PART II 2 ea0239481-1k_arrived3.htm ANNUAL REPORT

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 1-K

 

ANNUAL REPORT PURSUANT TO REGULATION A

 

For the fiscal year ended:

December 31, 2024

 

ARRIVED HOMES 3, LLC
(Exact name of issuer as specified in its charter)

 

Delaware   92-1716073
State of other jurisdiction of
incorporation or Organization		   (I.R.S. Employer
Identification No.)

 

1700 Westlake Ave North, Suite 200

Seattle, WA 98109

(Full mailing address of principal executive offices)

 

(814)-277-4833
(Issuer’s telephone number, including area code)

 

www.arrived.com
(Issuer’s website)

 

Arrived Series Haven; Arrived Series Chilhowee; Arrived Series Sheezy; Arrived Series Cristalino; Arrived Series Hermanos; Arrived Series Bowling; Arrived Series Emelina; Arrived Series Caden; Arrived Series Camellia; Arrived Series Palmore; Arrived Series Brookwood; Arrived Series Lithonia; Arrived Series Haverhill; Arrived Series Woodwind; Arrived Series Aspen; Arrived Series Thomas; Arrived Series Bennett; Arrived Series Benny; Arrived Series Montgomery; Arrived Series Summerglen; Arrived Series Portsmouth; Arrived Series Westhaven; Arrived Series Cordero; Arrived Series Wheeler; Arrived Series Watson; Arrived Series Holmes; Arrived Series Hamblen; Arrived Series Ethan; Arrived Series Helmerich; Arrived Series Claremore; Arrived Series Bryant; Arrived Series Hancock; Arrived Series Wynde; Arrived Series Haikey; Arrived Series Arkoma; Arrived Series Gordon; Arrived Series Lucas; Arrived Series Woodland; Arrived Series Macomber; Arrived Series Meridian; Arrived Series Pongo; Arrived Series Perdita; Arrived Series Bean; Arrived Series Ellie; Arrived Series Antares; Arrived Series Bluebell; Arrived Series Aramis; Arrived Series Barclay; Arrived Series Athos; Arrived Series Bradford; Arrived Series Caterpillar; Arrived Series Liberty; Arrived Series Mallard; Arrived Series Riverwood; Arrived Series Roanoke; Arrived Series Zane; Arrived Series Sherwood; Arrived Series Tansel; Arrived Series Tytus; Arrived Series Williamson; Arrived Series Arya; Arrived Series Sansa; Arrived Series Marcy; Arrived Series Hedgecrest; Arrived Series Haybridge; Arrived Series Layla; Arrived Series Lola; Arrived Series Ratliff; Arrived Series Collinison; Arrived Series Hardman; Arrived Series Pebblestone; Arrived Series Keystone; Arrived Series Northbrook; Arrived Series Rachel; Arrived Series Frances; Arrived Series Ross; Arrived Series Northridge; Arrived Series Wyndhurst; Arrived Series Vanzant; Arrived Series Glenncrest; Arrived Series Oakland; Arrived Series Laurel; Arrived Series Phoebe; Arrived Series Johnson; Arrived Series Sedgefield; Arrived Series Robinson; Arrived Series Seneca; Arrived Series Adams; Arrived Series Bayne; Arrived Series Boxwood; Arrived Series Langley; Arrived Series Misty; Arrived Series Metallo; Arrived Series Presidio; Arrived Series Spangler; Arrived Series Tomlinson

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

 

 

 

 

 

 

TABLE OF CONTENTS

 

ITEM 1. DESCRIPTION OF BUSINESS 1
     
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION 12
     
ITEM 3. DIRECTORS AND OFFICERS 31
     
ITEM 4. SECURITY OWNERSHIP OF MANAGEMENT AND CERTAIN SECURITYHOLDERS 34
     
ITEM 5. INTEREST OF MANAGEMENT AND OTHERS IN CERTAIN TRANSACTIONS 34
     
ITEM 6. OTHER INFORMATION 34
     
ITEM 7. FINANCIAL STATEMENTS F-1
     
ITEM 8. EXHIBITS 35

 

i

 

 

CAUTIONARY STATEMENT REGARDING Forward-Looking StatementS

 

The information contained in this Annual Report on Form 1-K (this “Form 1-K”) includes some statements that are not historical and that are considered “forward-looking statements.” Such forward-looking statements include, but are not limited to, statements regarding our development plans for our business; our strategies and business outlook; anticipated development of our company, the manager, each series of our company and the Arrived Homes platform (defined below); and various other matters (including contingent liabilities and obligations and changes in accounting policies, standards and interpretations). These forward-looking statements express the manager’s expectations, hopes, beliefs, and intentions regarding the future. In addition, without limiting the foregoing, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements.  The words “anticipates,” “believes,” “continue,” “could,” “estimates,” “expects,” “intends,” “may,” “might,” “plans,” “possible,” “potential,” “predicts,” “projects,” “seeks,” “should,” “will,” “would” and similar expressions and variations, or comparable terminology, or the negatives of any of the foregoing, may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking.

 

The forward-looking statements contained in this Form 1-K are based on current expectations and beliefs concerning future developments that are difficult to predict. Neither our company nor the manager can guarantee future performance, or that future developments affecting our company, the manager or the Arrived platform will be as currently anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements.

 

All forward-looking statements attributable to us are expressly qualified in their entirety by these risks and uncertainties. These risks and uncertainties, along with others, are detailed under the headings “Summary – Summary Risk Factors” and “Risk Factors” in our latest offering circular (the “Offering Circular”) filed by the company with the Securities and Exchange Commission (the “Commission”), which may be accessed here and may be amended, and in our subsequent reports and offering statements filed from time to time with the Commission. Should one or more of these risks or uncertainties materialize, or should any of the parties’ assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. You should not place undue reliance on any forward-looking statements and should not make an investment decision based solely on these forward-looking statements. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

 

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MARKET AND OTHER INDUSTRY DATA

 

This Form 1-K includes market and other industry data and estimates that are based on our management’s knowledge and experience in the markets in which we operate. The sources of such data generally state that the information they provide has been obtained from sources they believe to be reliable, but we have not investigated or verified the accuracy and completeness of such information. Our own estimates are based on information obtained from our and our affiliates’ experience in the markets in which we operate and from other contacts in these markets. We are responsible for all of the disclosure in this Form 1-K, and we believe our estimates to be accurate as of the date of this Form 1-K or such other date stated herein. However, this information may prove to be inaccurate because of the method by which we obtained some of the data for the estimates or because this information cannot always be verified with complete certainty due to the limits on the availability and reliability of raw data, the voluntary nature of the data gathering process and other limitations and uncertainties. As a result, you should be aware that market and other industry data included in this Form 1-K, and estimates and beliefs based on that data, may not be reliable.

 

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Item 1. Description of Business

 

Company Overview – Our Mission

 

Arrived Homes 3, LLC, a Delaware series limited liability company, was formed in January 2023 to permit public investment in specific single-family rental homes. We believe people should have the freedom to move to pursue new opportunities in their lives while still having access to the wealth creation that long-term home ownership and real estate investment can provide. To support this idea, we are building what we believe to be a new model for home ownership and real estate investment that doesn’t lock people into a single home or city. We believe in passive income, conservative debt, freedom to move, diversification, and aligned incentives.

 

Arrived is a marketplace for investing in homes. We buy single family homes, lease them, divide them into multiple interests, and offer them as investments on a per interest basis through our web-based platform. Investors can manage their risk by spreading their investments across a portfolio of homes, they can invest in real estate without needing to apply for mortgages or take on personal debt, and they can move to new homes or cities and continue holding their Arrived investments without having to worry about selling homes they’re invested in.

 

Arrived does all of the work of sourcing, analyzing, maintaining, and managing all of the homes that we acquire. We analyze every home investment across several financial, market, and demographic characteristics to support our acquisition decision-making. Every investment we make is an investment in the communities in which Arrived operates, alongside other like-minded individuals. As our community network grows, so does our access to investment and housing opportunities.

 

Arrived rents the homes we acquire to tenants who can also invest through the same process as any other member of the Arrived platform, becoming part owners of the homes they’re living in at that time. By investing together, we align incentives towards creating value for everyone.

 

Our Series LLC Structure

 

Each single family rental home that we acquire will be owned by a separate series of our company that we will establish to acquire that home.  Each series may hold the specific property that it acquires in a wholly-owned subsidiary, which would be a limited liability company organized under laws of the state in which the series property is located. 

 

As a Delaware series limited liability company, the debts, liabilities, obligations and expenses incurred, contracted for or otherwise existing with respect to a particular series are segregated and enforceable only against the assets of such series, as provided under Delaware law.  We intend for each series to elect and qualify to be taxed as a separate real estate investment trust, or REIT, for U.S. federal income tax purposes, commencing with the taxable year ending after the completion of the initial public offering of interests of such series.

 

Our company’s core business is the identification, acquisition, marketing and management of individual single family rental homes for the benefit of our investors. Each series is intended to own a single property.

 

Investment Objectives

 

Our investment objectives are: 

 

  ● Consistent cash flow;

 

  ● Long term capital appreciation with moderate leverage;

 

  ● Favorable tax treatment of REIT income and long term capital gains; and

 

  ● Capital preservation.

 

We cannot assure you that we will attain these objectives or that the value of our assets will not decrease. 

 

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Our Investment Criteria

 

Our home acquisition investments are evaluated against the following primary characteristics:

 

  ● Capitalization rates greater than 5%. For this purpose, the capitalization rate reflects a series property’s annual rental income minus property management fees, local real estate taxes, property insurance, maintenance expenses, and marketing incentives, divided by the purchase price of the property;

 

  ● Homes with a minimum of three (3) bedroom and two (2) bathrooms;

 

  ● Homes less than 30 years old;

 

  ● Homes with a price range of $200,000 - $400,000 and a repair/improvement budget requirement of less than 20% of the home purchase price; and

 

  ● Neighborhoods with median incomes that exceed the metropolitan statistical area, or MSA, median.

 

Our Investment Process

 

Our investment process leverages our network of renter demand, experienced team members, and data analysis to make our investment decisions:

 

  ● Sourcing: Arrived will use an in-house acquisition team (using industry leading analysis and screening tools) in collaboration with local real estate professionals to find and source investment opportunities. The opportunities may include individual homes listed on the MLS, bulk rental home portfolios, BFR (built-for-rent) communities, and off-market deals sourced by our staff and from leads generated from our member network.

 

  ● Due Diligence: Arrived evaluates potential investments against our stated investment criteria. Once a geographic market is selected, our due diligence will focus on the sub-market and the property itself. Value analysis will include projected rental rates and home values, relying on a combination of first-party data, automated valuation models, or AVMs, and third party independent appraisals. Property level analysis will look at standard risk factors including condition of title, structural defects in the home, environmental issues, and other hazards such as floods and earthquakes.

 

  ● Investment Committee: Once our acquisition team recommends a home purchase, the investment committee will convene to review due diligence materials and issue a go/no-go decision.

 

  ● Home Purchase: A home will be purchased either by the manager or an affiliate of the manager and then resold to a particular series or purchased directly by a series from a third-party seller, in accordance with the acquisition mechanics set forth below. Following acquisition of a property by a series, the property will be renovated, to the extent necessary, and then leased to a quality tenant on a 12-24 month lease. If a series property is renovated prior to the closing of the relevant series offering, the funds required for renovations will be forwarded to the series by the manager and repaid out of offering proceeds.

 

  ● Ongoing Management: Arrived will partner with one or more third party independent property management firms in each of our markets. Arrived will place an initial tenant in a home from our member network and will assist with future tenant placements. The property management firm will maintain books and records, inspect each home and ensure that it is properly maintained, handle maintenance requests, and be responsible for landlord/tenant compliance. We intend that our preferred property management firms will utilize modern tech-enabled property management platforms with digital payment and communication features.

 

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Our Manager

 

Our company is managed by Arrived Fund Manager, LLC, a Delaware limited liability company and managing member of our company, which we refer to herein as the “manager.” Pursuant to the terms of our operating agreement, the manager will provide certain management and advisory services to us and to each of our series and their subsidiaries, if any, as well as a management team and appropriate support personnel.  The manager is a wholly owned subsidiary of our sponsor, Arrived Holdings, Inc., a Delaware corporation, which is an asset management company that operates a web-based investment platform, the Arrived platform, used by our company for the offer and sale of interests in the series of our company. 

 

The nature of business to be conducted or promoted by us must at all times be to engage in any lawful act or activity for which LLCs may be organized under the Delaware Limited Liability Company Act.

  

Investment Strategy – Our Market Opportunity

 

Our investment strategy is to acquire, invest in, manage, operate, selectively leverage and sell single family homes located in vibrant, growing cities across America. We believe that these markets offer investors a blend of attractive capitalization rates and a strong prospect for long term property value appreciation.

 

Market Selection

 

We intend to focus our business efforts on the top 100 MSAs (metropolitan statistical areas with populations greater than 500,000) which exhibit the following characteristics:

 

  ● Sufficient inventory to make it feasible to achieve scale in the local market (100 – 500 homes);

 

  ● Job and income growth forecasts of 3% or greater;

 

  ● Affordability with gross rent multiplier below 12. For this purpose, a gross rent multiplier (GRM) is the ratio of the price of the single family home purchased to its annual rental income before accounting for expenses such as property taxes, insurance, and utilities; GRM is the number of years the property would take to pay for itself in gross received rent;

 

  ● Large university and skilled workforce;

 

  ● Popular with millennials; and

 

  ● Favorable competitive landscape with respect to other institutional single family residence buyers.

  

We focus on acquiring properties we believe (1) are likely to generate stable cash flows in the long term and (2) have significant possibilities for long-term capital appreciation, such as those located in neighborhoods with what we see as high growth potential and those available from sellers who are distressed or face time-sensitive deadlines. 

 

We may enter into one or more joint ventures, tenant-in-common investments or other co-ownership arrangements for the acquisition, development or improvement of properties with third parties or affiliates of the manager, including present and future real estate investment offerings sponsored by affiliates of the manager. 

 

3

 

 

Investments in Real Property

 

Our investment in real estate generally will take the form of holding fee title or a long-term leasehold estate. We will acquire such interests either directly or indirectly through limited liability companies or through investments in joint ventures, partnerships, co-tenancies or other co-ownership arrangements with third parties, including developers of the properties, or with affiliates of the manager. In addition, we may purchase properties and lease them back to the sellers of such properties. Although we will use our best efforts to structure any such sale-leaseback transaction such that the lease will be characterized as a “true lease” so that we will be treated as the owner of the property for federal income tax purposes, the Internal Revenue Service could challenge such characterization. If any such sale-leaseback transaction is recharacterized as a financing transaction for U.S. federal income tax purposes, deductions for depreciation and cost recovery relating to such property would be disallowed. 

 

Our obligation to purchase any property generally will be conditioned upon the delivery and verification of certain documents from the seller or developer, including, where appropriate:

 

  ● plans and specifications;

 

  ● evidence of marketable title subject to such liens and encumbrances as are acceptable to the manager;

 

  ● auditable financial statements covering recent operations of properties having operating histories; and

 

  ● title and liability insurance policies.

 

We may seek to enter into arrangements with the seller or developer of a property whereby the seller or developer agrees that, if during a stated period the property does not generate a specified cash flow, the seller or developer will pay in cash to us a sum necessary to reach the specified cash flow level, subject in some cases to negotiated dollar limitations. In determining whether to purchase a particular property, we may, in accordance with customary practices, obtain an option on such property. The amount paid for an option, if any, is normally surrendered if the property is not purchased and is normally credited against the purchase price if the property is purchased. The terms and conditions of any apartment lease that we enter into with our residents may vary substantially; however, we expect that a majority of our leases will be standardized leases customarily used between landlords and residents for residential properties. Such standardized leases generally have terms of one year or less. All prospective residents for our residential properties will be required to submit a credit application.

 

In purchasing, leasing and developing properties, we will be subject to risks generally incident to the ownership of real estate. For example, certain losses are not insurable and may only be insured subject to limitations. Insurance coverage may also vary based on the specific property, geography and market covered. Our insurance coverage generally varies based on replacement cost (estimated with a cost to square foot analysis based on the market and finish level). Although we also maintain an “all-perils policy” (with some standard exclusions) for each series property which seeks to provide insurance coverage for the properties at their full value, there is no guarantee that such coverage will actually be sufficient or cover all costs and damages in the case of any loss.

 

Leverage Policy

 

We may employ leverage to enhance total returns to our investors through a combination of senior financing on our real estate acquisitions, secured facilities, and capital markets financing transactions. We will seek to secure conservatively structured leverage that is long-term, non-recourse, non-mark-to-market financing to the extent obtainable on a cost effective basis. To the extent leverage is employed it may come either in the form of government-sponsored programs or other long-term, non-recourse, non-mark-to-market financing. The manager may from time to time modify our leverage policy in its discretion. However, it is our policy to not borrow more than 69% of the greater of cost (before deducting depreciation or other non-cash reserves) or fair market value of our assets. We cannot exceed the leverage limit of our leverage policy unless any excess in borrowing over such level is approved by the manager. To the extent a series does not employ leverage to fund the initial purchase of an asset, the series may subsequently determine to obtain financing for the asset in accordance with this leverage policy. In such case, unless the financing (or any other refinancing) proceeds are needed, in the manager’s discretion, to fund the operations of an asset or reserves, the manager may determine to distribute all or a portion of such proceeds to investors.

 

Acquisition Mechanics

 

Typically, each series will acquire its series property prior to the commencement or closing of that series’ offering. Each series property will be fully described in the offering circular as it may be amended to include new series offerings. In each such offering circular, information relating to the series property being offered, such as the description and specifications of the series property, the purchase price of the series property and the relevant terms of purchase, will be disclosed.

 

It is not anticipated that a series will own any assets other than its series property, plus cash reserves for maintenance, insurance and other expenses pertaining to the series property and amounts earned by the series from the monetization of the series property, if any.  Each series may hold the specific property that it acquires in a wholly-owned subsidiary which would be a limited liability company organized under laws of the state in which the series property is located. 

 

A series may acquire its property either from an unaffiliated third party or from an affiliate of the manager. For a detailed description of our acquisition methods, please refer to our latest offering circular, filed with the Securities and Exchange Commission on January 30, 2025, which may be accessed here.

 

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Operating Policies

 

Credit Risk Management. We may be exposed to various levels of credit and special hazard risk depending on the nature of our assets. The manager and its executive officers will review and monitor credit risk and other risks of loss associated with each investment. The manager will monitor the overall credit risk and levels of provision for loss.

 

Interest Rate Risk Management. We will follow an interest rate risk management policy intended to mitigate the negative effects of major interest rate changes. We intend to minimize our interest rate risk from borrowings by attempting to “match-fund,” which means the manager will seek to structure the key terms of our borrowings to generally correspond with the expected holding period of our assets.

 

Equity Capital Policies. Under the operating agreement, we have the authority to issue an unlimited number of additional interests or other securities. After your purchase in any series offering, the manager may elect to: (i) sell additional securities in future private offerings, or (ii) issue additional securities in public offerings. To the extent we issue additional equity interests after your purchase in an offering, your percentage ownership interest in us will be diluted. In addition, depending upon the terms and pricing of any additional offerings and the value of our investments, you may also experience dilution in the book value and fair value of your interests.

 

Additional Borrowings. We expect each series may seek, as applicable, to finance or refinance any outstanding indebtedness with an additional mortgage or other debt financing, including with either an affiliate or a third party. We expect that any third-party mortgage and/or other debt instruments that a series, or the Company on behalf of a series, enters into in connection with a financing or refinancing of a property will be secured by a security interest in the title of such property and any other assets of the series.

   

Disposition Policies

 

We intend to hold and manage the properties we acquire for a period of five to seven years. As each of our properties reaches what we believe to be its optimum value, we will consider disposing of the property. The determination of when a particular property should be sold or otherwise disposed of will be made after consideration of relevant factors, including prevailing and projected economic conditions, whether the value of the property is anticipated to appreciate or decline substantially, and how any existing leases on a property may impact the potential sales price. The manager may determine that it is in the best interests of shareholders to sell a property earlier than five years or to hold a property for more than seven years. Additionally, any sale of a property will be subject to lessee rights and we would attempt to time property sales with lessee rights in mind, either by timing sales with anticipated lease terminations or by assigning an existing lease to the property buyer where allowed under applicable laws.

 

When we determine to sell a particular property, we will seek to achieve a selling price that maximizes the capital appreciation for investors based on then-current market conditions. We cannot assure you that this objective will be realized.

 

Following the sale of a property, the manager will distribute the proceeds of such sale, net of the property disposition fee as described below, to the interest holders of the applicable series (after payment of any accrued liabilities or debt on the property or of the series at that time).

 

Property Disposition Fee

 

Upon the disposition and sale of a series property, each series will be charged a market rate property disposition fee that will cover property sale expenses such as brokerage commissions, and title, escrow and closing costs. It is expected that this disposition fee charged to a series will range from six to seven percent of the property sale price. To the extent that the actual property disposition fees are less than the amount charged to the series, the manager will receive the difference as income.

 

Description of the Property Management Agreement

 

The Company will appoint an affiliate of the manager or a third-party property management company to serve as property manager to manage the underlying property of each series pursuant to a series specific property management agreement.

 

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The services provided by the property manager will include:

 

  ● Collecting rent and maintaining books and records;

 

  ● Ensuring compliance with local landlord/tenant and other applicable laws;

 

  ● Routine property maintenance and responding to tenant maintenance requests;

 

  ● Handling tenant on-boarding (move-in) and move-out; and

 

  ● Investigating, selecting, and, on behalf of the applicable series, engaging and conducting business with such persons as the property manager deems necessary to ensure the proper performance of its obligations under the property management agreement, including but not limited to consultants, insurers, insurance agents, maintenance providers, bookkeepers and accountants and any and all persons acting in any other capacity deemed by the property manager necessary or desirable for the performance of any of the services under the property management agreement.

 

Each property management agreement will terminate on the earlier of: (i) the manager’s discretion to terminate a property management agreement at pre-determined renewal periods or by paying a termination fee, (ii) after the date on which the relevant series property has been liquidated and the obligations connected to the series property (including contingent obligations) have been terminated, (iii) the removal of the manager as managing member of our company and thus of all series (if the property manager is the manager), (iv) upon notice by one party to the other party of a party’s material breach of a property management agreement or (v) such other date as agreed between the parties to the property management agreement.

 

Each series will indemnify the property manager out of its assets against all liabilities and losses (including amounts paid in respect of judgments, fines, penalties or settlement of litigation, including legal fees and expenses) to which it becomes subject by virtue of serving as property manager under the respective property management agreements with respect to any act or omission that has not been determined by a final, non-appealable decision of a court, arbitrator or other tribunal of competent jurisdiction to constitute fraud, willful misconduct or gross negligence.

 

Currently, we intend to enter into a property management agreement on behalf of each series with an affiliate of the manager or a third-party property management company. We reserve the right to change property managers at any time.

 

Property Management Fee

 

The company will appoint an affiliate of the manager or a third-party property management company to serve as property manager to manage the property of each series pursuant to a property management agreement. The fee arrangements for each property management company are set forth below:

 

Marketplace Homes

  

As compensation for the services provided by the property manager, each series will be charged a property management fee of $70 on a monthly basis and paid to the property manager pursuant to the property management agreement.

 

Streetlane (formerly Great Jones)

 

As compensation for the services provided by the property manager, each series will be charged a property management fee equal to eight percent (8%) of all rents and fees as remitted to the series or a minimum property management fee of $99 on a monthly basis and paid to the property manager pursuant to the property management agreement. As of October 2023, all properties formerly managed by Great Jones are now managed by Streetlane as a result of a merger between Streetlane and Great Jones. All property management agreements between the relevant series and Great Jones remain in full force and effect.

 

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Mynd Property Management

  

As compensation for the services provided by the property manager, each series will be charged a property management fee equal to six percent (6%) of all rents and fees as remitted to the series or a minimum property management fee of $84 on a monthly basis and paid to the property manager pursuant to the property management agreement.

 

The property manager for each Series is specified in the latest Offering Circular under "The Series Properties Being Offered.”

 

Liquidity Platform

 

Overview of PPEX ATS Platform

 

The Company and its affiliates intend to enter into an arrangement with NCPS and its affiliates to facilitate secondary transactions in interests issued by the Company on the PPEX ATS. The PPEX ATS is owned and operated by NCPS. The arrangement with NCPS will be established to provide a venue for secondary trading of series interests and is designed to provide investors with an efficient means to buy and sell series interests in secondary transactions. The manager will enter into a brokerage agreement and a license agreement with the Executing Broker pursuant to which, subject to restrictions under state and federal securities laws and the transfer restrictions listed in the operating agreement, the Executing Broker is engaged to execute all resale transactions in interests based on the matching of orders on the PPEX ATS. The Executing Broker is a registered broker-dealer member of the PPEX ATS. NCPS is a broker-dealer registered with the Commission and a member of FINRA and SIPC. Neither the company nor the manager matches any orders or executes or settles any transfer of interests with respect to secondary trading on the PPEX ATS. The manager may elect not to transmit to the Executing Broker or the PPEX ATS any order information submitted by users who have not previously purchased securities issued by the company or its affiliates pursuant to Regulation A.

 

Secondary trades of series interests matched on the PPEX ATS are intended to comply with Blue Sky laws either through a manual exemption in states where available, through a direct filing with the state securities regulators where required, or as isolated non-issuer transactions.  

 

Process for Secondary Transactions

 

During specific trading windows, which we expect to occur quarterly and announce at least a week in advance of such trading window, isolated non-issuer transactions in interests of one or more series may be effected during trading hours established by NCPS as operator of the PPEX ATS (“Market Hours”) in accordance with the following process. Investors can submit bid and ask quotes through the user interface provided by the Arrived platform during a trading window. The Arrived platform immediately and automatically routes the quotes (i) to the Executing Broker, and (ii) by virtue of the Executing Broker’s status as a member of the PPEX ATS, to the PPEX ATS, which is owned and operated by NCPS, a registered broker-dealer. The PPEX ATS then matches orders in accordance with the rules established by the PPEX ATS, but no matching of buyers and sellers will occur other than during Market Hours in a trading window. Bid and ask quotes submitted during a trading window and Market Hours may be immediately matched by the PPEX ATS, while bid and ask quotes submitted during a trading window, but outside of Market Hours are eligible to match only upon the next commencement of Market Hours. To the extent that any bid or ask quote that does not result in a match still exists at the end of a trading window, such quote will be cancelled at the end of the relevant trading window.

 

Once matched by the PPEX ATS, orders are executed by the Executing Broker. When a trade is executed, the Executing Broker transmits the applicable information (including the number of interests and price at which they are being sold or purchased) to the Arrived platform, where it is displayed to the relevant investor. During Market Hours in a particular trading window, the Arrived platform periodically sends instructions regarding the transfer of funds for executed trades via the Executing Broker to Modern Treasury, Inc., the third-party holder of investor funds (“Modern Treasury”), which then effectuates the funds transfer between the buyer and seller. After Market Hours end, the Executing Broker provides instructions regarding any transfers of interests between investor accounts to the transfer agent, which transfers the interests accordingly. The clearing process, which includes the transfer of funds and interests, will be completed within one to two days following the conclusion of the relevant trading window. Neither the Arrived platform nor the Executing Broker clears or settles trades.

 

User Interface and Role of the Platform

 

The Arrived platform serves merely as the user interface for the purpose of enabling secondary market trading in interests. On the Arrived platform, investors input the details of any orders to buy or sell interests in secondary transactions (including the number of interests subject to the offer to buy or sell, as the case may be, and the price, if any, at which such offer is being made), and the orders then are routed (i) to the Executing Broker, and (ii) by virtue of the Executing Broker’s status as a member of the PPEX ATS, to the PPEX ATS. The manager may elect not to transmit to the Executing Broker or the PPEX ATS any order information submitted by users who have not previously purchased securities issued by the company or its affiliates pursuant to Regulation A. For clarity, because the Executing Broker is (i) a registered broker-dealer and a member of the PPEX ATS and (ii) licensed to use the Arrived platform to access and transmit order information entered onto the Arrived platform by Investors, such order information is automatically routed from the Arrived platform to both the Executing Broker and the PPEX ATS simultaneously. After the Executing Broker has executed a trade, information about the matched orders and executed trade is then communicated by the Executing Broker to the buyer and seller using the Arrived platform’s user interface. The PPEX ATS accepts orders transmitted from the Arrived platform only because the Executing Broker (which is a member of the PPEX ATS) is licensed to use the Arrived platform’s technology to transmit order information.

 

7

 

 

For the avoidance of doubt, the decision whether to engage in secondary market trading is left solely to the individual investors. Neither the company nor any of its affiliates acts as a broker or dealer, and none of them provide investors any direction or recommendation as to the purchase or sale of any interests in secondary market transactions. In addition, neither the Executing Broker nor NCPS makes any direction or recommendation as to the purchase or sale of any interests.

 

The Arrived platform acts as a user interface to receive information from, and deliver and display information to, investors and the registered broker-dealers. None of the company the manager or Arrived Holdings, Inc. will receive any compensation for its role in the trading procedure unless and until it, or one of its affiliates, registers as a broker-dealer. The manager or one of its affiliates in the future may register as a broker-dealer under state and federal securities laws, at which time it may charge fees in respect of trading of interests.

 

Agreements Relating to Secondary Trading on the PPEX ATS

 

The company intends to enter into an agreement (the “PPEX ATS Company Agreement”) with NCPS, pursuant to which NCPS will review the company’s and series’ governing documents, offering materials and regulatory filings so that the PPEX ATS may serve as an available venue for the potential resale transactions in interests to be conducted in accordance with the process described above. The PPEX ATS provides a matching platform for the Executing Broker as a broker-dealer member of the PPEX ATS to submit bid and ask quotes to purchase or sell interests on behalf of, and as directed by, investors.

 

 The manager intends to enter into a Software and Services License Agreement with NCIT, the parent company of NCPS. Under this agreement, the Arrived platform’s technology is connected via an application programming interface to the PPEX ATS to facilitate the routing of information from the Arrived platform as a user interface to the PPEX ATS as described above.

 

The company also intends to enter into an agreement with the Executing Broker (the “Secondary Brokerage Agreement”), separate and apart from the Broker Dealer Agreement. Pursuant to the Secondary Brokerage Agreement, the Executing Broker will perform certain services in support of the secondary trading of interests on the PPEX ATS and will ultimately be responsible for the execution of secondary trades of interests. As compensation, the Executing Broker will receive up to 5% of the gross proceeds received related to each transaction (2.5% from the buyer and 2.5% from the seller involved in such transaction). The manager may, from time to time and at its sole discretion, opt to pay the compensation earned by the Executing Broker in connection with its services related to the PPEX ATS. 

 

Asset Management Fee

 

Each series will pay the manager an annual asset management fee equal to six tenths of a percent (0.6%) of the purchase price of the series property for that series. This fee will be paid out of the net operating rental income of a series on a quarterly basis. 

 

8

 

 

Operating Expenses

 

Each series of our company will be responsible for the following costs and expenses attributable to the activities of our company related to such series (we refer to these as Operating Expenses):

 

  ● any and all fees, costs and expenses incurred in connection with the management of a series property, including Home Ownership Association (HOA) fees, income taxes, marketing, security and maintenance;

 

  ● any fees, costs and expenses incurred in connection with preparing any reports and accounts of each series, including any blue sky filings required in order for interest in a series to be made available to investors in certain states and any annual audit of the accounts of such series (if applicable) and any reports to be filed with the Commission including periodic reports on Forms 1-K, 1-SA and 1-U;

 

  ● any and all insurance premiums or expenses, including directors and officers insurance of the directors and officers of the manager or a property manager, in connection with the series property;

 

  ● any withholding or transfer taxes imposed on our company or a series or any of the members as a result of its or their earnings, investments or withdrawals;

 

  ● any governmental fees imposed on the capital of our company or a series or incurred in connection with compliance with applicable regulatory requirements;

 

  ● any legal fees and costs (including settlement costs) arising in connection with any litigation or regulatory investigation instituted against our company, a series or a property manager in connection with the affairs of our company or a series;

 

  ● the fees and expenses of any administrator, if any, engaged to provide administrative services to our company or a series; 

 

  ● any fees, costs and expenses of a third-party registrar and transfer agent appointed by the manager in connection with a series;

 

  ● the cost of the audit of our company’s annual financial statements and the preparation of its tax returns and circulation of reports to investors;

 

  ● the cost of any audit of a series annual financial statements and the fees, costs and expenses incurred in connection with making of any tax filings on behalf of a series and circulation of reports to investors;

 

  ● any indemnification payments to be made pursuant to the requirements of the operating agreement;

 

  ● the fees and expenses of our company’s or a series’ counsel in connection with advice directly relating to our company’s or a series’ legal affairs;

 

  ● the costs of any other outside appraisers, valuation firms, accountants, attorneys or other experts or consultants engaged by the manager in connection with the operations of our company or a series; and

 

  ● any similar expenses that may be determined to be Operating Expenses, as determined by the manager in its reasonable discretion.

 

9

 

 

The manager will bear its own expenses of an ordinary nature, including all costs and expenses on account of rent, supplies, secretarial expenses, stationery, charges for furniture, fixtures and equipment, payroll taxes, remuneration and expenses paid to employees and utilities expenditures.

 

If the Operating Expenses exceed the amount of revenues generated from a series property and cannot be covered by any Operating Expense reserves on the balance sheet of such series property, the manager may (a) pay such Operating Expenses and not seek reimbursement, (b) loan the amount of the Operating Expenses to the applicable series, on which the manager may impose a reasonable rate of interest, and be entitled to reimbursement of such amount from future revenues generated by such series property (which we refer to as Operating Expenses Reimbursement Obligation(s)), and/or (c) cause additional interests to be issued in the such series in order to cover such additional amounts.

 

Allocations of Expenses

 

To the extent relevant, Offering Expenses, Acquisition Expenses, Operating Expenses, revenue generated from series properties and any indemnification payments made by the manager will be allocated among the various series interests in accordance with the manager’s allocation policy set forth below. The allocation policy requires the manager to allocate items that are allocable to a specific series to be borne by, or distributed to (as applicable), the applicable series.  If, however, an item is not allocable to a specific series but to our company in general, it will be allocated pro rata based on the value of the series properties or the number of properties, as reasonably determined by the manager or as otherwise set forth in the allocation policy. By way of example, as of the date hereof it is anticipated that revenues and expenses will be allocated as follows:

 

Revenue or  Expense Item   Details   Allocation Policy (if revenue or expense is
not clearly allocable to a specific series property)
Revenue   Each of the series will have monthly rental income from the series property.   Allocable directly to the applicable series property
         
Acquisition Expenses   Appraisal and valuation fees (if incurred pre-closing)   Allocable directly to the applicable series property
    Appraisal and valuation fees (if incurred post-closing)   Allocable directly to the applicable series property
    Pre-purchase inspection   Allocable directly to the applicable series property
    Closing Costs   Allocable directly to the applicable series property
    Interest expense, if any, when an underlying series property is purchased by a series through a loan prior to the closing of a series offering   Allocable directly to the applicable series property
         
Offering Expenses   Legal expenses related to the preparation of regulatory paperwork (offering materials) for a series   Not allocable; to be borne by the manager
    Audit and accounting work related to the regulatory paperwork or a series   Allocable directly to the applicable series property
    Compliance work including diligence related to the preparation of a series   Not allocable; to be borne by the manager
    Insurance of a series property as at time of acquisition   Allocable directly to the applicable series property
    Broker fees other than cash commissions (e.g., expense reimbursement)  Brokerage fee payable per filing of a Form 1-A Post-Qualification Amendment ($1,000 per 1-A POS)   Not allocable; to be borne by the manager  Allocable directly to the applicable series
    Preparation of marketing materials   Not allocable; to be borne by the manager
         
Operating Expense   Property management fees   Allocable directly to the applicable series property
    Asset management fees   Allocable directly to the applicable series property
    Audit and accounting work related to the regulatory paperwork of a Series   Allocable pro rata to the number of series properties
    Security (e.g., surveillance and patrols)   Allocable pro rata to the value of each series property
    Insurance   Allocable directly to the applicable series property
    Maintenance   Allocable directly to the applicable series property
    Property marketing or lease concessions, including special offers and terms   Allocable directly to the applicable series property
    Property disposition fee   Allocable directly to the applicable series property
    Interest expense, if any, when a series property holds any type of term loan or line of credit   Allocable directly to the applicable series property
    Audit, accounting and bookkeeping related to the reporting requirements of a series   Allocable pro rata to the number of series properties
         
Indemnification Payments   Indemnification payments under the operating agreement   Allocable pro rata to the value of each series property

 

Notwithstanding the foregoing, the manager may revise and update the allocation policy from time to time in its reasonable discretion without further notice to the investors.

 

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The Arrived Platform

 

Arrived Holdings, Inc., the sole member of Arrived Fund Manager, LLC, our manager, owns and operates a web-based and mobile accessible investment platform, the Arrived platform. Through the use of the Arrived platform, investors can browse and screen the investments offered by each of our series, now existing or to be formed by our company in the future, and electronically sign legal documents to purchase series interests.

 

Competition

 

There are a number of established and emerging competitors in the real estate investment platform market. The market is fragmented, rapidly evolving, competitive, and with relatively low barriers to entry. We consider our competitive differentiators in our market to be:

 

  ● our focus on the single-family residential rental market;

 

  ● the ability for users to select which rental properties they would like to invest in;

 

  ● consistent rental income with use of moderate amounts of leverage;

 

  ● our unique investment strategy and approach to market selection;

 

  ● lower minimum investment amounts; and

 

  ● favorable tax treatment associated with REIT elections.

 

We face competition primarily from other real estate investment platform companies such as Roofstock, Inc., Fundrise LLC, and Compound Projects, LLC, as well as a range of emerging new entrants. In order to compete, we work tirelessly to innovate and improve our products, while at the same time preserving our unique culture and approach.

 

Conflicts of Interest

 

Conflicts of interest may exist or could arise in the future with the manager and its affiliates and our officers and/or directors who are also officers and/or directors of the manager. Conflicts may include, without limitation:

 

  ● Each of our executive officers will also serve as an officer of other the manager and its affiliated entities.  As a result, these persons will have a conflict of interest with respect to our agreements and arrangements with the manager and/or affiliates of the manager, which were not negotiated at arm’s length, and their terms may not have been as favorable to us as if they had been negotiated at arm’s length with an unaffiliated third party.  The manager is not required to make available any particular individual personnel to us.

 

  ● Our executive officers will not be required to devote a specific amount of time to our affairs.  As a result, we cannot provide any assurances regarding the amount of time the manager will dedicate to the management of our business.  Accordingly, we may compete with manager and any of its current and future programs, funds, vehicles, managed accounts, ventures or other entities owned and/or managed by the manager or one of its affiliates, which we refer to collectively as the manager-sponsored vehicles, for the time and attention of these officers in connection with our business.  We may not receive the level of support and assistance that we might otherwise receive if we were internally managed.

 

  ● Some or all of the series will acquire their properties from the manager or from an affiliate of the manager. Prior to a sale to a series, the manager will acquire a property, repair and improve the property, and seek to place a tenant in the property. The manager will then resell the property to a series at a value determined by the manager or affiliate of the manager, which may reflect a premium over the manager’s investment in the property. Accordingly, because the manager will be an interested party with respect to a sale of a property that it owns to a series, the manager’s interests in such a sale may not be aligned with the interests of the series or its investors. There can be no assurance that a property purchase price that a series will pay to the manager will be comparable to that which a series might pay to an unaffiliated third party property seller.

 

  ● The manager may in the future form or sponsor additional manager-sponsored vehicles, which could have overlapping investment objectives. To the extent we have sufficient capital to acquire a property that the manager has determined to be suitable for us, that property will be allocated to us.

 

  ● The manager does not assume any responsibility beyond the duties specified in the operating agreement and will not be responsible for any action of our board of directors in following or declining to follow the manager’s advice or recommendations.  The manager’s liability is limited under the operating agreement and we have agreed to reimburse, indemnify and hold harmless the manager and its affiliates, with respect to all expenses, losses, damages, liabilities, demands, charges and claims in respect of, or arising from acts or omissions of, such indemnified parties not constituting bad faith, willful misconduct, gross negligence or reckless disregard of the manager’s duties under the operating agreement which has a material adverse effect on us.  As a result, we could experience poor performance or losses for which the manager would not be liable.

