FIG - fourplex investment group

[Scott Morgan]

I'm new to the site and would love to hear some success stories with people who have invested with remax/fig in Utah or Texas. They are building new fourplex units and advertising compelling cap rates in their pro formas. Any info would be appreciated. 

[Peter Schuyler]

Originally posted by @Sam Newell:

@Rex Lindsey I agree, personally I don't like to buy anything under a 6% cap rate, it's just too hard to make money unless it's brand new or in near perfect shape and rents can be increased. Investors buying 5% cap rate properties are most likely banking on rental increases while taking appreciation losses on their taxes as well as mortgage interest.  If you haven't already, look into cost segregation, it's a great way to save a lot on taxes for items that wear out faster than 28 years.  I am going to continue buying as much real estate as I can while rates are low, as long as it's over a 5.5%-6% cap rate and is in great shape and in a great area.  When there is a market correction I will be ready to buy more as well.  I'm focusing on buying where there is population and job growth, i.e. the Lehi (South Salt Lake County and North Utah County), and I'm staying away from less stable but cheaper markets/cities.  FIG just sold out its Herriman project, but still as openings in Boise and Houston.

 Could you put me in touch with 2 clients, one that loves the FIG experience and is killing the projections, and maybe one that does not?

[Steven Bond]

@Peter Schuyler I would talk with @Steve Olson about the FIG projects in TX. He is over the marketing and client relationships there and would be more than happy to help. Thanks for reaching out again.

[Steve Olson]

Hi @Peter Schuyler, great to meet you.

[Oliver Noah]

One should consider extensive research on both the company and the primaries.  In so doing, one will come across one of the primaries by the name of Sherida Zenger.  Sherida Heinz Zenger has a extensive history of breaking laws when it comes to financial matters.  In recent years she and her husband Michael Paul Zenger where charged in stealing money from investors in a Ponzi scheme. (see attached SEC report exhibit 1)  Where the dollar amount doesn't make it one of the big pozi schemes Utah is known for, it none-the-less speaks volumes about Michael and Sherida Zenger.  Additionally, it is important to note that at the same time Sherida Heinz Zenger's father Steven Heinz was also charged with separate ponzi scheme.  His was for many millions of dollars. (see attached SEC report below exhibit 2) If this isn't enough information to make you say no, and run away.  A very quick search of court records finds Michael and Sherida have had ongoing issues with stealing from friends and family.  Seem they were recently sued by Daimler Trust for a vehicle that they had used Michael's mothers identity to purchase or lease what appears to be a Mercedes vehicle.   In doing another quick google search concerning Sherida Heinz Zenger, it wass found that she was fired from her last job as a sales associate for a night end department store in Utah called Nordstroms.  She worked in the high-end purse department.  It appears that she was stealing purses worth thousands and tens of thousands of dollars to have them returned for the cash.  A scheme that apparently made her a significant amount of money until she was fired.  A quick search of the timeline would indicate that her next job after being fired was in real-estate.  Which is shocking that they would allow someone with a significant history of crime to become a real estate agent.  

exhibit 1 https://www.sec.gov/litigation...

exhibit 2 https://www.sec.gov/litigation...

[Bhanu Puvvala]

I got to know that FIG defaulted on multiple huge loans from Ignite funding. What would be the reason for such a successful business to default?