Question 1

What is CORE Investment Fund?

Accepted Answer

CORE (Coastal Oakmont Real Estate LP) is a Canadian limited partnership that owns and manages a diversified portfolio of multifamily real estate assets in Western Canada. Investors participate through fund units, which represent proportional ownership in the underlying portfolio. The fund is managed by Calnan Asset Management.

Question 2

What does CORE invest in?

Accepted Answer

CORE focuses on multifamily residential real estate in Western Canada — primarily Alberta and British Columbia, with selective exposure to Saskatchewan. Assets are selected for long-term hold suitability, operational manageability, and alignment with the fund's portfolio objectives.

Question 3

Who manages CORE?

Accepted Answer

CORE is managed by Calnan Asset Management (CAM). CAM handles day-to-day asset management, capital planning, financial reporting, and fund governance. Calnan Asset Management is the issuer of CORE units and raises capital under the issuer exemption from NI 31-103. It is not a registered dealer or exempt market dealer.

Question 4

Is CORE a REIT?

Accepted Answer

No. CORE is a private limited partnership, not a Real Estate Investment Trust (REIT). REITs are publicly traded or publicly distributed investment vehicles with specific regulatory requirements. CORE is a private offering available only to eligible accredited investors under applicable Canadian securities exemptions. Unlike many REITs, CORE does not pay distributions on regular units.

Question 5

Who can invest in CORE?

Accepted Answer

CORE is available to eligible accredited investors as defined under National Instrument 45-106 (Prospectus Exemptions) and National Instrument 31-103. You must be a Canadian resident. Common qualifying criteria include: net financial assets exceeding $1,000,000; net assets exceeding $5,000,000; or individual net income exceeding $200,000 (or $300,000 combined with a spouse) in each of the preceding two years with a reasonable expectation of the same in the current year. This list is not exhaustive. See the NI 45-106 definition for the complete criteria.

Question 6

What is an accredited investor?

Accepted Answer

An accredited investor is an individual or entity that meets specific financial thresholds established by Canadian securities regulators, allowing them to participate in private securities offerings without a prospectus. The accredited investor exemption is defined in Section 2.3 of National Instrument 45-106. The rationale is that investors with sufficient assets or income have the financial sophistication to evaluate private investments and absorb potential losses. You should confirm your status with a qualified securities lawyer.

Question 7

Can corporations or trusts invest?

Accepted Answer

Yes, in certain circumstances. Various entity types can qualify as accredited investors under NI 45-106, including corporations, trusts, registered pension plans, and certain other entities that meet specific thresholds. Each situation is different. Contact us to discuss your specific circumstances, and consult with your legal and tax advisors.

Question 8

What is the minimum investment?

Accepted Answer

Investment minimums are not published publicly. Participation terms, including minimum subscriptions, are disclosed in formal offering documents provided to eligible investors after an initial eligibility determination. Generally, CORE is most suitable for investors with capacity to invest $150,000 or more.

Question 9

How do investors make money in CORE?

Accepted Answer

Investor returns in CORE are derived from Net Asset Value (NAV) growth. As the underlying real estate portfolio appreciates in value and generates cash flow, the NAV per unit increases over time. Investors realize their return when units are eventually transferred or redeemed. No distributions are made on regular CORE units.

Question 10

Does CORE pay distributions?

Accepted Answer

No distributions are made on regular CORE Investment Fund units. Returns are realized through NAV growth over the investor's holding period. Certain deal-specific unit structures may carry distribution mechanics, but these are specific to particular transactions and are not a feature of standard unit participation.

Question 11

What is NAV and how is it calculated?

Accepted Answer

Net Asset Value (NAV) represents the per-unit value of the fund's underlying assets minus liabilities. CORE calculates NAV quarterly, with an annual review. The calculation is based on property valuations, rental income, expenses, and capital structure. Current and historical NAV information is provided to eligible investors through formal reporting and offering documentation.

Question 12

Is there a guaranteed return?

Accepted Answer

No. Real estate investments involve risk, including the risk of loss of principal. Property values, rental income, and operating costs can all fluctuate. CORE does not guarantee any specific return, income, or capital preservation. Past NAV growth is not indicative of future performance. All prospective investors should carefully review risk disclosure in formal offering documents.

Question 13

How liquid is an investment in CORE?

Accepted Answer

Investments in CORE are illiquid. There is no public market for CORE units, and no guarantee that units can be redeemed or transferred at any particular time or price. CORE is designed for investors who are comfortable holding their investment for the long term — typically five years or more. Investors requiring short-term access to their capital should not participate.

Question 14

Can I sell or transfer my units?

Accepted Answer

Unit transfers are subject to restrictions under the Limited Partnership Agreement and applicable securities law. Any transfer requires compliance with Canadian securities exemptions and written consent from the fund manager. There is no secondary market for CORE units. Prospective investors should treat their investment as illiquid.

Question 15

What is a property transfer?

Accepted Answer

A property transfer is a transaction in which a property owner transfers their real estate directly to CORE in exchange for fund units, rather than selling for cash. The owner transitions from holding a single illiquid property to holding diversified fund units representing a share of CORE's broader portfolio. This can be structured to defer certain tax events; consult qualified tax counsel for your specific situation.

Question 16

What types of properties qualify for a transfer?

Accepted Answer

CORE focuses on multifamily residential properties in Western Canada. Properties must meet CORE's underwriting criteria, including location fundamentals, building condition, operational suitability, and portfolio fit. Not all properties will qualify. An initial conversation with our team is the best way to explore whether your property is a candidate.

Question 17

What are the tax implications of a property transfer?

Accepted Answer

Property transfers to a fund can have significant tax implications. Depending on the structure, certain transactions can be arranged to defer the immediate tax recognition that would otherwise arise on a disposition. CORE does not provide tax advice. All participants should obtain independent advice from a qualified tax lawyer or accountant before proceeding.

Question 18

How does the property transfer process work?

Accepted Answer

The process begins with an initial confidential conversation to discuss your property and situation. If the property appears to be a candidate, CORE will conduct due diligence, agree on a valuation, and structure the transaction through formal legal documentation. The process typically takes 30–90 days from offer to close, depending on complexity. Initial conversations are confidential and non-binding.

Question 19

What happens after I make an inquiry?

Accepted Answer

After submitting an inquiry, a member of our team will contact you within one business day to discuss your situation. Initial conversations are confidential and non-binding. If there appears to be a fit, we will provide formal offering documents for your review. Participation requires review of all offering materials and execution of subscription documentation.

Question 20

What documents will I receive before investing?

Accepted Answer

Eligible investors receive formal offering documents, including a Subscription Agreement and other materials required under applicable Canadian securities law. These documents contain detailed information about the fund structure, risk factors, fee arrangements, and investor rights. You are strongly encouraged to obtain independent legal, tax, and financial advice before executing any documents.

Frequently asked questions.