 

Employees

 

Our company does not have any employees. All of the officers and directors of our company are employees of the manager.

 

Legal Proceedings

 

None of our company, any series, the manager, or any director or executive officer of our company or the manager is presently subject to any material legal proceedings.

11

 

 

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operation

 

Overview

 

Arrived Homes 3, LLC, a Delaware series limited liability company, was formed in January 2023 to permit public investment in individual residential properties. We believe people should have access to the wealth creation that real estate investment can provide. We believe in passive income, conservative debt, diversification, and aligned incentives.

   

Arrived is a marketplace for investing in real estate. We buy residential properties, divide them into multiple interests, and offer them as investments on a per interest basis through our web-based platform. Investors can manage their risk by spreading their investments across a portfolio of homes and they can invest in real estate without needing to apply for mortgages or take on personal debt.

   

Arrived does all of the work of sourcing, analyzing, maintaining, and managing all of the residential properties that we acquire. We analyze every property investment across several financial, market, and demographic characteristics to support our acquisition decision-making. Every investment we make is an investment in the communities in which Arrived operates, alongside other like-minded individuals. As our community network grows, so does our access to investment and housing opportunities.

   

Arrived arranges for a property manager to operate the properties as single-family rentals for tenants who can also invest through the same process as any other member of the Arrived Platform, becoming part owners of the homes they’re staying in at that time. By investing together, we align incentives towards creating value for everyone.

  

Since its formation in January 2023, our company has been engaged primarily in acquiring properties for its series offerings, developing the financial, offering and other materials to facilitate fundraising, and taking the steps necessary to effectuate the series offerings and the management of the associated series properties. As of December 31, 2024, our company has acquired 82 properties.

   

Emerging Growth Company

 

We may elect to become a public reporting company under the Exchange Act. If we elect to do so, we will be required to publicly report on an ongoing basis as an emerging growth company, as defined in the JOBS Act, under the reporting rules set forth under the Exchange Act. For so long as we remain an emerging growth company, we may take advantage of certain exemptions from various reporting requirements that are applicable to other Exchange Act reporting companies that are not emerging growth companies, including, but not limited to:

 

  ● not being required to comply with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act;

 

  ● being permitted to comply with reduced disclosure obligations regarding executive compensation in our periodic reports and proxy statements; and

 

  ● being exempt from the requirement to hold a non-binding advisory vote on executive compensation and stockholder approval of any golden parachute payments not previously approved.

 

In addition, Section 107 of the JOBS Act also provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act for complying with new or revised accounting standards. In other words, an emerging growth company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. We have elected to take advantage of the benefits of this extended transition period. Our financial statements may therefore not be comparable to those of companies that comply with such new or revised accounting standards.

 

We would expect to take advantage of these reporting exemptions until we are no longer an emerging growth company. We would remain an emerging growth company for up to five years, or until the earliest of (i) the last day of the first fiscal year in which our total annual gross revenues exceed $1 billion; (ii) the date that we become a large accelerated filer as defined in Rule 12b-2 under the Exchange Act, which would occur if the market value of our common shares that is held by non-affiliates exceeds $700 million as of the last business day of our most recently completed second fiscal quarter; or (iii) the date on which we have issued more than $1 billion in non-convertible debt during the preceding three-year period. 

 

Distributions

 

In order to qualify as a REIT, a series must distribute annually to investors at least 90% of its REIT taxable income (computed without regard to the dividends paid deduction and excluding net capital gain), and to avoid federal income and excise taxes on retained taxable income and gains it must distribute 100% of such income and gains annually. Our manager may authorize distributions in excess of those required for us to maintain our REIT status and/or avoid such taxes on retained taxable income and gains depending on our financial condition and such other factors as our manager deems relevant.

 

Our company expects the manager to make distributions of any free cash flow on a monthly or other periodic basis as determined by the manager. However, the manager may change the timing of distributions in its sole discretion. Investors will be required to update their personal information on a regular basis to make sure they receive all allocated distributions. We will utilize a “mobile wallet” feature for payment of distributions (the “Arrived Homes Wallet”). The Arrived Homes Wallet will be used to allow investors to pay for subscriptions, receive distributions and reinvest distributions.

 

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Valuation Policies

 

Following the six-month introductory period, at the end of each quarterly period, our manager’s internal accountants and asset management team will calculate a net asset value (“NAV”) per interest for each series using a process that reflects, among other matters,

 

  ● an estimated value of the series property, as determined by the manager’s asset management team, including related liabilities, based upon (a) information from publicly available sources related to (i) market rents, comparable sales information and interest rates and (ii) with respect to debt, default rates and discount rates, and (b) in certain instances, reports regarding the underlying real estate provided by an independent valuation expert or automated valuation models;

 

  ● the price of liquid assets for which third party market quotes are available;

 

  ● accruals of our periodic distributions on interests in the series; and

 

  ● estimated accruals of the revenues, fees and expenses of the series where we will (a) amortize the brokerage fee, offering expenses and sourcing fee over five years and (b) include accrued fees and operating expenses, accrued distributions payable, accrued management fees and any inter-company loans extended to the series by our manager.

 

Such determinations may include subjective judgments by the manager regarding the applicability of certain inputs to market rents and comparable sales information. While we do look at capitalization rates to help us to determine whether or not to acquire a property (see “Description of Business - Our Investment Criteria” in our latest Offering Circular), we do not utilize a capitalization rate approach in determining NAV, because given the nature of the series properties as primary residences, we do not believe that the value of a series’ primary asset can be determined based solely on the series’ rental revenues as the resale value of such asset will be decided independently of the success of such rental revenues.

  

Note, however, that the determination of the NAV for the interests of each series is not based on, nor intended to comply with, fair value standards under U.S. GAAP, and such NAV may not be indicative of the price that we would receive for our assets at current market conditions. In instances where we determine that an appraisal of the series property is necessary, including, but not limited to, instances where the manager is unsure of its ability on its own to accurately determine the estimated value of such series property, or instances where third party market values for comparable properties are either nonexistent or extremely inconsistent, we will engage an appraiser that has expertise in appraising residential real estate assets, to act as our independent valuation expert. The independent valuation expert is not responsible for, nor for preparing, our NAV per interest. See “Description of the Securities Being Offered⸺Valuation Policies” in our latest Offering Circular for more details about the NAV and how it will be calculated, including the subsection “NAV Estimates Determination and Valuation Methodology” for additional information regarding our manager’s NAV valuation methodology. 

 

Critical Accounting Policies

 

Our accounting policies will conform with GAAP. The preparation of financial statements in conformity with GAAP will require us to use judgment in the application of accounting policies, including making estimates and assumptions. These judgments may affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenue and expenses during the reporting periods. We intend to make these estimates and assumptions in an appropriate manner and in a way that accurately reflects our financial condition. We will continually test and evaluate our estimates and assumptions using our historical knowledge of the business, as well as other factors, to ensure that they are reasonable for reporting purposes. However, actual results may differ from our estimates and assumptions.

 

We believe our critical accounting policies govern the significant judgments and estimates used in the preparation of our financial statements. Please refer to Note 2, Summary of Significant Accounting Policies, included in the financial statements, for a more thorough discussion of our accounting policies and procedures.

 

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Operating Results

 

Revenues

 

Revenues are generated at the series level and are derived from leases on the series property. All revenues generated by each series during the year ended December 31, 2024 and the period January 4, 2023 (date of inception) through December 31, 2023 are listed in the table below. Such amounts are based on the audited financial statements of the company and each series included in this Annual Report on Form 1-K:

 

Rental Income 
Series Name  December 31,
2024		   December 31,
2023		 
Adams  $(559)  $- 
Antares   23,340    4,603 
Aramis   24,540    1,091 
Arkoma   19,140    11,474 
Arya   16,740    605 
Aspen   17,776    1,264 
Athos   25,140    8,380 
Barclay   23,586    14,004 
Bayne   72    - 
Bean   25,740    1,144 
Bennett   20,340    9,951 
Benny   21,184    4,667 
Bluebell   25,440    11,377 
Bowling   17,953    14,661 
Boxwood   -    - 
Bradford   22,686    6,976 
Brookwood   22,440    8,544 
Bryant   25,140    13,338 
Caden   17,313    14,125 
Camellia   21,540    15,803 
Caterpillar   21,540    4,111 
Chilhowee   19,000    24,242 
Claremore   11,334    9,738 
Collinison   24,860    1,625 
Cordero   24,540    13,974 
Cristalino   26,214    5,071 
Ellie   8,362    - 
Emelina   20,940    15,930 
Ethan   17,700    8,821 
Frances   23,163    - 
Glenncrest   23,741    - 
Gordon   22,740    7,327 
Haikey   20,574    10,789 
Hamblen   25,140    16,692 
Hancock   23,870    6,953 
Hardman   29,940    2,578 
Haven   13,820    11,393 
Haverhill   24,819    2,758 
Haybridge   22,626    - 
Hedgecrest   18,554    - 

 

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Helmerich   19,306    11,526 
Hermanos   16,270    20,785 
Holmes   16,740    11,160 
Johnson   13,185    - 
Keystone   25,322    - 
Langley   114    - 
Laurel   24,710    - 
Layla   24,845    - 
Liberty   21,787    12,886 
Lithonia   17,689    - 
Lola   25,440    919 
Lucas   24,540    13,497 
Macomber   26,005    10,230 
Mallard   20,940    12,328 
Marcy   15,692    - 
Meridian   22,245    8,396 
Metallo   -    - 
Misty   1,403    - 
Montgomery   16,624    - 
Northbrook   17,055    - 
Northridge   10,679    - 
Oakland   20,129    - 
Palmore   17,040    11,533 
Pebblestone   24,394    - 
Perdita   23,452    6,783 
Phoebe   18,240    - 
Pongo   24,577    8,799 
Portsmouth   21,540    13,434 
Presidio   -    - 
Rachel   18,315    - 
Ratliff   21,200    1,625 
Riverwood   24,528    7,276 
Roanoke   32,239    10,759 
Robinson   3,799    - 
Ross   27,531    - 
Sansa   16,740    2,465 
Sedgefield   16,766    - 
Seneca   4,065    - 
Sheezy   21,840    20,020 
Sherwood   16,740    5,303 
Spangler   -    - 
Summerglen   20,122    11,470 
Tansel   28,740    6,197 
Thomas   21,390    13,742 
Tomlinson   -    - 
Tytus   24,540    9,271 
Vanzant   24,022    - 
Watson   16,740    8,091 
Westhaven   18,979    12,053 
Wheeler   19,788    12,288 
Williamson   26,640    12,013 
Woodland   15,540    7,813 
Woodwind   20,327    11,865 
Wynde   23,640    10,966 
Wyndhurst   23,142    - 
Zane   15,300    8,403 
   $1,805,660   $597,902 

 

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Operating Expenses

 

The company incurred the following operating expenses during the year ended December 31, 2024 and the period January 4, 2023 (date of inception) through December 31, 2023. The operating expenses incurred prior to the closing of an offering related to any of the series are being paid by our manager and are reimbursed by such series out of the gross offering proceeds upon closing of the relevant series offering. Such operating expenses include real estate taxes, property insurance, Home Ownership Association (HOA) fees, legal fees, other professional fees, depreciation, and repair and maintenance costs.

 

Upon closing, each individual series becomes responsible to fund its own operating expenses. The following table summarizes the total operating expenses by series as of December 31, 2024 and 2023. Such amounts are based on the audited financial statements of the company and each series included in this Annual Report on Form 1-K:

 

Operating Expenses
  December 31, 2024   December 31, 2023 

Series Name		  Operating Expenses   Depreciation   Total Expenses   Operating Expenses   Depreciation   Total Expenses 
Adams  $7,544   $-   $7,544   $-   $-   $- 
Antares   10,338    8,514    18,851    18,049    4,257    22,306 
Aramis   13,342    8,246    21,588    18,049    4,123    22,172 
Arkoma   6,860    6,489    13,349    10,205    3,786    13,991 
Arya   21,869    4,933    26,802    14,368    411    14,779 
Aspen   15,238    7,358    22,596    11,418    4,905    16,323 
Athos   21,888    9,155    31,043    17,054    4,188    21,243 
Barclay   11,125    8,416    19,541    8,837    4,909    13,746 
Bayne   5,318    -    5,318    -    -    - 
Bean   12,755    8,057    20,813    10,793    1,343    12,136 
Bennett   8,493    5,820    14,313    12,561    3,880    16,441 
Benny   11,919    7,006    18,925    14,981    4,671    19,652 
Bluebell   12,729    8,215    20,945    12,415    4,108    16,523 
Bowling   7,443    5,724    13,167    11,590    4,293    15,883 
Boxwood   2,762    -    2,762    -    -    - 
Bradford   9,306    8,361    17,667    11,223    4,877    16,100 
Brookwood   10,331    7,707    18,038    14,349    5,138    19,487 
Bryant   14,739    8,784    23,523    17,208    5,033    22,241 
Caden   19,153    6,875    26,028    20,897    5,156    26,053 
Camellia   12,614    9,622    22,236    10,532    6,415    16,947 
Caterpillar   15,256    8,248    23,504    19,577    4,124    23,701 
Chilhowee   12,714    8,941    21,655    17,061    8,196    25,257 
Claremore   20,068    6,464    26,532    10,806    3,771    14,577 
Collinison   11,689    8,303    19,992    9,520    -    9,520 
Cordero   12,313    7,720    20,034    21,434    4,568    26,002 
Cristalino   22,796    8,450    31,246    33,866    6,338    40,203 
Ellie   11,336    7,897    19,232    9,803    1,316    11,119 
Emelina   9,860    8,243    18,103    20,566    6,066    26,632 
Ethan   12,484    7,279    19,763    21,748    3,617    25,365 
Frances   10,682    7,035    17,717    3,299    -    3,299 
Glenncrest   11,161    7,982    19,143    2,974    -    2,974 
Gordon   10,072    7,024    17,097    15,153    4,098    19,250 
Haikey   11,171    6,735    17,906    11,610    3,368    14,977 
Hamblen   6,772    7,053    13,826    22,748    4,702    27,450 
Hancock   10,887    8,454    19,340    16,724    4,845    21,569 
Hardman   13,004    10,652    23,656    9,942    -    9,942 
Haven   9,471    5,098    14,570    18,882    3,824    22,705 
Haverhill   10,290    6,449    16,740    18,016    4,299    22,315 
Haybridge   12,079    9,862    21,941    7,415    822    8,237 
Hedgecrest   14,192    9,862    24,053    7,346    822    8,168 

 

16

 

 

Helmerich   8,486    6,925    15,411    11,562    4,039    15,602 
Hermanos   17,028    11,828    28,856    20,368    9,122    29,489 
Holmes   4,973    4,839    9,812    12,112    3,226    15,337 
Johnson   14,483    3,759    18,242    -    -    - 
Keystone   13,600    8,771    22,371    6,169    -    6,169 
Langley   9,918    -    9,918    -    -    - 
Laurel   16,617    7,718    24,335    -    -    - 
Layla   14,987    8,906    23,893    8,243    -    8,243 
Liberty   17,468    9,716    27,184    14,607    4,865    19,472 
Lithonia   26,680    9,389    36,069    13,642    5,185    18,827 
Lola   9,723    8,288    18,011    9,043    -    9,043 
Lucas   16,994    8,140    25,134    16,117    4,087    20,204 
Macomber   17,840    8,571    26,411    17,526    4,201    21,727 
Mallard   12,419    5,724    18,142    13,140    3,339    16,479 
Marcy   7,201    4,933    12,134    11,288    411    11,699 
Meridian   11,094    8,697    19,791    17,873    4,240    22,113 
Metallo   6,023    -    6,023    -    -    - 
Misty   8,297    -    8,297    -    -    - 
Montgomery   16,133    7,441    23,574    16,567    3,752    20,319 
Northbrook   12,428    7,744    20,172    6,516    -    6,516 
Northridge   14,367    6,481    20,848    2,896    -    2,896 
Oakland   12,917    8,444    21,361    3,678    704    4,381 
Palmore   9,853    6,911    16,764    16,147    4,368    20,515 
Pebblestone   12,145    8,510    20,655    6,269    -    6,269 
Perdita   10,120    9,121    19,241    11,523    5,320    16,844 
Phoebe   13,098    7,000    20,098    3,721    -    3,721 
Pongo   11,008    9,121    20,129    9,725    5,320    15,045 
Portsmouth   10,119    5,864    15,983    20,024    3,910    23,933 
Presidio   13,782    -    13,782    -    -    - 
Rachel   12,582    7,943    20,526    4,006    -    4,006 
Ratliff   12,835    8,789    21,624    9,924    732    10,656 
Riverwood   11,757    10,040    21,797    24,250    5,321    29,570 
Roanoke   13,440    9,207    22,647    17,006    4,604    21,609 
Robinson   8,156    735    8,891    -    -    - 
Ross   13,125    9,164    22,290    4,182    -    4,182 
Sansa   4,906    4,933    9,839    11,796    411    12,207 
Sedgefield   16,115    6,020    22,135    -    -    - 
Seneca   8,324    1,352    9,676    -    -    - 
Sheezy   11,205    6,430    17,635    13,240    5,895    19,134 
Sherwood   4,666    4,796    9,463    21,518    2,798    24,316 
Spangler   7,144    -    7,144    -    -    - 
Summerglen   7,762    6,661    14,423    16,609    4,441    21,049 
Tansel   13,937    8,951    22,889    29,456    5,222    34,678 
Thomas   8,859    6,030    14,889    13,540    4,020    17,560 
Tomlinson   2,459    -    2,459    -    -    - 
Tytus   10,469    7,158    17,628    13,239    4,176    17,415 
Vanzant   18,342    8,914    27,255    6,552    -    6,552 
Watson   3,397    4,839    8,235    12,644    3,226    15,869 
Westhaven   18,890    7,017    25,907    14,511    4,678    19,189 
Wheeler   6,579    5,729    12,308    11,112    3,819    14,931 
Williamson   9,714    7,880    17,594    12,234    3,940    16,174 
Woodland   6,312    5,853    12,165    16,225    3,293    19,519 
Woodwind   13,585    7,008    20,594    16,021    4,672    20,693 
Wynde   11,538    8,048    19,585    27,434    4,300    31,734 
Wyndhurst   15,188    8,514    23,701    3,635    -    3,635 
Zane   6,251    4,481    10,732    10,881    2,241    13,122 
   $1,131,403   $646,366   $1,777,769   $1,111,791   $270,143   $1,381,933 

 

17

 

 

Other Expenses (Income)

  

During the year ended December 31, 2024 and the period January 4, 2023 through December 31, 2023, some series incurred interest expenses, including bridge financing interest and amortization of loan fees. The following table summarizes the total of such expenses incurred by each series during the year ended December 31, 2024 and the period January 4, 2023 (date of inception) through December 31, 2023. Such amounts are based on the audited financial statements of the company and each series included in this Annual Report on Form 1-K:

 

OTHER EXPENSES (INCOME)
Series Name  December 31,
2024		   December 31,
2023		 
Adams  $3,000   $- 
Antares   -    - 
Aramis   -    - 
Arkoma   -    - 
Arya   -    - 
Aspen   -    - 
Athos   -    - 
Barclay   -    - 
Bayne   2,876    - 
Bean   -    - 
Bennett   -    - 
Benny   -    - 
Bluebell   -    - 
Bowling   -    3,041 
Boxwood   2,695    - 
Bradford   -    - 
Brookwood   -    - 
Bryant   -    - 
Caden   15    3,939 
Camellia   -    - 
Caterpillar   -    - 
Chilhowee   -    - 
Claremore   -    - 
Collinison   -    - 
Cordero   -    - 
Cristalino   46    5,861 
Ellie   -    - 
Emelina   -    - 
Ethan   98    - 
Frances   -    - 
Glenncrest   6,314    - 
Gordon   -    - 
Haikey   -    - 
Hamblen   -    - 
Hancock   -    - 
Hardman   -    - 
Haven   -    2,832 
Haverhill   -    - 
Haybridge   -    - 
Hedgecrest   -    - 
Helmerich   -    - 
Hermanos   -    - 
Holmes   -    - 
Johnson   2,993    - 
Keystone   -    - 
Langley   3,644    - 
Laurel   7,746    - 
Layla   -    - 
Liberty   60    - 
Lithonia   66    - 

 

18

 

 

Lola   -    - 
Lucas   -    - 
Macomber   -    - 
Mallard   -    - 
Marcy   -    - 
Meridian   -    - 
Metallo   1,657    - 
Misty   3,270    - 
Montgomery   (6,969)   - 
Northbrook   -    - 
Northridge   -    - 
Oakland   8,263    - 
Palmore   -    - 
Pebblestone   -    - 
Perdita   -    - 
Phoebe   6,011    - 
Pongo   -    - 
Portsmouth   -    - 
Presidio   2,338    - 
Rachel   -    - 
Ratliff   -    - 
Riverwood   -    - 
Roanoke   -    - 
Robinson   3,134    - 
Ross   -    - 
Sansa   -    - 
Sedgefield   9,583    - 
Seneca   2,743    - 
Sheezy   -    - 
Sherwood   -    - 
Spangler   3,168    - 
Summerglen   -    - 
Tansel   -    - 
Thomas   -    - 
Tomlinson   2,368    - 
Tytus   -    - 
Vanzant   -    - 
Watson   -    - 
Westhaven   -    - 
Wheeler   -    - 
Williamson   -    - 
Woodland   -    - 
Woodwind   -    - 
Wynde   -    - 
Wyndhurst   -    - 
Zane   -    - 
   $65,117   $15,672 

 

19

 

 

Liquidity and Capital Resources

  

From inception, our manager has financed the business activities of each series. Upon the first closing of a particular series offering, the manager is reimbursed out of the proceeds of the relevant offering. Until such time as the series have the capacity to generate cash flows from operations, our manager may cover any deficits through capital contributions, which may be reimbursed upon closing of the relevant offering.

 

Cash and Cash Equivalent Balances

 

Cash is held at the series level. The following table summarizes the cash and cash equivalents held by each series as of December 31, 2024 and 2023. Such amounts are based on the audited financial statements of the company and each series included in this Annual Report on Form 1-K:

 

Cash & Cash Equivalents
Series Name  December 31,
2024		   December 31,
2023		 
Adams  $-   $- 
Antares   12,203    16,454 
Aramis   7,204    17,696 
Arkoma   23,313    26,399 
Arya   2,277    19,482 
Aspen   3,249    9,587 
Athos   9,313    22,229 
Barclay   24,025    30,661 
Bayne   -    - 
Bean   11,429    17,617 
Bennett   7,455    15,006 
Benny   3,024    12,309 
Bluebell   19,029    22,871 
Bowling   5,720    15,852 
Boxwood   -    - 
Bradford   22,583    20,297 
Brookwood   6,608    13,170 
Bryant   8,432    11,462 
Caden   1,152    10,861 
Camellia   5,838    20,502 
Caterpillar   11,778    19,632 
Chilhowee   12,661    20,622 
Claremore   -    17,900 
Collinison   24,688    2,979 
Cordero   14,543    19,302 
Cristalino   6,894    7,769 
Ellie   4,683    17,548 
Emelina   3,176    5,191 
Ethan   3,281    2,375 
Frances   19,302    - 
Glenncrest   18,053    - 
Gordon   14,335    17,148 
Haikey   10,753    18,832 
Hamblen   13,581    14,963 
Hancock   7,665    7,185 
Hardman   18,728    20,323 
Haven   2,123    8,774 
Haverhill   6,658    4,238 
Haybridge   18,262    25,648 

 

20

 

 

Hedgecrest   16,561    25,648 
Helmerich   15,946    18,024 
Hermanos   6,549    20,497 
Holmes   12,837    16,072 
Johnson   23,239    - 
Keystone   16,296    20,391 
Langley   -    - 
Laurel   24,838    - 
Layla   14,604    25,430 
Liberty   4,897    8,847 
Lithonia   6,926    18,089 
Lola   20,051    23,293 
Lucas   15,168    14,661 
Macomber   10,353    16,032 
Mallard   11,162    22,147 
Marcy   10,940    19,502 
Meridian   4,306    14,399 
Metallo   -    - 
Misty   25,490    - 
Montgomery   4,362    9,225 
Northbrook   16,387    22,111 
Northridge   19,278    - 
Oakland   18,656    474 
Palmore   4,155    20,957 
Pebblestone   14,763    19,914 
Perdita   20,002    20,883 
Phoebe   17,909    - 
Pongo   22,874    23,895 
Portsmouth   8,984    15,915 
Presidio   -    - 
Rachel   17,393    - 
Ratliff   14,030    24,017 
Riverwood   7,240    10,050 
Roanoke   22,621    22,821 
Robinson   24,787    - 
Ross   23,357    - 
Sansa   13,296    19,502 
Sedgefield   23,488    - 
Seneca   23,414    - 
Sheezy   14,858    18,930 
Sherwood   8,977    16,955 
Spangler   -    - 
Summerglen   6,370    12,041 
Tansel   6,633    18,170 
Thomas   9,480    16,283 
Tomlinson   -    - 
Tytus   19,226    19,860 
Vanzant   15,649    - 
Watson   14,142    15,170 
Westhaven   6,388    18,441 
Wheeler   14,689    18,711 
Williamson   20,047    22,367 
Woodland   4,751    3,099 
Woodwind   4,408    14,885 
Wynde   4,051    4,736 
Wyndhurst   22,986    - 
Zane   15,987    18,061 
   $1,129,818   $1,223,390 

 

21

 

 

Plan of Operations

 

We intend to hold and manage the series properties for five to seven years during which time we will operate the series properties as single-family rental income properties. During this period, we intend to distribute any Free Cash Flow to investors.

  

As each of our properties reaches what we believe to be its optimum value, we will consider disposing of the property. The determination of when a particular property should be sold or otherwise disposed of will be made after consideration of relevant factors, including prevailing and projected economic conditions, whether the value of the property is anticipated to appreciate or decline substantially, local regulatory changes, environmental and other factors that may reduce the desirability of single-family rentals in a particular market, and how operating history may impact the potential sales price. The manager may determine that it is in the best interests of members to sell a property earlier than five years or to hold a property for more than seven years.

  

We plan to launch a number of additional series and related offerings in the next twelve months.  As of the current date, we do not know how many series we will be offering. However, in any case, the aggregate dollar amount of all of the series interests that we will sell within the 12-month period will not exceed the maximum amount allowed under Regulation A. It is anticipated that the proceeds from any offerings closed during the next twelve months will be used to acquire additional properties.

 

Our Policies for Approving New Tenants 

 

We intend to seek out tenants for our properties who are financially responsible and capable of paying their rent. We will conduct due diligence on prospective tenant applicants by (a) verifying their incomes, (b) running credit checks, (c) performing criminal background checks, and (d) requesting references from previous landlords. While we do not have specific standards for any of these items, we will use these screening methods to determine, prior to approving a lease, whether we believe a potential lessee is financially responsible.

 

Trend Information

 

Our results of operations are affected by a variety of factors, including conditions in the financial markets and the economic and political environments, particularly in the United States. Global economic conditions, including political environments, financial market performance, interest rates, credit spreads or other conditions beyond our control are unpredictable and could negatively affect the value of the series properties, our ability to acquire and manage single family rentals and the success of our current and future offerings. In addition to the aforementioned macroeconomic trends, we believe the following factors will influence our future performance:

 

  - Recent increases in interest rates may have a negative effect on the demand for our offerings due to the attractiveness of alternative investments.

 

  - The continuing increase in prices in the United States housing market may result in difficulties in sourcing properties and meeting demand for our offerings.

 

  - Continued increases in remote work arrangements may lead to greater rental activity in our target markets.

 

22

 

 

Recent Developments

 

Revenues

  

Revenues are generated at the series level and are derived from leases on the series property. All revenues generated by any series during the period January 1, 2025 through February 28, 2025 are listed below. For the avoidance of doubt, the below amounts are unaudited.

 

Rental Income
Series Name  February 28,
2025		 
Adams  $4,240 
Antares   3,890 
Aramis   3,859 
Arkoma   3,190 
Arya   2,790 
Aspen   2,290 
Athos   4,190 
Barclay   3,990 
Bayne   2,520 
Bean   4,290 
Bennett   3,390 
Benny   3,590 
Bluebell   4,240 
Bowling   2,990 
Boxwood   498 
Bradford   3,840 
Brookwood   3,740 
Bryant   4,190 
Caden   3,190 
Camellia   3,590 
Caterpillar   3,590 
Chilhowee   4,790 
Claremore   3,040 
Collinison   4,190 
Cordero   4,090 
Cristalino   5,090 
Ellie   2,220 
Emelina   3,490 
Ethan   2,950 
Frances   4,040 
Glenncrest   3,990 
Gordon   3,790 
Haikey   3,590 
Hamblen   4,190 
Hancock   4,760 
Hardman   4,990 
Haven   2,990 
Haverhill   6,591 
Haybridge   - 
Hedgecrest   3,990 

 

23

 

 

Helmerich   3,590 
Hermanos   4,390 
Holmes   2,790 
Johnson   4,840 
Keystone   4,590 
Langley   5,090 
Laurel   4,590 
Layla   4,390 
Liberty   3,890 
Lithonia   3,990 
Lola   4,240 
Lucas   - 
Macomber   4,440 
Mallard   3,490 
Marcy   2,690 
Meridian   3,730 
Metallo   - 
Misty   5,190 
Montgomery   3,290 
Northbrook   3,790 
Northridge   6,780 
Oakland   4,440 
Palmore   2,840 
Pebblestone   4,590 
Perdita   3,990 
Phoebe   3,840 
Pongo   4,190 
Portsmouth   3,090 
Presidio   372 
Rachel   2,688 
Ratliff   4,240 
Riverwood   4,310 
Roanoke   4,990 
Robinson   4,690 
Ross   4,640 
Sansa   2,790 
Sedgefield   6,060 
Seneca   4,490 
Sheezy   3,640 
Sherwood   2,790 
Spangler   - 
Summerglen   1,795 
Tansel   4,501 
Thomas   3,590 
Tomlinson   - 
Tytus   4,090 
Vanzant   4,490 
Watson   2,790 
Westhaven   3,840 
Wheeler   3,298 
Williamson   4,440 
Woodland   2,590 
Woodwind   - 
Wynde   3,940 
Wyndhurst   - 
Zane   2,550 
   $339,261 

 

24

 

 

Operating Expenses

 

The company incurred the following operating expenses during the period January 1, 2025 through February 28, 2025. The operating expenses incurred prior to the closing of an offering related to any of the series are being paid by our manager and are reimbursed by such series out of the gross offering proceeds upon closing of the relevant series offering. Such operating expenses include real estate taxes, property insurance, Home Ownership Association (HOA) fees, legal fees, other professional fees, depreciation, and repair and maintenance costs. Upon closing, each series becomes responsible for its own operating expenses.

 

During the period January 1, 2025 through February 28, 2025, at the close of the respective offerings for the series, each individual series became or will become, as applicable, responsible for its own operating expenses. The following table summarizes the total operating expenses incurred by each series during the period January 1, 2025 through February 28, 2025. For the avoidance of doubt, the below amounts are unaudited.

 

Operating Expenses
   February 28, 2025 
Series Name  Operating Expenses   Depreciation   Total Expenses 
Adams  $5,475   $1,399   $6,874 
Antares   1,715    1,419    3,134 
Aramis   2,157    1,374    3,531 
Arkoma   1,573    1,082    2,655 
Arya   1,531    822    2,353 
Aspen   1,100    1,226    2,326 
Athos   2,315    1,526    3,840 
Barclay   1,541    1,403    2,943 
Bayne   5,323    1,602    6,925 
Bean   2,302    1,343    3,644 
Bennett   1,422    970    2,392 
Benny   2,830    1,168    3,997 
Bluebell   1,692    1,369    3,061 
Bowling   1,772    954    2,726 
Boxwood   6,567    1,473    8,040 
Bradford   1,522    1,393    2,916 
Brookwood   1,524    1,285    2,808 
Bryant   2,334    1,464    3,798 
Caden   3,540    1,146    4,685 
Camellia   1,688    1,604    3,292 
Caterpillar   2,851    1,375    4,225 
Chilhowee   1,955    1,490    3,445 
Claremore   2,302    1,077    3,379 
Collinison   8,455    1,384    9,839 
Cordero   1,779    1,287    3,066 
Cristalino   1,933    1,408    3,341 
Ellie   9,484    1,316    10,801 
Emelina   1,386    1,374    2,760 
Ethan   2,000    1,382    3,383 
Frances   2,443    1,279    3,722 
Glenncrest   2,094    1,330    3,424 
Gordon   2,180    1,171    3,351 
Haikey   2,186    1,123    3,309 
Hamblen   2,626    1,176    3,802 
Hancock   1,945    1,409    3,354 
Hardman   2,150    1,775    3,925 
Haven   1,315    850    2,165 
Haverhill   1,737    1,075    2,812 

 

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Haybridge   2,030    1,644    3,673 
Hedgecrest   2,287    1,644    3,931 
Helmerich   1,786    1,154    2,940 
Hermanos   2,040    1,971    4,011 
Holmes   1,344    806    2,150 
Johnson   3,470    1,503    4,974 
Keystone   2,874    1,595    4,468 
Langley   8,769    1,520    10,289 
Laurel   2,426    1,544    3,969 
Layla   2,880    1,484    4,365 
Liberty   2,190    1,848    4,039 
Lithonia   2,350    1,654    4,004 
Lola   3,043    1,381    4,424 
Lucas   3,358    1,357    4,715 
Macomber   2,313    1,429    3,741 
Mallard   1,599    954    2,553 
Marcy   1,718    822    2,540 
Meridian   2,439    1,497    3,936 
Metallo   4,954    668    5,622 
Misty   3,022    1,574    4,596 
Montgomery   1,700    1,391    3,091 
Northbrook   2,153    1,291    3,444 
Northridge   665    1,178    1,843 
Oakland   1,739    1,407    3,146 
Palmore   3,631    1,152    4,783 
Pebblestone   2,628    1,547    4,175 
Perdita   1,603    1,520    3,123 
Phoebe   2,456    1,273    3,729 
Pongo   1,615    1,520    3,135 
Portsmouth   1,735    977    2,712 
Presidio   6,393    1,096    7,488 
Rachel   2,076    1,324    3,399 
Ratliff   2,064    1,465    3,529 
Riverwood   1,763    1,673    3,436 
Roanoke   2,026    1,535    3,560 
Robinson   2,693    1,470    4,163 
Ross   2,597    1,527    4,125 
Sansa   1,681    822    2,504 
Sedgefield   2,428    1,338    3,766 
Seneca   1,940    1,352    3,292 
Sheezy   1,621    1,072    2,692 
Sherwood   1,801    799    2,600 
Spangler   6,228    1,957    8,186 
Summerglen   2,190    1,110    3,300 
Tansel   3,433    1,492    4,925 
Thomas   1,289    1,005    2,294 
Tomlinson   15,767    1,111    16,877 
Tytus   1,690    1,193    2,883 
Vanzant   2,373    1,621    3,994 
Watson   1,364    806    2,171 
Westhaven   2,314    1,169    3,483 
Wheeler   1,540    955    2,495 
Williamson   1,770    1,313    3,083 
Woodland   1,326    976    2,302 
Woodwind   3,987    1,168    5,155 
Wynde   1,517    1,341    2,858 
Wyndhurst   2,865    1,419    4,284 
Zane   1,731    747    2,478 
   $258,022   $125,465   $383,487 

 

26

 

 

Other Expenses

 

During the period between January 1, 2025 and February 28, 2025, certain series incurred interest expenses. The following table summarizes the total of such expenses incurred by each series during the period between January 1, 2025 through February 28, 2025. For the avoidance of doubt, the below amounts are unaudited.

 

OTHER EXPENSES
     
Series Name  February 28, 2025 
Adams  $540 
Antares   - 
Aramis   - 
Arkoma   - 
Arya   - 
Aspen   - 
Athos   - 
Barclay   - 
Bayne   2,260 
Bean   - 
Bennett   - 
Benny   - 
Bluebell   - 
Bowling   - 
Boxwood   3,080 
Bradford   - 
Brookwood   - 
Bryant   - 
Caden   - 
Camellia   - 
Caterpillar   - 
Chilhowee   - 
Claremore   - 
Collinison   - 
Cordero   - 
Cristalino   - 
Ellie   - 
Emelina   - 
Ethan   - 
Frances   - 
Glenncrest   - 
Gordon   - 
Haikey   - 
Hamblen   - 
Hancock   - 
Hardman   - 
Haven   - 
Haverhill   - 
Haybridge   - 
Hedgecrest   - 
Helmerich   - 
Hermanos   - 
Holmes   - 
Johnson   - 
Keystone   - 
Langley   663 
Laurel   - 
Layla   - 

 

27

 

 

Liberty   - 
Lithonia   - 
Lola   - 
Lucas   - 
Macomber   - 
Mallard   - 
Marcy   - 
Meridian   - 
Metallo   1,657 
Misty   - 
Montgomery   - 
Northbrook   - 
Northridge   - 
Oakland   - 
Palmore   - 
Pebblestone   - 
Perdita   - 
Phoebe   - 
Pongo   - 
Portsmouth   - 
Presidio   2,576 
Rachel   - 
Ratliff   - 
Riverwood   - 
Roanoke   - 
Robinson   - 
Ross   - 
Sansa   - 
Sedgefield   - 
Seneca   - 
Sheezy   - 
Sherwood   - 
Spangler   2,489 
Summerglen   - 
Tansel   - 
Thomas   - 
Tomlinson   2,852 
Tytus   - 
Vanzant   - 
Watson   - 
Westhaven   - 
Wheeler   - 
Williamson   - 
Woodland   - 
Woodwind   - 
Wynde   - 
Wyndhurst   - 
Zane   - 
   $16,117 

 

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Cash and Cash Equivalent Balances

 

Cash is held at the series level. The following table summarizes the cash and cash equivalents held by series as of February 28, 2025. For the avoidance of doubt, the below amounts are unaudited.

 

Cash & Cash Equivalents
Series Name  February 28,
2025		 
Adams  $19,505 
Antares   12,793 
Aramis   7,961 
Arkoma   21,806 
Arya   3,678 
Aspen   3,436 
Athos   4,653 
Barclay   24,149 
Bayne   20,881 
Bean   10,250 
Bennett   8,118 
Benny   3,529 
Bluebell   19,962 
Bowling   5,647 
Boxwood   19,385 
Bradford   23,053 
Brookwood   7,172 
Bryant   5,101 
Caden   2,062 
Camellia   6,512 
Caterpillar   12,565 
Chilhowee   10,823 
Claremore   1,424 
Collinison   14,421 
Cordero   15,629 
Cristalino   9,615 
Ellie   4,330 
Emelina   4,193 
Ethan   3,996 
Frances   16,891 
Glenncrest   18,338 
Gordon   14,417 
Haikey   12,619 
Hamblen   10,887 

 

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Hancock   3,420 
Hardman   15,828 
Haven   3,241 
Haverhill   10,320 
Haybridge   21,681 
Hedgecrest   16,145 
Helmerich   16,434 
Hermanos   8,262 
Holmes   12,044 
Johnson   21,836 
Keystone   12,188 
Langley   14,429 
Laurel   22,800 
Layla   12,045 
Liberty   3,724 
Lithonia   8,254 
Lola   16,712 
Lucas   8,805 
Macomber   7,176 
Mallard   11,430 
Marcy   9,858 
Meridian   3,757 
Metallo   20,351 
Misty   26,101 
Montgomery   5,247 
Northbrook   13,421 
Northridge   16,215 
Oakland   16,825 
Palmore   2,378 
Pebblestone   11,984 
Perdita   20,674 
Phoebe   15,379 
Pongo   23,576 
Portsmouth   9,332 
Presidio   13,580 
Rachel   14,141 
Ratliff   11,842 
Riverwood   8,639 
Roanoke   20,755 
Robinson   28,400 
Ross   20,116 
Sansa   12,671 
Sedgefield   31,600 
Seneca   23,847 
Sheezy   12,692 
Sherwood   8,364 
Spangler   26,457 
Summerglen   7,098 
Tansel   7,046 
Thomas   9,515 
Tomlinson   - 
Tytus   16,226 
Vanzant   13,578 
Watson   13,440 
Westhaven   4,421 
Wheeler   14,893 
Williamson   18,423 
Woodland   5,029 
Woodwind   6,035 
Wynde   5,748 
Wyndhurst   22,432 
Zane   15,675 
   $1,214,341 

 

30

 

 

Item 3. Directors AND Officers

 

General

 

The manager of our company is Arrived Fund Manager, LLC, a Delaware limited liability company. The manager has established a board of directors for our company, consisting of two members, Ryan Frazier and Kenneth Cason.

