0001144204-19-012894.txt : 20190308 0001144204-19-012894.hdr.sgml : 20190308 20190308110136 ACCESSION NUMBER: 0001144204-19-012894 CONFORMED SUBMISSION TYPE: 1-U PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20190305 ITEM INFORMATION: Other Events FILED AS OF DATE: 20190308 DATE AS OF CHANGE: 20190308 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Fundrise Midland Opportunistic REIT, LLC CENTRAL INDEX KEY: 0001661023 STANDARD INDUSTRIAL CLASSIFICATION: REAL ESTATE INVESTMENT TRUSTS [6798] IRS NUMBER: 320479856 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 1-U SEC ACT: 1933 Act SEC FILE NUMBER: 24R-00043 FILM NUMBER: 19668022 BUSINESS ADDRESS: STREET 1: 1519 CONNECTICUT AVENUE NW STREET 2: STE 200 CITY: WASHINGTON STATE: DC ZIP: 20036 BUSINESS PHONE: 2025840550 MAIL ADDRESS: STREET 1: 1519 CONNECTICUT AVENUE NW STREET 2: STE 200 CITY: WASHINGTON STATE: DC ZIP: 20036 FORMER COMPANY: FORMER CONFORMED NAME: Fundrise Pacific Northwest Opportunistic Multifamily, LLC DATE OF NAME CHANGE: 20151215 1-U 1 tv515821_1u.htm FORM 1-U

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

___________________________

FORM 1-U

CURRENT REPORT

Pursuant Regulation A of the Securities Act of 1933

March 5, 2019

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

FUNDRISE MIDLAND OPPORTUNISTIC REIT, LLC

(Exact name of registrant as specified in its charter)

Delaware	32-0479856
(State or other jurisdiction of incorporation)	(IRS Employer Identification No.)

1601 Connecticut Ave., Suite 300, Washington, DC	20009
(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 Updates

Controlled Subsidiary Investment – Domain Studio Apartments, LLC

On April 14, 2017, we directly acquired ownership of a “majority-owned subsidiary,” Domain Studio Apartments, LLC (the “RSE Domain Controlled Subsidiary”), in which we have the right to receive a preferred economic return for a purchase price of $2,5000,000, which is the initial stated value of our equity interest in the RSE Domain Controlled Subsidiary (the “RSE Domain Investment”). The RSE Domain Controlled Subsidiary used the proceeds to acquire a 239-unit stabilized apartment complex located at 710 South Hardy Drive, Tempe, AZ 85281 (the “the RSE Domain Property”). The RSE Domain Controlled Subsidiary has since sold the property for approximately $26,750,000, which was an attractive price given a hold period of approximately two years. According to Domain Communities, the manager of the RSE Domain Controlled Subsidiary, the buyer was looking for a stable, cash-flowing asset to invest in long-term through the next real estate cycle and was willing to pay up for a good asset. Consequently, on March 5, 2019, the RSE Domain Controlled Subsidiary redeemed the $2,5000,000 investment. All preferred return payments have been paid in full during the investment period, and the investment yielded an internal rate of return of approximately 11.0%.

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 August 10, 2018, 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 MIDLAND OPPORTUNISTIC REIT, LLC

	By:	Fundrise Advisors, LLC
	Its:	Manager

	By:	/s/ Bjorn J. Hall
	Name:	Bjorn J. Hall
	Title:	General Counsel

Date: March 8, 2019