Fund Strategy Overview
FERMA Texas Triangle Class A Office & Mixed-Use Opportunity Fund I focuses on the acquisition of existing Class A office assets with value-add and mixed-use repositioning potential across the Texas Triangle.
The FERMA management team will implement targeted capital improvements, optimize leasing and asset management strategies, and enhance income durability through selective retail activation and residential integration—while preserving stabilized office cash flow. The Fund’s strategic focus encompasses high-quality, downtown Class A office buildings in Houston, Dallas–Fort Worth, Austin, and San Antonio.
These assets are acquired at a meaningful discount to historical pricing and replacement cost, providing a compelling entry basis and multiple pathways for value creation. The strategy is designed to deliver attractive cash flow with robust long-term growth potential, supported by strong regional fundamentals.
FERMA Investments
Texas Triangle Class A Office & Mixed-Use Opportunity Fund
- Fund Name: Texas Triangle Class A Office & Mixed-Use Opportunity Fund
- Sponsor: FERMA Investments, LLC
- Target Raise: $125,000,000
- Target Net IRR: 15%*
- Minimum Investment: $250,000
- Historical Strategy IRR: 31% (across prior Class A office and mixed-use repositioning deals)
- Hold Period: 7 Years
- Preferred Return: 8%
- Profit Split: 80% Investors / 20% Sponsor
- Management Fee: 2% annually
- Catch-Up Fee: 2%
- Asset Class: Class A Office with Controlled Mixed-Use Repositioning
- Geography: Texas Triangle – Houston, Dallas-Fort Worth, Austin, San Antonio *Target returns are forward-looking and not guaranteed.
Fund I targets metropolitan cores of:
- Austin
- Houston
- Dallas – Fort Worth
- San Antonio
Target Assets Will Exhibit
Class A construction and location
Occupancy providing stable cash flow
60,000 – 600,000 total rentable square feet
Downtown / primary business district location
Opportunities for mixed-use activation
Investment Strategy & Value Creation
Acquisition:
The Fund will underwrite at conservative cap rates with tight downside analysis, focusing on assets priced below replacement cost and supported by visible income.
Exit Optionality
- Stabilized sale at premium cap rates
- Portfolio sale to institutional buyers
- Refinance to return capital and extend hold
Value-Add Execution
- Lease-up of vacant space
- Retail activation and amenity improvements
- Strategic introduction of residential components
- Efficiency upgrades and operational optimization
Offering Documents & Subscription
- Private Placement Memorandum (PPM)
- Subscription Agreement
- Investor Presentation
- Audited Track Record Summary (where available)
- Capital Call & Drawdown Procedures
Value-Add & Mixed-Use Repositioning Strategy
The Fund may pursue selective office-to-residential and office-to-retail conversions where zoning, physical configuration, and market demand support additional density and income streams. This includes activating underutilized ground-floor space and enhancing amenities.
Where appropriate, the strategy includes introducing a limited number of high-end residential or penthouse units. FERMA prioritizes phased execution, allowing assets to maintain income during repositioning while minimizing capital risk and operational disruption.
Operational Excellence in Class A Office
At the core of FERMA’s strategy is the understanding that Class A office is both an institutional asset class and an operating business. Successful execution requires active management, tenant engagement, and disciplined underwriting—not passive ownership.
FERMA’s approach emphasizes:
- Retention of high-quality office tenancy
- Strategic lease-up of vacancy
- Amenity and experience-driven tenant demand
- Diversification of income through mixed-use integration
This operational focus enhances asset competitiveness, improves tenant retention, and strengthens long-term valuation.
In-House Expertise & Execution Capability
FERMA’s platform integrates in-house acquisition, underwriting, asset management, and redevelopment expertise, supported by a network of professionals in zoning, engineering, construction, and leasing. This vertically integrated approach enables the team to identify opportunities often overlooked by institutional buyers.
The platform supports disciplined execution of complex repositioning strategies with control and precision. The team’s experience across Class A office repositioning and mixed-use development allows FERMA to evaluate multiple value-creation paths while maintaining conservative downside protection.
Long-Term Value Creation & Capital Preservation
The Fund is structured with a long-term investment horizon, prioritizing sustainable value creation over short-term speculation. By acquiring assets with existing cash flow and layering incremental improvements, FERMA seeks to deliver:
- Stable cash-on-cash distributions
- Meaningful NOI growth
- Optional refinance or exit opportunities
- Strong risk-adjusted returns across market cycles
Regional Focus & Market Insight
FERMA’s exclusive focus on the Texas Triangle reflects a conviction in the region’s long-term economic strength. These markets benefit from population growth, corporate relocations, infrastructure investment, and liquidity advantages relative to other U.S. office markets.
Local market insight and submarket-level underwriting allow FERMA to concentrate on walkable downtown cores where long-term demand and exit liquidity are strongest.
Frequently Asked Questions
Who can invest?
Accredited investors per SEC Rule 506c(d) standards.
Is there a capital call?
No capital calls. All commitments are fully funded upfront at closing.
How are distributions handled?
Quarterly distributions after preferred returns are met, per distribution waterfall in offering docs.
Can I reinvest distributions?
Yes — subject to subscription agreement terms.
Next Steps – How to Invest?
- Request full fund package
- Speak with our team
- Review offering documents with counsel
- Submit Subscription Agreement + Accredited Investor Verification
- Fund close and allocation of interests
How to Invest
Next Steps
01
Request full fund package
02
Speak with our team
03
Review offering documents with counsel
04
Submit Subscription Agreement + Accredited Investor Verification
05
Fund close and allocation of interests
Legal & disclosures
This page is for informational purposes and does not constitute an offer to sell or a solicitation of any offer to buy securities. Offers are made only through the Private Placement Memorandum (PPM). Investments in private real estate carry risks including loss of principal. Past performance is not a guarantee of future results.