 

The nature of our business to be conducted or promoted by us must at all times be to engage in any lawful act or activity for which LLCs may be organized under the Delaware Limited Liability Company Act.

 

All of our directors and executive officers are employees of the manager. The executive offices of the manager are located at 1700 Westlake Avenue N, Suite 200, Seattle, WA 98109, and the telephone number of the manager’s executive offices is (814) 277-4833.

 

Executive Officers & Directors

 

The following table sets forth certain information with respect to each of the directors and executive officers of the manager:

 

Executive Officer   Age   Position Held with our Company(1) (2)   Position Held with the Manager
Ryan Frazier   36   Chief Executive Officer and Director   Chief Executive Officer, President and Director
Sue Korn   55   Chief Financial Officer   Chief Financial Officer
Kenneth Cason   38   Chief Technology Officer and Director   Chief Technology Officer and Director
Alejandro Chouza   44   Chief Operating Officer   Chief Operating Officer

 

(1) The terms in office of Mr. Frazier, Mr. Cason, and Mr. Chouza began upon the organization of our company on January 4, 2023. Ms. Korn’s term in office began upon her appointment as CFO on January 11, 2024. The current executive officers and directors will serve in these capacities indefinitely, or until their successors are duly appointed or elected, as applicable.

 

(2) The executive officers of the manager are currently devoting a significant amount of their working time to the operations of our company to satisfy their respective responsibilities to the management of our company. Our officers will be working on a part-time basis for our business and are expected to devote at least forty (40) hours per month to the operations and management of our company.

 

Biographical Information

 

Set forth below is biographical information of our executive officers and directors.

 

Ryan Frazier, our Chief Executive Officer and a director, has served as the Chief Executive Officer, President, and a director of Arrived Holdings, Inc. since its inception in February 2019 and as CEO and director of our company since its inception. In 2011, Mr. Frazier co-founded and was the CEO of DataRank, Inc., a social media listening platform used by Fortune 500 companies, including Procter & Gamble, Coca Cola, and The Clorox Company, to garner insights from their consumers. Mr. Frazier led DataRank through a merger with Simply Measured, Inc. in 2015, and again through a merger with Sprout Social, Inc. in 2017, after which he acted in the role of General Manager, leading the integration of the Simply Measured, Inc. and Sprout Social businesses in Sprout Social’s Seattle office. Mr. Frazier is an alumnus of Y Combinator, S13, and he graduated from the University of Arkansas in 2010 with a B.S. in International Business.

 

31

 

 

Sue Korn, our Chief Financial Officer, has served as the Chief Financial Officer of Arrived Holdings since January 2024. Ms. Korn began her career in equity research for diversified financial services companies at Kidder, Peabody in 1992, later moving to investment banking in Salomon Smith Barney’s Financial Institutions Group in 1997. She joined Providian Financial in 1998 where she oversaw planning and analysis, data management and reporting for a $33 billion credit card business. In 2011 she transitioned to FinTech, bringing her financial expertise to companies such as Prosper Marketplace (FP&A and back office operations), LendingClub (marketplace operations and treasury), Oportun (FP&A and accounting) and was co-founder/CFO/Head of Operations for online lender Vouch Financial. Ms. Korn graduated from Colby College with a B.A. in Philosophy/Math in 1991 and earned her M.B.A from Kellogg Graduate School of Management at Northwestern University in 1997 with majors in Finance, Management and Strategy and Organizational Behavior. She has held the Chartered Financial Analyst® designation since 1998.

 

Kenneth Cason, our Chief Technology Officer and a director, has served as the Chief Technology Officer and director of Arrived Holdings, Inc. since its inception in February 2019. Beginning in 2011, Mr. Cason served as the Co-Founder and Chief Technology Officer of DataRank, Inc. Mr. Cason worked extensively to help design and build large scale data collection, processing, and search systems. He remained employed with DataRank through two mergers; first with Simply Measured, Inc., in 2015, and then again with Sprout Social in 2017. During both mergers he worked to lead and integrate each company’s tech stack. Mr. Cason is an alumni of Y Combinator, S13, and he graduated from the University of Arkansas in 2010 with a B.S. in Computer Science and also received Associate degrees in Mathematics, Japanese and Chinese.

 

Alejandro Chouza, our Chief Operating Officer, has served as the Chief Operating Officer of Arrived Holdings, Inc. since its inception in February 2019. Mr. Chouza was previously the VP of Operations of Oyo Rooms beginning in May 2019. Prior to that, Mr. Chouza was the Regional General Manager of Uber Technologies, Inc., from September 2014 through May 2019, where he launched and managed operations in Mexico and the Northwest USA markets. Mr. Chouza graduated with a B.S. from Babson College and an M.B.A. from The Wharton School of the University of Pennsylvania.

 

There are no arrangements or understandings known to us pursuant to which any director was or is to be selected as a director or nominee. There are no agreements or understandings for any executive officer or director to resign at the request of another person and no officer or director is acting on behalf of nor will any of them act at the direction of any other person.

 

There are no family relationships between any director, executive officer, person nominated or chosen to become a director or executive officer or any significant employee.

 

The Manager and the Operating Agreement

 

The manager will be responsible for directing the management of our business and affairs, managing our day-to-day affairs, and implementing our investment strategy. The manager and its officers will not be required to devote all of their time to our business and are only required to devote such time to our affairs as their duties require.

 

The manager will perform its duties and responsibilities pursuant to the operating agreement. The manager will maintain a contractual, as opposed to a fiduciary relationship, with us and our investors. Furthermore, we have agreed to limit the liability of the manager and to indemnify the manager against certain liabilities.

 

The operating agreement further provides that our manager, in exercising its rights in its capacity as the managing member, will be entitled to consider only such interests and factors as it desires, including its own interests, and will have no duty or obligation (fiduciary or otherwise) to give any consideration to any interest of or factors affecting our company, any series of interests or any of the interest holders and will not be subject to any different standards imposed by the operating agreement, the LLC Act or under any other law, rule or regulation or in equity.  In addition, the operating agreement provides that our manager will not have any duty (including any fiduciary duty) to our company, any series or any of the interest holders.

 

32

 

 

Responsibilities of the Manager 

 

The responsibilities of the manager include:

 

  ● Investment Advisory, Origination and Acquisition Services such as approving and overseeing our overall investment strategy, which will consist of elements such as investment selection criteria, diversification strategies and asset disposition strategies;

 

  ● Offering Services such as the development of our series offerings, including the determination of their specific terms;

 

  ● Management Services such as investigating, selecting, and, on our behalf, engaging and conducting business with such persons as the manager deems necessary to the proper performance of its obligations under the operating agreement, including but not limited to consultants, accountants, lenders, technical managers, attorneys, corporate fiduciaries, escrow agents, depositaries, custodians, agents for collection, insurers, insurance agents, developers, construction companies, property managers and any and all persons acting in any other capacity deemed by the manager necessary or desirable for the performance of any of the services under the operating agreement;

 

  ● Accounting and Other Administrative Services such as maintaining accounting data and any other information concerning our activities as will be required to prepare and to file all periodic financial reports and returns required to be filed with the Commission and any other regulatory agency, including annual financial statements, and managing and performing the various administrative functions necessary for our day-to-day operations;

 

  ● Investor Services such as managing communications with our investors, including answering phone calls, preparing and sending written and electronic reports and other communications;

 

  ● Financing Services such as monitoring and overseeing the service of our debt facilities and other financings, if any; and 

 

  ● Disposition Services such as evaluating and approving potential asset dispositions, sales or liquidity transactions.

  

Manager Affiliates

 

Our manager controls eight affiliated entities also conducting offerings under Tier 2 of Regulation A:

 

Arrived Homes, LLC – Arrived Homes, LLC was formed on July 13, 2020 as a Delaware series limited liability company to permit public investment in individual real estate properties that will be owned by individual series of Arrived Homes, LLC.

 

Arrived Homes II, LLC – Arrived Homes II, LLC was formed on February 2, 2022 as a Delaware series limited liability company to permit public investment in individual real estate properties that will be owned by individual series of Arrived Homes II, LLC.

 

Arrived Homes 4, LLC – Arrived Homes 4, LLC was formed on July 28, 2023 as a Delaware series limited liability company to permit public investment in individual real estate properties that will be owned by individual series of Arrived Homes 4, LLC.

 

Arrived Homes 5, LLC – Arrived Homes 5, LLC was formed on July 12, 2024 as a Delaware series limited liability company to permit public investment in individual real estate properties that will be owned by individual series of Arrived Homes 5, LLC. 

 

Arrived STR, LLC – Arrived STR, LLC was formed on July 11, 2022 as a Delaware series limited liability company to permit public investment in individual real estate properties that will be owned by individual series of Arrived STR, LLC.

 

Arrived STR 2, LLC – Arrived STR 2, LLC was formed on January 12, 2023 as a Delaware series limited liability company to permit public investment in individual real estate properties that will be owned by individual series of Arrived STR 2, LLC.

 

Arrived SFR Genesis Fund, LLC– Arrived SFR Genesis Fund, LLC was formed on May 1, 2023 as a Delaware limited liability company, to originate, invest in and manage a diversified portfolio of single family residential real estate properties. 

 

Arrived Debt Fund, LLC – Arrived Debt Fund, LLC was formed on December 21, 2023 as a Delaware limited liability company to invest in and manage a diversified portfolio of residential real estate investments.

 

33

 

 

Compensation of Executive Officers

 

We do not currently have any employees nor do we currently intend to hire any employees who will be compensated directly by our company. Each of our executive officers, who are also executive officers of the manager, manages our day-to-day affairs, oversees the review, selection and recommendation of investment opportunities, services acquired properties and monitors the performance of these properties to ensure that they are consistent with our investment objectives. Each of these individuals receives compensation for his or her services, including services performed for us on behalf of the manager, from the manager. We do not intend to pay any compensation to these individuals.

 

Compensation of the Manager

 

The manager will receive compensation and reimbursement for costs incurred relating to our series offerings (e.g., Offering Expenses and Acquisition Expenses). Neither the manager nor any of its affiliates will receive any selling commissions or dealer manager fees in connection with this or other series offerings. See “Management—Management Compensation” in our offering circular and Note 7, Related Party Transactions in our financial statements for further details.

 

Item 4. Security Ownership of Management and Certain Securityholders

 

Our company is managed by Arrived Fund Manager, LLC the manager, who will also be the manager of all of our series. The manager currently does not own, and at the closing of each series offering is not expected to own, any of the interests in any series.

 

No executive officers and directors beneficially own more than 10% of any series of our company. Additionally, no other security holders beneficially own more than 10% of any series of our company.

 

The manager or an affiliate of the manager may purchase interests in any series of our company on the same terms as offered to investors. No brokerage fee will be paid on any interests purchased by the manager or its affiliates. Additionally, the manager may acquire interests in any series of our company in the event that a promissory note issued to the manager in connection with the acquisition of a series property, if outstanding, is not repaid on or prior to its maturity date, at which point, the outstanding balance of the promissory note will be converted into series interests under the same terms as in the applicable series offering.

 

The address of Arrived Fund Manager, LLC. is 1700 Westlake Avenue N, Suite 200, Seattle, WA 98109.

 

Item 5. INTEREST OF MANAGEMENT AND OTHERS IN CERTAIN Transactions

 

Since our formation in January 2023, we have entered into a number of transactions in which we were a participant and the amount involved exceeded or exceeds the lesser of $120,000 and one percent of the average of our total assets as of the date of formation, and in which any related person had a direct or indirect material interest (other than compensation described under “Compensation of Directors and Executive Officers”). See “The Series Properties Being Offered” section in our latest offering circular, which can be accessed here, for a description of the manager’s involvement in the purchase of properties on the relevant series’ behalf and the subsequent issuance of promissory notes by the series to the manager. See “Management—Management Compensation” section in our offering circular for a description of the fees paid to the manager. We believe the terms obtained or consideration that we paid or received, as applicable, in connection with such transactions were comparable to terms available or the amounts that would be paid or received, as applicable, in arm’s-length transactions. With respect to the additional series that will be offering their interests by way of this offering circular and other future series, their properties will be acquired in accordance with one of the acquisition methods discussed in the section titled “Description of Business⸺Acquisition Mechanics” in our offering circular. Therefore, the manager is expected to continue to receive interest income from loans to the multiple series.

 

Item 6. Other Information

 

None.

 

34

 

 

Item 7. Financial Statements

 

ARRIVED HOMES 3, LLC AND ITS SERIES

 

CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS

 

DECEMBER 31, 2024 AND 2023

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (PCAOB ID #03523) F-2
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (PCAOB ID #00536) F-3
CONSOLIDATED AND CONSOLIDATING BALANCE SHEET AS OF DECEMBER 31, 2024 F-4
CONSOLIDATED AND CONSOLIDATING BALANCE SHEET AS OF DECEMBER 31, 2023 F-18
CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE YEAR ENDED DECEMBER 31, 2024 F-30
CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS) FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023 F-44
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT) FOR THE YEAR ENDED DECEMBER 31, 2024 F-56
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT) FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023 F-70
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2024 F-82
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023 F-96
NOTES TO CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS F-108

 

F-1

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Manager and Members of
Arrived Homes 3, LLC and its Series

Seattle, Washington

 

Opinion on the Consolidated and Consolidating Financial Statements

 

We have audited the accompanying consolidated and consolidating balance sheet of Arrived Homes 3, LLC and its Series (the Company) as of December 31, 2024, and the related consolidated and consolidating statements of comprehensive income (loss), changes in members’ equity (deficit), and cash flows for the year ended December 31, 2024, and the related notes (collectively referred to as the consolidated and consolidating financial statements). In our opinion, the consolidated and consolidating financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024, and the results of their operations and their cash flows for the year then ended, in conformity with accounting principles generally accepted in the United States of America.

 

Going Concern

 

The accompanying consolidated and consolidating financial statements have been prepared assuming that the Company will continue as a going concern.  As discussed in Note 3 to the consolidated and consolidating financial statements, the Company’s lack of liquidity raises substantial doubt about their ability to continue as a going concern.  Management’s plans in regard to these matters are also described in Note 3. The consolidated and consolidating financial statements do not include any adjustments that might result from the outcome of this uncertainty.  

 

Basis for Opinion

 

These consolidated and consolidating financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s consolidated and consolidating financial statements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated and consolidating financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audit included performing procedures to assess the risks of material misstatement of the consolidated and consolidating financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated and consolidating financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated and consolidating financial statements. We believe that our audit provides a reasonable basis for our opinion.

 

/s/ Stephano Slack LLC

 

We have served as the Company’s auditor since 2024.

 

Wayne, Pennsylvania

April 30, 2025

 

F-2

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Manager and Members of
Arrived Homes 3, LLC and its Series

Seattle, Washington

 

Opinion on the Consolidated and Consolidating Financial Statements

 

We have audited the accompanying consolidated and consolidating balance sheet of Arrived Homes 3, LLC and its Series (the Company) as of December 31, 2023, and the related consolidated and consolidating statements of comprehensive income (loss), members’ equity (deficit), and cash flows for the period January 4, 2023 (date of inception) through December 31, 2023, and the related notes (collectively referred to as the consolidated and consolidating financial statements). In our opinion, the consolidated and consolidating financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023, and the results of their operations and their cash flows for the period January 4, 2023 (date of inception) through December 31, 2023, in conformity with accounting principles generally accepted in the United States of America.

 

Going Concern

 

The accompanying consolidated and consolidating financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 3 to the consolidated and consolidating financial statements, the Company’s lack of liquidity raises substantial doubt about their ability to continue as a going concern.  Management’s plans in regard to these matters are also described in Note 3. The consolidated and consolidating financial statements do not include any adjustments that might result from the outcome of this uncertainty.  

 

Basis for Opinion

 

These consolidated and consolidating financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s consolidated and consolidating financial statements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

 

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated and consolidating financial statements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit, we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audit included performing procedures to assess the risks of material misstatement of the consolidated and consolidating financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated and consolidating financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the consolidated and consolidating financial statements. We believe that our audit provides a reasonable basis for our opinion.

 

/s/ Morison Cogen LLP

 

We have served as the Company’s auditor from 2023 to 2024.

 

Blue Bell, Pennsylvania

April 29, 2024

 

F-3

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Adams   Antares   Aramis   Arkoma   Arya   Aspen   Athos 
ASSETS                            
Current assets:                            
Cash  $-   $12,203   $7,204   $23,313   $2,277   $3,249   $9,313 
Prepaid expenses   -    499    551    438    277    633    1,623 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   548    4,379    5,453    2,770    2,766    3,778    3,173 
Total current assets   548    17,082    13,209    26,522    5,320    7,660    14,110 
Property and equipment, net   306,829    299,395    289,989    227,671    175,531    257,527    285,361 
Total assets  $307,377   $316,476   $303,197   $254,193   $180,851   $265,187   $299,471 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   4,871    3,092    2,964    3,796    2,375    2,399    8,074 
Tenant deposits   2,345    2,395    3,790    1,595    1,395    1,795    4,190 
Bridge financing, related party   288,000    -    -    -    -    -    - 
Due to related parties   20,263    2,341    2,437    1,893    6,278    4,610    1,505 
Total Current liabilities   315,479    7,828    9,191    7,284    10,048    8,804    13,770 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   315,479    7,828    9,191    7,284    10,048    8,804    13,770 
Members’ equity                                   
Members’ capital   3,000    321,862    312,136    243,635    195,041    276,262    304,467 
Retained earnings (accumulated deficit)   (11,102)   (13,214)   (18,129)   3,274    (24,237)   (19,879)   (18,766)
Total members’ equity    (8,102)   308,648    294,006    246,908    170,803    256,383    285,701 
Total liabilities and members’ equity  $307,377   $316,476   $303,197   $254,193   $180,851   $265,187   $299,471 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-4

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Barclay   Bayne   Bean   Bennett   Benny   Bluebell   Bowling 
ASSETS                            
Current assets:                            
Cash  $24,025   $-   $11,429   $7,455   $3,024   $19,029   $5,720 
Prepaid expenses   465    -    450    507    1,892    541    1,116 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   1,925    -    4,206    3,192    3,586    4,258    2,016 
Total current assets   26,415    -    16,085    11,154    8,503    23,828    8,851 
Property and equipment, net   295,259    351,287    286,038    203,702    245,210    288,903    199,858 
Total assets  $321,674   $351,287   $302,123   $214,856   $253,713   $312,731   $208,709 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   3,518    4,831    5,100    3,050    2,432    2,938    2,808 
Tenant deposits   -    -    2,145    1,695    1,795    2,345    - 
Bridge financing, related party   -    328,683    -    -    -    -    - 
Due to related parties   2,453    25,894    2,425    1,666    2,796    2,449    2,159 
Total Current liabilities   5,971    359,409    9,670    6,410    7,023    7,732    4,967 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   5,971    359,409    9,670    6,410    7,023    7,732    4,967 
Members’ equity                                   
Members’ capital   311,399    -    298,518    208,908    259,416    305,649    203,219 
Retained earnings (accumulated deficit)   4,304    (8,122)   (6,065)   (463)   (12,727)   (650)   524 
Total members’ equity   315,703    (8,122)   292,453    208,445    246,690    304,999    203,742 
Total liabilities and members’ equity  $321,674   $351,287   $302,123   $214,856   $253,713   $312,731   $208,709 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-5

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Boxwood   Bradford   Brookwood   Bryant   Caden   Camellia   Caterpillar 
ASSETS                            
Current assets:                            
Cash  $-   $22,583   $6,608   $8,432   $1,152   $5,838   $11,778 
Prepaid expenses   -    458    591    1,347    1,013    667    1,772 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   -    3,929    3,849    4,300    1,370    4,258    3,624 
Total current assets   -    26,970    11,047    14,079    3,535    10,764    17,174 
Property and equipment, net   324,350    293,425    269,761    273,609    240,044    253,710    290,043 
Total assets  $324,350   $320,395   $280,808   $287,689   $243,580   $264,474   $307,216 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   5,161    3,288    2,668    8,257    1,533    2,720    2,251 
Tenant deposits   -    2,145    1,795    2,095    2,393    1,795    1,795 
Bridge financing, related party   308,000    -    -    -    -    -    - 
Due to related parties   16,646    2,285    4,262    2,300    1,969    2,525    2,322 
Total Current liabilities   329,807    7,718    8,725    12,652    5,895    7,039    6,368 
Operational notes, related party   -    -    -    -    5,500    -    - 
Total Liabilities   329,807    7,718    8,725    12,652    11,395    7,039    6,368 
Members’ equity                                   
Members’ capital   -    316,782    278,625    282,322    256,781    259,274    322,402 
Retained earnings (accumulated deficit)   (5,457)   (4,105)   (6,542)   (7,286)   (24,596)   (1,840)   (21,554)
Total members’ equity   (5,457)   312,677    272,083    275,037    232,185    257,434    300,848 
Total liabilities and members’ equity  $324,350   $320,395   $280,808   $287,689   $243,580   $264,474   $307,216 

  

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-6

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Chilhowee   Claremore   Collinison   Cordero   Cristalino   Ellie   Emelina 
ASSETS                            
Current assets:                            
Cash  $12,661   $-   $24,688   $14,543   $6,894   $4,683   $3,176 
Prepaid expenses   1,185    790    414    501    944    482    687 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   2,355    2,097    558    4,390    5,553    2,092    3,878 
Total current assets   16,200    2,887    25,660    19,434    13,391    7,257    7,741 
Property and equipment, net   309,705    226,795    295,285    263,670    295,055    280,333    243,748 
Total assets  $325,905   $229,682   $320,945   $283,104   $308,446   $287,590   $251,488 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   3,821    2,780    4,542    4,368    4,984    2,001    2,506 
Tenant deposits   2,395    1,745    2,095    2,495    2,995    2,445    2,195 
Bridge financing, related party   -    -    -    -    -    -    - 
Due to related parties   3,595    2,138    1,694    2,616    3,480    2,467    4,744 
Total Current liabilities   9,811    6,663    8,330    9,479    11,459    6,913    9,445 
Operational notes, related party   -    -    -    -    16,800    -    - 
Total Liabilities   9,811    6,663    8,330    9,479    28,259    6,913    9,445 
Members’ equity                                   
Members’ capital   319,764    243,056    315,642    281,147    326,259    302,667    249,907 
Retained earnings (accumulated deficit)   (3,670)   (20,037)   (3,027)   (7,522)   (46,071)   (21,990)   (7,864)
Total members’ equity   316,094    223,019    312,615    273,626    280,188    280,678    242,043 
Total liabilities and members’ equity  $325,905   $229,682   $320,945   $283,104   $308,446   $287,590   $251,488 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-7

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Ethan   Frances   Glenncrest   Gordon   Haikey   Hamblen   Hancock 
ASSETS                            
Current assets:                            
Cash  $3,281   $19,302   $18,053   $14,335   $10,753   $13,581   $7,665 
Prepaid expenses   483    376    418    552    738    1,038    570 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   2,378    4,154    5,781    3,815    3,511    4,184    4,837 
Total current assets   6,142    23,833    24,252    18,702    15,002    18,803    13,071 
Property and equipment, net   198,929    273,512    284,027    246,434    236,852    246,865    263,896 
Total assets  $205,071   $297,345   $308,279   $265,137   $251,854   $265,668   $276,967 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   2,463    4,901    3,437    2,949    2,647    5,338    3,565 
Tenant deposits   1,475    2,245    3,990    1,895    1,795    2,095    2,045 
Bridge financing, related party   -    -    -    -    -    -    - 
Due to related parties   2,320    1,851    100    2,076    2,129    2,581    6,373 
Total Current liabilities   6,259    8,997    7,527    6,920    6,572    10,014    11,982 
Operational notes, related party   13,000    -    -    -    -    -    - 
Total Liabilities   19,259    8,997    7,527    6,920    6,572    10,014    11,982 
Members’ equity                                   
Members’ capital   204,516    286,202    305,441    264,497    246,803    255,098    275,072 
Retained earnings (accumulated deficit)   (18,704)   2,146    (4,690)   (6,280)   (1,521)   556    (10,087)
Total members’ equity   185,812    288,348    300,751    258,217    245,282    255,655    264,985 
Total liabilities and members’ equity  $205,071   $297,345   $308,279   $265,137   $251,854   $265,668   $276,967 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-8

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Hardman   Haven   Haverhill   Haybridge   Hedgecrest   Helmerich   Hermanos 
ASSETS                            
Current assets:                            
Cash  $18,728   $2,123   $6,658   $18,262   $16,561   $15,946   $6,549 
Prepaid expenses   406    1,197    642    394    394    791    1,784 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   5,009    2,910    1,885    3,814    3,920    3,503    4,808 
Total current assets   24,143    6,230    9,185    22,471    20,875    20,240    13,141 
Property and equipment, net   379,906    178,006    225,720    350,910    350,910    242,946    306,328 
Total assets  $404,049   $184,236   $234,905   $373,380   $371,785   $263,186   $319,468 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   6,713    2,388    1,518    1,280    2,928    3,168    4,584 
Tenant deposits   2,495    1,495    1,745    -    1,995    2,095    3,293 
Bridge financing, related party   -    -    -    -    -    -    - 
Due to related parties   2,584    7,690    2,501    2,559    2,339    2,138    11,685 
Total Current liabilities   11,792    11,573    5,764    3,840    7,262    7,402    19,561 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   11,792    11,573    5,764    3,840    7,262    7,402    19,561 
Members’ equity                                   
Members’ capital   393,337    187,557    240,619    377,092    378,190    255,965    321,198 
Retained earnings (accumulated deficit)   (1,080)   (14,893)   (11,477)   (7,552)   (13,668)   (181)   (21,291)
Total members’ equity   392,257    172,663    229,141    369,541    364,523    255,784    299,907 
Total liabilities and members’ equity  $404,049   $184,236   $234,905   $373,380   $371,785   $263,186   $319,468 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-9

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Holmes   Johnson   Keystone   Langley   Laurel   Layla   Liberty 
ASSETS                            
Current assets:                            
Cash  $12,837   $23,239   $16,296   $-   $24,838   $14,604   $4,897 
Prepaid expenses   385    -    539    -    482    506    1,186 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   2,743    4,864    2,913    869    4,708    4,856    4,319 
Total current assets   15,965    28,103    19,748    869    30,028    19,966    10,402 
Property and equipment, net   169,346    325,823    341,063    334,512    330,775    317,642    259,206 
Total assets  $185,311   $353,926   $360,811   $335,380   $360,803   $337,608   $269,608 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   3,102    5,609    6,396    5,524    5,854    5,282    6,111 
Tenant deposits   1,395    2,645    2,295    2,995    2,295    2,695    2,395 
Bridge financing, related party   -    -    -    318,000    -    -    - 
Due to related parties   1,846    971    2,308    18,665    1,427    2,485    1,913 
Total Current liabilities   6,343    9,224    10,999    345,185    9,576    10,462    10,420 
Operational notes, related party   -    -    -    -    -    -    8,000 
Total Liabilities   6,343    9,224    10,999    345,185    9,576    10,462    18,420 
Members’ equity                                   
Members’ capital   176,217    352,751    353,031    3,644    358,598    334,437    263,232 
Retained earnings (accumulated deficit)   2,751    (8,050)   (3,219)   (13,448)   (7,371)   (7,291)   (12,043)
Total members’ equity   178,968    344,701    349,812    (9,804)   351,227    327,146    251,189 
Total liabilities and members’ equity  $185,311   $353,926   $360,811   $335,380   $360,803   $337,608   $269,608 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-10

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy   Meridian 
ASSETS                            
Current assets:                            
Cash  $6,926   $20,051   $15,168   $10,353   $11,162   $10,940   $4,306 
Prepaid expenses   674    415    1,379    1,464    477    277    674 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   6,186    4,388    1,662    4,507    3,921    4,156    3,602 
Total current assets   13,786    24,854    18,209    16,324    15,560    15,373    8,581 
Property and equipment, net   281,343    295,617    250,315    269,405    200,803    175,531    262,135 
Total assets  $295,129   $320,471   $268,524   $285,729   $216,363   $190,904   $270,716 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   2,379    4,945    7,547    8,153    3,100    3,166    3,127 
Tenant deposits   3,990    2,345    -    2,445    2,195    2,690    1,850 
Bridge financing, related party   -    -    -    -    -    -    - 
Due to related parties   3,000    2,307    2,100    1,519    1,544    1,335    2,146 
Total Current liabilities   9,369    9,598    9,647    12,118    6,839    7,192    7,123 
Operational notes, related party   24,300    -    -    -    -    -    - 
Total Liabilities   33,669    9,598    9,647    12,118    6,839    7,192    7,123 
Members’ equity                                   
Members’ capital   298,733    311,569    266,178    285,515    210,878    191,853    274,857 
Retained earnings (accumulated deficit)   (37,273)   (696)   (7,301)   (11,903)   (1,354)   (8,141)   (11,264)
Total members’ equity   261,460    310,873    258,877    273,612    209,524    183,713    263,593 
Total liabilities and members’ equity  $295,129   $320,471   $268,524   $285,729   $216,363   $190,904   $270,716 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-11

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Metallo   Misty   Montgomery   Northbrook   Northridge   Oakland   Palmore 
ASSETS                            
Current assets:                            
Cash  $-   $25,490   $4,362   $16,387   $19,278   $18,656   $4,155 
Prepaid expenses   -    -    489    376    390    439    1,520 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   -    5,493    3,557    4,005    2,002    4,273    1,545 
Total current assets   -    30,983    8,408    20,768    21,671    23,367    7,220 
Property and equipment, net   295,182    345,992    208,784    276,193    255,431    300,462    197,852 
Total assets  $295,182   $376,975   $217,192   $296,961   $277,101   $323,829   $205,072 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   7,777    1,884    2,263    6,945    2,928    4,847    2,654 
Tenant deposits   -    5,190    2,468    1,895    2,543    2,445    1,645 
Bridge financing, related party   284,000    -    -    -    -    -    - 
Due to related parties   9,429    1,539    2,264    1,855    1,479    1,136    3,743 
Total Current liabilities   301,205    8,612    6,995    10,695    6,950    8,428    8,042 
Operational notes, related party   -    -    10,700    -    -    -    - 
Total Liabilities   301,205    8,612    17,695    10,695    6,950    8,428    8,042 
Members’ equity                                   
Members’ capital   1,657    378,527    219,798    295,899    283,217    329,278    205,736 
Retained earnings (accumulated deficit)   (7,680)   (10,164)   (20,300)   (9,633)   (13,066)   (13,877)   (8,706)
Total members’ equity   (6,023)   368,363    199,498    286,266    270,152    315,401    197,030 
Total liabilities and members’ equity  $295,182   $376,975   $217,192   $296,961   $277,101   $323,829   $205,072 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-12

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Pebblestone   Perdita   Phoebe   Pongo   Portsmouth   Presidio   Rachel 
ASSETS                            
Current assets:                            
Cash  $14,763   $20,002   $17,909   $22,874   $8,984   $-   $17,393 
Prepaid expenses   539    516    414    516    454    -    414 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   4,926    3,920    4,008    5,168    4,386    -    4,663 
Total current assets   20,228    24,438    22,331    28,557    13,824    -    22,469 
Property and equipment, net   330,898    319,987    272,028    319,987    205,252    241,325    283,311 
Total assets  $351,127   $344,425   $294,359   $348,545   $219,076   $241,325   $305,781 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   6,424    3,322    5,516    3,438    3,688    6,735    4,777 
Tenant deposits   2,795    1,995    2,145    3,143    2,693    -    3,093 
Bridge financing, related party   -    -    -    -    -    229,000    - 
Due to related parties   2,246    2,467    1,119    2,485    2,384    21,709    1,899 
Total Current liabilities   11,465    7,784    8,780    9,065    8,764    257,445    9,769 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   11,465    7,784    8,780    9,065    8,764    257,445    9,769 
Members’ equity                                   
Members’ capital   342,191    342,491    297,169    341,277    215,255    -    302,229 
Retained earnings (accumulated deficit)   (2,529)   (5,849)   (11,590)   (1,798)   (4,943)   (16,120)   (6,217)
Total members’ equity   339,662    336,641    285,579    339,479    210,312    (16,120)   296,012 
Total liabilities and members’ equity  $351,127   $344,425   $294,359   $348,545   $219,076   $241,325   $305,781 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-13

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Ratliff   Riverwood   Roanoke   Robinson   Ross   Sansa   Sedgefield 
ASSETS                            
Current assets:                            
Cash  $14,030   $7,240   $22,621   $24,787   $23,357   $13,296   $23,488 
Prepaid expenses   415    552    636    -    527    277    418 
Due from related parties   -    -    -    3,128    -    -    6,955 
Due from third party property manager   4,329    4,253    1,788    4,012    4,828    2,764    3,123 
Total current assets   18,774    12,046    25,046    31,928    28,711    16,337    33,983 
Property and equipment, net   312,724    284,990    323,781    322,775    326,857    175,531    290,451 
Total assets  $331,498   $297,036   $348,826   $354,702   $355,568   $191,868   $324,434 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   4,750    2,887    3,343    4,094    5,694    2,901    3,242 
Tenant deposits   2,345    1,995    2,495    2,345    2,545    1,395    3,243 
Bridge financing, related party   -    -    -    -    -    -    - 
Due to related parties   2,433    2,243    2,569    -    2,230    1,343    - 
Total Current liabilities   9,529    7,125    8,407    6,439    10,469    5,639    6,485 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   9,529    7,125    8,407    6,439    10,469    5,639    6,485 
Members’ equity                                   
Members’ capital   331,424    309,475    341,678    356,490    344,040    189,071    332,900 
Retained earnings (accumulated deficit)   (9,455)   (19,564)   (1,259)   (8,226)   1,059    (2,842)   (14,952)
Total members’ equity   321,970    289,911    340,419    348,264    345,099    186,229    317,949 
Total liabilities and members’ equity   $331,498   $297,036   $348,826   $354,702   $355,568   $191,868   $324,434 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-14

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Seneca   Sheezy   Sherwood   Spangler   Summerglen   Tansel   Thomas 
ASSETS                            
Current assets:                            
Cash  $23,414   $14,858   $8,977   $-   $6,370   $6,633   $9,480 
Prepaid expenses   -    531    340    -    820    1,080    489 
Due from related parties   2    -    -    -    -    -    - 
Due from third party property manager   3,692    3,690    2,742    -    3,211    4,676    3,789 
Total current assets   27,107    19,079    12,059    -    10,402    12,389    13,757 
Property and equipment, net   295,518    222,762    168,270    390,088    233,128    314,043    211,043 
Total assets  $322,626   $241,841   $180,328   $390,088   $243,529   $326,432   $224,800 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   3,770    5,515    3,034    15,631    2,837    2,941    2,785 
Tenant deposits   2,695    2,045    1,395    -    1,795    2,395    1,795 
Bridge financing, related party   -    -    -    362,000    -    -    - 
Due to related parties   -    2,583    1,396    22,769    2,223    4,607    3,000 
Total Current liabilities   6,465    10,143    5,824    400,400    6,855    9,943    7,580 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   6,465    10,143    5,824    400,400    6,855    9,943    7,580 
Members’ equity                                   
Members’ capital   324,515    226,607    186,239    -    240,554    339,118    214,538 
Retained earnings (accumulated deficit)   (8,355)   5,091    (11,736)   (10,312)   (3,880)   (22,629)   2,682 
Total members’ equity   316,161    231,698    174,504    (10,312)   236,674    316,489    217,221 
Total liabilities and members’ equity  $322,626   $241,841   $180,328   $390,088   $243,529   $326,432   $224,800 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-15

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Tomlinson   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
ASSETS                            
Current assets:                            
Cash  $-   $19,226   $15,649   $14,142   $6,388   $14,689   $20,047 
Prepaid expenses   -    437    357    385    502    476    542 
Due from related parties   -    -    -    -    -    -    - 
Due from third party property manager   -    4,281    4,847    2,739    565    3,232    5,790 
Total current assets   -    23,945    20,853    17,266    7,455    18,397    26,379 
Property and equipment, net   244,500    251,134    347,252    169,346    245,580    200,499    277,119 
Total assets  $244,500   $275,078   $368,104   $186,612   $253,035   $218,895   $303,498 
                                    
LIABILITIES AND MEMBERS’ EQUITY                                   
Current liabilities:                                   
Accrued expenses   4,523    6,810    5,775    3,083    5,070    2,970    3,131 
Tenant deposits   -    2,495    2,695    1,395    2,145    1,649    3,543 
Bridge financing, related party   232,000    -    -    -    -    -    - 
Due to related parties   12,804    2,010    2,349    1,846    2,601    2,047    2,228 
Total Current liabilities   249,328    11,315    10,819    6,324    9,816    6,666    8,901 
Operational notes, related party   -    -    -    -    -    -    - 
Total Liabilities   249,328    11,315    10,819    6,324    9,816    6,666    8,901 
Members’ equity                                   
Members’ capital   -    264,995    367,071    179,562    257,282    207,393    289,712 
Retained earnings (accumulated deficit)   (4,828)   (1,232)   (9,786)   726    (14,063)   4,837    4,885 
Total members’ equity   (4,828)   263,763    357,285    180,288    243,218    212,230    294,597 
Total liabilities and members’ equity  $244,500   $275,078   $368,104   $186,612   $253,035   $218,895   $303,498 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-16

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
ASSETS                        
Current assets:                        
Cash  $4,751   $4,408   $4,051   $22,986   $15,987   $1,129,818 
Prepaid expenses   382    535    570    461    362    55,245 
Due from related parties   -    -    -    -    -    10,085 
Due from third party property manager   2,163    3,172    4,838    344    2,462    321,782 
Total current assets   7,296    8,115    9,459    23,792    18,811    1,516,931 
Property and equipment, net   159,538    245,293    245,276    303,663    157,597    25,742,294 
Total assets  $166,834   $253,408   $254,735   $327,455   $176,408   $27,259,224 
                               
LIABILITIES AND MEMBERS’ EQUITY                              
Current liabilities:                              
Accrued expenses   2,651    1,518    2,622    1,750    2,742   $390,569 
Tenant deposits   1,295    1,695    2,645    -    1,275    196,117 
Bridge financing, related party   -    -    -    -    -    2,349,683 
Due to related parties   1,751    4,436    8,331    1,868    1,205    371,332 
Total Current liabilities   5,696    7,649    13,598    3,618    5,222    3,307,700 
Operational notes, related party   -    -    -    -    -    78,300 
Total Liabilities   5,696    7,649    13,598    3,618    5,222    3,386,000 
Members’ equity                              
Members’ capital   169,469    254,853    257,851    328,032    171,337    24,710,152 
Retained earnings (accumulated deficit)   (8,331)   (9,095)   (16,713)   (4,194)   (151)   (836,928)
Total members’ equity   161,138    245,758    241,137    323,837    171,186    23,873,224 
Total liabilities and members’ equity  $166,834   $253,408   $254,735   $327,455   $176,408   $27,259,224 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-17

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

  

