Exemption:** Regulation A