The Real Estate Fund will Build and Acquire Luxury Properties in the U.S. and Select International Markets
COLUMBUS, Ohio–(BUSINESS WIRE)–East Chop Capital, a private equity firm with $20 million in assets under management and a diverse base of 90% BIPOC, 10% White, and 17% women investors, announced today it has raised $9 million for its real estate fund that is focused on the $112 billion global vacation rental market. This is the company’s second fund, capitalizing on the intersection of real estate, the rebound in travel, and the future of hybrid work. The capital raised thus far is more than double the size of the first fund, with investor commitments received in 85% less time.
“The trend we’re most optimistic about is the future of work, in which hybrid is the new normal for people who work from their laptops. People are living, working, and traveling with flexibility that they’ve never had before,” said Carrington M. Carter, Co-founder and General Partner. “With this flexibility, they’re choosing to be near lakes, beaches, mountains, and entertainment destinations. They are looking for amazing homes in which to stay with their family and friends, and we can’t wait to host them.”
East Chop Capital’s portfolio of luxury vacation rental homes is marketed to travelers under the Getaway Society brand, and is spread across the U.S., including Martha’s Vineyard, Hilton Head, Orlando, Gatlinburg, Virginia Beach, Broken Bow (Oklahoma), Banner Elk (North Carolina), and Port Aransas (Texas). The firm’s first fund had two triple-digit ROI exits in 2021, 328% and 217% returns respectively, returned nearly $2 million to its investors, and is on track to deliver 20% annual returns, net of fees.
“We’re not new to this game. We’ve been owners, investors, and operators in this industry for the past eight years,” said Calvin L. Butts, Jr., Co-founder and General Partner. “Initially it was mostly self-funded, but since launching East Chop Capital in 2018 we’re truly excited to scale even further. Our strong base of individual accredited investors got us to $9 million and our first close. We remain focused on our target raise of $50 million.”
With a different approach to private equity, the founders are committed to providing the best combination of financial, educational, and social returns. East Chop Capital was created to reduce the wealth gap among diverse communities and build generational wealth. East Chop Capital hosts investor retreats, invites its investors to participate in other PE and VC investment opportunities, and helps investors analyze their own deals and businesses. With a nationwide focus on environmental, social, and governance (ESG), as well as other impact investing initiatives, East Chop Capital is well-positioned to address economic disparities and the lack of access to capital in America for individuals, entrepreneurs, and minority business owners.
To learn more about East Chop Capital and to stay connected, visit www.eastchopcapital.com and follow on LinkedIn and Instagram.
About East Chop Capital
East Chop Capital is a private equity firm founded in 2018 by General Partners Calvin L. Butts, Jr. and Carrington M. Carter, born from the idea and necessity of working together — pooling the resources of many, to accomplish much more than individuals can on their own. Lack of access to capital is a top hurdle for businesses and entrepreneurs, especially minority-owned businesses. East Chop Capital is working to eliminate that disparity and close the wealth gap. For investors, their Commitment is to provide the best combined financial, educational, and social returns.
Forward Looking Statements
Certain information set forth in this press release contains “forward-looking information” under applicable securities laws. Except for statements of historical fact, the information contained herein constitutes forward-looking statements and includes, but is not limited to, the (i) projected financial performance of East Chop Capital; (ii) the expected development of our business; (iii) execution of our vision and growth strategy; (iv) completion of our projects that are currently underway, in development or otherwise under consideration; and (v) future liquidity, working capital, and capital requirements. These statements are not guarantees of future performance and undue reliance should not be placed on them. Such forward-looking statements necessarily involve known and unknown risks and uncertainties, which may cause actual performance and financial results in future periods to differ materially from any projections of future performance or result expressed or implied by such forward-looking statements. East Chop Capital undertakes no obligation to update forward-looking statements if circumstances or management’s estimates or opinions should change except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking statements.
Contacts
Perri duGard Owens
o: 615.823.4020 | c: 615.829.6499
perri@dugardcommunications.com