   Antares   Aramis   Arkoma   Arya   Aspen   Athos   Barclay 
ASSETS                            
Current assets:                            
Cash  $16,454   $17,696   $26,399   $19,482   $9,587   $22,229   $30,661 
Prepaid expenses   426    416    363    -    522    1,014    420 
Due from (to) third party property manager   2,389    (8,482)   4,630    (9,011)   39    (4,252)   6,129 
Total current assets   19,269    9,630    31,392    10,471    10,148    18,991    37,210 
Due to (from) related parties   -    -    -    998    -    191    - 
Property and equipment, net   307,908    298,235    234,160    180,464    264,885    294,516    303,675 
Deposits   1,895    3,790    1,595    1,395    -    4,190    - 
Total assets  $329,073   $311,654   $267,147   $193,329   $275,033   $317,888   $340,885 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $5,385   $1,725   $6,647   $2,227   $1,725   $9,149   $5,361 
Accounts payable   -    -    -    -    -    -    32 
Due to (from) related parties   1,894    184    3,105    -    1,870    -    6,017 
Total Current liabilities   7,279    1,909    9,752    2,227    3,595    9,149    11,409 
Tenant deposits   1,895    3,790    1,595    1,395    -    4,190    - 
Total Liabilities   9,174    5,699    11,347    3,622    3,595    13,339    11,409 
Members’ equity (deficit)                                   
Members’ capital   337,601    327,037    258,317    203,882    286,498    317,411    329,217 
Retained earnings (accumulated deficit)   (17,703)   (21,082)   (2,517)   (14,175)   (15,059)   (12,863)   258 
Total members’ equity (deficit)   319,898    305,955    255,800    189,707    271,438    304,549    329,476 
Total liabilities and members’ equity (deficit)  $329,073   $311,654   $267,147   $193,329   $275,033   $317,888   $340,885 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-18

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Bean   Bennett   Benny   Bluebell   Bowling   Bradford   Brookwood 
ASSETS                            
Current assets:                            
Cash  $17,617   $15,006   $12,309   $22,871   $15,852   $20,297   $13,170 
Prepaid expenses   -    431    1,503    445    1,049    418    553 
Due from (to) third party property manager   (3,561)   1,385    2,305    6,086    7,957    5,619    2,049 
Total current assets   14,056    16,822    16,117    29,402    24,859    26,335    15,772 
Due to (from) related parties   930    -    -    -    -    1,642    - 
Property and equipment, net   294,095    209,522    252,216    297,119    205,582    301,785    277,469 
Deposits   2,145    1,695    1,795    2,095    1,869    1,895    1,795 
Total assets  $311,226   $228,039   $270,129   $328,616   $232,309   $331,657   $295,035 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $3,685   $4,738   $6,395   $5,631   $4,403   $4,977   $5,015 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   -    4,926    3,736    2,562    14,907    -    5,816 
Total Current liabilities   3,685    9,664    10,131    8,193    19,310    4,977    10,830 
Tenant deposits   2,145    1,695    1,795    2,095    1,869    1,895    1,795 
Total Liabilities   5,830    11,359    11,926    10,288    21,179    6,872    12,625 
Members’ equity (deficit)                                   
Members’ capital   316,389    223,169    273,188    323,473    215,393    333,909    293,354 
Retained earnings (accumulated deficit)   (10,992)   (6,490)   (14,985)   (5,146)   (4,262)   (9,124)   (10,943)
Total members’ equity (deficit)   305,397    216,679    258,203    318,328    211,130    324,785    282,410 
Total liabilities and members’ equity (deficit)  $311,226   $228,039   $270,129   $328,616   $232,309   $331,657   $295,035 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-19

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Bryant   Caden   Camellia   Caterpillar   Chilhowee   Claremore   Collinison 
ASSETS                            
Current assets:                            
Cash  $11,462   $10,861   $20,502   $19,632   $20,622   $17,900   $2,979 
Prepaid expenses   984    929    586    979    1,011    587    - 
Due from (to) third party property manager   6,065    4,846    (410)   546    9,467    6,225    (2,685)
Total current assets   18,511    16,636    20,678    21,158    31,100    24,713    294 
Due to (from) related parties   -    -    -    -    -    -    19,911 
Property and equipment, net   282,393    246,919    263,332    298,290    318,646    233,259    303,588 
Deposits   2,049    1,695    1,795    1,795    2,495    2,543    2,095 
Total assets  $302,953   $265,249   $285,805   $321,243   $352,241   $260,515   $325,887 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $10,376   $4,369   $5,422   $4,584   $9,804   $6,513   $2,091 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   1,956    12,309    5,546    651    6,357    4,570    - 
Total Current liabilities   12,332    16,678    10,968    5,235    16,162    11,083    2,091 
Tenant deposits   2,049    1,695    1,795    1,795    2,495    2,543    2,095 
Total Liabilities   14,381    18,373    12,763    7,030    18,657    13,625    4,186 
Members’ equity (deficit)                                   
Members’ capital   297,474    262,743    274,186    333,803    334,600    251,729    329,596 
Retained earnings (accumulated deficit)   (8,903)   (15,866)   (1,144)   (19,590)   (1,015)   (4,839)   (7,895)
Total members’ equity (deficit)   288,572    246,877    273,042    314,213    333,585    246,890    321,701 
Total liabilities and members’ equity (deficit)  $302,953   $265,249   $285,805   $321,243   $352,241   $260,515   $325,887 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-20

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Cordero   Cristalino   Ellie   Emelina   Ethan   Frances   Glenncrest 
ASSETS                            
Current assets:                            
Cash  $19,302   $7,769   $17,548   $5,191   $2,375   $-   $- 
Prepaid expenses   436    709    -    583    403    -    - 
Due from (to) third party property manager   5,634    2,589    (3,395)   5,331    3,263    (1,012)   (299)
Total current assets   25,372    11,068    14,152    11,106    6,041    (1,012)   (299)
Due to (from) related parties   -    -    289    -    -    -    - 
Property and equipment, net   271,391    303,505    288,230    251,990    197,507    280,547    292,009 
Deposits   2,495    -    -    2,195    1,475    -    - 
Total assets  $299,257   $314,573   $302,671   $265,291   $205,023   $279,535   $291,710 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $7,245   $2,871   $2,821   $4,339   $3,828   $1,725   $2,078 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   2,362    18,154    -    8,397    4,438    280,820    292,606 
Total Current liabilities   9,607    21,025    2,821    12,736    8,266    282,545    294,684 
Tenant deposits   2,495    -    -    2,195    1,475    -    - 
Total Liabilities   12,102    21,025    2,821    14,931    9,741    282,545    294,684 
Members’ equity (deficit)                                   
Members’ capital   299,184    334,541    310,969    261,061    211,827    289    - 
Retained earnings (accumulated deficit)   (12,028)   (40,993)   (11,119)   (10,702)   (16,544)   (3,299)   (2,974)
Total members’ equity (deficit)   287,156    293,548    299,850    250,360    195,283    (3,010)   (2,974)
Total liabilities and members’ equity (deficit)  $299,257   $314,573   $302,671   $265,291   $205,023   $279,535   $291,710 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-21

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Gordon   Haikey   Hamblen   Hancock   Hardman   Haven   Haverhill 
ASSETS                            
Current assets:                            
Cash  $17,148   $18,832   $14,963   $7,185   $20,323   $8,774   $4,238 
Prepaid expenses   452    333    911    381    -    1,140    513 
Due from (to) third party property manager   5,334    5,457    5,982    4,796    (2,634)   4,116    (109)
Total current assets   22,934    24,621    21,856    12,362    17,688    14,030    4,642 
Due to (from) related parties   -    -    -    -    -    -    - 
Property and equipment, net   253,459    243,587    253,919    272,350    390,558    183,104    232,169 
Deposits   1,895    1,795    2,095    2,045    2,495    1,395    1,745 
Total assets  $278,287   $270,004   $277,870   $286,757   $410,741   $198,530   $238,556 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $5,074   $6,500   $7,549   $4,932   $1,918   $3,900   $1,725 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   2,580    4,503    5,450    4,665    103    13,666    4,241 
Total Current liabilities   7,653    11,003    12,999    9,597    2,021    17,567    5,966 
Tenant deposits   1,895    1,795    2,095    2,045    2,495    1,395    1,745 
Total Liabilities   9,548    12,798    15,094    11,642    4,516    18,962    7,711 
Members’ equity (deficit)                                   
Members’ capital   280,662    261,394    273,534    289,731    413,590    193,712    250,402 
Retained earnings (accumulated deficit)   (11,923)   (4,189)   (10,758)   (14,616)   (7,364)   (14,144)   (19,557)
Total members’ equity (deficit)   268,739    257,206    262,776    275,115    406,226    179,568    230,845 
Total liabilities and members’ equity (deficit)  $278,287   $270,004   $277,870   $286,757   $410,741   $198,530   $238,556 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-22

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Haybridge   Hedgecrest   Helmerich   Hermanos   Holmes   Keystone   Layla 
ASSETS                            
Current assets:                            
Cash  $25,648   $25,648   $18,024   $20,497   $16,072   $20,391   $25,430 
Prepaid expenses   -    -    630    1,645    330    -    - 
Due from (to) third party property manager   (2,314)   (2,245)   7,388    7,085    4,034    (1,340)   (3,124)
Total current assets   23,334    23,403    26,043    29,228    20,436    19,051    22,306 
Due to (from) related parties   1,064    1,064    -    -    -    -    - 
Property and equipment, net   360,771    360,771    249,871    318,156    174,185    349,835    326,548 
Deposits   -    -    1,795    2,395    1,395    -    - 
Total assets  $385,170   $385,239   $277,708   $349,779   $196,015   $368,886   $348,854 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $2,543   $2,543   $6,895   $6,281   $6,153   $1,725   $2,100 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   -    -    1,498    24,763    3,592    638    538 
Total Current liabilities   2,543    2,543    8,392    31,043    9,745    2,363    2,637 
Tenant deposits   -    -    1,795    2,395    1,395    -    - 
Total Liabilities   2,543    2,543    10,187    33,438    11,140    2,363    2,637 
Members’ equity (deficit)                                   
Members’ capital   390,863    390,863    271,597    325,045    189,053    372,691    354,460 
Retained earnings (accumulated deficit)   (8,237)   (8,168)   (4,076)   (8,704)   (4,177)   (6,169)   (8,243)
Total members’ equity (deficit)   382,626    382,695    267,521    316,341    184,876    366,522    346,216 
Total liabilities and members’ equity (deficit)  $385,170   $385,239   $277,708   $349,779   $196,015   $368,886   $348,854 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-23

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Liberty   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy 
ASSETS                            
Current assets:                            
Cash  $8,847   $18,089   $23,293   $14,661   $16,032   $22,147   $19,502 
Prepaid expenses   879    559    -    997    962    404    - 
Due from (to) third party property manager   5,263    134    (3,040)   5,873    5,357    3,226    (6,535)
Total current assets   14,989    18,781    20,253    21,531    22,351    25,778    12,967 
Due to (from) related parties   4,196    -    -    6,369    -    -    993 
Property and equipment, net   255,173    279,987    303,905    258,455    277,976    206,527    180,464 
Deposits   1,895    -    2,095    2,495    1,995    2,195    - 
Total assets  $276,252   $298,769   $326,253   $288,850   $302,322   $234,499   $194,424 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $9,485   $5,042   $2,072   $10,842   $10,266   $5,240   $2,222 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   -    5,046    587    -    929    5,395    - 
Total Current liabilities   9,485    10,088    2,659    10,842    11,195    10,635    2,222 
Tenant deposits   1,895    -    2,095    2,495    1,995    2,195    - 
Total Liabilities   11,380    10,088    4,754    13,337    13,190    12,830    2,222 
Members’ equity (deficit)                                   
Members’ capital   271,459    307,508    329,623    282,220    300,629    225,821    203,902 
Retained earnings (accumulated deficit)   (6,586)   (18,827)   (8,124)   (6,707)   (11,497)   (4,151)   (11,699)
Total members’ equity (deficit)   264,873    288,681    321,499    275,513    289,132    221,670    192,203 
Total liabilities and members’ equity (deficit)  $276,252   $298,769   $326,253   $288,850   $302,322   $234,499   $194,424 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-24

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Meridian   Montgomery   Northbrook   Northridge   Oakland   Palmore   Pebblestone 
ASSETS                            
Current assets:                            
Cash  $14,399   $9,225   $22,111   $-   $474   $20,957   $19,914 
Prepaid expenses   519    408    -    -    -    1,461    - 
Due from (to) third party property manager   4,436    (3,740)   (1,053)   (819)   (763)   (9,418)   (1,439)
Total current assets   19,354    5,893    21,058    (819)   (289)   13,001    18,475 
Due to (from) related parties   -    -    -    -    -    -    - 
Property and equipment, net   262,257    202,635    283,937    261,912    308,906    204,763    339,409 
Deposits   1,850    -    -    -    -    1,645    - 
Total assets  $283,461   $208,527   $304,995   $261,093   $308,617   $219,409   $357,883 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $5,196   $1,725   $2,068   $1,725   $2,169   $4,384   $1,725 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   37    1,420    672    262,264    310,829    6,477    643 
Total Current liabilities   5,233    3,145    2,740    263,989    312,998    10,861    2,368 
Tenant deposits   1,850    -    -    -    -    1,645    - 
Total Liabilities   7,083    3,145    2,740    263,989    312,998    12,506    2,368 
Members’ equity (deficit)                                   
Members’ capital   290,096    225,702    308,771    -    -    215,885    361,784 
Retained earnings (accumulated deficit)   (13,717)   (20,319)   (6,516)   (2,896)   (4,381)   (8,982)   (6,269)
Total members’ equity (deficit)   276,379    205,383    302,255    (2,896)   (4,381)   206,903    355,515 
Total liabilities and members’ equity (deficit)  $283,461   $208,527   $304,995   $261,093   $308,617   $219,409   $357,883 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-25

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Perdita   Phoebe   Pongo   Portsmouth   Rachel   Ratliff   Riverwood 
ASSETS                            
Current assets:                            
Cash  $20,883   $-   $23,895   $15,915   $-   $24,017   $10,050 
Prepaid expenses   451    -    451    371    -    -    402 
Due from (to) third party property manager   5,062    (660)   6,599    2,628    (961)   (2,521)   2,209 
Total current assets   26,396    (660)   30,945    18,914    (961)   21,496    12,661 
Due to (from) related parties   -    -    -    -    -    -    - 
Property and equipment, net   329,108    279,028    329,108    211,116    291,255    321,513    295,031 
Deposits   1,995    -    3,143    2,693    -    2,095    1,995 
Total assets  $357,499   $278,368   $363,196   $232,723   $290,294   $345,104   $309,687 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $5,255   $1,725   $5,644   $7,169   $2,051   $2,389   $5,236 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   642    280,364    960    3,370    291,712    379    725 
Total Current liabilities   5,897    282,089    6,604    10,539    293,764    2,767    5,961 
Tenant deposits   1,995    -    3,143    2,693    -    2,095    1,995 
Total Liabilities   7,892    282,089    9,747    13,231    293,764    4,862    7,956 
Members’ equity (deficit)                                   
Members’ capital   359,668    -    359,695    229,991    536    349,272    324,025 
Retained earnings (accumulated deficit)   (10,061)   (3,721)   (6,246)   (10,500)   (4,006)   (9,031)   (22,294)
Total members’ equity (deficit)   349,607    (3,721)   353,449    219,491    (3,470)   340,241    301,731 
Total liabilities and members’ equity (deficit)  $357,499   $278,368   $363,196   $232,723   $290,294   $345,104   $309,687 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-26

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Roanoke   Ross   Sansa   Sheezy   Sherwood   Summerglen   Tansel 
ASSETS                            
Current assets:                            
Cash  $22,821   $-   $19,502   $18,930   $16,955   $12,041   $18,170 
Prepaid expenses   457    -    -    434    284    674    806 
Due from (to) third party property manager   4,065    (1,016)   (4,521)   5,385    (7,443)   6,228    (10,441)
Total current assets   27,343    (1,016)   14,980    24,749    9,796    18,943    8,535 
Due to (from) related parties   -    -    941    -    1,385    -    3,030 
Property and equipment, net   332,988    336,021    180,464    229,192    173,066    239,788    322,994 
Deposits   2,495    -    -    2,045    1,395    1,795    2,395 
Total assets  $362,825   $335,005   $196,386   $255,986   $185,641   $260,526   $336,955 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $8,634   $1,990   $4,646   $8,100   $5,372   $7,274   $5,957 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   120    336,661    -    2,198    -    5,254    - 
Total Current liabilities   8,755    338,651    4,646    10,298    5,372    12,528    5,957 
Tenant deposits   2,495    -    -    2,045    1,395    1,795    2,395 
Total Liabilities   11,250    338,651    4,646    12,343    6,767    14,323    8,352 
Members’ equity (deficit)                                   
Members’ capital   362,426    536    201,482    242,758    197,887    255,782    357,084 
Retained earnings (accumulated deficit)   (10,850)   (4,182)   (9,743)   886    (19,013)   (9,579)   (28,481)
Total members’ equity (deficit)   351,576    (3,646)   191,739    243,643    178,874    246,203    328,603 
Total liabilities and members’ equity (deficit)  $362,825   $335,005   $196,386   $255,986   $185,641   $260,526   $336,955 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-27

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Thomas   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
ASSETS                            
Current assets:                            
Cash  $16,283   $19,860   $-   $15,170   $18,441   $18,711   $22,367 
Prepaid expenses   445    368    -    330    432    409    473 
Due from (to) third party property manager   1,789    5,598    (4,477)   4,151    3,448    4,769    6,321 
Total current assets   18,517    25,827    (4,477)   19,652    22,320    23,890    29,161 
Due to (from) related parties   -    -    -    -    -    -    - 
Property and equipment, net   217,073    258,292    356,166    174,185    252,596    206,227    284,999 
Deposits   1,795    1,995    -    1,395    3,243    1,649    3,293 
Total assets  $237,385   $286,114   $351,688   $195,231   $278,159   $231,766   $317,453 
                                    
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                   
Current liabilities:                                   
Accrued expenses  $4,829   $9,050   $1,725   $5,736   $7,520   $4,980   $7,922 
Accounts payable   -    -    -    -    -    -    - 
Due to (from) related parties   5,124    924    356,515    3,263    4,455    5,140    2,569 
Total Current liabilities   9,952    9,974    358,240    8,999    11,975    10,120    10,492 
Tenant deposits   1,795    1,995    -    1,395    3,243    1,649    3,293 
Total Liabilities   11,747    11,969    358,240    10,394    15,218    11,769    13,784 
Members’ equity (deficit)                                   
Members’ capital   229,456    282,289    -    192,616    270,078    222,641    307,829 
Retained earnings (accumulated deficit)   (3,818)   (8,144)   (6,552)   (7,778)   (7,136)   (2,644)   (4,161)
Total members’ equity (deficit)   225,638    274,145    (6,552)   184,838    262,942    219,997    303,669 
Total liabilities and members’ equity (deficit)  $237,385   $286,114   $351,688   $195,231   $278,159   $231,766   $317,453 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-28

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2023

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
ASSETS                        
Current assets:                        
Cash  $3,099   $14,885   $4,736   $-   $18,061   $1,223,390 
Prepaid expenses   316    506    411    -    295    35,608 
Due from (to) third party property manager   3,865    1,582    5,976    (542)   3,732    120,179 
Total current assets   7,280    16,973    11,124    (542)   22,087    1,379,176 
Due to (from) related parties   995    -    -    -    -    43,999 
Property and equipment, net   165,392    252,302    253,323    312,177    162,078    21,914,309 
Deposits   1,295    1,695    1,895    -    1,275    121,579 
Total assets  $174,961   $270,970   $266,342   $311,635   $185,441   $23,459,064 
                               
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                              
Current liabilities:                              
Accrued expenses  $4,459   $5,026   $4,708   $2,248   $4,333   $393,105 
Accounts payable   -    -    -    -    -    32 
Due to (from) related parties   -    5,711    11,143    312,500    916    2,974,360 
Total Current liabilities   4,459    10,737    15,851    314,748    5,249    3,367,497 
Tenant deposits   1,295    1,695    1,895    -    1,275    121,579 
Total Liabilities   5,754    12,432    17,746    314,748    6,524    3,489,076 
Members’ equity (deficit)                              
Members’ capital   180,913    267,366    269,364    522    183,635    20,769,690 
Retained earnings (accumulated deficit)   (11,706)   (8,828)   (20,768)   (3,635)   (4,719)   (799,703)
Total members’ equity (deficit)   169,207    258,538    248,596    (3,113)   178,916    19,969,988 
Total liabilities and members’ equity (deficit)  $174,961   $270,970   $266,342   $311,635   $185,441   $23,459,064 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-29

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Adams   Antares   Aramis   Arkoma   Arya   Aspen   Athos 
Rental income  $(559)  $23,340   $24,540   $19,140   $16,740   $17,776   $25,140 
                                    
Operating expenses:                                   
Depreciation   -    8,514    8,246    6,489    4,933    7,358    9,155 
Insurance   91    1,332    1,338    1,219    662    1,166    4,824 
Management fees   463    856    1,047    1,038    2,368    1,067    1,342 
Management fees, related party   (115)   3,042    3,073    2,232    1,669    1,962    3,056 
Repairs & maintenance   3,930    150    1,729    1,608    15,279    3,327    4,951 
Property taxes   228    3,183    3,568    (1,340)   (243)   2,621    5,629 
Other operating expenses   2,946    1,775    2,588    2,103    2,134    5,095    2,086 
Total operating expenses   7,544    18,851    21,588    13,349    26,802    22,596    31,043 
                                    
Income (loss) from operations   (8,102)   4,489    2,952    5,791    (10,062)   (4,820)   (5,903)
                                    
Other income (expense)                                   
Interest expense   3,000    -    -    -    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   3,000    -    -    -    -    -    - 
                                    
Net income (loss)  $(11,102)  $4,489   $2,952   $5,791   $(10,062)  $(4,820)  $(5,903)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-30

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Barclay   Bayne   Bean   Bennett   Benny   Bluebell   Bowling 
Rental income  $23,586   $72   $25,740   $20,340   $21,184   $25,440   $17,953 
                                    
Operating expenses:                                   
Depreciation   8,416    -    8,057    5,820    7,006    8,215    5,724 
Insurance   1,178    104    1,691    887    3,003    1,235    953 
Management fees   964    252    1,100    1,322    859    850    1,199 
Management fees, related party   3,042    6    3,122    1,575    2,385    3,145    1,485 
Repairs & maintenance   559    2,515    2,254    1,336    -    -    - 
Property taxes   2,482    16    1,373    1,474    3,666    5,632    1,628 
Other operating expenses   2,899    2,426    3,216    1,899    2,007    1,867    2,178 
Total operating expenses   19,541    5,318    20,813    14,313    18,925    20,945    13,167 
                                    
Income (loss) from operations   4,046    (5,246)   4,927    6,027    2,258    4,495    4,786 
                                    
Other income (expense)                                   
Interest expense   -    2,876    -    -    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   -    2,876    -    -    -    -    - 
                                    
Net income (loss)  $4,046   $(8,122)  $4,927   $6,027   $2,258   $4,495   $4,786 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-31

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Boxwood   Bradford   Brookwood   Bryant   Caden   Camellia   Caterpillar 
Rental income  $-   $22,686   $22,440   $25,140   $17,313   $21,540   $21,540 
                                    
Operating expenses:                                   
Depreciation   -    8,361    7,707    8,784    6,875    9,622    8,248 
Insurance   98    924    866    3,692    1,130    1,130    4,327 
Management fees   5    840    1,459    874    2,596    1,580    1,460 
Management fees, related party   -    2,957    2,020    2,851    1,405    1,674    2,213 
Repairs & maintenance   45    -    505    -    10,126    3,276    - 
Property taxes   61    2,507    3,657    5,488    1,348    3,354    4,581 
Other operating expenses   2,555    2,078    1,824    1,835    2,548    1,601    2,675 
Total operating expenses   2,762    17,667    18,038    23,523    26,028    22,236    23,504 
                                    
Income (loss) from operations   (2,762)   5,019    4,402    1,617    (8,715)   (696)   (1,964)
                                    
Other income (expense)                                   
Interest expense   2,695    -    -    -    15    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   2,695    -    -    -    15    -    - 
                                    
Net income (loss)  $(5,457)  $5,019   $4,402   $1,617   $(8,730)  $(696)  $(1,964)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-32

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Chilhowee   Claremore   Collinison   Cordero   Cristalino   Ellie   Emelina 
Rental income  $19,000   $11,334   $24,860   $24,540   $26,214   $8,362   $20,940 
                                    
Operating expenses:                                   
Depreciation   8,941    6,464    8,303    7,720    8,450    7,897    8,243 
Insurance   1,880    2,088    1,099    936    1,796    1,805    1,216 
Management fees   858    1,142    979    1,141    1,453    822    930 
Management fees, related party   2,903    1,614    3,025    2,653    3,187    1,762    2,335 
Repairs & maintenance   2,865    3,959    1,462    2,525    6,830    140    675 
Property taxes   (1,329)   797    1,618    3,247    4,814    (700)   2,693 
Other operating expenses   5,537    10,469    3,507    1,811    4,717    7,506    2,010 
Total operating expenses   21,655    26,532    19,992    20,034    31,246    19,232    18,103 
                                    
Income (loss) from operations   (2,655)   (15,198)   4,868    4,506    (5,033)   (10,870)   2,837 
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    46    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    46    -    - 
                                    
Net income (loss)  $(2,655)  $(15,198)  $4,868   $4,506   $(5,078)  $(10,870)  $2,837 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-33

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Ethan   Frances   Glenncrest   Gordon   Haikey   Hamblen   Hancock 
Rental income  $17,700   $23,163   $23,741   $22,740   $20,574   $25,140   $23,870 
                                    
Operating expenses:                                   
Depreciation   7,279    7,035    7,982    7,024    6,735    7,053    8,454 
Insurance   974    1,086    1,096    1,092    2,534    713    1,507 
Management fees   2,134    873    854    925    946    870    919 
Management fees, related party   1,734    2,264    1,639    2,637    2,274    2,709    2,690 
Repairs & maintenance   3,956    -    -    252    739    -    790 
Property taxes   2,052    551    1,547    3,130    1,945    346    3,290 
Other operating expenses   1,634    5,910    6,024    2,037    2,734    2,134    1,691 
Total operating expenses   19,763    17,717    19,143    17,097    17,906    13,826    19,340 
                                    
Income (loss) from operations   (2,063)   5,445    4,598    5,643    2,668    11,314    4,529 
                                    
Other income (expense)                                   
Interest expense   98    -    6,314    -    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   98    -    6,314    -    -    -    - 
                                    
Net income (loss)  $(2,160)  $5,445   $(1,716)  $5,643   $2,668   $11,314   $4,529 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-34

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Hardman   Haven   Haverhill   Haybridge   Hedgecrest   Helmerich   Hermanos 
Rental income  $29,940   $13,820   $24,819   $22,626   $18,554   $19,306   $16,270 
                                    
Operating expenses:                                   
Depreciation   10,652    5,098    6,449    9,862    9,862    6,925    11,828 
Insurance   1,161    359    1,172    1,005    1,005    1,996    1,667 
Management fees   944    946    1,588    824    1,051    897    1,056 
Management fees, related party   3,880    1,516    1,805    3,270    2,944    2,231    2,602 
Repairs & maintenance   843    2,457    605    980    3,510    -    2,274 
Property taxes   3,549    856    3,465    2,088    2,068    884    4,680 
Other operating expenses   2,628    3,338    1,655    3,912    3,614    2,478    4,750 
Total operating expenses   23,656    14,570    16,740    21,941    24,053    15,411    28,856 
                                    
Income (loss) from operations   6,284    (749)   8,080    685    (5,500)   3,895    (12,586)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $6,284   $(749)  $8,080   $685   $(5,500)  $3,895   $(12,586)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-35

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Holmes   Johnson   Keystone   Langley   Laurel   Layla   Liberty 
Rental income  $16,740   $13,185   $25,322   $114   $24,710   $24,845   $21,787 
                                    
Operating expenses:                                   
Depreciation   4,839    3,759    8,771    -    7,718    8,906    9,716 
Insurance   932    587    1,494    101    1,606    1,304    3,220 
Management fees   981    694    1,013    657    993    1,199    2,572 
Management fees, related party   1,557    1,450    3,266    (61)   2,380    3,251    2,528 
Repairs & maintenance   1,406    2,744    1,430    5,870    2,225    3,293    1,899 
Property taxes   (1,430)   1,780    2,279    596    2,878    1,831    4,543 
Other operating expenses   1,528    7,228    4,118    2,755    6,535    4,108    2,706 
Total operating expenses   9,812    18,242    22,371    9,918    24,335    23,893    27,184 
                                    
Income (loss) from operations   6,928    (5,057)   2,950    (9,804)   375    952    (5,397)
                                    
Other income (expense)                                   
Interest expense   -    2,993    -    3,644    7,746    -    60 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   -    2,993    -    3,644    7,746    -    60 
                                    
Net income (loss)  $6,928   $(8,050)  $2,950   $(13,448)  $(7,371)  $952   $(5,457)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-36

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy   Meridian 
Rental income  $17,689   $25,440   $24,540   $26,005   $20,940   $15,692   $22,245 
                                    
Operating expenses:                                   
Depreciation   9,389    8,288    8,140    8,571    5,724    4,933    8,697 
Insurance   1,209    1,101    4,640    4,249    988    662    1,474 
Management fees   1,446    892    1,040    940    1,246    970    1,841 
Management fees, related party   1,668    3,153    2,781    3,028    2,187    1,585    2,662 
Repairs & maintenance   11,214    220    1,741    999    4,058    1,298    956 
Property taxes   4,659    1,582    5,002    5,392    1,654    (238)   2,021 
Other operating expenses   6,484    2,776    1,790    3,232    2,286    2,923    2,139 
Total operating expenses   36,069    18,011    25,134    26,411    18,142    12,134    19,791 
                                    
Income (loss) from operations   (18,380)   7,429    (594)   (406)   2,798    3,558    2,454 
                                    
Other income (expense)                                   
Interest expense   66    -    -    -    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   66    -    -    -    -    -    - 
                                    
Net income (loss)  $(18,446)  $7,429   $(594)  $(406)  $2,798   $3,558   $2,454 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-37

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Metallo   Misty   Montgomery   Northbrook   Northridge   Oakland   Palmore 
Rental income  $-   $1,403   $16,624   $17,055   $10,679   $20,129   $17,040 
                                    
Operating expenses:                                   
Depreciation   -    -    7,441    7,744    6,481    8,444    6,911 
Insurance   -    104    1,014    1,006    1,485    1,062    2,032 
Management fees   369    235    3,652    666    651    762    1,095 
Management fees, related party   -    215    1,450    2,426    1,844    1,441    1,723 
Repairs & maintenance   3,695    1,650    3,958    -    199    1,316    2,282 
Property taxes   (25)   575    2,177    3,362    2,411    1,366    994 
Other operating expenses   1,984    5,518    3,881    4,968    7,777    6,971    1,727 
Total operating expenses   6,023    8,297    23,574    20,172    20,848    21,361    16,764 
                                    
Income (loss) from operations   (6,023)   (6,894)   (6,949)   (3,117)   (10,170)   (1,232)   276 
                                    
Other income (expense)                                   
Interest expense   1,657    3,270    29    -    -    8,263    - 
Other Income   -    -    (6,998)   -    -    -    - 
Total other income (expense)   1,657    3,270    (6,969)   -    -    8,263    - 
                                    
Net income (loss)  $(7,680)  $(10,164)  $19   $(3,117)  $(10,170)  $(9,496)  $276 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-38

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Pebblestone   Perdita   Phoebe   Pongo   Portsmouth   Presidio   Rachel 
Rental income  $24,394   $23,452   $18,240   $24,577   $21,540   $-   $18,315 
                                    
Operating expenses:                                   
Depreciation   8,510    9,121    7,000    9,121    5,864    -    7,943 
Insurance   1,481    1,093    1,526    1,093    1,122    73    1,087 
Management fees   812    859    865    931    980    1,029    821 
Management fees, related party   3,200    3,197    1,311    3,287    2,161    -    2,064 
Repairs & maintenance   -    190    1,650    910    1,405    10,293    810 
Property taxes   2,349    2,672    1,534    2,672    2,976    378    819 
Other operating expenses   4,303    2,109    6,211    2,115    1,474    2,009    6,980 
Total operating expenses   20,655    19,241    20,098    20,129    15,983    13,782    20,526 
                                    
Income (loss) from operations   3,740    4,211    (1,858)   4,448    5,557    (13,782)   (2,211)
                                    
Other income (expense)                                   
Interest expense   -    -    6,011    -    -    2,338    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   -    -    6,011    -    -    2,338    - 
                                    
Net income (loss)  $3,740   $4,211   $(7,869)  $4,448   $5,557   $(16,120)  $(2,211)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-39

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Ratliff   Riverwood   Roanoke   Robinson   Ross   Sansa   Sedgefield 
Rental income  $21,200   $24,528   $32,239   $3,799   $27,531   $16,740   $16,766 
                                    
Operating expenses:                                   
Depreciation   8,789    10,040    9,207    735    9,164    4,933    6,020 
Insurance   1,021    1,377    1,602    194    1,353    662    1,018 
Management fees   909    1,719    1,208    197    880    846    1,123 
Management fees, related party   3,001    2,115    3,917    488    2,861    1,669    1,399 
Repairs & maintenance   990    880    3,683    572    -    60    4,232 
Property taxes   422    4,039    1,965    124    1,875    (243)   2,736 
Other operating expenses   6,492    1,626    1,065    6,580    6,156    1,912    5,608 
Total operating expenses   21,624    21,797    22,647    8,891    22,290    9,839    22,135 
                                    
Income (loss) from operations   (424)   2,731    9,592    (5,092)   5,241    6,901    (5,369)
                                    
Other income (expense)                                   
Interest expense   -    -    -    3,134    -    -    9,583 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    3,134    -    -    9,583 
                                    
Net income (loss)  $(424)  $2,731   $9,592   $(8,226)  $5,241   $6,901   $(14,952)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-40

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Seneca   Sheezy   Sherwood   Spangler   Summerglen   Tansel   Thomas 
Rental income  $4,065   $21,840   $16,740   $-   $20,122   $28,740   $21,390 
                                    
Operating expenses:                                   
Depreciation   1,352    6,430    4,796    -    6,661    8,951    6,030 
Insurance   265    1,025    939    115    1,883    2,844    762 
Management fees   225    937    1,008    961    912    995    1,421 
Management fees, related party   628    2,305    1,637    -    2,182    3,581    1,606 
Repairs & maintenance   466    1,224    819    3,300    150    1,271    1,116 
Property taxes   191    2,382    (1,260)   578    647    3,340    2,098 
Other operating expenses   6,549    3,331    1,524    2,190    1,988    1,907    1,856 
Total operating expenses   9,676    17,635    9,463    7,144    14,423    22,889    14,889 
                                    
Income (loss) from operations   (5,612)   4,205    7,277    (7,144)   5,699    5,851    6,501 
                                    
Other income (expense)                                   
Interest expense   2,743    -    -    3,168    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   2,743    -    -    3,168    -    -    - 
                                    
Net income (loss)  $(8,355)  $4,205   $7,277   $(10,312)  $5,699   $5,851   $6,501 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-41

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Tomlinson   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
Rental income  $-   $24,540   $24,022   $16,740   $18,979   $19,788   $26,640 
                                    
Operating expenses:                                   
Depreciation   -    7,158    8,914    4,839    7,017    5,729    7,880 
Insurance   74    963    1,139    932    1,174    953    1,009 
Management fees   27    879    1,322    840    1,661    840    840 
Management fees, related party   -    2,813    2,749    1,557    2,278    1,991    3,144 
Repairs & maintenance   274    386    6,260    -    7,101    -    - 
Property taxes   251    3,796    1,003    (1,430)   4,839    1,628    2,882 
Other operating expenses   1,833    1,632    5,868    1,498    1,836    1,167    1,839 
Total operating expenses   2,459    17,628    27,255    8,235    25,907    12,308    17,594 
                                    
Income (loss) from operations   (2,459)   6,912    (3,234)   8,505    (6,927)   7,480    9,046 
                                    
Other income (expense)                                   
Interest expense   2,368    -    -    -    -    -    - 
Other Income   -    -    -    -    -    -    - 
Total other income (expense)   2,368    -    -    -    -    -    - 
                                    
Net income (loss)  $(4,828)  $6,912   $(3,234)  $8,505   $(6,927)  $7,480   $9,046 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-42

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
Rental income  $15,540   $20,327   $23,640   $23,142   $15,300   $1,805,660 
                               
Operating expenses:                              
Depreciation   5,853    7,008    8,048    8,514    4,481    646,366 
Insurance   839    769    1,462    1,686    1,040    124,881 
Management fees   840    1,321    980    1,243    855    100,890 
Management fees, related party   1,443    1,835    2,551    2,553    1,444    201,974 
Repairs & maintenance   -    5,420    1,234    4,013    150    197,763 
Property taxes   1,416    2,341    3,246    497    1,531    190,208 
Other operating expenses   1,774    1,899    2,064    5,196    1,231    315,688 
Total operating expenses   12,165    20,594    19,585    23,701    10,732    1,777,769 
                               
Income (loss) from operations   3,375    (267)   4,055    (559)   4,568    27,892 
                               
Other income (expense)                              
Interest expense   -    -    -    -    -    72,115 
Other Income   -    -    -    -    -    (6,998)
Total other income (expense)   -    -    -    -    -    65,117 
                               
Net income (loss)  $3,375   $(267)  $4,055   $(559)  $4,568   $(37,225)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-43

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Antares   Aramis   Arkoma   Arya   Aspen   Athos   Barclay 
                             
Rental income  $4,603   $1,091   $11,474   $605   $1,264   $8,380   $14,004 
                                    
Operating expenses:                                   
Depreciation   4,257    4,123    3,786    411    4,905    4,188    4,909 
Insurance   645    629    562    108    576    1,825    636 
Management fees   967    875    646    814    287    1,272    499 
Management fees, related party   313    317    595    90    1,230    680    917 
Repairs & maintenance   7,577    8,196    858    7,435    518    4,084    467 
Property taxes   2,067    2,246    1,738    330    2,074    2,285    781 
Other operating expenses   6,479    5,786    5,807    5,591    6,734    6,908    5,537 
Total operating expenses   22,306    22,172    13,991    14,779    16,323    21,243    13,746 
                                    
Income (loss) from operations   (17,703)   (21,082)   (2,517)   (14,175)   (15,059)   (12,863)   258 
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(17,703)  $(21,082)  $(2,517)  $(14,175)  $(15,059)  $(12,863)  $258 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-44

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Bean   Bennett   Benny   Bluebell   Bowling   Bradford   Brookwood 
                             
Rental income  $1,144   $9,951   $4,667   $11,377   $14,661   $6,976   $8,544 
                                    
Operating expenses:                                   
Depreciation   1,343    3,880    4,671    4,108    4,293    4,877    5,138 
Insurance   243    469    1,051    686    704    632    592 
Management fees   380    591    321    521    1,141    361    511 
Management fees, related party   314    1,253    1,311    790    1,410    583    1,525 
Repairs & maintenance   3,100    3,564    2,774    1,006    300    1,285    3,339 
Property taxes   805    1,080    2,057    3,651    730    2,279    2,739 
Other operating expenses   5,950    5,605    7,468    5,762    7,306    6,083    5,642 
Total operating expenses   12,136    16,441    19,652    16,523    15,883    16,100    19,487 
                                    
Income (loss) from operations   (10,992)   (6,490)   (14,985)   (5,146)   (1,222)   (9,124)   (10,943)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    3,041    -    - 
Total other income (expense)   -    -    -    -    3,041    -    - 
                                    
Net income (loss)  $(10,992)  $(6,490)  $(14,985)  $(5,146)  $(4,262)  $(9,124)  $(10,943)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-45

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Bryant   Caden   Camellia   Caterpillar   Chilhowee   Claremore   Collinison 
                             
Rental income  $13,338   $14,125   $15,803   $4,111   $24,242   $9,738   $1,625 
                                    
Operating expenses:                                   
Depreciation   5,033    5,156    6,415    4,124    8,196    3,771    - 
Insurance   1,779    643    656    1,345    1,103    1,016    90 
Management fees   1,191    1,484    1,063    386    1,247    390    342 
Management fees, related party   1,697    1,820    1,397    437    2,789    1,266    60 
Repairs & maintenance   1,535    8,896    -    5,559    3,619    189    2,715 
Property taxes   3,971    251    1,101    3,326    3,549    1,741    293 
Other operating expenses   7,037    7,802    6,317    8,523    4,754    6,204    6,021 
Total operating expenses   22,241    26,053    16,947    23,701    25,257    14,577    9,520 
                                    
