UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 1-U

CURRENT REPORT

Pursuant Regulation A of the Securities Act of 1933

June 26, 2019

(Date of Report (Date of earliest event reported))

FUNDRISE FOR-SALE HOUSING EFUND - LOS ANGELES CA, LLC

(Exact name of registrant as specified in its charter)

Delaware	61-1775059
(State or other jurisdiction of incorporation)	(IRS Employer Identification No.)
11 Dupont Circle NW, 9th Floor, Washington, DC	20036
(Address of principal executive offices)	(ZIP Code)

(202) 584-0550

(Registrant’s telephone number, including area code)

Common Shares

(Title of each class of securities issued pursuant to Regulation A)

Item 9. Other Events

Asset Acquisition

RSE L6025 Controlled Subsidiary - Los Angeles, CA

On June 26, 2019, we directly acquired ownership of a “wholly-owned subsidiary”, L6025 (the “RSE L6025 Controlled Subsidiary”), for an initial purchase price of approximately $1,230,000, which is the initial stated value of our equity interest in the RSE L6025 Controlled Subsidiary (the “RSE L6025 Investment”). The RSE L6025 Controlled Subsidiary used the proceeds to acquire approximately 9,000 square feet of land in the Highland Park neighborhood of Los Angeles, which is currently improved with an approximately 1,500 square foot single-family home (the “L6025 Property”). 

An affiliate of our sponsor earned an origination fee of approximately 2.0% of the RSE L6025 Investment, paid directly by the RSE L6025 Controlled Subsidiary.   

Pursuant to the agreements governing the RSE L6025 Investment (the “RSE L6025 Operative Agreements”), we have full authority for the management of the RSE L6025 Controlled Subsidiary, including the RSE L6025 Property. The controlled subsidiary may be converted into a joint venture in the future, however, we anticipate retaining these control rights.

The L6025 Property was acquired for a purchase price of approximately $1,230,000, which includes transfer tax and an acquisition fee of $24,000. We currently own the adjacent properties on both sides of the RSE L6025 Property. These adjacent properties, named L60 and L602, are currently part of our Single Family Home Rental Portfolio.  The most recent portfolio projections for the Single Family Home Rental Portfolio can found here. The business plan is to acquire all three parcels and entitle the land for small lot single-family home development.  The acquisition of L6025 is the last property required to assemble the three lots. Combined, the three parcels achieve a lot size of approximately 27,000 square feet, which we plan to entitle for 18 single-family homes under Los Angeles Small Lot Ordinance. No financing was used for the acquisition of the L6025 Property.  While the property undergoes the entitlement, we intend to lease L6025 to a residential tenant.

The RSE L6025 Investment thesis is based primarily upon the site’s improving location, low basis, market sales for entitled small lot land in the immediate submarket. The Highland Park neighborhood is considered to be an emerging neighborhood that has achieved strong single-family home price appreciation over the past few years.

We believe these strong market fundamentals will continue to make the submarket a desirable investment location.

The following table contains performance assumptions and projections for the total entitlement project spanning properties L60, L602, and L6025.  Assumptions and projected returns are presented at the overall project level. All of the values in the table below are projections and assumptions that we believe to be reasonable; however, there can be no guarantee that such results will be achieved.

Asset Name	Aggregate Purchase Price	Projected Entitlement Costs	Projected Exit Price Range	Projected Hold Period	Projected Return
L60, L602, & L6025	$2,976,000	$522,700	$4,500,000 - $4,950,000	22 months	8.9% - 13.7%

Please note that past performance is not indicative of future results, and these asset performance projections may not reflect actual future performance. Any projections on the future returns of any of our assets may not prove to be accurate and are highly dependent on the assumptions described above. Investing in Fundrise For-Sale Housing eFUND - Los Angeles CA, LLC is an inherently risky investment that may result in total or partial loss of investment to investors.

Safe Harbor Statement

This Current Report on Form 1-U contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”) and Section 21E of the Securities Exchange Act of 1934. You can identify these forward-looking statements by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “projects,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties, including those described under the section entitled “Risk Factors” in our Offering Statement on Form 1-A dated May 10, 2019, filed with the Securities and Exchange Commission (“SEC”), as such factors may be updated from time to time in our periodic filings and prospectus supplements filed with the SEC, which are accessible on the SEC’s website at www.sec.gov. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in our filings with the SEC. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by law.

SIGNATURES

Pursuant to the requirements of Regulation A, the issuer has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

FUNDRISE FOR-SALE HOUSING EFUND – LOS ANGELES CA, LLC
By:	Fundrise Advisors, LLC
Its:	Manager
By:	/s/ Brandon T. Jenkins
Name:	Brandon T. Jenkins
Title:	Chief Operating Officer

Date: July 2, 2019