Income (loss) from operations   (8,903)   (11,928)   (1,144)   (19,590)   (1,015)   (4,839)   (7,895)
                                    
Other income (expense)                                   
Interest expense   -    3,939    -    -    -    -    - 
Total other income (expense)   -    3,939    -    -    -    -    - 
                                    
Net income (loss)  $(8,903)  $(15,866)  $(1,144)  $(19,590)  $(1,015)  $(4,839)  $(7,895)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-46

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Cordero   Cristalino   Ellie   Emelina   Ethan   Frances   Glenncrest 
                             
Rental income  $13,974   $5,071   $-   $15,930   $8,821   $-   $- 
                                    
Operating expenses:                                   
Depreciation   4,568    6,338    1,316    6,066    3,617    -    - 
Insurance   551    204    228    643    515    -    87 
Management fees   1,499    2,420    274    1,952    562    46    - 
Management fees, related party   1,648    1,395    287    1,824    988    417    435 
Repairs & maintenance   9,416    18,347    2,741    5,550    12,350    463    - 
Property taxes   1,754    2,029    788    2,263    599    (376)   64 
Other operating expenses   6,566    9,471    5,485    8,333    6,735    2,749    2,388 
Total operating expenses   26,002    40,203    11,119    26,632    25,365    3,299    2,974 
                                    
Income (loss) from operations   (12,028)   (35,132)   (11,119)   (10,702)   (16,544)   (3,299)   (2,974)
                                    
Other income (expense)                                   
Interest expense   -    5,861    -    -    -    -    - 
Total other income (expense)   -    5,861    -    -    -    -    - 
                                    
Net income (loss)  $(12,028)  $(40,993)  $(11,119)  $(10,702)  $(16,544)  $(3,299)  $(2,974)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-47

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Gordon   Haikey   Hamblen   Hancock   Hardman   Haven   Haverhill 
                             
Rental income  $7,327   $10,789   $16,692   $6,953   $2,578   $11,393   $2,758 
                                    
Operating expenses:                                   
Depreciation   4,098    3,368    4,702    4,845    -    3,824    4,299 
Insurance   551    665    538    577    83    575    512 
Management fees   661    430    1,528    1,228    484    1,402    546 
Management fees, related party   561    1,346    1,801    1,491    66    1,206    1,056 
Repairs & maintenance   3,435    1,053    9,435    4,306    3,435    7,790    6,198 
Property taxes   2,722    1,597    2,114    2,209    355    841    3,165 
Other operating expenses   7,223    6,518    7,333    6,914    5,519    7,067    6,539 
Total operating expenses   19,250    14,977    27,450    21,569    9,942    22,705    22,315 
                                    
Income (loss) from operations   (11,923)   (4,189)   (10,758)   (14,616)   (7,364)   (11,313)   (19,557)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    2,832    - 
Total other income (expense)   -    -    -    -    -    2,832    - 
                                    
Net income (loss)  $(11,923)  $(4,189)  $(10,758)  $(14,616)  $(7,364)  $(14,144)  $(19,557)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-48

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Haybridge   Hedgecrest   Helmerich   Hermanos   Holmes   Keystone   Layla 
                             
Rental income  $-   $-   $11,526   $20,785   $11,160   $-   $- 
                                    
Operating expenses:                                   
Depreciation   822    822    4,039    9,122    3,226    -    - 
Insurance   216    216    1,093    651    440    -    97 
Management fees   175    175    424    1,889    826    87    239 
Management fees, related party   -    -    1,445    2,513    1,038    -    162 
Repairs & maintenance   1,749    1,749    366    5,426    2,656    865    2,390 
Property taxes   660    660    1,883    2,379    1,454    82    297 
Other operating expenses   4,615    4,546    6,352    7,510    5,698    5,135    5,059 
Total operating expenses   8,237    8,168    15,602    29,489    15,337    6,169    8,243 
                                    
Income (loss) from operations   (8,237)   (8,168)   (4,076)   (8,704)   (4,177)   (6,169)   (8,243)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(8,237)  $(8,168)  $(4,076)  $(8,704)  $(4,177)  $(6,169)  $(8,243)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-49

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Liberty   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy 
                             
Rental income  $12,886   $-   $919   $13,497   $10,230   $12,328   $- 
                                    
Operating expenses:                                   
Depreciation   4,865    5,185    -    4,087    4,201    3,339    411 
Insurance   1,585    598    90    1,819    1,736    550    108 
Management fees   1,437    172    302    1,251    1,303    991    546 
Management fees, related party   721    1,274    154    845    673    634    90 
Repairs & maintenance   1,539    1,966    2,315    1,445    3,840    4,314    5,463 
Property taxes   3,183    3,720    276    3,982    3,678    557    330 
Other operating expenses   6,142    5,911    5,906    6,775    6,295    6,093    4,751 
Total operating expenses   19,472    18,827    9,043    20,204    21,727    16,479    11,699 
                                    
Income (loss) from operations   (6,586)   (18,827)   (8,124)   (6,707)   (11,497)   (4,151)   (11,699)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(6,586)  $(18,827)  $(8,124)  $(6,707)  $(11,497)  $(4,151)  $(11,699)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-50

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Meridian   Montgomery   Northbrook   Northridge   Oakland   Palmore   Pebblestone 
                             
Rental income  $8,396   $-   $-   $-   $-   $11,533   $- 
                                    
Operating expenses:                                   
Depreciation   4,240    3,752    -    -    704    4,368    - 
Insurance   677    543    85    -    166    468    - 
Management fees   991    737    44    17    -    2,028    83 
Management fees, related party   727    1,263    -    -    461    1,205    - 
Repairs & maintenance   7,814    3,430    438    169    55    5,330    825 
Property taxes   480    693    564    -    563    286    83 
Other operating expenses   7,185    9,901    5,385    2,710    2,433    6,830    5,278 
Total operating expenses   22,113    20,319    6,516    2,896    4,381    20,515    6,269 
                                    
Income (loss) from operations   (13,717)   (20,319)   (6,516)   (2,896)   (4,381)   (8,982)   (6,269)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(13,717)  $(20,319)  $(6,516)  $(2,896)  $(4,381)  $(8,982)  $(6,269)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-51

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Perdita   Phoebe   Pongo   Portsmouth   Rachel   Ratliff   Riverwood 
                             
Rental income  $6,783   $-   $8,799   $13,434   $-   $1,625   $7,276 
                                    
Operating expenses:                                   
Depreciation   5,320    -    5,320    3,910    -    732    5,321 
Insurance   682    -    682    469    87    174    609 
Management fees   415    60    380    1,444    41    279    329 
Management fees, related party   595    414    686    1,473    433    220    541 
Repairs & maintenance   3,486    600    1,685    8,844    410    1,965    12,320 
Property taxes   764    16    764    1,757    265    585    3,893 
Other operating expenses   5,581    2,631    5,527    6,036    2,771    6,702    6,558 
Total operating expenses   16,844    3,721    15,045    23,933    4,006    10,656    29,570 
                                    
Income (loss) from operations   (10,061)   (3,721)   (6,246)   (10,500)   (4,006)   (9,031)   (22,294)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(10,061)  $(3,721)  $(6,246)  $(10,500)  $(4,006)  $(9,031)  $(22,294)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-52

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Roanoke   Ross   Sansa   Sheezy   Sherwood   Summerglen   Tansel 
                             
Rental income  $10,759   $-   $2,465   $20,020   $5,303   $11,470   $6,197 
                                    
Operating expenses:                                   
Depreciation   4,604    -    411    5,895    2,798    4,441    5,222 
Insurance   692    100    108    823    440    1,049    1,391 
Management fees   940    46    630    1,009    1,433    487    1,833 
Management fees, related party   776    500    147    1,997    249    1,617    542 
Repairs & maintenance   5,198    460    4,898    2,257    11,053    4,708    14,434 
Property taxes   2,414    305    330    2,540    1,283    1,996    2,197 
Other operating expenses   6,986    2,771    5,683    4,614    7,059    6,752    9,059 
Total operating expenses   21,609    4,182    12,207    19,134    24,316    21,049    34,678 
                                    
Income (loss) from operations   (10,850)   (4,182)   (9,743)   886    (19,013)   (9,579)   (28,481)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(10,850)  $(4,182)  $(9,743)  $886   $(19,013)  $(9,579)  $(28,481)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-53

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Thomas   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
                             
Rental income  $13,742   $9,271   $-   $8,091   $12,053   $12,288   $12,013 
                                    
Operating expenses:                                   
Depreciation   4,020    4,176    -    3,226    4,678    3,819    3,940 
Insurance   484    559    -    440    468    547    600 
Management fees   837    514    255    705    789    759    438 
Management fees, related party   1,373    652    533    932    1,622    1,255    826 
Repairs & maintenance   3,798    1,902    3,659    2,781    2,965    1,676    180 
Property taxes   1,254    3,634    (233)   1,454    2,104    337    4,579 
Other operating expenses   5,794    5,979    2,338    6,332    6,564    6,538    5,611 
Total operating expenses   17,560    17,415    6,552    15,869    19,189    14,931    16,174 
                                    
Income (loss) from operations   (3,818)   (8,144)   (6,552)   (7,778)   (7,136)   (2,644)   (4,161)
                                    
Other income (expense)                                   
Interest expense   -    -    -    -    -    -    - 
Total other income (expense)   -    -    -    -    -    -    - 
                                    
Net income (loss)  $(3,818)  $(8,144)  $(6,552)  $(7,778)  $(7,136)  $(2,644)  $(4,161)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-54

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE INCOME (LOSS)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
                         
Rental income  $7,813   $11,865   $10,966   $-   $8,403   $597,902 
                               
Operating expenses:                              
Depreciation   3,293    4,672    4,300    -    2,241    270,143 
Insurance   448    545    635    93    453    45,432 
Management fees   1,881    775    2,584    -    694    61,589 
Management fees, related party   295    1,487    1,457    467    334    69,942 
Repairs & maintenance   6,093    5,346    15,504    240    2,735    324,876 
Property taxes   301    2,261    760    285    305    121,178 
Other operating expenses   7,208    5,607    6,495    2,549    6,361    488,773 
Total operating expenses   19,519    20,693    31,734    3,635    13,122    1,381,933 
                               
Income (loss) from operations   (11,706)   (8,828)   (20,768)   (3,635)   (4,719)   (784,031)
                               
Other income (expense)                              
Interest expense   -    -    -    -    -    15,672 
Total other income (expense)   -    -    -    -    -    15,672 
                               
Net income (loss)  $(11,706)  $(8,828)  $(20,768)  $(3,635)  $(4,719)  $(799,703)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-55

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Adams   Antares   Aramis   Arkoma   Arya   Aspen   Athos 
                             
                             
Balance at  January 1, 2024  $-   $319,898   $305,955   $255,800   $189,707   $271,438   $304,549 
Issuance of membership units, net of offering costs   -    -    650    -    -    -    762 
Redemption of membership units   -    -    -    -    -    (100)   - 
Deemed contribution from Manager   3,000    -    -    -    -    -    - 
Distributions   -    (15,739)   (15,551)   (14,682)   (8,841)   (10,135)   (13,706)
Net income (loss)   (11,102)   4,489    2,952    5,791    (10,062)   (4,820)   (5,903)
Balance at December 31, 2024  $(8,102)  $308,648   $294,006   $246,908   $170,803   $256,383   $285,701 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-56

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Barclay   Bayne   Bean   Bennett   Benny   Bluebell   Bowling 
                             
                             
Balance at  January 1, 2024  $329,476   $-   $305,397   $216,679   $258,203   $318,328   $211,130 
Issuance of membership units, net of offering costs   289    -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    (300)   -    - 
Deemed contribution from Manager   -    -    -    -    -    -    - 
Distributions   (18,107)   -    (17,871)   (14,261)   (13,472)   (17,824)   (12,174)
Net income (loss)   4,046    (8,122)   4,927    6,027    2,258    4,495    4,786 
Balance at December 31, 2024  $315,703   $(8,122)  $292,453   $208,445   $246,690   $304,999   $203,742 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-57

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Boxwood   Bradford   Brookwood   Bryant   Caden   Camellia   Caterpillar 
                             
                             
Balance at  January 1, 2024  $-   $324,785   $282,410   $288,572   $246,877   $273,042   $314,213 
Issuance of membership units, net of offering costs   -    -    -    -    -    -    - 
Redemption of membership units   -    -    (300)   (300)   -    -    - 
Deemed contribution from Manager   -    -    -    -    -    -    - 
Distributions   -    (17,127)   (14,429)   (14,852)   (5,962)   (14,912)   (11,401)
Net income (loss)   (5,457)   5,019    4,402    1,617    (8,730)   (696)   (1,964)
Balance at December 31, 2024  $(5,457)  $312,677   $272,083   $275,037   $232,185   $257,434   $300,848 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-58

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Chilhowee   Claremore   Collinison   Cordero   Cristalino   Ellie   Emelina 
                             
                             
Balance at  January 1, 2024  $333,585   $246,890   $321,701   $287,156   $293,548   $299,850   $250,360 
Issuance of membership units, net of offering costs   -    -    -    -    -    -    - 
Redemption of membership units   -    (300)   -    -    (100)   -    - 
Deemed contribution from Manager   -    -    -    -    -    -    - 
Distributions   (14,836)   (8,373)   (13,954)   (18,036)   (8,182)   (8,302)   (11,154)
Net income (loss)   (2,655)   (15,198)   4,868    4,506    (5,078)   (10,870)   2,837 
Balance at December 31, 2024  $316,094   $223,019   $312,615   $273,626   $280,188   $280,678   $242,043 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-59

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Ethan   Frances   Glenncrest   Gordon   Haikey   Hamblen   Hancock 
                             
                             
Balance at  January 1, 2024  $195,283   $(3,010)  $(2,974)  $268,739   $257,206   $262,776   $275,115 
Issuance of membership units, net of offering costs   -    304,290    310,787    -    -    -    - 
Redemption of membership units   -    -    -    -    -    (300)   (800)
Deemed contribution from Manager   -    -    5,510    -    -    -    - 
Distributions   (7,310)   (18,377)   (10,856)   (16,165)   (14,591)   (18,136)   (13,859)
Net income (loss)   (2,160)   5,445    (1,716)   5,643    2,668    11,314    4,529 
Balance at December 31, 2024  $185,812   $288,348   $300,751   $258,217   $245,282   $255,655   $264,985 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-60

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Hardman   Haven   Haverhill   Haybridge   Hedgecrest   Helmerich   Hermanos 
                             
                             
Balance at  January 1, 2024  $406,226   $179,568   $230,845   $382,626   $382,695   $267,521   $316,341 
Issuance of membership units, net of offering costs   -    -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    -    -    - 
Deemed contribution from Manager   -    -    -    -    -    -    - 
Distributions   (20,252)   (6,156)   (9,784)   (13,771)   (12,673)   (15,632)   (3,847)
Net income (loss)   6,284    (749)   8,080    685    (5,500)   3,895    (12,586)
Balance at December 31, 2024  $392,257   $172,663   $229,141   $369,541   $364,523   $255,784   $299,907 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-61

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Holmes   Johnson   Keystone   Langley   Laurel   Layla   Liberty 
                             
                             
Balance at  January 1, 2024  $184,876   $-   $366,522   $-   $-   $346,216   $264,873 
Issuance of membership units, net of offering costs   -    359,646    -    -    364,407    -    658 
Redemption of membership units   -    -    -    -    -    -    - 
Deemed contribution from Manager   -    2,165    -    3,644    6,988    -    - 
Distributions   (12,836)   (9,060)   (19,661)   -    (12,796)   (20,022)   (8,885)
Net income (loss)   6,928    (8,050)   2,950    (13,448)   (7,371)   952    (5,457)
Balance at December 31, 2024  $178,968   $344,701   $349,812   $(9,804)  $351,227   $327,146   $251,189 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-62

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy   Meridian 
                             
                             
Balance at  January 1, 2024  $288,681   $321,499   $275,513   $289,132   $221,670   $192,203   $276,379 
Issuance of membership units, net of offering costs   -    -    -    -    549    -    - 
Redemption of membership units   (300)   -    -    -    -    -    - 
Deemed contribution from Manager   3,192    -    -    -    -    -    - 
Distributions   (11,667)   (18,054)   (16,041)   (15,114)   (15,492)   (12,048)   (15,239)
Net income (loss)   (18,446)   7,429    (594)   (406)   2,798    3,558    2,454 
Balance at December 31, 2024  $261,460   $310,873   $258,877   $273,612   $209,524   $183,713   $263,593 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-63

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Metallo   Misty   Montgomery   Northbrook   Northridge   Oakland   Palmore 
                             
                             
Balance at  January 1, 2024  $-   $-   $205,383   $302,255   $(2,896)  $(4,381)  $206,903 
Issuance of membership units, net of offering costs   -    377,301    -    -    295,804    333,402    - 
Redemption of membership units   -    -    -    -    -    -    - 
Deemed contribution from Manager   1,657    1,226    -    -    -    7,656    - 
Distributions   -    -    (5,904)   (12,872)   (12,586)   (11,779)   (10,149)
Net income (loss)   (7,680)   (10,164)   19    (3,117)   (10,170)   (9,496)   276 
Balance at December 31, 2024  $(6,023)  $368,363   $199,498   $286,266   $270,152   $315,401   $197,030 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-64

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Pebblestone   Perdita   Phoebe   Pongo   Portsmouth   Presidio   Rachel 
                             
                             
Balance at  January 1, 2024  $355,515   $349,607   $(3,721)  $353,449   $219,491   $-   $(3,470)
Issuance of membership units, net of offering costs   -    -    302,613    -    -    -    316,212 
Redemption of membership units   -    -    -    -    (300)   -    - 
Deemed contribution from Manager   -    -    5,246    -    -    -    - 
Distributions   (19,593)   (17,178)   (10,690)   (18,418)   (14,436)   -    (14,519)
Net income (loss)   3,740    4,211    (7,869)   4,448    5,557    (16,120)   (2,211)
Balance at December 31, 2024  $339,662   $336,641   $285,579   $339,479   $210,312   $(16,120)  $296,012 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-65

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Ratliff   Riverwood   Roanoke   Robinson   Ross   Sansa   Sedgefield 
                             
                             
Balance at  January 1, 2024  $340,241   $301,731   $351,576   $-   $(3,646)  $191,739   $- 
Issuance of membership units, net of offering costs   -    864    671    356,598    364,451    -    334,076 
Redemption of membership units   -    -    -    -    -    -    - 
Deemed contribution from Manager   -    -    -    1,471    -    -    7,917 
Distributions   (17,848)   (15,414)   (21,419)   (1,579)   (20,947)   (12,411)   (9,092)
Net income (loss)   (424)   2,731    9,592    (8,226)   5,241    6,901    (14,952)
Balance at December 31, 2024  $321,970   $289,911   $340,419   $348,264   $345,099   $186,229   $317,949 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-66

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Seneca   Sheezy   Sherwood   Spangler   Summerglen   Tansel   Thomas 
                             
                             
Balance at  January 1, 2024  $-   $243,643   $178,874   $-   $246,203   $328,603   $225,638 
Issuance of membership units, net of offering costs   325,931    -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    -    -    - 
Deemed contribution from Manager   1,576    -    -    -    -    -    - 
Distributions   (2,992)   (16,151)   (11,648)   -    (15,228)   (17,966)   (14,918)
Net income (loss)   (8,355)   4,205    7,277    (10,312)   5,699    5,851    6,501 
Balance at December 31, 2024  $316,161   $231,698   $174,504   $(10,312)  $236,674   $316,489   $217,221 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-67

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Tomlinson   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
                             
                             
Balance at  January 1, 2024  $-   $274,145   $(6,552)  $184,838   $262,942   $219,997   $303,669 
Issuance of membership units, net of offering costs   -    699    384,745    -    -    -    465 
Redemption of membership units   -    -    -    (300)   (300)   -    - 
Deemed contribution from Manager   -    -    -    -    -    -    - 
Distributions   -    (17,993)   (17,674)   (12,755)   (12,496)   (15,248)   (18,583)
Net income (loss)   (4,828)   6,912    (3,234)   8,505    (6,927)   7,480    9,046 
Balance at December 31, 2024  $(4,828)  $263,763   $357,285   $180,288   $243,218   $212,230   $294,597 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-68

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
                         
                         
Balance at  January 1, 2024  $169,207   $258,538   $248,596   $(3,113)  $178,916   $19,969,988 
Issuance of membership units, net of offering costs   -    -    -    339,809    -    5,075,676 
Redemption of membership units   -    -    -    -    -    (3,700)
Deemed contribution from Manager   -    -    -    -    -    51,247 
Distributions   (11,444)   (12,513)   (11,513)   (12,300)   (12,298)   (1,182,761)
Net income (loss)   3,375    (267)   4,055    (559)   4,568    (37,225)
Balance at December 31, 2024  $161,138   $245,758   $241,137   $323,837   $171,186   $23,873,224 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-69

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

  

   Antares   Aramis   Arkoma   Arya   Aspen   Athos   Barclay 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   338,767    325,737    262,196    203,882    290,592    317,232    336,299 
Deemed contribution from Manager   2,494    1,300    (761)   -    -    3,958    (3,445)
Distributions   (3,660)   -    (3,118)   -    (4,094)   (3,779)   (3,636)
Net income (loss)   (17,703)   (21,082)   (2,517)   (14,175)   (15,059)   (12,863)   258 
Balance at December 31, 2023  $319,898   $305,955   $255,800   $189,707   $271,438   $304,549   $329,476 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-70

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Bean   Bennett   Benny   Bluebell   Bowling   Bradford   Brookwood 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   315,457    231,957    281,819    328,666    224,923    334,496    303,880 
Deemed contribution from Manager   931    -    520    (1,287)   (1,495)   2,665    - 
Distributions   -    (8,788)   (9,151)   (3,906)   (8,035)   (3,252)   (10,527)
Net income (loss)   (10,992)   (6,490)   (14,985)   (5,146)   (4,262)   (9,124)   (10,943)
Balance at December 31, 2023  $305,397   $216,679   $258,203   $318,328   $211,130   $324,785   $282,410 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-71

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Bryant   Caden   Camellia   Caterpillar   Chilhowee   Claremore   Collinison 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   304,351    271,534    284,971    330,900    347,392    257,198    329,596 
Deemed contribution from Manager   375    321    -    5,762    763    375    - 
Distributions   (7,251)   (9,112)   (10,785)   (2,859)   (13,555)   (5,844)   - 
Net income (loss)   (8,903)   (15,866)   (1,144)   (19,590)   (1,015)   (4,839)   (7,895)
Balance at December 31, 2023  $288,572   $246,877   $273,042   $314,213   $333,585   $246,890   $321,701 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-72

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Cordero   Cristalino   Ellie   Emelina   Ethan   Frances   Glenncrest 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   307,098    334,132    309,658    268,340    216,125    -    - 
Deemed contribution from Manager   375    4,764    1,311    1,730    375    289    - 
Distributions   (8,289)   (4,355)   -    (9,009)   (4,673)   -    - 
Net income (loss)   (12,028)   (40,993)   (11,119)   (10,702)   (16,544)   (3,299)   (2,974)
Balance at December 31, 2023  $287,156   $293,548   $299,850   $250,360   $195,283   $(3,010)  $(2,974)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-73

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Gordon   Haikey   Hamblen   Hancock   Hardman   Haven   Haverhill 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   281,165    267,474    283,164    296,090    413,590    200,903    255,945 
Deemed contribution from Manager   2,846    -    1,102    375    -    206    - 
Distributions   (3,349)   (6,080)   (10,731)   (6,734)   -    (7,396)   (5,543)
Net income (loss)   (11,923)   (4,189)   (10,758)   (14,616)   (7,364)   (14,144)   (19,557)
Balance at December 31, 2023  $268,739   $257,206   $262,776   $275,115   $406,226   $179,568   $230,845 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-74

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Haybridge   Hedgecrest   Helmerich   Hermanos   Holmes   Keystone   Layla 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   390,838    390,838    277,529    334,936    196,322    372,691    354,460 
Deemed contribution from Manager   25    25    375    1,366    375    -    - 
Distributions   -    -    (6,307)   (11,257)   (7,644)   -    - 
Net income (loss)   (8,237)   (8,168)   (4,076)   (8,704)   (4,177)   (6,169)   (8,243)
Balance at December 31, 2023  $382,626   $382,695   $267,521   $316,341   $184,876   $366,522   $346,216 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-75

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Liberty   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   275,433    306,290    329,623    279,063    302,176    232,088    203,902 
Deemed contribution from Manager   (397)   11,172    -    7,084    2,052    (2,752)   - 
Distributions   (3,578)   (9,954)   -    (3,927)   (3,599)   (3,515)   - 
Net income (loss)   (6,586)   (18,827)   (8,124)   (6,707)   (11,497)   (4,151)   (11,699)
Balance at December 31, 2023  $264,873   $288,681   $321,499   $275,513   $289,132   $221,670   $192,203 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-76

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Meridian   Montgomery   Northbrook   Northridge   Oakland   Palmore   Pebblestone 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   291,625    228,273    308,771    -    -    223,658    361,784 
Deemed contribution from Manager   1,942    399    -    -    -    (38)   - 
Distributions   (3,471)   (2,969)   -    -    -    (7,735)   - 
Net income (loss)   (13,717)   (20,319)   (6,516)   (2,896)   (4,381)   (8,982)   (6,269)
Balance at December 31, 2023  $276,379   $205,383   $302,255   $(2,896)  $(4,381)  $206,903   $355,515 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-77

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Perdita   Phoebe   Pongo   Portsmouth   Rachel   Ratliff   Riverwood 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   362,584    -    362,287    238,923    -    348,489    324,593 
Deemed contribution from Manager   614    -    1,327    375    536    784    2,944 
Distributions   (3,530)   -    (3,919)   (9,307)   -    -    (3,511)
Net income (loss)   (10,061)   (3,721)   (6,246)   (10,500)   (4,006)   (9,031)   (22,294)
Balance at December 31, 2023  $349,607   $(3,721)  $353,449   $219,491   $(3,470)  $340,241   $301,731 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-78

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Roanoke   Ross   Sansa   Sheezy   Sherwood   Summerglen   Tansel 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   366,492    -    203,902    251,518    198,895    264,954    356,037 
Deemed contribution from Manager   694    536    -    2,134    1,352    865    5,279 
Distributions   (4,760)   -    (2,419)   (10,894)   (2,360)   (10,037)   (4,232)
Net income (loss)   (10,850)   (4,182)   (9,743)   886    (19,013)   (9,579)   (28,481)
Balance at December 31, 2023  $351,576   $(3,646)  $191,739   $243,643   $178,874   $246,203   $328,603 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-79

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Thomas   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
                             
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   238,767    284,003    -    196,922    280,637    231,529    310,534 
Deemed contribution from Manager   -    1,977    -    375    375    375    1,664 
Distributions   (9,311)   (3,691)   -    (4,681)   (10,934)   (9,264)   (4,368)
Net income (loss)   (3,818)   (8,144)   (6,552)   (7,778)   (7,136)   (2,644)   (4,161)
Balance at December 31, 2023  $225,638   $274,145   $(6,552)  $184,838   $262,942   $219,997   $303,669 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-80

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
                         
Balance at  January 4, 2023  $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   180,681    277,268    275,551    -    186,045    21,056,436 
Deemed contribution from Manager   2,966    -    375    522    199    73,746 
Distributions   (2,734)   (9,902)   (6,562)   -    (2,608)   (360,491)
Net income (loss)   (11,706)   (8,828)   (20,768)   (3,635)   (4,719)   (799,703)
Balance at December 31, 2023  $169,207   $258,538   $248,596   $(3,113)  $178,916   $19,969,988 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements

 

F-81

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Adams   Antares   Aramis   Arkoma   Arya   Aspen   Athos 
Cash Flows from Operating Activities:                            
Net income (loss)  $(11,102)  $4,489   $2,952   $5,791   $(10,062)  $(4,820)  $(5,903)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   -    8,514    8,246    6,489    4,933    7,358    9,155 
Increase in assets                                   
Prepaid expenses   -    (73)   (136)   (75)   (277)   (111)   (610)
Due (from) to third party property managers   (548)   (95)   (10,145)   3,455    (10,382)   (3,739)   (3,235)
Increase (decrease) in liabilities                                   
Accrued expenses   4,871    (2,293)   1,239    (2,851)   148    674    (1,075)
Tenant deposits   2,345    500    -    -    -    1,795    - 
Due to (from) related parties   4,434    447    2,903    (1,212)   7,276    2,740    2,459 
Net cash provided by (used in) operating activities   -    11,488    5,059    11,597    (8,364)   3,897    791 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    -    (100)   - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   -    (15,739)   (15,551)   (14,682)   (8,841)   (10,135)   (13,706)
Net cash provided by (used in) financing activities   -    (15,739)   (15,551)   (14,682)   (8,841)   (10,235)   (13,706)
                                    
Net change in cash   -    (4,251)   (10,492)   (3,085)   (17,205)   (6,338)   (12,916)
Cash at beginning of year   -    16,454    17,696    26,399    19,482    9,587    22,229 
Cash at end of year  $-   $12,203   $7,204   $23,313   $2,277   $3,249   $9,313 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $3,000   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $304,000   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $288,000   $-   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $3,000   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-82

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Barclay   Bayne   Bean   Bennett   Benny   Bluebell   Bowling 
Cash Flows from Operating Activities:                            
Net income (loss)  $4,046   $(8,122)  $4,927   $6,027   $2,258   $4,495   $4,786 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   8,416    -    8,057    5,820    7,006    8,215    5,724 
Increase in assets                                   
Prepaid expenses   (45)   -    (450)   (76)   (389)   (96)   (66)
Due (from) to third party property managers   4,204    -    (5,622)   (112)   514    3,923    7,810 
Increase (decrease) in liabilities                                   
Accrued expenses   (1,875)   4,831    1,415    (1,688)   (3,963)   (2,693)   (1,595)
Tenant deposits   -    -    -    -    -    250    (1,869)
Due to (from) related parties   (3,274)   3,291    3,355    (3,260)   (939)   (113)   (12,748)
Net cash provided by (used in) operating activities   11,471    -    11,683    6,711    4,487    13,982    2,042 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    (300)   -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (18,107)   -    (17,871)   (14,261)   (13,472)   (17,824)   (12,174)
Net cash provided by (used in) financing activities   (18,107)   -    (17,871)   (14,261)   (13,772)   (17,824)   (12,174)
                                    
Net change in cash   (6,636)   -    (6,188)   (7,550)   (9,285)   (3,842)   (10,133)
Cash at beginning of year   30,661    -    17,617    15,006    12,309    22,871    15,852 
Cash at end of year  $24,025   $-   $11,429   $7,455   $3,024   $19,029   $5,720 
                                    
Cash paid for income taxes  $294   $-   $625   $-   $425   $-   $- 
Cash paid for interest expenses  $-   $2,876   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $347,625   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $-   $328,683   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-83

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Boxwood   Bradford   Brookwood   Bryant   Caden   Camellia   Caterpillar 
Cash Flows from Operating Activities:                            
Net income (loss)  $(5,457)  $5,019   $4,402   $1,617   $(8,730)  $(696)  $(1,964)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   -    8,361    7,707    8,784    6,875    9,622    8,248 
Increase in assets                                   
Prepaid expenses   -    (40)   (38)   (363)   (84)   (81)   (793)
Due (from) to third party property managers   -    3,585    (4)   3,814    5,171    (2,873)   (1,282)
Increase (decrease) in liabilities                                   
Accrued expenses   5,161    (1,689)   (2,347)   (2,119)   (2,836)   (2,702)   (2,333)
Tenant deposits   -    250    -    46    698    -    - 
Due to (from) related parties   297    3,926    (1,554)   344    (10,340)   (3,022)   1,671 
Net cash provided by (used in) operating activities   -    19,413    8,167    12,123    (9,247)   248    3,547 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    5,500    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   -    -    (300)   (300)   -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   -    (17,127)   (14,429)   (14,852)   (5,962)   (14,912)   (11,401)
Net cash provided by (used in) financing activities   -    (17,127)   (14,729)   (15,152)   (462)   (14,912)   (11,401)
                                    
Net change in cash   -    2,286    (6,562)   (3,029)   (9,709)   (14,664)   (7,854)
Cash at beginning of year   -    20,297    13,170    11,462    10,861    20,502    19,632 
Cash at end of year  $-   $22,583   $6,608   $8,432   $1,152   $5,838   $11,778 
                                    
Cash paid for income taxes  $-   $293   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $2,695   $-   $-   $-   $15   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $322,505   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $308,000   $-   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-84

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Chilhowee   Claremore   Collinison   Cordero   Cristalino   Ellie   Emelina 
Cash Flows from Operating Activities:                            
Net income (loss)  $(2,655)  $(15,198)  $4,868   $4,506   $(5,078)  $(10,870)  $2,837 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   8,941    6,464    8,303    7,720    8,450    7,897    8,243 
Increase in assets                                   
Prepaid expenses   (173)   (202)   (414)   (65)   (235)   (482)   (104)
Due (from) to third party property managers   9,607    6,671    (1,148)   3,738    (2,964)   (5,487)   3,649 
Increase (decrease) in liabilities                                   
Accrued expenses   (5,983)   (3,733)   2,450    (2,877)   2,113    (821)   (1,834)
Tenant deposits   (100)   (798)   -    -    2,995    2,445    - 
Due to (from) related parties   (2,762)   (2,432)   21,604    254    (14,674)   2,756    (3,653)
Net cash provided by (used in) operating activities   6,874    (9,227)   35,664    13,277    (9,393)   (4,563)   9,139 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    16,800    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   -    (300)   -    -    (100)   -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (14,836)   (8,373)   (13,954)   (18,036)   (8,182)   (8,302)   (11,154)
Net cash provided by (used in) financing activities   (14,836)   (8,673)   (13,954)   (18,036)   8,518    (8,302)   (11,154)
                                    
Net change in cash   (7,961)   (17,900)   21,709    (4,759)   (875)   (12,865)   (2,015)
Cash at beginning of year   20,622    17,900    2,979    19,302    7,769    17,548    5,191 
Cash at end of year  $12,661   $-   $24,688   $14,543   $6,894   $4,683   $3,176 
                                    
Cash paid for income taxes  $909   $410   $137   $50   $100   $230   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $46   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-85

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Ethan   Frances   Glenncrest   Gordon   Haikey   Hamblen   Hancock 
Cash Flows from Operating Activities:                            
Net income (loss)  $(2,160)  $5,445   $(1,716)  $5,643   $2,668   $11,314   $4,529 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   7,279    7,035    7,982    7,024    6,735    7,053    8,454 
Increase in assets                                   
Prepaid expenses   (79)   (376)   (418)   (101)   (405)   (127)   (189)
Due (from) to third party property managers   2,359    (5,166)   (6,080)   3,414    3,740    3,893    2,004 
Increase (decrease) in liabilities                                   
Accrued expenses   (1,364)   3,176    1,359    (2,125)   (3,853)   (2,211)   (1,367)
Tenant deposits   -    2,245    3,990    -    -    -    - 
Due to (from) related parties   (2,117)   25,320    299,291    (504)   (2,374)   (2,869)   1,707 
Net cash provided by (used in) operating activities   3,917    37,679    304,409    13,352    6,512    17,054    15,139 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   (8,700)   -    -    -    -    -    - 
Net cash provided by (used in) investing activities   (8,700)   -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   13,000    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    (275,500)   -    -    -    - 
Redemption of membership units   -    -    -    -    -    (300)   (800)
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (7,310)   (18,377)   (10,856)   (16,165)   (14,591)   (18,136)   (13,859)
Net cash provided by (used in) financing activities   5,690    (18,377)   (286,356)   (16,165)   (14,591)   (18,436)   (14,659)
                                    
Net change in cash   906    19,302    18,053    (2,813)   (8,079)   (1,382)   480 
Cash at beginning of year   2,375    -    -    17,148    18,832    14,963    7,185 
Cash at end of year  $3,281   $19,302   $18,053   $14,335   $10,753   $13,581   $7,665 
                                    
Cash paid for income taxes  $-   $-   $101   $-   $424   $-   $- 
Cash paid for interest expenses  $98   $-   $6,314   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $-   $-   $275,500   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $5,510   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-86

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Hardman   Haven   Haverhill   Haybridge   Hedgecrest   Helmerich   Hermanos 
Cash Flows from Operating Activities:                            
Net income (loss)  $6,284   $(749)  $8,080   $685   $(5,500)  $3,895   $(12,586)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   10,652    5,098    6,449    9,862    9,862    6,925    11,828 
Increase in assets                                   
Prepaid expenses   (406)   (58)   (130)   (394)   (394)   (161)   (138)
Due (from) to third party property managers   (5,148)   2,602    (249)   (6,128)   (6,165)   5,680    4,672 
Increase (decrease) in liabilities                                   
Accrued expenses   4,795    (1,512)   (207)   (1,263)   384    (3,726)   (1,697)
Tenant deposits   -    100    -    -    1,995    300    898 
Due to (from) related parties   2,481    (5,976)   (1,740)   3,624    3,404    641    (13,078)
Net cash provided by (used in) operating activities   18,658    (495)   12,204    6,385    3,585    13,554    (10,102)
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (20,252)   (6,156)   (9,784)   (13,771)   (12,673)   (15,632)   (3,847)
Net cash provided by (used in) financing activities   (20,252)   (6,156)   (9,784)   (13,771)   (12,673)   (15,632)   (3,847)
                                    
Net change in cash   (1,595)   (6,651)   2,420    (7,386)   (9,087)   (2,078)   (13,949)
Cash at beginning of year   20,323    8,774    4,238    25,648    25,648    18,024    20,497 
Cash at end of year  $18,728   $2,123   $6,658   $18,262   $16,561   $15,946   $6,549 
                                    
Cash paid for income taxes  $172   $167   $-   $599   $374   $416   $50 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-87

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Holmes   Johnson   Keystone   Langley   Laurel   Layla   Liberty 
Cash Flows from Operating Activities:                            
Net income (loss)  $6,928   $(8,050)  $2,950   $(13,448)  $(7,371)  $952   $(5,457)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   4,839    3,759    8,771    -    7,718    8,906    9,716 
Increase in assets                                   
Prepaid expenses   (54)   -    (539)   -    (482)   (506)   (308)
Due (from) to third party property managers   2,685    (4,864)   (4,253)   (869)   (4,708)   (7,980)   2,839 
Increase (decrease) in liabilities                                   
Accrued expenses   (3,051)   5,609    4,671    5,524    5,854    3,183    (3,373)
Tenant deposits   -    2,645    2,295    2,995    2,295    2,695    500 
Due to (from) related parties   (1,745)   338,863    1,670    5,797    294,329    1,947    6,767 
Net cash provided by (used in) operating activities   9,601    337,962    15,565    -    297,633    9,196    10,685 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    (13,749)
Net cash provided by (used in) investing activities   -    -    -    -    -    -    (13,749)
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    8,000 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    (305,663)   -    -    (260,000)   -    - 
Redemption of membership units   -    -    -    -    -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (12,836)   (9,060)   (19,661)   -    (12,796)   (20,022)   (8,885)
Net cash provided by (used in) financing activities   (12,836)   (314,723)   (19,661)   -    (272,796)   (20,022)   (885)
                                    
Net change in cash   (3,235)   23,239    (4,095)   -    24,838    (10,826)   (3,950)
Cash at beginning of year   16,072    -    20,391    -    -    25,430    8,847 
Cash at end of year  $12,837   $23,239   $16,296   $-   $24,838   $14,604   $4,897 
                                    
Cash paid for income taxes  $-   $-   $156   $-   $-   $165   $- 
Cash paid for interest expenses  $-   $2,993   $-   $3,644   $7,746   $-   $60 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $326,070   $-   $330,000   $335,245   $-   $- 
Bridge financing, related party for acquisition of property  $-   $305,663   $-   $318,000   $260,000   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $2,165   $-   $3,644   $6,988   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-88

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy   Meridian 
Cash Flows from Operating Activities:                            
Net income (loss)  $(18,446)  $7,429   $(594)  $(406)  $2,798   $3,558   $2,454 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   9,389    8,288    8,140    8,571    5,724    4,933    8,697 
Increase in assets                                   
Prepaid expenses   (115)   (415)   (382)   (502)   (73)   (277)   (154)
Due (from) to third party property managers   (6,052)   (5,333)   6,706    2,846    1,501    (10,691)   2,684 
Increase (decrease) in liabilities                                   
Accrued expenses   (2,663)   2,873    (3,295)   (2,113)   (2,140)   945    (2,069)
Tenant deposits   3,990    250    (2,495)   450    -    2,690    - 
Due to (from) related parties   1,146    1,720    8,468    590    (3,301)   2,328    2,109 
Net cash provided by (used in) operating activities   (12,751)   14,812    16,548    9,435    4,507    3,486    13,721 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   (10,745)   -    -    -    -    -    (8,575)
Net cash provided by (used in) investing activities   (10,745)   -    -    -    -    -    (8,575)
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   24,300    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   (300)   -    -    -    -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (11,667)   (18,054)   (16,041)   (15,114)   (15,492)   (12,048)   (15,239)
Net cash provided by (used in) financing activities   12,333    (18,054)   (16,041)   (15,114)   (15,492)   (12,048)   (15,239)
                                    
Net change in cash   (11,162)   (3,242)   507    (5,679)   (10,986)   (8,562)   (10,093)
Cash at beginning of year   18,089    23,293    14,661    16,032    22,147    19,502    14,399 
Cash at end of year  $6,926   $20,051   $15,168   $10,353   $11,162   $10,940   $4,306 
                                    
Cash paid for income taxes  $-   $152   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $66   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $3,192   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-89

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Metallo   Misty   Montgomery   Northbrook   Northridge   Oakland   Palmore 
Cash Flows from Operating Activities:                            
Net income (loss)  $(7,680)  $(10,164)  $19   $(3,117)  $(10,170)  $(9,496)  $276 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   -    -    7,441    7,744    6,481    8,444    6,911 
Increase in assets                                   
Prepaid expenses   -    -    (81)   (376)   (390)   (439)   (59)
Due (from) to third party property managers   -    (5,493)   (7,298)   (5,058)   (2,821)   (5,036)   (9,318)
Increase (decrease) in liabilities                                   
Accrued expenses   7,777    1,884    538    4,876    1,203    2,677    (1,730)
Tenant deposits   -    5,190    2,468    1,895    2,543    2,445    - 
Due to (from) related parties   (97)   361,074    844    1,184    35,019    323,015    (2,734)
Net cash provided by (used in) operating activities   -    352,490    3,932    7,147    31,865    321,611    (6,654)
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    (13,590)   -    -    -    - 
Net cash provided by (used in) investing activities   -    -    (13,590)   -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    10,700    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    (327,000)   -    -    -    (291,650)   - 
Redemption of membership units   -    -    -    -    -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   -    -    (5,904)   (12,872)   (12,586)   (11,779)   (10,149)
Net cash provided by (used in) financing activities   -    (327,000)   4,796    (12,872)   (12,586)   (303,429)   (10,149)
                                    
Net change in cash   -    25,490    (4,863)   (5,725)   19,278    18,181    (16,802)
Cash at beginning of year   -    -    9,225    22,111    -    474    20,957 
Cash at end of year  $-   $25,490   $4,362   $16,387   $19,278   $18,656   $4,155 
                                    
Cash paid for income taxes  $-   $-   $-   $254   $-   $100   $- 
Cash paid for interest expenses  $1,657   $3,270   $29   $-   $-   $8,263   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $294,000   $345,000   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $284,000   $327,000   $-   $-   $-   $291,650   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $1,657   $1,226   $-   $-   $-   $7,656   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-90

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Pebblestone   Perdita   Phoebe   Pongo   Portsmouth   Presidio   Rachel 
Cash Flows from Operating Activities:                            
Net income (loss)  $3,740   $4,211   $(7,869)  $4,448   $5,557   $(16,120)  $(2,211)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   8,510    9,121    7,000    9,121    5,864    -    7,943 
Increase in assets                                   
Prepaid expenses   (539)   (65)   (414)   (65)   (82)   -    (414)
Due (from) to third party property managers   (6,366)   3,137    (4,668)   4,574    934    -    (5,624)
Increase (decrease) in liabilities                                   
Accrued expenses   4,699    (1,933)   3,791    (2,206)   (3,481)   6,735    2,726 
Tenant deposits   2,795    -    2,145    -    -    -    3,093 
Due to (from) related parties   1,603    1,824    290,913    1,524    (987)   9,384    26,398 
Net cash provided by (used in) operating activities   14,442    16,296    290,898    17,396    7,805    -    31,912 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    (262,299)   -    -    -    - 
Redemption of membership units   -    -    -    -    (300)   -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (19,593)   (17,178)   (10,690)   (18,418)   (14,436)   -    (14,519)
Net cash provided by (used in) financing activities   (19,593)   (17,178)   (272,989)   (18,418)   (14,736)   -    (14,519)
                                    
Net change in cash   (5,151)   (882)   17,909    (1,022)   (6,931)   -    17,393 
Cash at beginning of year   19,914    20,883    -    23,895    15,915    -    - 
Cash at end of year  $14,763   $20,002   $17,909   $22,874   $8,984   $-   $17,393 
                                    
Cash paid for income taxes  $151   $324   $100   $330   $-   $-   $100 
Cash paid for interest expenses  $-   $-   $6,011   $-   $-   $2,338   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $-   $-   $242,000   $- 
Bridge financing, related party for acquisition of property  $-   $-   $262,299   $-   $-   $229,000   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $5,246   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-91

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Ratliff   Riverwood   Roanoke   Robinson   Ross   Sansa   Sedgefield 
Cash Flows from Operating Activities:                            
Net income (loss)  $(424)  $2,731   $9,592   $(8,226)  $5,241   $6,901   $(14,952)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   8,789    10,040    9,207    735    9,164    4,933    6,020 
Increase in assets                                   
Prepaid expenses   (415)   (150)   (179)   -    (527)   (277)   (418)
Due (from) to third party property managers   (4,755)   (49)   4,772    (4,012)   (5,844)   (7,285)   (3,123)
Increase (decrease) in liabilities                                   
Accrued expenses   2,361    (2,349)   (5,292)   4,094    3,704    (1,745)   3,242 
Tenant deposits   250    -    -    2,345    2,545    1,395    3,243 
Due to (from) related parties   2,055    2,382    3,120    338,431    30,020    2,284    288,566 
Net cash provided by (used in) operating activities   7,862    12,605    21,219    333,366    44,304    6,206    282,580 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    (307,000)   -    -    (250,000)
Redemption of membership units   -    -    -    -    -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (17,848)   (15,414)   (21,419)   (1,579)   (20,947)   (12,411)   (9,092)
Net cash provided by (used in) financing activities   (17,848)   (15,414)   (21,419)   (308,579)   (20,947)   (12,411)   (259,092)
                                    
Net change in cash   (9,986)   (2,810)   (200)   24,787    23,357    (6,205)   23,488 
Cash at beginning of year   24,017    10,050    22,821    -    -    19,502    - 
Cash at end of year  $14,030   $7,240   $22,621   $24,787   $23,357   $13,296   $23,488 
                                    
Cash paid for income taxes  $172   $-   $-   $-   $100   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $3,134   $-   $-   $9,583 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $321,450   $-   $-   $302,900 
Bridge financing, related party for acquisition of property  $-   $-   $-   $307,000   $-   $-   $250,000 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $1,471   $-   $-   $7,917 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-92

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Seneca   Sheezy   Sherwood   Spangler   Summerglen   Tansel   Thomas 
Cash Flows from Operating Activities:                            
Net income (loss)  $(8,355)  $4,205   $7,277   $(10,312)  $5,699   $5,851   $6,501 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   1,352    6,430    4,796    -    6,661    8,951    6,030 
Increase in assets                                   
Prepaid expenses   -    (97)   (56)   -    (147)   (274)   (43)
Due (from) to third party property managers   (3,692)   3,739    (8,790)   -    4,812    (12,722)   (205)
Increase (decrease) in liabilities                                   
Accrued expenses   3,770    (2,584)   (2,339)   15,631    (4,437)   (3,015)   (2,044)
Tenant deposits   2,695    -    -    -    -    -    - 
Due to (from) related parties   310,790    385    2,781    989    (3,031)   7,637    (2,124)
Net cash provided by (used in) operating activities   306,560    12,078    3,670    6,308    9,557    6,429    8,115 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    (6,308)   -    -    - 
Net cash provided by (used in) investing activities   -    -    -    (6,308)   -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   (280,155)   -    -    -    -    -    - 
Redemption of membership units   -    -    -    -    -    -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   (2,992)   (16,151)   (11,648)   -    (15,228)   (17,966)   (14,918)
Net cash provided by (used in) financing activities   (283,147)   (16,151)   (11,648)   -    (15,228)   (17,966)   (14,918)
                                    
Net change in cash   23,414    (4,072)   (7,978)   -    (5,671)   (11,537)   (6,803)
Cash at beginning of year   -    18,930    16,955    -    12,041    18,170    16,283 
Cash at end of year  $23,414   $14,858   $8,977   $-   $6,370   $6,633   $9,480 
                                    
Cash paid for income taxes  $-   $702   $-   $-   $410   $-   $- 
Cash paid for interest expenses  $2,743   $-   $-   $3,168   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $294,900   $-   $-   $382,000   $-   $-   $- 
Bridge financing, related party for acquisition of property  $280,155   $-   $-   $362,000   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $1,576   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-93

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Tomlinson   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
Cash Flows from Operating Activities:                            
Net income (loss)  $(4,828)  $6,912   $(3,234)  $8,505   $(6,927)  $7,480   $9,046 
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                                   
Depreciation   -    7,158    8,914    4,839    7,017    5,729    7,880 
Increase in assets                                   
Prepaid expenses   -    (69)   (357)   (54)   (70)   (66)   (68)
Due (from) to third party property managers   -    3,312    (9,324)   2,807    6,126    3,186    3,823 
Increase (decrease) in liabilities                                   
Accrued expenses   4,523    (2,240)   4,050    (2,653)   (2,450)   (2,010)   (4,791)
Tenant deposits   -    500    2,695    -    (1,098)   -    250 
Due to (from) related parties   304    1,785    30,578    (1,417)   (1,853)   (3,094)   123 
Net cash provided by (used in) operating activities   -    17,359    33,322    12,027    744    11,225    16,263 
                                    
Cash Flows from Investing Activities                                   
Additions to property and equipment   -    -    -    -    -    -    - 
Net cash provided by (used in) investing activities   -    -    -    -    -    -    - 
                                    
Cash flows from financing activities                                   
Proceeds from operational notes, related party   -    -    -    -    -    -    - 
Repayments of amounts due to related party   -    -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    -    - 
Redemption of membership units   -    -    -    (300)   (300)   -    - 
Net proceeds from the issuance of membership units   -    -    -    -    -    -    - 
Distributions   -    (17,993)   (17,674)   (12,755)   (12,496)   (15,248)   (18,583)
Net cash provided by (used in) financing activities   -    (17,993)   (17,674)   (13,055)   (12,796)   (15,248)   (18,583)
                                    
Net change in cash   -    (635)   15,649    (1,028)   (12,053)   (4,023)   (2,320)
Cash at beginning of year   -    19,860    -    15,170    18,441    18,711    22,367 
Cash at end of year  $-   $19,226   $15,649   $14,142   $6,388   $14,689   $20,047 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $2,368   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $245,000   $-   $-   $-   $-   $-   $- 
Bridge financing, related party for acquisition of property  $232,000   $-   $-   $-   $-   $-   $- 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $-   $-   $-   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-94

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
Cash Flows from Operating Activities:                        
Net income (loss)  $3,375   $(267)  $4,055   $(559)  $4,568   $(37,225)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:                              
Depreciation   5,853    7,008    8,048    8,514    4,481    646,366 
Increase in assets                              
Prepaid expenses   (66)   (28)   (159)   (461)   (67)   (19,637)
Due (from) to third party property managers   2,996    104    3,033    (886)   2,545    (80,024)
Increase (decrease) in liabilities                              
Accrued expenses   (1,808)   (3,508)   (2,086)   (498)   (1,591)   (2,568)
Tenant deposits   -    -    750    -    -    74,537 
Due to (from) related parties   2,746    (1,274)   (2,812)   29,177    289    3,054,076 
Net cash provided by (used in) operating activities   13,095    2,035    10,828    35,286    10,224    3,635,525 
                               
Cash Flows from Investing Activities                              
Additions to property and equipment   -    -    -    -    -    (61,668)
Net cash provided by (used in) investing activities   -    -    -    -    -    (61,668)
                               
Cash flows from financing activities                              
Proceeds from operational notes, related party   -    -    -    -    -    78,300 
Repayments of amounts due to related party   -    -    -    -    -    - 
Repayments of bridge financing, related party   -    -    -    -    -    (2,559,267)
Redemption of membership units   -    -    -    -    -    (3,700)
Net proceeds from the issuance of membership units   -    -    -    -    -    - 
Distributions   (11,444)   (12,513)   (11,513)   (12,300)   (12,298)   (1,182,761)
Net cash provided by (used in) financing activities   (11,444)   (12,513)   (11,513)   (12,300)   (12,298)   (3,667,428)
                               
Net change in cash   1,651    (10,477)   (686)   22,986    (2,074)   (93,571)
Cash at beginning of year   3,099    14,885    4,736    -    18,061    1,223,390 
Cash at end of year  $4,751   $4,408   $4,051   $22,986   $15,987   $1,129,818 
                               
Cash paid for income taxes  $-   $-   $-   $50   $-   $9,042 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $72,115 
                               
Supplemental disclosure of non-cash investing and financing activities:                              
Advance from related party for acquisition of property  $-   $-   $-   $-   $-   $- 
Acquisition of property purchase price  $-   $-   $-   $-   $-   $4,392,695 
Bridge financing, related party for acquisition of property  $-   $-   $-   $-   $-   $4,908,950 
Deemed contribution from Manager for forgiveness of amounts due to Manager  $-   $-   $-   $-   $-   $51,247 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-95

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Antares   Aramis   Arkoma   Arya   Aspen   Athos   Barclay 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(17,703)  $(21,082)  $(2,517)  $(14,175)  $(15,059)  $(12,863)  $258 
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,257    4,123    3,786    411    4,905    4,188    4,909 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (426)   (416)   (363)   -    (522)   (1,014)   (420)
Deposits   (1,895)   (3,790)   (1,595)   (1,395)   -    (4,190)   - 
Due (from) to third party property managers   (2,389)   8,482    (4,630)   9,011    (39)   4,252    (6,129)
Increase (decrease) in liabilities                                   
Accrued expenses   5,385    1,725    6,647    2,227    1,725    9,149    5,361 
Accounts payable   -    -    -    -    -    -    32 
Tenant Deposits   1,895    3,790    1,595    1,395    -    4,190    - 
Due to (from) related parties   32,031    28,330    24,164    17,251    26,789    24,040    30,986 
Net cash provided by (used in) operating activities   21,155    21,164    27,087    14,725    17,799    27,753    34,998 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (339,808)   (329,204)   (259,766)   (199,125)   (294,710)   (318,977)   (337,000)
Net proceeds from the issuance of membership units   338,767    325,737    262,196    203,882    290,592    317,232    336,299 
Distributions   (3,660)   -    (3,118)   -    (4,094)   (3,779)   (3,636)
Net cash provided by (used in) financing activities   (4,701)   (3,467)   (688)   4,757    (8,212)   (5,524)   (4,337)
Net change in cash   16,454    17,696    26,399    19,482    9,587    22,229    30,661 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $16,454   $17,696   $26,399   $19,482   $9,587   $22,229   $30,661 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $310,000   $300,000   $237,000   $180,000   $267,750   $290,000   $307,000 
Deemed contribution from Manager  $2,494   $1,300   $(761)  $-   $-   $3,958   $(3,445)

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-96

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Bean   Bennett   Benny   Bluebell   Bowling   Bradford   Brookwood 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(10,992)  $(6,490)  $(14,985)  $(5,146)  $(4,262)  $(9,124)  $(10,943)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   1,343    3,880    4,671    4,108    4,293    4,877    5,138 
Amortization   -    -    -    -    1,456    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   -    (431)   (1,503)   (445)   (1,049)   (418)   (553)
Deposits   (2,145)   (1,695)   (1,795)   (2,095)   (1,869)   (1,895)   (1,795)
Due (from) to third party property managers   3,561    (1,385)   (2,305)   (6,086)   (7,957)   (5,619)   (2,049)
Increase (decrease) in liabilities                                   
Accrued expenses   3,685    4,738    6,395    5,631    4,403    4,977    5,015 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   2,145    1,695    1,795    2,095    1,869    1,895    1,795 
Due to (from) related parties   27,333    25,058    29,584    28,438    31,478    29,295    31,386 
Net cash provided by (used in) operating activities   24,930    25,370    21,857    26,499    28,361    23,987    27,993 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (322,770)   (233,534)   (282,216)   (328,389)   (229,397)   (334,934)   (308,177)
Net proceeds from the issuance of membership units   315,457    231,957    281,819    328,666    224,923    334,496    303,880 
Distributions   -    (8,788)   (9,151)   (3,906)   (8,035)   (3,252)   (10,527)
Net cash provided by (used in) financing activities   (7,313)   (10,365)   (9,548)   (3,629)   (12,509)   (3,690)   (14,823)
Net change in cash   17,617    15,006    12,309    22,871    15,852    20,297    13,170 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $17,617   $15,006   $12,309   $22,871   $15,852   $20,297   $13,170 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $(1,585)  $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $292,720   $211,650   $255,000   $300,000   $208,000   $305,000   $280,500 
Deemed contribution from Manager  $931   $-   $520   $(1,287)  $(1,495)  $2,665   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-97

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Bryant   Caden   Camellia   Caterpillar   Chilhowee   Claremore   Collinison 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(8,903)  $(15,866)  $(1,144)  $(19,590)  $(1,015)  $(4,839)  $(7,895)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   5,033    5,156    6,415    4,124    8,196    3,771    - 
Amortization   -    1,750    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (984)   (929)   (586)   (979)   (1,011)   (587)   - 
Deposits   (2,049)   (1,695)   (1,795)   (1,795)   (2,495)   (2,543)   (2,095)
Due (from) to third party property managers   (6,065)   (4,846)   410    (546)   (9,467)   (6,225)   2,685 
Increase (decrease) in liabilities                                   
Accrued expenses   10,376    4,369    5,422    4,584    9,804    6,513    2,091 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   2,049    1,695    1,795    1,795    2,495    2,543    2,095 
Due to (from) related parties   22,602    33,754    16,058    36,159    37,714    28,364    8,202 
Net cash provided by (used in) operating activities   22,059    23,388    26,575    23,751    44,220    26,995    5,084 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (307,697)   (274,949)   (280,259)   (332,160)   (357,435)   (260,449)   (331,701)
Net proceeds from the issuance of membership units   304,351    271,534    284,971    330,900    347,392    257,198    329,596 
Distributions   (7,251)   (9,112)   (10,785)   (2,859)   (13,555)   (5,844)   - 
Net cash provided by (used in) financing activities   (10,597)   (12,527)   (6,073)   (4,119)   (23,599)   (9,095)   (2,105)
Net change in cash   11,462    10,861    20,502    19,632    20,622    17,900    2,979 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $11,462   $10,861   $20,502   $19,632   $20,622   $17,900   $2,979 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $(2,189)  $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $279,900   $250,000   $255,000   $300,000   $323,840   $234,500   $301,000 
Deemed contribution from Manager  $375   $321   $-   $5,762   $763   $375   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-98

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Cordero   Cristalino   Ellie   Emelina   Ethan   Frances   Glenncrest 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(12,028)  $(40,993)  $(11,119)  $(10,702)  $(16,544)  $(3,299)  $(2,974)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,568    6,338    1,316    6,066    3,617    -    - 
Amortization   -    2,135    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (436)   (709)   -    (583)   (403)   -    - 
Deposits   (2,495)   -    -    (2,195)   (1,475)   -    - 
Due (from) to third party property managers   (5,634)   (2,589)   3,395    (5,331)   (3,263)   1,012    299 
Increase (decrease) in liabilities                                   
Accrued expenses   7,245    2,871    2,821    4,339    3,828    1,725    2,078 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   2,495    -    -    2,195    1,475    -    - 
Due to (from) related parties   7,236    50,222    27,857    25,933    17,134    562    597 
Net cash provided by (used in) operating activities   951    17,275    24,271    19,722    4,368    -    - 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (280,458)   (339,282)   (316,381)   (273,862)   (213,445)   -    - 
Net proceeds from the issuance of membership units   307,098    334,132    309,658    268,340    216,125    -    - 
Distributions   (8,289)   (4,355)   -    (9,009)   (4,673)   -    - 
Net cash provided by (used in) financing activities   18,351    (9,505)   (6,723)   (14,531)   (1,994)   -    - 
Net change in cash   19,302    7,769    17,548    5,191    2,375    -    - 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $19,302   $7,769   $17,548   $5,191   $2,375   $-   $- 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $(3,726)  $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $255,000   $310,000   $286,660   $250,000   $193,000   $277,990   $290,000 
Deemed contribution from Manager  $375   $4,764   $1,311   $1,730   $375   $289   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-99

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Gordon   Haikey   Hamblen   Hancock   Hardman   Haven   Haverhill 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(11,923)  $(4,189)  $(10,758)  $(14,616)  $(7,364)  $(14,144)  $(19,557)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,098    3,368    4,702    4,845    -    3,824    4,299 
Amortization   -    -    -    -    -    1,203    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (452)   (333)   (911)   (381)   -    (1,140)   (513)
Deposits   (1,895)   (1,795)   (2,095)   (2,045)   (2,495)   (1,395)   (1,745)
Due (from) to third party property managers   (5,334)   (5,457)   (5,982)   (4,796)   2,634    (4,116)   109 
Increase (decrease) in liabilities                                   
Accrued expenses   5,074    6,500    7,549    4,932    1,918    3,900    1,725 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   1,895    1,795    2,095    2,045    2,495    1,395    1,745 
Due to (from) related parties   29,327    28,812    31,521    24,976    35,190    30,412    26,294 
Net cash provided by (used in) operating activities   20,789    28,702    26,121    14,959    32,378    19,937    12,358 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (281,457)   (271,264)   (283,590)   (297,131)   (425,645)   (204,670)   (258,521)
Net proceeds from the issuance of membership units   281,165    267,474    283,164    296,090    413,590    200,903    255,945 
Distributions   (3,349)   (6,080)   (10,731)   (6,734)   -    (7,396)   (5,543)
Net cash provided by (used in) financing activities   (3,641)   (9,870)   (11,158)   (7,775)   (12,055)   (11,163)   (8,119)
Net change in cash   17,148    18,832    14,963    7,185    20,323    8,774    4,238 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $17,148   $18,832   $14,963   $7,185   $20,323   $8,774   $4,238 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $(1,629)  $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $255,000   $244,605   $256,285   $270,000   $387,500   $185,000   $234,600 
Deemed contribution from Manager  $2,846   $-   $1,102   $375   $-   $206   $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-100

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Haybridge   Hedgecrest   Helmerich   Hermanos   Holmes   Keystone   Layla 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(8,237)  $(8,168)  $(4,076)  $(8,704)  $(4,177)  $(6,169)  $(8,243)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   822    822    4,039    9,122    3,226    -    - 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   -    -    (630)   (1,645)   (330)   -    - 
Deposits   -    -    (1,795)   (2,395)   (1,395)   -    - 
Due (from) to third party property managers   2,314    2,245    (7,388)   (7,085)   (4,034)   1,340    3,124 
Increase (decrease) in liabilities                                   
Accrued expenses   2,543    2,543    6,895    6,281    6,153    1,725    2,100 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   -    -    1,795    2,395    1,395    -    - 
Due to (from) related parties   31,499    31,499    26,891    38,785    21,057    32,407    30,539 
Net cash provided by (used in) operating activities   28,941    28,941    25,730    36,752    21,894    29,304    27,519 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (394,131)   (394,131)   (278,928)   (339,934)   (194,501)   (381,604)   (356,549)
Net proceeds from the issuance of membership units   390,838    390,838    277,529    334,936    196,322    372,691    354,460 
Distributions   -    -    (6,307)   (11,257)   (7,644)   -    - 
Net cash provided by (used in) financing activities   (3,293)   (3,293)   (7,706)   (16,255)   (5,822)   (8,912)   (2,089)
Net change in cash   25,648    25,648    18,024    20,497    16,072    20,391    25,430 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $25,648   $25,648   $18,024   $20,497   $16,072   $20,391   $25,430 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $360,000   $360,000   $254,340   $310,000   $176,290   $346,780   $323,670 
Deemed contribution from Manager  $25   $25   $375   $1,366   $375   $-   $- 

  

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-101

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Liberty   Lithonia   Lola   Lucas   Macomber   Mallard   Marcy 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(6,586)  $(18,827)  $(8,124)  $(6,707)  $(11,497)  $(4,151)  $(11,699)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,865    5,185    -    4,087    4,201    3,339    411 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (879)   (559)   -    (997)   (962)   (404)   - 
Deposits   (1,895)   -    (2,095)   (2,495)   (1,995)   (2,195)   - 
Due (from) to third party property managers   (5,263)   (134)   3,040    (5,873)   (5,357)   (3,226)   6,535 
Increase (decrease) in liabilities                                   
Accrued expenses   9,485    5,042    2,072    10,842    10,266    5,240    2,222 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   1,895    -    2,095    2,495    1,995    2,195    - 
Due to (from) related parties   11,182    42,129    28,703    18,726    23,377    22,584    17,256 
Net cash provided by (used in) operating activities   12,804    32,836    25,691    20,078    20,028    23,381    14,725 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (275,813)   (311,083)   (332,021)   (280,553)   (302,573)   (229,807)   (199,125)
Net proceeds from the issuance of membership units   275,433    306,290    329,623    279,063    302,176    232,088    203,902 
Distributions   (3,578)   (9,954)   -    (3,927)   (3,599)   (3,515)   - 
Net cash provided by (used in) financing activities   (3,958)   (14,747)   (2,398)   (5,417)   (3,996)   (1,234)   4,777 
Net change in cash   8,847    18,089    23,293    14,661    16,032    22,147    19,502 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $8,847   $18,089   $23,293   $14,661   $16,032   $22,147   $19,502 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $250,000   $283,050   $301,135   $255,000   $275,000   $208,000   $180,000 
Deemed contribution from Manager  $(397)  $11,172   $-   $7,084   $2,052   $(2,752)  $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-102

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Meridian   Montgomery   Northbrook   Northridge   Oakland   Palmore   Pebblestone 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(13,717)  $(20,319)  $(6,516)  $(2,896)  $(4,381)  $(8,982)  $(6,269)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,240    3,752    -    -    704    4,368    - 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (519)   (408)   -    -    -    (1,461)   - 
Deposits   (1,850)   -    -    -    -    (1,645)   - 
Due (from) to third party property managers   (4,436)   3,740    1,053    819    763    9,418    1,439 
Increase (decrease) in liabilities                                   
Accrued expenses   5,196    1,725    2,068    1,725    2,169    4,384    1,725 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   1,850    -    -    -    -    1,645    - 
Due to (from) related parties   26,339    21,481    26,805    352    1,219    18,454    31,567 
Net cash provided by (used in) operating activities   17,101    9,972    23,410    -    474    26,180    28,463 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (290,857)   (226,050)   (310,070)   -    -    (221,146)   (370,333)
Net proceeds from the issuance of membership units   291,625    228,273    308,771    -    -    223,658    361,784 
Distributions   (3,471)   (2,969)   -    -    -    (7,735)   - 
Net cash provided by (used in) financing activities   (2,702)   (747)   (1,299)   -    -    (5,223)   (8,548)
Net change in cash   14,399    9,225    22,111    -    474    20,957    19,914 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $14,399   $9,225   $22,111   $-   $474   $20,957   $19,914 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $265,000   $205,000   $281,990   $269,900   $307,000   $200,000   $336,425 
Deemed contribution from Manager  $1,942   $399   $-   $-   $-   $(38)  $- 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-103

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Perdita   Phoebe   Pongo   Portsmouth   Rachel   Ratliff   Riverwood 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(10,061)  $(3,721)  $(6,246)  $(10,500)  $(4,006)  $(9,031)  $(22,294)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   5,320    -    5,320    3,910    -    732    5,321 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (451)   -    (451)   (371)   -    -    (402)
Deposits   (1,995)   -    (3,143)   (2,693)   -    (2,095)   (1,995)
Due (from) to third party property managers   (5,062)   660    (6,599)   (2,628)   961    2,521    (2,209)
Increase (decrease) in liabilities                                   
Accrued expenses   5,255    1,725    5,644    7,169    2,051    2,389    5,236 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   1,995    -    3,143    2,693    -    2,095    1,995 
Due to (from) related parties   31,220    1,336    32,251    25,947    994    30,778    19,114 
Net cash provided by (used in) operating activities   26,221    -    29,919    23,527    -    27,389    4,765 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (364,392)   -    (364,392)   (237,228)   -    (351,861)   (315,797)
Net proceeds from the issuance of membership units   362,584    -    362,287    238,923    -    348,489    324,593 
Distributions   (3,530)   -    (3,919)   (9,307)   -    -    (3,511)
Net cash provided by (used in) financing activities   (5,338)   -    (6,024)   (7,612)   -    (3,372)   5,285 
Net change in cash   20,883    -    23,895    15,915    -    24,017    10,050 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $20,883   $-   $23,895   $15,915   $-   $24,017   $10,050 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $332,500   $276,105   $332,500   $213,000   $288,620   $319,165   $288,000 
Deemed contribution from Manager  $614   $-   $1,327   $375   $536   $784   $2,944 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-104

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Roanoke   Ross   Sansa   Sheezy   Sherwood   Summerglen   Tansel 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(10,850)  $(4,182)  $(9,743)  $886   $(19,013)  $(9,579)  $(28,481)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,604    -    411    5,895    2,798    4,441    5,222 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (457)   -    -    (434)   (284)   (674)   (806)
Deposits   (2,495)   -    -    (2,045)   (1,395)   (1,795)   (2,395)
Due (from) to third party property managers   (4,065)   1,016    4,521    (5,385)   7,443    (6,228)   10,441 
Increase (decrease) in liabilities                                   
Accrued expenses   8,634    1,990    4,646    8,100    5,372    7,274    5,957 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   2,495    -    -    2,045    1,395    1,795    2,395 
Due to (from) related parties   32,997    1,176    17,308    26,891    17,827    30,228    31,165 
Net cash provided by (used in) operating activities   30,862    -    17,144    35,952    14,143    25,461    23,497 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (369,773)   -    (199,125)   (257,646)   (193,724)   (268,337)   (357,132)
Net proceeds from the issuance of membership units   366,492    -    203,902    251,518    198,895    264,954    356,037 
Distributions   (4,760)   -    (2,419)   (10,894)   (2,360)   (10,037)   (4,232)
Net cash provided by (used in) financing activities   (8,041)   -    2,358    (17,022)   2,812    (13,420)   (5,327)
Net change in cash   22,821    -    19,502    18,930    16,955    12,041    18,170 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $22,821   $-   $19,502   $18,930   $16,955   $12,041   $18,170 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $335,000   $333,070   $180,000   $233,000   $175,000   $241,879   $326,500 
Deemed contribution from Manager  $694   $536   $-   $2,134   $1,352   $865   $5,279 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-105

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Thomas   Tytus   Vanzant   Watson   Westhaven   Wheeler   Williamson 
                             
Cash Flows from Operating Activities:                            
Net income (loss)  $(3,818)  $(8,144)  $(6,552)  $(7,778)  $(7,136)  $(2,644)  $(4,161)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                                   
Depreciation   4,020    4,176    -    3,226    4,678    3,819    3,940 
Amortization   -    -    -    -    -    -    - 
(Increase) Decrease in assets                                   
Prepaid expenses   (445)   (368)   -    (330)   (432)   (409)   (473)
Deposits   (1,795)   (1,995)   -    (1,395)   (3,243)   (1,649)   (3,293)
Due (from) to third party property managers   (1,789)   (5,598)   4,477    (4,151)   (3,448)   (4,769)   (6,321)
Increase (decrease) in liabilities                                   
Accrued expenses   4,829    9,050    1,725    5,736    7,520    4,980    7,922 
Accounts payable   -    -    -    -    -    -    - 
Tenant Deposits   1,795    1,995    -    1,395    3,243    1,649    3,293 
Due to (from) related parties   25,951    26,622    350    20,728    30,526    25,242    32,080 
Net cash provided by (used in) operating activities   28,747    25,737    -    17,429    31,708    26,219    32,987 
                                    
Cash flows from financing activities                                   
Repayments of amounts due to related party   (241,920)   (286,189)   -    (194,501)   (282,970)   (229,774)   (316,785)
Net proceeds from the issuance of membership units   238,767    284,003    -    196,922    280,637    231,529    310,534 
Distributions   (9,311)   (3,691)   -    (4,681)   (10,934)   (9,264)   (4,368)
Net cash provided by (used in) financing activities   (12,464)   (5,876)   -    (2,259)   (13,267)   (7,508)   (10,620)
Net change in cash   16,283    19,860    -    15,170    18,441    18,711    22,367 
Cash at beginning of period   -    -    -    -    -    -    - 
Cash at end of period  $16,283   $19,860   $-   $15,170   $18,441   $18,711   $22,367 
                                    
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $-   $- 
                                    
Supplemental disclosure of non-cash investing and financing activities:                                   
Advance from related party for acquisition of property  $219,300   $260,000   $355,000   $176,290   $255,000   $208,000   $285,000 
Deemed contribution from Manager  $-   $1,977   $-   $375   $375   $375   $1,664 

  

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-106

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JANUARY 4, 2023 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2023

 

 

   Woodland   Woodwind   Wynde   Wyndhurst   Zane   Consolidated 
                         
Cash Flows from Operating Activities:                        
Net income (loss)  $(11,706)  $(8,828)  $(20,768)  $(3,635)  $(4,719)   (799,703)
Adjustments to reconcile net income (loss) to net cash used in operating activities:                              
Depreciation   3,293    4,672    4,300    -    2,241    270,143 
Amortization   -    -    -    -    -    6,544 
(Increase) Decrease in assets                              
Prepaid expenses   (316)   (506)   (411)   -    (295)   (35,608)
Deposits   (1,295)   (1,695)   (1,895)   -    (1,275)   (121,579)
Due (from) to third party property managers   (3,865)   (1,582)   (5,976)   542    (3,732)   (120,179)
Increase (decrease) in liabilities                              
Accrued expenses   4,459    5,026    4,708    2,248    4,333    393,105 
Accounts payable   -    -    -    -    -    32 
Tenant Deposits   1,295    1,695    1,895    -    1,275    121,579 
Due to (from) related parties   10,555    29,192    28,907    845    17,564    1,955,728 
Net cash provided by (used in) operating activities   2,421    27,974    10,760    -    15,392    1,670,061 
                               
Cash flows from financing activities                              
Repayments of amounts due to related party   (177,269)   (280,455)   (275,013)   -    (180,768)   (21,142,616)
Net proceeds from the issuance of membership units   180,681    277,268    275,551    -    186,045    21,056,436 
Distributions   (2,734)   (9,902)   (6,562)   -    (2,608)   (360,491)
Net cash provided by (used in) financing activities   678    (13,089)   (6,024)   -    2,669    (446,672)
Net change in cash   3,099    14,885    4,736    -    18,061    1,223,390 
Cash at beginning of period   -    -    -    -    -    - 
Cash at end of period  $3,099   $14,885   $4,736   $-   $18,061   $1,223,390 
                               
                               
Cash paid for income taxes  $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $-   $-   $-   $-   $-   $(9,128)
                               
Supplemental disclosure of non-cash investing and financing activities:                              
Advance from related party for acquisition of property  $160,000   $255,000   $250,000   $311,400   $163,000   $21,905,409 
Deemed contribution from Manager  $2,966   $-   $375   $522   $199   $73,746 

 

The accompanying notes are an integral part of these consolidated and consolidating financial statements.

 

F-107

 

 

ARRIVED HOMES 3, LLC AND ITS SERIES

NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS

DECEMBER 31, 2024 AND 2023

 

 

NOTE 1: NATURE OF OPERATIONS

 

Arrived Homes 3, LLC (“Arrived Homes 3”) is a Delaware Series limited liability company formed on January 4, 2023 under the laws of Delaware. Arrived Homes 3, LLC was formed to permit public investment in individual single family rental homes, each of which will be held by a separate property-owning subsidiary owned by a separate Series of limited liability interests, or “Series”, that Arrived Holdings, Inc. (the “Manager”) established. As a Delaware Series limited liability company, the debts, liabilities, obligations, and expenses incurred, contracted for or otherwise existing with respect to a particular Series are segregated and enforceable only against the assets of such Series, as provided under Delaware law.

 

The following lists represents each Arrived Homes 3, LLC’s Series and each Series’ wholly-owned limited liability company (“LLC”), which was used to acquire the Series’ single family rental property, along with the date the Series was formed and the date the Series’ LLC acquired the single family rental property.

 

Series Name  Name of the wholly-owned subsidiary
of the Series		  Date Formed  Acquisition Date
Arrived Series Adams, a series of Arrived Homes 5, LLC (Arrived Series Adams)  Arrived TN Adams, LLC  10/28/2024  11/12/2024
Arrived Series Antares, a series of Arrived Homes 5, LLC (Arrived Series Antares)  Arrived GA Antares, LLC  4/24/2023  5/5/2023
Arrived Series Aramis, a series of Arrived Homes 5, LLC (Arrived Series Aramis)  Arrived GA Aramis, LLC  4/27/2023  5/4/2023
Arrived Series Arkoma, a series of Arrived Homes 5, LLC (Arrived Series Arkoma)  Arrived AR Arkoma, LLC  4/6/2023  4/18/2023
Arrived Series Arya, a series of Arrived Homes 5, LLC (Arrived Series Arya)  Arrived AR Arya, LLC  9/27/2023  10/18/2023
Arrived Series Aspen, a series of Arrived Homes 5, LLC (Arrived Series Aspen)  Arrived GA Aspen, LLC  2/27/2023  3/16/2023
Arrived Series Athos, a series of Arrived Homes 5, LLC (Arrived Series Athos)  Arrived GA Athos, LLC  4/27/2023  5/9/2023
Arrived Series Barclay, a series of Arrived Homes 5, LLC (Arrived Series Barclay)  Arrived NC Barclay, LLC  4/17/2023  4/26/2023
Arrived Series Bayne, a series of Arrived Homes 5, LLC (Arrived Series Bayne)  Arrived TN Bayne, LLC  10/28/2024  11/20/2024
Arrived Series Bean, a series of Arrived Homes 5, LLC (Arrived Series Bean)  Arrived TN Bean, LLC  2/23/2023  9/13/2023
Arrived Series Bennett, a series of Arrived Homes 5, LLC (Arrived Series Bennett)  Arrived GA Bennett, LLC  2/27/2023  3/16/2023
Arrived Series Benny, a series of Arrived Homes 5, LLC (Arrived Series Benny)  Arrived OK Benny, LLC  2/22/2023  3/21/2023
Arrived Series Bluebell, a series of Arrived Homes 5, LLC (Arrived Series Bluebell)  Arrived KY Bluebell, LLC  4/6/2023  5/4/2023
Arrived Series Bowling, a series of Arrived Homes 5, LLC (Arrived Series Bowling)  Arrived Series Bowling, a series of Arrived Homes 3, LLC  12/7/2022  2/14/2023
Arrived Series Boxwood, a series of Arrived Homes 5, LLC (Arrived Series Boxwood)  Arrived MS Boxwood, LLC  10/28/2024  11/20/2024
Arrived Series Bradford, a series of Arrived Homes 5, LLC (Arrived Series Bradford)  Arrived NC Bradford, LLC  4/6/2023  4/25/2023
Arrived Series Brookwood, a series of Arrived Homes 5, LLC (Arrived Series Brookwood)  Arrived GA Brookwood, LLC  2/27/2023  3/9/2023

 

F-108

 

 

Arrived Series Bryant, a series of Arrived Homes 5, LLC (Arrived Series Bryant)  Arrived GA Bryant, LLC  3/21/2023  4/20/2023
Arrived Series Caden, a series of Arrived Homes 5, LLC (Arrived Series Caden)  Arrived Series Caden, a series of Arrived Homes 3, LLC  1/23/2023  2/21/2023
Arrived Series Camellia, a series of Arrived Homes 5, LLC (Arrived Series Camellia)  Arrived Series Camellia, a series of Arrived Homes 3, LLC  1/23/2023  2/14/2023
Arrived Series Caterpillar, a series of Arrived Homes 5, LLC (Arrived Series Caterpillar)  Arrived FL Caterpillar, LLC  4/21/2023  5/2/2023
Arrived Series Chilhowee, a series of Arrived Homes 5, LLC (Arrived Series Chilhowee)  Arrived TN Chilhowee, LLC  12/21/2022  1/21/2023
Arrived Series Claremore, a series of Arrived Homes 5, LLC (Arrived Series Claremore)  Arrived OK Claremore, LLC  2/17/2023  4/27/2023
Arrived Series Collinison, a series of Arrived Homes 5, LLC (Arrived Series Collinison)  Arrived TN Collinison, LLC  10/30/2023  11/15/2023
Arrived Series Cordero, a series of Arrived Homes 5, LLC (Arrived Series Cordero)  Arrived NM Cordero, LLC  1/24/2023  4/18/2023
Arrived Series Cristalino, a series of Arrived Homes 5, LLC (Arrived Series Cristalino)  Arrived NM Cristalino, LLC  12/21/2022  2/13/2023
Arrived Series Ellie, a series of Arrived Homes 5, LLC (Arrived Series Ellie)  Arrived TN Ellie, LLC  9/11/2023  9/13/2023
Arrived Series Emelina, a series of Arrived Homes 5, LLC (Arrived Series Emelina)  Arrived Series Emelina, a series of Arrived Homes 3, LLC  1/10/2023  2/8/2023
Arrived Series Ethan, a series of Arrived Homes 5, LLC (Arrived Series Ethan)  Arrived Series Ethan, a series of Arrived Homes 3, LLC  3/16/2023  4/27/2023
Arrived Series Frances, a series of Arrived Homes 5, LLC (Arrived Series Frances)  Arrived MS Frances, LLC  10/18/2023  12/6/2023
Arrived Series Glenncrest, a series of Arrived Homes 5, LLC (Arrived Series Glenncrest)  Arrived Series Glenncrest, a series of Arrived Homes 3, LLC  11/1/2023  11/15/2023
Arrived Series Gordon, a series of Arrived Homes 5, LLC (Arrived Series Gordon)  Arrived GA Gordon, LLC  3/21/2023  4/11/2023
Arrived Series Haikey, a series of Arrived Homes 5, LLC (Arrived Series Haikey)  Arrived OK Haikey, LLC  2/17/2023  5/17/2023
Arrived Series Hamblen, a series of Arrived Homes 5, LLC (Arrived Series Hamblen)  Arrived TN Hamblen, LLC  3/10/2023  3/30/2023
Arrived Series Hancock, a series of Arrived Homes 5, LLC (Arrived Series Hancock)  Arrived GA Hancock, LLC  3/28/2023  4/27/2023
Arrived Series Hardman, a series of Arrived Homes 5, LLC (Arrived Series Hardman)  Arrived TN Hardman, LLC  10/24/2023  11/2/2023
Arrived Series Haven, a series of Arrived Homes 5, LLC (Arrived Series Haven)  Arrived Series Haven, a series of Arrived Homes 3, LLC  11/30/2022  2/21/2023
Arrived Series Haverhill, a series of Arrived Homes 5, LLC (Arrived Series Haverhill)  Arrived GA Haverhill, LLC  2/27/2023  3/16/2023
Arrived Series Haybridge, a series of Arrived Homes 5, LLC (Arrived Series Haybridge)  Arrived NC Haybridge, LLC  9/28/2023  10/18/2023
Arrived Series Hedgecrest, a series of Arrived Homes 5, LLC (Arrived Series Hedgecrest)  Arrived NC Hedgecrest, LLC  9/28/2023  10/18/2023
Arrived Series Helmerich, a series of Arrived Homes 5, LLC (Arrived Series Helmerich)  Arrived OK Helmerich, LLC  2/17/2023  4/19/2023
Arrived Series Hermanos, a series of Arrived Homes 5, LLC (Arrived Series Hermanos)  Arrived NM Hermanos, LLC  12/22/2022  1/31/2023
Arrived Series Holmes, a series of Arrived Homes 5, LLC (Arrived Series Holmes)  Arrived AR Holmes, LLC  3/7/2023  3/29/2023
Arrived Series Johnson, a series of Arrived Homes 5, LLC (Arrived Series Johnson)  Arrived TN Johnson, LLC  6/20/2024  6/26/2024
Arrived Series Keystone, a series of Arrived Homes 5, LLC (Arrived Series Keystone)  Arrived TN Keystone, LLC  10/31/2023  12/6/2023
Arrived Series Langley, a series of Arrived Homes 5, LLC (Arrived Series Langley)  Arrived VA Langley, LLC  10/23/2024  11/6/2024
Arrived Series Laurel, a series of Arrived Homes 5, LLC (Arrived Series Laurel)  Arrived TN Laurel, LLC  1/19/2024  1/24/2024

 

F-109

 

 

Arrived Series Layla, a series of Arrived Homes 5, LLC (Arrived Series Layla)  Arrived TN Layla, LLC  10/23/2023  11/15/2023
Arrived Series Liberty, a series of Arrived Homes 5, LLC (Arrived Series Liberty)  Arrived GA Liberty, LLC  3/10/2023  4/25/2023
Arrived Series Lithonia, a series of Arrived Homes 5, LLC (Arrived Series Lithonia)  Arrived GA Lithonia, LLC  2/27/2023  3/16/2023
Arrived Series Lola, a series of Arrived Homes 5, LLC (Arrived Series Lola)  Arrived TN Lola, LLC  10/23/2023  11/15/2023
Arrived Series Lucas, a series of Arrived Homes 5, LLC (Arrived Series Lucas)  Arrived GA Lucas, LLC  3/21/2023  4/20/2023
Arrived Series Macomber, a series of Arrived Homes 5, LLC (Arrived Series Macomber)  Arrived GA Macomber, LLC  3/28/2023  5/2/2023
Arrived Series Mallard, a series of Arrived Homes 5, LLC (Arrived Series Mallard)  Arrived Series Mallard, a series of Arrived Homes 3, LLC  3/16/2023  4/28/2023
Arrived Series Marcy, a series of Arrived Homes 5, LLC (Arrived Series Marcy)  Arrived AR Marcy, LLC  9/27/2023  10/18/2023
Arrived Series Meridian, a series of Arrived Homes 5, LLC (Arrived Series Meridian)  Arrived Series Meridian, a series of Arrived Homes 3, LLC  3/28/2023  4/21/2023
Arrived Series Metallo, a series of Arrived Homes 5, LLC (Arrived Series Metallo)  Arrived AR Metallo, LLC  11/18/2024  12/4/2024
Arrived Series Misty, a series of Arrived Homes 5, LLC (Arrived Series Misty)  Arrived MO Misty, LLC  10/29/2024  11/13/2024
Arrived Series Montgomery, a series of Arrived Homes 5, LLC (Arrived Series Montgomery)  Arrived Series Montgomery, a series of Arrived Homes 3, LLC  2/28/2023  3/22/2023
Arrived Series Northbrook, a series of Arrived Homes 5, LLC (Arrived Series Northbrook)  Arrived MS Northbrook, LLC  10/18/2023  11/20/2023
Arrived Series Northridge, a series of Arrived Homes 5, LLC (Arrived Series Northridge)  Arrived KY Northridge, LLC  11/21/2023  12/13/2023
Arrived Series Oakland, a series of Arrived Homes 5, LLC (Arrived Series Oakland)  Arrived TN Oakland, LLC  10/19/2023  10/25/2023
Arrived Series Palmore, a series of Arrived Homes 5, LLC (Arrived Series Palmore)  Arrived Series Palmore, a series of Arrived Homes 3, LLC  1/26/2023  2/23/2023
Arrived Series Pebblestone, a series of Arrived Homes 5, LLC (Arrived Series Pebblestone)  Arrived TN Pebblestone, LLC  10/31/2023  12/6/2023
Arrived Series Perdita, a series of Arrived Homes 5, LLC (Arrived Series Perdita)  Arrived NC Perdita, LLC  4/17/2023  4/27/2023
Arrived Series Phoebe, a series of Arrived Homes 5, LLC (Arrived Series Phoebe)  Arrived TN Phoebe, LLC  12/13/2023  12/27/2023
Arrived Series Pongo, a series of Arrived Homes 5, LLC (Arrived Series Pongo)  Arrived NC Pongo, LLC  4/17/2023  4/27/2023
Arrived Series Portsmouth, a series of Arrived Homes 5, LLC (Arrived Series Portsmouth)  Arrived VA Portsmouth, LLC  3/2/2023  3/15/2023
Arrived Series Presidio, a series of Arrived Homes 5, LLC (Arrived Series Presidio)  Arrived IN Presidio, LLC  10/28/2024  11/13/2024
Arrived Series Rachel, a series of Arrived Homes 5, LLC (Arrived Series Rachel)  Arrived TN Rachel, LLC  11/1/2023  11/29/2023
Arrived Series Ratliff, a series of Arrived Homes 5, LLC (Arrived Series Ratliff)  Arrived TN Ratliff, LLC  10/19/2023  10/25/2023
Arrived Series Riverwood, a series of Arrived Homes 5, LLC (Arrived Series Riverwood)  Arrived GA Riverwood, LLC  3/21/2023  4/26/2023
Arrived Series Roanoke, a series of Arrived Homes 5, LLC (Arrived Series Roanoke)  Arrived VA Roanoke, LLC  4/28/2023  5/11/2023

 

F-110

 

 

Arrived Series Robinson, a series of Arrived Homes 5, LLC (Arrived Series Robinson)  Arrived MS Robinson, LLC  9/5/2024  10/9/2024
Arrived Series Ross, a series of Arrived Homes 5, LLC (Arrived Series Ross)  Arrived TN Ross, LLC  11/1/2023  11/29/2023
Arrived Series Sansa, a series of Arrived Homes 5, LLC (Arrived Series Sansa)  Arrived AR Sansa, LLC  9/27/2023  10/18/2023
Arrived Series Sedgefield, a series of Arrived Homes 5, LLC (Arrived Series Sedgefield)  Arrived NC Sedgefield, LLC  1/22/2024  1/31/2024
Arrived Series Seneca, a series of Arrived Homes 5, LLC (Arrived Series Seneca)  Arrived KY Seneca, LLC  8/23/2024  9/4/2024
Arrived Series Sheezy, a series of Arrived Homes 5, LLC (Arrived Series Sheezy)  Arrived TN Sheezy, LLC  11/30/2022  1/21/2023
Arrived Series Sherwood, a series of Arrived Homes 5, LLC (Arrived Series Sherwood)  Arrived AR Sherwood, LLC  3/28/2023  4/25/2023
Arrived Series Spangler, a series of Arrived Homes 5, LLC (Arrived Series Spangler)  Arrived KY Spangler, LLC  10/30/2024  11/20/2024
Arrived Series Summerglen, a series of Arrived Homes 5, LLC (Arrived Series Summerglen)  Arrived OK Summerglen, LLC  2/17/2023  3/29/2023
Arrived Series Tansel, a series of Arrived Homes 5, LLC (Arrived Series Tansel)  Arrived GA Tansel, LLC  4/18/2023  4/26/2023
Arrived Series Thomas, a series of Arrived Homes 5, LLC (Arrived Series Thomas)  Arrived GA Thomas, LLC  2/27/2023  3/16/2023
Arrived Series Tomlinson, a series of Arrived Homes 5, LLC (Arrived Series Tomlinson)  Arrived KY Tomlinson, LLC  10/30/2024  11/13/2024
Arrived Series Tytus, a series of Arrived Homes 5, LLC (Arrived Series Tytus)  Arrived OH Tytus, LLC  4/13/2023  4/27/2023
Arrived Series Vanzant, a series of Arrived Homes 5, LLC (Arrived Series Vanzant)  Arrived AR Vanzant, LLC  11/29/2023  12/6/2023
Arrived Series Watson, a series of Arrived Homes 5, LLC (Arrived Series Watson)  Arrived AR Watson, LLC  3/7/2023  3/29/2023
Arrived Series Westhaven, a series of Arrived Homes 5, LLC (Arrived Series Westhaven)  Arrived VA Westhaven, LLC  3/2/2023  3/31/2023
Arrived Series Wheeler, a series of Arrived Homes 5, LLC (Arrived Series Wheeler)  Arrived Series Wheeler, a series of Arrived Homes 3, LLC  3/6/2023  3/31/2023
Arrived Series Williamson, a series of Arrived Homes 5, LLC (Arrived Series Williamson)  Arrived VA Williamson, LLC  3/2/2023  5/8/2023
Arrived Series Woodland, a series of Arrived Homes 5, LLC (Arrived Series Woodland)  Arrived Series Woodland, a series of Arrived Homes 3, LLC  3/21/2023  4/19/2023
Arrived Series Woodwind, a series of Arrived Homes 5, LLC (Arrived Series Woodwind)  Arrived GA Woodwind, LLC  2/27/2023  3/9/2023
Arrived Series Wynde, a series of Arrived Homes 5, LLC (Arrived Series Wynde)  Arrived Series Wynde, a series of Arrived Homes 3, LLC  3/28/2023  4/26/2023
Arrived Series Wyndhurst, a series of Arrived Homes 5, LLC (Arrived Series Wyndhurst)  Arrived Series Wyndhurst, a series of Arrived Homes 3, LLC  11/17/2023  11/29/2023
Arrived Series Zane, a series of Arrived Homes 5, LLC (Arrived Series Zane)  Arrived Series Zane, a series of Arrived Homes 3, LLC  4/13/2023  5/5/2023

 

F-111

 

 

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Basis of Presentation

 

The accounting and reporting policies of the Company and Series conform to accounting principles generally accepted in the United States of America (GAAP). The Series has adopted a calendar year as its fiscal year.

 

The Company is an emerging growth company as the term is used in The Jumpstart Our Business Startups Act, enacted on April 5, 2012 and has elected to comply with certain reduced public company reporting requirements, however, the Company may adopt accounting standards based on the effective dates for public entities.

 

Principles of Consolidation

 

These consolidated and consolidating financial statements include the accounts of Arrived Homes 3, LLC (the “Company”) and each Series listed in Note 1 (collectively the “Series”). All inter-company transactions and balances have been eliminated on consolidation.

 

Use of Estimates

 

The preparation of the consolidated and consolidating financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the consolidated and consolidating financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ significantly from those estimates.

 

Deferred Offering Costs

 

The Company and Series complies with the requirements of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 340-10-S99-1 with regards to offering costs. Prior to the completion of an offering, offering costs are capitalized. The deferred offering costs are charged to members’ equity upon the completion of an offering or to expense if the offering is not completed. Offering costs include offering expense reimbursements and sourcing fees as noted below.

 

Per the operating agreement, the Manager is eligible to receive up to a maximum of 2% of the gross offering proceeds per the Series offering, as reimbursement for offering expenses including legal, accounting, escrow, underwriting, filing and compliance costs, as applicable, related to a specific offering.

 

Upon completion of an offering, the Series may also be required to pay the Manager sourcing fees as defined in the offering documents. The Manager is responsible for sourcing and analyzing the Series’ property.

 

Fair Value of Financial Instruments

 

FASB guidance specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect market assumptions. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3 measurement). The three levels of the fair value hierarchy are as follows:

 

Level 1 – Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 1 primarily consists of financial instruments whose value is based on quoted market prices such as exchange-traded instruments and listed equities.

 

Level 2 – Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly (e.g., quoted prices of similar assets or liabilities in active markets, or quoted prices for identical or similar assets or liabilities in markets that are not active).

 

Level 3 – Unobservable inputs for the asset or liability. Financial instruments are considered Level 3 when their fair values are determined using pricing models, discounted cash flows or similar techniques and at least one significant model assumption or input is unobservable.

 

The carrying amounts of the Company’s and Series’ financial instruments, such as cash, prepaid expenses, and other current liabilities approximate fair values due to the short-term nature of these instruments.

 

F-112

 

 

Management Fee

 

The Manager will receive from a series an annual asset management fee equal to six tenths of a percent (0.6%) of the purchase price of the series property for that series, paid out of the series’ net operating rental income on a quarterly basis. Additionally, pursuant to the operating agreement, the Manager will receive reimbursements for out-of-pocket expenses in connection with the Company’s organization and offerings (up to a maximum of 2% of the gross offering proceeds per series offering) and in connection with the Company’s operations and the acquisition of properties and in connection with third parties providing services to the Company. The Manager may also receive a portion of the property management fee, which will be equal to the difference between eight percent (8%) and the amount actually charged by the property manager when the series property is occupied, and the property disposition fee as described below. With respect to the operating accounts for each series that the manager maintains with a third-party bank, the manager will be entitled to receive any interest earned on the cash balances in such accounts. The Manager reserves the right to waive any fees or reimbursements it is due in its sole discretion.

 

Property Management Fee

 

The company will appoint an affiliate of the manager or a third-party property management company to serve as property manager to manage the property of each series pursuant to a property management agreement. The property manager for each Series is specified in the latest Offering Circular under “The Series Properties Being Offered.”

 


Property Disposition Fee

 

Upon the disposition and sale of the Series’ property, the Manager will charge the Series a market rate property disposition fee that will cover property sale expenses such as brokerage commissions, and title, escrow and closing costs. It is expected that the disposition fee charged to the Series will range from six to seven percent of the property sale price. To the extent that the actual property disposition fees are less than the amount charged to the Series, the Manager will receive the difference.

 

Prepaid and Accrued Expenses

 

Prepaid expenses consist of prepaid insurance. Accrued expenses include accrued property taxes, dividends, audit and tax fees, and interest payable on the Series’ bridge financing, related party or operational notes, related party.

 

Due From (To) Third-party Property Managers

 

Due from (to) third-party property managers are uncollateralized obligations due under normal trade terms generally requiring payment within 30 days from the approved prior month financial statements. Due from (to) property managers are presented net of receipts and expenses for the reported month. The Company uses a loss-rate approach based on historical loss information, adjusted for management’s expectations about current and future economic conditions, as the basis to determine expected cash receipts and distributions. Management exercises significant judgment in determining expected credit losses. Key inputs include macroeconomic factors, industry trends, and the creditworthiness of counterparties. Management believes that the composition of receivables at year-end is consistent with historical conditions as credit terms and practices and the property managers have not changed significantly.

 

F-113

 

 

The Company and Series determined it was not necessary to record an allowance for credit losses as of December 31, 2024 and 2023.

 

Property and Equipment

 

Property and equipment are stated at cost less accumulated depreciation. The Serie’s property and equipment includes the cost of the purchased property, including the building and related land. The Company allocates certain capitalized title fees and relevant acquisition expenses to the capitalized costs of the building. All capitalized property costs, except for the value attributable to the land, are depreciated using the straight-line method over the estimated useful life of 27.5 years. Additions and property improvements in excess of $5,000 are capitalized and depreciated using the straight-line method over the estimated useful lives of 5-7 years, while routine repairs and maintenance are charged to expense as incurred. At the time of retirement or other disposition of property and equipment, the cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is reflected in the statement of comprehensive income.

 

Impairment of Long-Lived Assets

 

The Company and Series continually monitors events and changes in circumstances that could indicate carrying amounts of long-lived assets may not be recoverable. When such events or changes in circumstances are present, the Series assesses the recoverability of long-lived assets by determining whether the carrying value of such assets will be recovered through undiscounted expected future cash flows. If the total of the future cash flows is less than the carrying amount of those assets, the Series recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or the fair value less costs to sell. The Series did not record any impairment losses on long-lived assets for the periods ended December 31,2024 and 2023.

 

Tenant Deposits

 

Tenant deposit liabilities represent security deposits received by tenant customers.

 

Operating Expenses

 

The Series is responsible for the costs and expenses attributable to the activities of the Series. The Manager will bear its own expenses of an ordinary nature. If the operating expenses exceed the amount of revenues generated from a Series property and cannot be covered by any operating expense reserves on the balance sheet of the Series, the Manager may (a) pay such operating expenses and not seek reimbursement, in which case the expenses would be recognized by the Series with a credit to contributed capital. (b) loan the amount of the operating expenses to the Series, on which the Manager and its affiliates may impose a reasonable rate of interest and be entitled to reimbursement of such amount from future revenues generated by Series’ property, and/or (c) cause additional interests to be issued in the Series in order to cover such additional amounts. 

 

Revenue Recognition

 

The Company adopted FASB ASC 606, Revenue from Contracts with Customers, and its related amendments, effective at inception using the modified retrospective transition approach applied to all contracts. There were no cumulative impacts that were made. The Company determines revenue recognition through the following steps:

 

  ● Identification of a contract with a customer;

 

  ● Identification of the performance obligations in the contract;

 

  ● Determination of the transaction price;

 

  ● Allocation of the transaction price to the performance obligations in the contract; and

 

  ● Recognition of revenue when or as the performance obligations are satisfied.

 

Revenue is recognized when control of the promised goods or services is transferred to customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. As a practical expedient, the Company does not adjust the transaction price for the effects of a significant financing component if, at contract inception, the period between customer payment and the transfer of goods or services is expected to be one year or less.

 

The Series operate rental properties and recognizes rental revenue on a monthly basis as it is earned. Revenue from leasing arrangements falls outside the scope of FASB ASC 606 and is accounted for under the provisions of FASB ASC 842.

 

Comprehensive Income (Loss)

 

The Company and Series follows FASB ASC 220 in reporting comprehensive income. Comprehensive income is a more inclusive financial reporting methodology that includes disclosure of certain financial information that historically has not been recognized in the calculation of net income. Since the Company has no items of other comprehensive income (loss), comprehensive income (loss) is equal to net income (loss).

 

F-114

 

 

Organizational Costs

 

In accordance with FASB ASC 720, Organizational Costs, including accounting fees, legal fees, and costs of incorporation, are expensed as incurred.

 

Income Taxes

 

The Company and Series follows FASB ASC 740 when accounting for income taxes, which requires an asset and liability approach to financial accounting and reporting for income taxes.  Deferred income tax assets and liabilities are computed annually for temporary differences between the financial statements and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income.  Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized.  Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities. 

 

Each Series is organized as an LLC for legal purposes and makes a subsequent election with the IRS to be treated as a C corporation for tax purposes, pursuant to subchapter C or the Internal Revenue Code.

 

Furthermore, each Series complies with the requirements to be a Real Estate Investment Trust (“REIT”), a special type of C corporation that files tax form 1120-REIT.  A REIT may not be required to pay income tax at the corporate level because this form of corporation is permitted to deduct dividends paid to members’ as an expense.  Therefore, if a REIT paid out all profit and capital gains to its members it could potentially report no taxable income.  Tax losses of REITs are not allocated directly to members but, under current law, losses may be accumulated and carried forward indefinitely and be used to offset up to 80% of taxable income in any future year, thereby reducing the reported taxable income of the REIT.

 

Most states give REIT’s a deduction for dividends paid.  Since our series generally pay dividends in excess of the taxable income generated, there would be no state tax liability in these states.  In states that do not give a deduction for dividends paid, there may be a state income tax due that is assessed based on the tax table for that particular state.    There is no state tax liability for members based on the locations of properties held in the REIT’s.  The rules for state tax loss carryforwards vary by state as some conform to the Federal rules while others have restrictions on timeframes and/or the percentage of loss that can be carried forward.

 

Recently Issued and not yet adopted and adopted accounting pronouncements

 

In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments, as modified by FASB ASU No. 2019-10 and other subsequently issued related ASUs. The amendments in this Update affect loans, debt securities, trade receivables, and any other financial assets that have the contractual right to receive cash. The ASU requires an entity to recognize expected credit losses rather than incurred losses for financial assets. The amendments in this Update are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company adopted this new guidance upon inception utilizing the modified retrospective transition method. The adoption of this standard did not have a material impact on the Company’s consolidated and consolidating financial statements, but did change how the allowance for credit losses is determined.

 

Management does not believe that any other recently issued, but not yet effective, accounting standards could have a material effect on the accompanying consolidated and consolidating financial statements. As new accounting pronouncements are issued, the Company will adopt those that are applicable under the circumstances.

 

NOTE 3: GOING CONCERN

 

The accompanying consolidated and consolidating financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Company and Series has a lack of liquidity. This factor, among others, raise substantial doubt about the ability of the Company and Series to continue as a going concern for a reasonable period of time. The Company and Series’ ability to continue as a going concern in the next twelve months from the date of this Annual Report is dependent upon their ability to continue to generate cash flow from their rental properties and/or obtain financing from the Manager. However, there are no assurances that the Company and Series can continue to generate cash flow from their rental properties or that the Manager will always be in the position to provide funding when needed. The consolidated and consolidating financial statements do not include any adjustments relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should the Company and Series be unable to continue as a going concern.

 

F-115

 

 

NOTE 4: PROPERTY AND EQUIPMENT

 

Property and equipment, net as of December 31, 2024 and 2023 consists of the following:

 

December 31, 2024 
Series  Building   Land   Property Improvements   Total   Less:  Accumulated Depreciation   Property and equipment, net 
Adams  $230,829   $76,000   $-   $306,829   $-   $306,829 
Antares   234,124    78,041    -    312,165    (12,770)   299,395 
Aramis   226,769    75,590    -    302,358    (12,369)   289,989 
Arkoma   178,459    59,486    -    237,946    (10,275)   227,671 
Arya   135,657    45,219    -    180,876    (5,344)   175,531 
Aspen   202,343    67,448    -    269,791    (12,263)   257,527 
Athos   219,648    73,216    5,840    298,704    (13,343)   285,361 
Barclay   231,439    77,146    -    308,585    (13,325)   295,259 
Bayne   264,381    86,906    -    351,287    -    351,287 
Bean   221,579    73,860    -    295,438    (9,400)   286,038 
Bennett   160,052    53,351    -    213,402    (9,700)   203,702 
Benny   192,665    64,222    -    256,887    (11,677)   245,210 
Bluebell   225,920    75,307    -    301,226    (12,323)   288,903 
Bowling   157,406    52,469    -    209,875    (10,017)   199,858 
Boxwood   243,102    81,248    -    324,350    -    324,350 
Bradford   229,997    76,666    -    306,663    (13,238)   293,425 
Brookwood   211,955    70,652    -    282,607    (12,846)   269,761 
Bryant   211,467    70,489    5,470    287,426    (13,816)   273,609 
Caden   189,056    63,019    -    252,075    (12,031)   240,044 
Camellia   192,475    64,158    13,114    269,747    (16,037)   253,710 
Caterpillar   226,811    75,604    -    302,414    (12,371)   290,043 
Chilhowee   245,882    80,960    -    326,842    (17,137)   309,705 
Claremore   177,773    59,258    -    237,030    (10,235)   226,795 
Collinison   228,338    75,250    -    303,588    (8,303)   295,285 
Cordero   190,960    63,653    21,346    275,959    (12,288)   263,670 
Cristalino   232,382    77,461    -    309,843    (14,788)   295,055 
Ellie   217,159    72,386    -    289,546    (9,213)   280,333 
Emelina   188,311    62,770    6,975    258,056    (14,308)   243,748 
Ethan   146,204    48,735    14,886    209,824    (10,895)   198,929 
Frances   211,050    69,498    -    280,547    (7,035)   273,512 
Glenncrest   219,509    72,500    -    292,009    (7,982)   284,027 
Gordon   193,167    64,389    -    257,556    (11,122)   246,434 
Haikey   185,216    61,739    -    246,955    (10,103)   236,852 
Hamblen   193,966    64,655    -    258,621    (11,755)   246,865 
Hancock   204,015    68,005    5,175    277,195    (13,299)   263,896 
Hardman   292,918    97,639    -    390,558    (10,652)   379,906 
Haven   140,196    46,732    -    186,928    (8,922)   178,006 
Haverhill   177,351    59,117    -    236,468    (10,749)   225,720 
Haybridge   271,195    90,398    -    361,593    (10,683)   350,910 
Hedgecrest   271,195    90,398    -    361,593    (10,683)   350,910 
Helmerich   190,433    63,478    -    253,910    (10,964)   242,946 
Hermanos   232,856    77,619    16,803    327,278    (20,950)   306,328 
Holmes   133,058    44,353    -    177,411    (8,064)   169,346 
Johnson   248,064    81,518    -    329,582    (3,759)   325,823 
Keystone   263,140    86,695    -    349,835    (8,771)   341,063 
Langley   250,762    83,750    -    334,512    -    334,512 
Laurel   254,681    83,811    -    338,492    (7,718)   330,775 
Layla   244,911    81,637    -    326,548    (8,906)   317,642 
Liberty   189,606    63,202    20,979    273,787    (14,581)   259,206 
Lithonia   213,879    71,293    10,745    295,917    (14,574)   281,343 
Lola   227,929    75,976    -    303,905    (8,288)   295,617 
Lucas   192,650    64,217    5,675    262,542    (12,227)   250,315 

 

F-116

 

 

Macomber   207,833    69,278    5,068    282,178    (12,772)   269,405 
Mallard   157,399    52,466    -    209,866    (9,062)   200,803 
Marcy   135,657    45,219    -    180,876    (5,344)   175,531 
Meridian   199,873    66,624    8,575    275,072    (12,937)   262,135 
Metallo   220,432    74,750    -    295,182    -    295,182 
Misty   259,742    86,250    -    345,992    -    345,992 
Montgomery   154,790    51,597    13,590    219,977    (11,193)   208,784 
Northbrook   212,953    70,984    -    283,937    (7,744)   276,193 
Northridge   194,437    67,475    -    261,912    (6,481)   255,431 
Oakland   232,207    77,402    -    309,609    (9,148)   300,462 
Palmore   151,605    50,535    6,990    209,131    (11,279)   197,852 
Pebblestone   255,302    84,106    -    339,409    (8,510)   330,898 
Perdita   250,821    83,607    -    334,428    (14,441)   319,987 
Phoebe   210,002    69,026    -    279,028    (7,000)   272,028 
Pongo   250,821    83,607    -    334,428    (14,441)   319,987 
Portsmouth   161,270    53,757    -    215,026    (9,774)   205,252 
Presidio   180,825    60,500    -    241,325    -    241,325 
Rachel   218,441    72,814    -    291,255    (7,943)   283,311 
Ratliff   241,684    80,561    -    322,245    (9,521)   312,724 
Riverwood   217,223    72,408    10,721    300,352    (15,361)   284,990 
Roanoke   253,193    84,398    -    337,591    (13,811)   323,781 
Robinson   242,512    80,998    -    323,510    (735)   322,775 
Ross   252,016    84,005    -    336,021    (9,164)   326,857 
Sansa   135,657    45,219    -    180,876    (5,344)   175,531 
Sedgefield   220,746    75,725    -    296,471    (6,020)   290,451 
Seneca   223,146    73,725    -    296,871    (1,352)   295,518 
Sheezy   176,837    58,250    -    235,087    (12,325)   222,762 
Sherwood   131,898    43,966    -    175,864    (7,594)   168,270 
Spangler   288,280    95,500    6,308    390,088    -    390,088 
Summerglen   183,172    61,057    -    244,229    (11,101)   233,128 
Tansel   246,162    82,054    -    328,216    (14,173)   314,043 
Thomas   165,820    55,273    -    221,093    (10,050)   211,043 
Tomlinson   183,250    61,250    -    244,500    -    244,500 
Tytus   196,851    65,617    -    262,468    (11,334)   251,134 
Vanzant   267,416    88,750    -    356,166    (8,914)   347,252 
Watson   133,058    44,353    -    177,411    (8,064)   169,346 
Westhaven   192,956    64,319    -    257,274    (11,694)   245,580 
Wheeler   157,535    52,512    -    210,047    (9,548)   200,499 
Williamson   216,704    72,235    -    288,939    (11,820)   277,119 
Woodland   121,075    40,358    7,252    168,685    (9,147)   159,538 
Woodwind   192,730    64,243    -    256,974    (11,681)   245,293 
Wynde   188,783    62,928    5,914    257,624    (12,348)   245,276 
Wyndhurst   234,133    78,044    -    312,177    (8,514)   303,663 
Zane   123,239    41,080    -    164,319    (6,722)   157,597 
   $19,855,368   $6,612,008   $191,426   $26,658,802   $(916,508)  $25,742,294 

 

F-117

 

 

December 31, 2023
Series  Building   Land   Property Improvements   Total   Less:  Accumulated Depreciation   Property and equipment, net 
Antares  $234,124   $78,041   $-   $312,165   $(4,257)  $307,908 
Aramis   226,769    75,590    -    302,358    (4,123)   298,235 
Arkoma   178,459    59,486    -    237,946    (3,786)   234,160 
Arya   135,657    45,219    -    180,876    (411)   180,464 
Aspen   202,343    67,448    -    269,791    (4,905)   264,885 
Athos   219,648    73,216    5,840    298,704    (4,188)   294,516 
Barclay   231,439    77,146    -    308,585    (4,909)   303,675 
Bean   221,579    73,860    -    295,438    (1,343)   294,095 
Bennett   160,052    53,351    -    213,402    (3,880)   209,522 
Benny   192,665    64,222    -    256,887    (4,671)   252,216 
Bluebell   225,920    75,307    -    301,226    (4,108)   297,119 
Bowling   157,406    52,469    -    209,875    (4,293)   205,582 
Bradford   229,997    76,666    -    306,663    (4,877)   301,785 
Brookwood   211,955    70,652    -    282,607    (5,138)   277,469 
Bryant   211,467    70,489    5,470    287,426    (5,033)   282,393 
Caden   189,056    63,019    -    252,075    (5,156)   246,919 
Camellia   192,475    64,158    13,114    269,747    (6,415)   263,332 
Caterpillar   226,811    75,604    -    302,414    (4,124)   298,290 
Chilhowee   245,882    80,960    -    326,842    (8,196)   318,646 
Claremore   177,773    59,258    -    237,030    (3,771)   233,259 
Collinison   228,338    75,250    -    303,588    -    303,588 
Cordero   190,960    63,653    21,346    275,959    (4,568)   271,391 
Cristalino   232,382    77,461    -    309,843    (6,338)   303,505 
Ellie   217,159    72,386    -    289,546    (1,316)   288,230 
Emelina   188,311    62,770    6,975    258,056    (6,066)   251,990 
Ethan   146,204    48,735    6,186    201,124    (3,617)   197,507 
Frances   211,050    69,498    -    280,547    -    280,547 
Glenncrest   219,509    72,500    -    292,009    -    292,009 
Gordon   193,167    64,389    -    257,556    (4,098)   253,459 
Haikey   185,216    61,739    -    246,955    (3,368)   243,587 
Hamblen   193,966    64,655    -    258,621    (4,702)   253,919 
Hancock   204,015    68,005    5,175    277,195    (4,845)   272,350 
Hardman   292,918    97,639    -    390,558    -    390,558 
Haven   140,196    46,732    -    186,928    (3,824)   183,104 
Haverhill   177,351    59,117    -    236,468    (4,299)   232,169 
Haybridge   271,195    90,398    -    361,593    (822)   360,771 
Hedgecrest   271,195    90,398    -    361,593    (822)   360,771 
Helmerich   190,433    63,478    -    253,910    (4,039)   249,871 
Hermanos   232,856    77,619    16,803    327,278    (9,122)   318,156 
Holmes   133,058    44,353    -    177,411    (3,226)   174,185 
Keystone   263,140    86,695    -    349,835    -    349,835 
Layla   244,911    81,637    -    326,548    -    326,548 
Liberty   189,606    63,202    7,230    260,038    (4,865)   255,173 
Lithonia   213,879    71,293    -    285,172    (5,185)   279,987 
Lola   227,929    75,976    -    303,905    -    303,905 
Lucas   192,650    64,217    5,675    262,542    (4,087)   258,455 

 

F-118

 

 

Macomber   207,833    69,278    5,068    282,178    (4,201)   277,976 
Mallard   157,399    52,466    -    209,866    (3,339)   206,527 
Marcy   135,657    45,219    -    180,876    (411)   180,464 
Meridian   199,873    66,624    -    266,497    (4,240)   262,257 
Montgomery   154,790    51,597    -    206,387    (3,752)   202,635 
Northbrook   212,953    70,984    -    283,937    -    283,937 
Northridge   194,437    67,475    -    261,912    -    261,912 
Oakland   232,207    77,402    -    309,609    (704)   308,906 
Palmore   151,605    50,535    6,990    209,131    (4,368)   204,763 
Pebblestone   255,302    84,106    -    339,409    -    339,409 
Perdita   250,821    83,607    -    334,428    (5,320)   329,108 
Phoebe   210,002    69,026    -    279,028    -    279,028 
Pongo   250,821    83,607    -    334,428    (5,320)   329,108 
Portsmouth   161,270    53,757    -    215,026    (3,910)   211,116 
Rachel   218,441    72,814    -    291,255    -    291,255 
Ratliff   241,684    80,561    -    322,245    (732)   321,513 
Riverwood   217,223    72,408    10,721    300,352    (5,321)   295,031 
Roanoke   253,193    84,398    -    337,591    (4,604)   332,988 
Ross   252,016    84,005    -    336,021    -    336,021 
Sansa   135,657    45,219    -    180,876    (411)   180,464 
Sheezy   176,837    58,250    -    235,087    (5,895)   229,192 
Sherwood   131,898    43,966    -    175,864    (2,798)   173,066 
Summerglen   183,172    61,057    -    244,229    (4,441)   239,788 
Tansel   246,162    82,054    -    328,216    (5,222)   322,994 
Thomas   165,820    55,273    -    221,093    (4,020)   217,073 
Tytus   196,851    65,617    -    262,468    (4,176)   258,292 
Vanzant   267,416    88,750    -    356,166    -    356,166 
Watson   133,058    44,353    -    177,411    (3,226)   174,185 
Westhaven   192,956    64,319    -    257,274    (4,678)   252,596 
Wheeler   157,535    52,512    -    210,047    (3,819)   206,227 
Williamson   216,704    72,235    -    288,939    (3,940)   284,999 
Woodland   121,075    40,358    7,252    168,685    (3,293)   165,392 
Woodwind   192,730    64,243    -    256,974    (4,672)   252,302 
Wynde   188,783    62,928    5,914    257,624    (4,300)   253,323 
Wyndhurst   234,133    78,044    -    312,177    -    312,177 
Zane   123,239    41,080    -    164,319    (2,241)   162,078 
   $16,544,616   $5,510,078   $129,758   $22,184,452   $(270,143)  $21,914,309 

 

F-119

 

 

For the periods ended December 31, 2024 and 2023, depreciation expense was $646,366 and $ 270,143.

 

NOTE 5: BRIDGE FINANCING, RELATED PARTY

 

The Series have obtained bridge financing from Arrived Short Term Notes, LLC, an affiliate of our Manager. There were no outstanding bridge financing, related party balances as of December 31, 2023. The following is a summary of the bridge financing by each Series as of December 31, 2024:

 

Series  Lender  Bridge
Financing		   Interest Rate   Term
Arrived TN Adams, LLC  Arrived Short Term Notes, LLC  $288,000    7.50%  18 Months
Arrived TN Bayne, LLC  Arrived Short Term Notes, LLC   328,683    7.50%  18 Months
Arrived MS Boxwood, LLC  Arrived Short Term Notes, LLC   308,000    7.50%  18 Months
Arrived VA Langley, LLC  Arrived Short Term Notes, LLC   318,000    7.50%  18 Months
Arrived AR Metallo, LLC  Arrived Short Term Notes, LLC   284,000    7.50%  18 Months
Arrived IN Presidio, LLC  Arrived Short Term Notes, LLC   229,000    7.50%  18 Months
Arrived KY Spangler, LLC  Arrived Short Term Notes, LLC   362,000    7.50%  18 Months
Arrived KY Tomlinson, LLC  Arrived Short Term Notes, LLC   232,000    7.50%  18 Months
      $2,349,683         

 

Bridge financing, related party are secured by each Series’ property and are interest only with all of the accrued interest due on the maturity date or repayment date. As of December 31, 2024, all of the bridge financing mature in more than one year and thus are reflected as non-current liabilities on the consolidated and consolidating balance sheets. Interest expense associated with the bridge financing, related party for the periods ended December 31, 2024 and 2023 was $71,802 and $15,672, respectively.

 

F-120

 

 

NOTE 5: OPERATIONAL NOTES, RELATED PARTY

 

As of December 31, 2024, several Series obtained operational notes from a related party, Arrived Short Term Notes, LLC, in an aggregate amount of $78,300. These notes have a term of 18 months and bear interest at a rate of 7.5% per annum. The operational notes do not have any prepayment penalties. The proceeds were used for property improvements and other operating needs. Interest expense associated with these notes for the periods ended December 31, 2024 and 2023 was $313 and $0, respectively.

 

NOTE 6: MEMBERS’ EQUITY (DEFICIT)

 

Each Series is managed by Arrived Holdings, Inc., a Delaware corporation and managing member of the Company (the “Manager”). Pursuant to the terms of the operating agreement, the Manager will provide certain management and advisory services, as well as management team and appropriate support personnel to the Series.

 

The Manager will be responsible for directing the management of Series’ business and affairs, managing the day-to-day affairs, and implementing the Series’ investment strategy. The Manager has a unilateral ability to amend the operating agreement and the allocation policy in certain circumstances without the consent of the investors. The investors only have limited voting rights with respect to the Series.

 

The Manager has sole discretion in determining what distributions, if any, are made to interest holders except as otherwise limited by law or the operating agreement. The Series expects the Manager to make distributions on a quarterly basis. However, the Manager may change the timing of distributions or determine that no distributions shall be made, in its sole discretion.

  

F-121

 

 

Membership Interests

 

During the periods ended December 31, 2024 and 2023, the Series closed on its public offerings for the net proceeds of $5,071,976 and $21,056,436, respectively. The following table below outlines details of the offerings by each Series:

 

December 31, 2024 
Series  # of Units Issued   Net proceeds from the issuance of membership units   Offering brokerage fee (1%)   Offering expense (2%)   Shares redeemed   Redemptions 
Adams   -   $-   $-   $-   $-   $- 
Antares   -    -    -    -    -    - 
Aramis   -    650    -    (10)   -    - 
Arkoma   -    -    -    -    -    - 
Arya   -    -    -    -    -    - 
Aspen   -    -    -    -    (10)   (100)
Athos   -    762    -    (12)   -    - 
Barclay   -    289    -    11    -    - 
Bayne   -    -    -    -    -    - 
Bean   -    -    -    -    -    - 
Bennett   -    -    -    -    -    - 
Benny   -    -    -    -    (30)   (300)
Bluebell   -    -    -    -    -    - 
Bowling   -    -    -    -    -    - 
Boxwood   -    -    -    -    -    - 
Bradford   -    -    -    -    -    - 
Brookwood   -    -    -    -    (30)   (300)
Bryant   -    -    -    -    (30)   (300)
Caden   -    -    -    -    -    - 
Camellia   -    -    -    -    -    - 
Caterpillar   -    -    -    -    -    - 
Chilhowee   -    -    -    -    -    - 
Claremore   -    -    -    -    (30)   (300)
Collinison   -    -    -    -    -    - 
Cordero   -    -    -    -    -    - 
Cristalino   -    -    -    -    (10)   (100)
Ellie   -    -    -    -    -    - 
Emelina   -    -    -    -    -    - 
Ethan   -    -    -    -    -    - 
Frances   32,873    304,290    3,277    6,583    -    - 
Glenncrest   33,609    310,787    3,361    6,722    -    - 
Gordon   -    -    -    -    -    - 
Haikey   -    -    -    -    -    - 
Hamblen   -    -    -    -    (30)   (300)
Hancock   -    -    -    -    (80)   (800)
Hardman   -    -    -    -    -    - 

 

F-122

 

 

Haven   -    -    -    -    -    - 
Haverhill   -    -    -    -    -    - 
Haybridge   -    -    -    -    -    - 
Hedgecrest   -    -    -    -    -    - 
Helmerich   -    -    -    -    -    - 
Hermanos   -    -    -    -    -    - 
Holmes   -    -    -    -    -    - 
Johnson   38,841    359,646    3,884    7,770    -    - 
Keystone   -    -    -    -    -    - 
Langley   -    -    -    -    -    - 
Laurel   39,382    364,407    3,941    7,882    -    - 
Layla   -    -    -    -    -    - 
Liberty   -    658    -    (8)   -    - 
Lithonia   -    -    -    -    (30)   (300)
Lola   -    -    -    -    -    - 
Lucas   -    -    -    -    -    - 
Macomber   -    -    -    -    -    - 
Mallard   -    549    -    1    -    - 
Marcy   -    -    -    -    -    - 
Meridian   -    -    -    -    -    - 
Metallo   -    -    -    -    -    - 
Misty   40,764    377,301    4,076    8,163    -    - 
Montgomery   -    -    -    -    -    - 
Northbrook   -    -    -    -    -    - 
Northridge   31,955    295,804    3,196    6,391    -    - 
Oakland   36,033    333,402    3,603    7,215    -    - 
Palmore   -    -    -    -    -    - 
Pebblestone   -    -    -    -    -    - 
Perdita   -    -    -    -    -    - 
Phoebe   32,691    302,613    3,269    6,538    -    - 
Pongo   -    -    -    -    -    - 
Portsmouth   -    -    -    -    (30)   (300)
Presidio   -    -    -    -    -    - 
Rachel   34,162    316,212    3,416    6,842    -    - 
Ratliff   -    -    -    -    -    - 
Riverwood   -    864    -    (14)   -    - 
Roanoke   -    671    -    (11)   -    - 
Robinson   38,515    356,598    3,852    7,711    -    - 
Ross   39,374    364,451    3,937    7,882    -    - 
Sansa   -    -    -    -    -    - 
Sedgefield   36,080    334,076    3,608    7,216    -    - 
Seneca   35,197    325,931    3,520    7,039    -    - 
Sheezy   -    -    -    -    -    - 
Sherwood   -    -    -    -    -    - 
Spangler   -    -    -    -    -    - 
Summerglen   -    -    -    -    -    - 
Tansel   -    -    -    -    -    - 
Thomas   -    -    -    -    -    - 
Tomlinson   -    -    -    -    -    - 
Tytus   -    699    -    (9)   -    - 
Vanzant   41,585    384,745    4,159    8,317    -    - 
Watson   -    -    -    -    (30)   (300)
Westhaven   -    -    -    -    (30)   (300)
Wheeler   -    -    -    -    -    - 
Williamson   -    465    -    (5)   -    - 
Woodland   -    -    -    -    -    - 
Woodwind   -    -    -    -    -    - 
Wynde   -    -    -    -    -    - 
Wyndhurst   36,716    339,809    3,672    7,349    -    - 
Zane   -    -    -    -    -    - 
    547,777   $5,075,676   $54,770   $109,563    (370)  $(3,700)

 

F-123

 

 

December 31, 2023  
Series  # of Units Issued   Net proceeds from the issuance of membership units   Offering brokerage fee (1%)   Offering expense (2%) 
Antares   36,602   $338,767   $3,660   $7,323 
Aramis   35,272    325,737    3,527    7,066 
Arkoma   28,344    262,196    2,834    5,670 
Arya   21,993    203,882    2,199    4,399 
Aspen   31,483    290,592    3,149    6,299 
Athos   34,352    317,232    3,435    6,883 
Barclay   36,361    336,299    3,636    7,265 
Bean   34,106    315,457    3,411    6,832 
Bennett   25,108    231,957    2,511    5,022 
Benny   30,467    281,819    3,052    6,119 
Bluebell   35,507    328,666    3,551    7,103 
Bowling   24,349    224,923    2,435    4,872 
Bradford   36,134    334,496    3,613    7,231 
Brookwood   32,866    303,880    3,290    6,580 
Bryant   32,931    304,351    3,298    6,611 
Caden   29,379    271,534    2,942    5,884 
Camellia   30,809    284,971    3,083    6,166 
Caterpillar   35,738    330,900    3,574    7,156 
Chilhowee   37,653    347,392    3,765    7,533 
Claremore   27,799    257,198    2,783    5,569 
Collinison   35,607    329,596    3,561    7,123 
Cordero   33,155    307,098    3,318    6,635 
Cristalino   36,203    334,132    3,629    7,259 
Ellie   33,474    309,658    3,347    6,695 
Emelina   29,047    268,340    2,909    5,821 
Ethan   23,365    216,125    2,339    4,677 
Frances   -    -    -    - 
Glenncrest   -    -    -    - 
Gordon   30,443    281,165    3,044    6,091 
Haikey   28,951    267,474    2,897    5,799 
Hamblen   30,625    283,164    3,068    6,139 
Hancock   31,987    296,090    3,209    6,431 
Hardman   44,735    413,590    4,474    8,947 

 

F-124

 

 

Haven   21,753    200,903    2,175    4,352 
Haverhill   27,716    255,945    2,772    5,543 
Haybridge   42,241    390,838    4,224    8,448 
Hedgecrest   42,241    390,838    4,224    8,448 
Helmerich   30,032    277,529    3,003    6,018 
Hermanos   36,296    334,936    3,635    7,279 
Holmes   21,217    196,322    2,128    4,260 
Keystone   40,297    372,691    4,030    8,059 
Layla   38,293    354,460    3,829    7,661 
Liberty   29,816    275,433    2,982    5,975 
Lithonia   33,143    306,290    3,319    6,641 
Lola   35,610    329,623    3,561    7,126 
Lucas   30,209    279,063    3,021    6,046 
Macomber   32,715    302,176    3,272    6,543 
Mallard   25,109    232,088    2,511    5,021 
Marcy   21,995    203,902    2,200    4,399 
Meridian   31,551    291,625    3,155    6,310 
Montgomery   24,704    228,273    2,474    4,953 
Northbrook   33,357    308,771    3,336    6,673 
Northridge   -    -    -    - 
Oakland   -    -    -    - 
Palmore   24,173    223,658    2,417    4,835 
Pebblestone   39,117    361,784    3,912    7,824 
Perdita   39,218    362,584    3,922    7,844 
Phoebe   -    -    -    - 
Pongo   39,188    362,287    3,919    7,844 
Portsmouth   25,822    238,923    2,585    5,172 
Rachel   -    -    -    - 
Ratliff   37,654    348,489    3,765    7,536 
Riverwood   35,112    324,593    3,511    7,046 
Roanoke   39,665    366,492    3,967    7,952 
Ross   -    -    -    - 
Sansa   21,995    203,902    2,200    4,399 
Sheezy   27,235    251,518    2,724    5,459 
Sherwood   21,451    198,895    2,145    4,290 
Summerglen   28,678    264,954    2,868    5,738 
Tansel   38,471    356,037    3,847    7,696 
Thomas   25,863    238,767    2,586    5,197 
Tytus   30,758    284,003    3,076    6,161 
Vanzant   -    -    -    - 
Watson   21,247    196,922    2,128    4,260 
Westhaven   30,342    280,637    3,037    6,086 
Wheeler   25,037    231,529    2,504    5,017 
Williamson   33,603    310,534    3,360    6,726 
Woodland   19,529    180,681    1,953    3,906 
Woodwind   30,007    277,268    3,001    6,001 
Wynde   29,828    275,551    2,986    5,973 
Wyndhurst   -    -    -    - 
Zane   20,062    186,045    2,006    4,019 
    2,277,195   $21,056,436   $227,809   $455,936 

 

F-125

 

 

In connection with the public offering, each Series incurred brokerage fees of 1% of gross proceeds, which is paid directly to the broker as a deduction from gross proceeds. In accordance with the operating agreement, the Manager received the following reimbursements, deducted from the gross proceeds of the offering. During the periods ended December 31, 2024 and 2023, the following reimbursements and fees to Manager:

 

●Out-of-pocket expenses: up to 2% of gross proceeds ($194,989) and ($455,936), respectively.

 

●Sourcing fees: up to 3.5% of gross proceeds ($287,530) and ($671,620), respectively.

 

●Financing and holding expenses: up to 2.5% of gross proceeds ($143,700) and ($363,850), respectively.

 

Distributions

 

During the periods ended December 31, 2024 and 2023, distributions to investors were made by 87 and 58 Series, respectively, totaling $1,182,761 and $360,941, which were recognized as a reduction of members’ capital.

 

The following table reflects the total 2024 and 2023 dividend distributions by Series:

 

Series  2024 Distributions   2023 Distributions 
Adams  $-   $- 
Antares   15,739    3,660 
Aramis   15,551    - 
Arkoma   14,682    3,118 
Arya   8,841    - 
Aspen   10,135    4,094 
Athos   13,706    3,779 
Barclay   18,107    3,636 
Bayne   -    - 
Bean   17,871    - 
Bennett   14,261    8,788 
Benny   13,472    9,151 
Bluebell   17,824    3,906 
Bowling   12,174    8,035 
Boxwood   -    - 
Bradford   17,127    3,252 
Brookwood   14,429    10,527 
Bryant   14,852    7,251 
Caden   5,962    9,112 
Camellia   14,912    10,785 
Caterpillar   11,401    2,859 
Chilhowee   14,836    13,555 
Claremore   8,373    5,844 
Collinison   13,954    - 
Cordero   18,036    8,289 
Cristalino   8,182    4,355 
Ellie   8,302    - 
Emelina   11,154    9,009 
Ethan   7,310    4,673 
Frances   18,377    - 
Glenncrest   10,856    - 
Gordon   16,165    3,349 
Haikey   14,591    6,080 
Hamblen   18,136    10,731 
Hancock   13,859    6,734 
Hardman   20,252    - 
Haven   6,156    7,396 
Haverhill   9,784    5,543 
Haybridge   13,771    - 
Hedgecrest   12,673    - 
Helmerich   15,632    6,307 
Hermanos   3,847    11,257 
Holmes   12,836    7,644 
Johnson   9,060    - 
Keystone   19,661    - 
Langley   -    - 

 

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Laurel   12,796    - 
Layla   20,022    - 
Liberty   8,885    3,578 
Lithonia   11,667    9,954 
Lola   18,054    - 
Lucas   16,041    3,927 
Macomber   15,114    3,599 
Mallard   15,492    3,515 
Marcy   12,048    - 
Meridian   15,239    3,471 
Metallo   -    - 
Misty   -    - 
Montgomery   5,904    2,969 
Northbrook   12,872    - 
Northridge   12,586    - 
Oakland   11,779    - 
Palmore   10,149    7,735 
Pebblestone   19,593    - 
Perdita   17,178    3,530 
Phoebe   10,690    - 
Pongo   18,418    3,919 
Portsmouth   14,436    9,307 
Presidio   -    - 
Rachel   14,519    - 
Ratliff   17,848    - 
Riverwood   15,414    3,511 
Roanoke   21,419    4,760 
Robinson   1,579    - 
Ross   20,947    - 
Sansa   12,411    2,419 
Sedgefield   9,092    - 
Seneca   2,992    - 
Sheezy   16,151    10,894 
Sherwood   11,648    2,360 
Spangler   -    - 
Summerglen   15,228    10,037 
Tansel   17,966    4,232 
Thomas   14,918    9,311 
Tomlinson   -    - 
Tytus   17,993    3,691 
Vanzant   17,674    - 
Watson   12,755    4,681 
Westhaven   12,496    10,934 
Wheeler   15,248    9,264 
Williamson   18,583    4,368 
Woodland   11,444    2,734 
Woodwind   12,513    9,902 
Wynde   11,513    6,562 
Wyndhurst   12,300    - 
Zane   12,298    2,608 
   $1,182,761   $360,491 

 

F-127

 

 

NOTE 8: RELATED PARTY TRANSACTIONS

 

The Series’ Manager, Arrived Holdings, Inc., is a managing member with common control of the Series.

 

Due from (to) Related Party

 

The Series enters into various transactions with the Manager and affiliates of the Manager in the normal course of operating and financing activities. As of December 31, 2024 and 2023, certain Series owed an aggregate of $361,246 and $2,974,360, respectively, to the Manager, including amounts related to the initial funding for certain Series’ property acquisitions. During the periods ended December 31, 2024 and 2023, certain Series repaid the Manager an aggregate of $313,073 and $21,142,616 from the Series’ respective offerings. As of December 31, 2024 and 2023, certain Series were owed an aggregate of $10,085 and $43,999 from the Manager. These advances are interest-free for short term due to (from) related party and do not have defined repayment terms.

 

Deemed Contributions

 

During the periods ended December 31, 2024 and 2023, certain Series received deemed contributions from the Manager, amounting to $51,247 and $73,746 respectively, in exchange for forgiveness of amounts previously due to Manager.

 

Management Compensation

 

The following table reflects details of the total fees paid by Series to the Manager for the periods ended December 31, 2024 and 2023.

 

Series  Sourcing fees   Financing and holding expenses   Offering expense   Asset management fee   Reimbursement of acquisition expenses   Property management fee, related party 
Antares  $-   $-   $-   $-   $-   $(115)
Aramis   -    -    -    2,015    -    1,027 
Arkoma   -    (640)   (10)   1,950    180    1,123 
Arya   -    -    -    1,541    -    691 
Aspen   -    -    -    1,170    -    499 
Athos   -    -    -    1,607    -    356 
Barclay   -    (750)   (12)   1,885    190    1,171 
Bean   -    (300)   11    1,996    820    1,047 
Bennett   -    -    -    -    -    6 
Benny   -    -    -    1,903    -    1,219 
Bluebell   -    -    -    1,270    -    305 
Bowling   -    -    -    1,530    -    855 
Bradford   -    -    -    1,950    -    1,195 
Brookwood   -    -    -    1,248    -    237 
Bryant   -    -    -    -    -    - 
Caden   -    -    -    1,983    -    975 
Camellia   -    -    -    1,683    -    337 
Caterpillar   -    -    -    1,679    -    1,171 
Chilhowee   -    -    -    1,500    -    (95)
Claremore   -    -    -    1,530    -    144 
Collinison   -    -    -    1,950    -    263 
Cordero   -    -    -    1,943    -    960 
Cristalino   -    -    -    1,407    -    207 
Ellie   -    -    -    1,806    -    1,219 
Emelina   -    -    -    1,530    -    1,123 
Ethan   -    -    -    1,860    -    1,327 
Frances   -    -    -    1,863    -    (101)
Glenncrest   -    -    -    1,500    -    835 
Gordon   -    -    -    1,158    -    576 
Haikey   9,720    4,860    6,583    1,251    2,500    1,013 
Hamblen   10,150    5,070    6,722    580    2,500    1,059 
Hancock   -    -    -    1,658    -    979 
Hardman   -    -    -    1,468    -    806 
Haven   -    -    -    1,538    -    1,171 

 

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Haverhill   -    -    -    1,620    -    1,070 
Haybridge   -    -    -    2,325    -    1,555 
Hedgecrest   -    -    -    1,110    -    406 
Helmerich   -    -    -    1,408    -    398 
Hermanos   -    -    -    2,160    -    1,110 
Holmes   -    -    -    2,160    -    784 
Keystone   -    -    -    1,526    -    705 
Layla   -    -    -    1,860    -    742 
Liberty   -    -    -    1,058    -    499 
Lithonia   11,410    5,700    7,770    815    2,500    635 
Lola   -    -    -    2,081    -    1,186 
Lucas   -    -    -    -    -    (61)
Bryant   11,730    5,860    7,882    1,173    2,500    1,207 
Caden   -    -    -    2,104    -    1,148 
Camellia   -    (650)   (8)   1,625    250    903 
Caterpillar   -    -    -    1,698    -    (31)
Chilhowee   -    -    -    1,957    -    1,195 
Claremore   -    -    -    1,658    -    1,123 
Collinison   -    -    -    1,788    -    1,240 
Cordero   -    (550)   1    1,352    610    835 
Cristalino   -    -    -    1,170    -    415 
Ellie   -    -    -    1,723    -    940 
Emelina   -    -    -    -    -    - 
Ethan   12,070    6,030    8,163    173    2,500    42 
Frances   -    -    -    890    -    560 
Glenncrest   -    -    -    1,692    -    734 
Gordon   9,440    4,720    6,391    1,619    2,500    224 
Haikey   10,740    5,370    7,215    461    2,500    980 
Hamblen   -    -    -    1,200    -    523 
Hancock   -    -    -    2,019    -    1,182 
Hardman   -    -    -    2,161    -    1,036 
Haven   9,660    4,830    6,538    552    2,500    759 
Haverhill   -    -    -    2,161    -    1,126 
Haybridge   -    -    -    1,278    -    883 
Hedgecrest   -    -    -    -    -    - 
Helmerich   10,100    5,050    6,842    1,299    2,500    765 
Hermanos   -    -    -    2,075    -    926 
Holmes   -    (850)   (14)   1,872    (294)   243 
Keystone   -    (660)   (11)   2,178    130    1,739 
Layla   11,330    5,660    7,711    324    2,500    164 
Liberty   11,650    5,820    7,882    1,499    2,500    1,362 
Lithonia   -    -    -    1,170    -    499 
Lola   10,600    5,300    7,216    757    2,500    641 
Lucas   10,320    5,160    7,039    442    2,500    185 
Macomber   -    -    -    1,398    -    907 
Mallard   -    -    -    1,138    -    499 
Marcy   -    -    -    -    -    - 
Meridian   -    -    -    1,412    -    770 
Montgomery   -    -    -    2,122    -    1,459 
Northbrook   -    -    -    1,316    -    290 
Northridge   -    -    -    -    -    - 
Oakland   -    (690)   (9)   1,690    240    1,123 
Palmore   12,420    6,210    8,317    1,598    2,500    1,152 
Pebblestone   -    -    -    1,058    -    499 
Perdita   -    -    -    1,530    -    748 
Phoebe   -    -    -    1,248    -    743 
Pongo   -    (460)   (5)   1,853    190    1,291 
Portsmouth   -    -    -    1,040    -    403 
Rachel   -    -    -    1,530    -    305 
Ratliff   -    -    -    1,500    -    1,051 
Riverwood   10,890    5,440    7,349    1,401    2,500    1,151 
Roanoke   -    -    -    1,060    -    384 
   $162,230   $75,530   $109,563   $133,032   $39,816   $68,942 

 

F-129

 

 

Series  Sourcing fees   Financing and holding expenses   Offering expense   Asset management fee   Reimbursement of acquisition expenses   Property management fee, related party 
Antares  $10,850   $5,420   $7,323   $155   $2,500   $158 
Aramis   10,500    5,890    7,066    300    2,500    17 
Arkoma   8,290    4,450    5,670    237    2,500    358 
Arya   6,300    3,150    4,399    90    2,500    - 
Aspen   9,370    5,520    6,299    1,205    2,500    25 
Athos   10,150    5,820    6,883    290    2,500    390 
Barclay   10,740    5,670    7,265    307    2,500    610 
Bean   10,240    5,120    6,832    293    2,500    22 
Bennett   7,400    4,190    5,022    952    2,500    301 
Benny   8,920    5,060    6,119    1,148    2,500    163 
Bluebell   10,500    5,250    7,103    300    2,500    490 
Bowling   7,280    3,980    4,872    1,040    2,500    370 
Bradford   10,670    5,330    7,231    305    2,500    278 
Brookwood   9,810    5,400    6,580    1,262    2,500    263 
Bryant   9,790    5,560    6,611    1,120    2,500    577 
Caden   8,750    4,680    5,884    1,250    2,500    570 
Camellia   8,920    4,950    6,166    1,148    2,500    249 
Caterpillar   10,500    5,250    7,156    300    2,500    137 
Chilhowee   11,330    6,510    7,533    1,619    -    1,169 
Claremore   8,200    4,540    5,569    938    2,500    328 
Collinison   10,530    5,260    7,123    -    2,500    60 
Cordero   8,920    5,580    6,635    1,020    2,500    628 
Cristalino   10,850    6,260    7,259    1,395    2,500    - 
Ellie   10,030    5,010    6,695    287    2,500    - 
Emelina   8,750    4,650    5,821    1,250    2,500    574 
Ethan   6,750    3,760    4,677    772    2,500    216 
Frances   -    -    -    417    -    - 
Glenncrest   -    -    -    435    -    - 
Gordon   8,920    5,210    6,091    255    2,500    306 
Haikey   8,560    4,780    5,799    978    2,500    368 
Hamblen   8,960    5,220    6,139    1,025    2,500    775 
Hancock   9,450    5,490    6,431    1,215    2,500    276 
Hardman   13,560    6,780    8,947    -    2,500    66 
Haven   6,470    3,630    4,352    925    2,500    281 

 

F-130

 

 

Haverhill   8,210    4,690    5,543    1,056    2,500    - 
Haybridge   12,600    6,300    8,448    -    2,500    - 
Hedgecrest   12,600    6,300    8,448    -    2,500    - 
Helmerich   8,900    4,870    6,018    1,017    2,500    428 
Hermanos   10,850    6,260    7,279    1,550    2,500    963 
Holmes   6,170    3,290    4,260    705    2,500    333 
Keystone   12,130    6,060    8,059    -    2,500    - 
Layla   11,320    5,660    7,661    162    2,500    - 
Liberty   8,750    5,020    5,975    250    2,500    471 
Lithonia   9,900    5,580    6,641    1,274    2,500    - 
Lola   10,530    5,260    7,126    151    2,500    3 
Lucas   8,920    5,040    6,046    255    2,500    590 
Macomber   9,620    5,540    6,543    275    2,500    398 
Mallard   7,280    4,190    5,021    208    2,500    426 
Marcy   6,300    3,150    4,399    90    2,500    - 
Meridian   9,270    5,150    6,310    265    2,500    462 
Montgomery   7,170    4,170    4,953    1,263    2,500    - 
Northbrook   9,860    4,930    6,673    -    2,500    - 
Northridge   -    -    -    -    -    - 
Oakland   -    -    -    461    -    - 
Palmore   7,000    3,820    4,835    900    2,500    305 
Pebblestone   11,770    5,880    7,824    -    2,500    - 
Perdita   11,630    6,200    7,844    333    2,500    263 
Phoebe   -    -    -    414    -    - 
Pongo   11,630    6,200    7,844    333    2,500    354 
Portsmouth   7,450    4,390    5,172    959    2,500    515 
Rachel   -    -    -    433    -    - 
Ratliff   11,170    5,580    7,536    160    2,500    60 
Riverwood   10,080    5,890    7,046    288    2,500    253 
Roanoke   11,720    6,520    7,952    335    2,500    441 
Ross   -    -    -    500    -    - 
Sansa   6,300    3,150    4,399    90    2,500    57 
Sheezy   8,150    4,500    5,459    1,165    -    832 
Sherwood   6,120    3,060    4,290    175    2,500    74 
Summerglen   8,460    4,760    5,738    1,127    2,500    490 
Tansel   11,420    5,710    7,696    327    2,500    216 
Thomas   7,670    4,410    5,197    987    2,500    387 
Tytus   9,100    5,240    6,161    260    2,500    392 
Vanzant   -    -    -    533    -    - 
Watson   6,170    3,290    4,260    705    2,500    227 
Westhaven   8,920    5,040    6,086    1,148    2,500    474 
Wheeler   7,280    4,040    5,017    832    2,500    423 
Williamson   9,970    5,440    6,726    285    2,500    541 
Woodland   5,600    3,150    3,906    160    2,500    135 
Woodwind   8,920    4,880    6,001    1,148    2,500    339 
Wynde   8,750    5,020    5,973    1,000    2,500    457 
Wyndhurst   -    -    -    467    -    - 
Zane   5,700    2,850    4,019    82    2,500    252 
   $671,620   $363,850   $455,936   $48,355   $177,500   $21,588 

 

F-131

 

 

NOTE 9: INCOME TAXES

 

Deferred taxes are recognized for temporary differences between the basis of assets and liabilities for financial statement and income tax purposes. The differences relate primarily to federal and state net operating loss carryforwards. As of December 31, 2024 and 2023, the Company and Series had net deferred tax assets, before valuation allowance, of $9,751 and $207,983, solely attributable to net operating loss carryforwards.

 

The Company and Series recognizes deferred tax assets to the extent that it believes that these assets are more likely than not to be realized. In making such a determination, the Company and Series considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. The Company and Series assessed the need for a valuation allowance against its net deferred tax assets and determined a full valuation allowance is required due to the current uncertainty of the future realization of the deferred tax assets.

 

Deferred tax assets were calculated using the Company’s and Series’ combined effective tax rates, which it estimated to be ranging from 21.0% to 28% based on the federal income tax rate of 21% and the state income tax rates of the respective Series. The effective rate is reduced to 0% for 2024 and 2023 due to the full valuation allowance on its net deferred tax assets.

 

The Company’s and Series’ ability to utilize net operating loss carryforwards will depend on its ability to generate adequate future taxable income. As of December 31, 2024 and 2023, the Company and Series had net operating loss carryforwards available to offset future taxable income in the amount of $37,225 and $799,703, respectively.

 

The Company’s and Series’ policy is to record interest and penalties associated with unrecognized tax benefits as additional income taxes in the consolidated statement of comprehensive loss. As of January 1, 2024, the Company and Series had no unrecognized tax benefits and no charge during 2024, and accordingly, the Company and Series did not recognize any interest or penalties during 2024 related to unrecognized tax benefits. There is no accrual for uncertain tax positions as of December 31, 2024.

 

The Company and Series file U.S. and state income tax returns. With few exceptions, the income tax returns filed for the periods ending December 31, 2024 and 2023 and thereafter are subject to examination by the relevant taxing authorities. The Company and Series are not presently subject to any income tax audit in any taxing jurisdiction.

 

NOTE 10: SUBSEQUENT EVENTS

 

On January 30, 2025, Arrived Fund Manager, LLC, a Delaware limited liability company, became the Manager of each Series. Arrived Holdings Inc., a Delaware corporation, is the sole member of Arrived Fund Manager, LLC.

 

Subsequent Offerings

 

The table below shows all Offerings, which have closed after the date of the financial statements through the date of this filing:

 

Series Member Name  Full Name  Address  Offering Closed Date  Offering Raised 
Spangler  Arrived KY Spangler, LLC  2807 Bentwood Drive, Independence, KY 41051  2/3/2025  $454,310 
Presidio  Arrived IN Presidio, LLC  4047 Little Bighorn Drive, Indianapolis, IN 46235  2/24/2025   286,710 
Tomlinson  Arrived KY Tomlinson, LLC  955 Mossy Stone Court, Bowling Green, KY 42101  3/31/2025   292,890 
            $1,033,910 

 

F-132

 

 

ITEM 8. EXHIBITS

 

Exhibit No.    Description 
2.1*   Certificate of Formation of Arrived Homes 3, LLC
2.2*   Amended and Restated Limited Liability Company Agreement of Arrived Homes 3, LLC
3.1*   Form of Series Designation of Arrived Series [*], a series of Arrived Homes 3, LLC
4.1*   Form of Subscription Agreement of Arrived Series [*], a Series of Arrived Homes 3, LLC
6.1*   Broker Dealer Agreement, dated January 4, 2023 between Arrived Homes 3, LLC and Dalmore Group, LLC
6.2*   Transfer Registrar Services Agreement, dated January 13, 2023, between Arrived Homes 3, LLC and Colonial Stock Transfer Company
6.3*   Form of Promissory Note
6.4*   Software and Services License Agreement, dated [*], 202[*], by and between North Capital Investment Technology, Inc. and Arrived Holdings, Inc. 
6.5*   Form of Property Management Agreement dated [*], 202[*], between Marketplace Homes and Arrived Series [*], a series of Arrived Homes 3, LLC
6.6*   Purchase and Sale Agreement dated December 20, 2022 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Chilhowee property
6.6.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Chilhowee dated December 21, 2022 for Arrived Series Chilhowee property
6.7*   Purchase and Sale Agreement dated November 29, 2022 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Sheezy property
6.7.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sheezy dated November 30, 2022 for Arrived Series Sheezy property
6.8*   Purchase and Sale Agreement dated December 12, 2022 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Bowling Property
6.8.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bowling dated December 16,2022 for Arrived Series Bowling Property
6.9*   Purchase and Sale Agreement dated January 23, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Caden Property
6.9.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Caden dated January 22,2023 for Arrived Series Caden Property
6.10*   Purchase and Sale Agreement dated January 23, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Cristalino Property
6.10.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Cristalino dated December 21,2022 for Arrived Series Cristalino Property
6.10.2*   Counteroffer to Offer dated December 19, 2022 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Cristalino Property
6.10.3*   Addendum to Purchase and Sale Agreement dated December 16, 2022 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Cristalino Property

 

35

 

 

6.11*   Purchase and Sale Agreement dated January 5, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Emelina Property
6.11.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Emelina dated January 10, 2023 for Arrived Series Emelina Property
6.12*   Purchase and Sale Agreement dated December 20, 2022 between Arrived Holdings, Inc./Assignee and Seller for Series Haven Property
6.12.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Haven dated December 21,2022 for Arrived Series Haven Property
6.12.2*   Addendum to Purchase and Sale Agreement dated January 3, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Haven Property
6.13*   Purchase and Sale Agreement dated December 19, 2022 between Arrived Holdings, Inc./Assignee and Seller for Series Hermanos Property
6.13.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Hermanos dated January 10, 2023 for Arrived Series Hermanos Property
6.13.2*   Counteroffer to Offer dated January 5, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Hermanos Property
6.14*   Form of Property Management Agreement dated [*], 202[*], between Great Jones and Arrived Series [*], a series of Arrived Homes 3, LLC
6.15*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Aspen Property
6.15.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Aspen dated February 28, 2023 for Arrived Series Aspen Property
6.16*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Bennett Property
6.16.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bennett dated February 28, 2023 for Arrived Series Bennett Property
6.17*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Brookwood Property
6.17.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Brookwood dated February 28, 2023 for Arrived Series Brookwood Property
6.18*   Purchase and Sale Agreement dated January 13, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Camellia Property
6.18.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Camellia dated January 23,2023 for Arrived Series Camellia Property.
6.19*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Haverhill Property
6.19.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Haverhill dated February 28, 2023 for Arrived Series Haverhill Property
6.20*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Lithonia Property
6.20.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lithonia dated February 28, 2023 for Arrived Series Lithonia Property
6.21*   Purchase and Sale Agreement dated January  24, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Palmore Property
6.21.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Palmore dated January 28, 2023 for Arrived Series Palmore Property

 

36

 

 

6.22*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Thomas Property
6.22.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Thomas dated January 28, 2023 for Arrived Series Thomas Property
6.23*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Woodwind Property
6.23.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Woodwind dated February 28, 2023 for Arrived Series Woodwind Property
6.24*   Form of Property Management Agreement dated [*], 202[*], between Mynd and Arrived Series [*], a series of Arrived Homes 3, LLC
6.25*   Purchase and Sale Agreement dated February 19, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Benny Property
6.25.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Benny dated February 22, 2023 for Arrived Series Benny Property
6.26*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Montgomery Property
6.26.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Montgomery dated February 24, 2023 for Arrived Series Montgomery Property
6.26.2*   Addendum to Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Montgomery Property
6.27*   Purchase and Sale Agreement dated February 13, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Portsmouth Property
6.27.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Portsmouth dated March 6, 2023 for Arrived Series Portsmouth Property
6.28*   Purchase and Sale Agreement dated March 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Summerglen Property
6.28.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Summerglen dated March 8, 2023 for Arrived Series Summerglen Property
6.28.2*   Addendum to Purchase and Sale Agreement dated February 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Summerglen Property
6.29*   Purchase and Sale Agreement dated February 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Westhaven Property
6.29.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Westhaven dated February 24, 2023 for Arrived Series Westhaven Property
6.30*   Form of Property Management Agreement dated [*], 202[*], between Darwin Homes and Arrived Series [*], a series of Arrived Homes 3, LLC
6.31*   Purchase and Sale Agreement dated March 6, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Cordero Property
6.31.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Cordero dated March 7, 2023 for Arrived Series Cordero Property
6.32*   Purchase and Sale Agreement dated March 13, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Ethan Property
6.32.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Ethan dated March 16, 2023 for Arrived Series Ethan Property

 

37

 

 

6.33*   Purchase and Sale Agreement dated March 13, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Hamblen Property
6.33.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Hamblen dated March 10, 2023 for Arrived Series Hamblen Property
6.34*   Purchase and Sale Agreement dated February 25, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Holmes Property
6.34.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Holmes dated March 7, 2023 for Arrived Series Holmes Property
6.35*   Purchase and Sale Agreement dated February 25, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Watson Property
6.35.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Watson dated March 7, 2023 for Arrived Series Watson Property
6.36*   Purchase and Sale Agreement dated March 3, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Wheeler Property
6.36.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wheeler dated March 6, 2023 for Arrived Series Wheeler Property
6.37*   Purchase and Sale Agreement dated March 16, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Bryant Property
6.37.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bryant dated March 22, 2023 for Arrived Series Bryant Property
6.37.2*   Addendum to Purchase and Sale Agreement dated March 24, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Bryant Property
6.38*   Purchase and Sale Agreement dated March 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Claremore Property
6.38.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Claremore dated March 1, 2023 for Arrived Series Claremore Property
6.38.2*   Addendum to Purchase and Sale Agreement dated March 14, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Claremore Property
6.39*   Purchase and Sale Agreement dated February 6, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Haikey Property
6.39.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Haikey dated March 1, 2023 for Arrived Series Haikey Property
6.40*   Purchase and Sale Agreement dated March 24, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Hancock Property
6.40.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Hancock dated March 28, 2023 for Arrived Series Hancock Property
6.41*   Purchase and Sale Agreement dated February 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Helmerich Property
6.41.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Helmerich dated March 1, 2023 for Arrived Series Helmerich Property
6.41.2*   Addendum to Purchase and Sale Agreement dated March 15, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Helmerich Property
6.42*   Purchase and Sale Agreement dated March 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Wynde Property

 

38

 

 

6.42.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wynde dated April 5, 2023 for Arrived Series Wynde Property
6.43*   Purchase and Sale Agreement dated April 18, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Arkoma Property
6.43.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Arkoma dated March 1, 2023 for Arrived Series Arkoma Property
6.43.2*   Addendum to Purchase and Sale Agreement dated March 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Arkoma Property
6.44*   Purchase and Sale Agreement dated March 17, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Gordon Property
6.44.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Gordon dated March 30, 2023 for Arrived Series Gordon Property
6.45*   Purchase and Sale Agreement dated March 30, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Lucas Property
6.45*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lucas dated April 4, 2023 for Arrived Series Lucas Property
6.46*   Purchase and Sale Agreement dated April 18, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Macomber Property
6.46.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Macomber dated March 1, 2023 for Arrived Series Macomber Property
6.47*   Purchase and Sale Agreement dated March 22, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Meridian Property
6.47.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Meridian dated March 28, 2023 for Arrived Series Meridian Property
6.47.2*   Counteroffer to Offer dated March 21, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Meridian Property
6.48*   Purchase and Sale Agreement dated March 27, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Perdita Property
6.48.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Perdita dated April 18, 2023 for Arrived Series Perdita Property
6.49*   Purchase and Sale Agreement dated March 27, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Pongo Property
6.49.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Pongo dated April 19, 2023 for Arrived Series Pongo Property
6.50*   Purchase and Sale Agreement dated March 22, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Woodland Property
6.50.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Woodland dated March 17, 2023 for Arrived Series Woodland Property
6.51*   Purchase and Sale Agreement dated April 10, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Antares Property
6.51.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Antares dated April 24, 2023 for Arrived Series Antares Property
6.51.2*   Counteroffer to Offer dated April 10, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Antares Property

 

39

 

 

6.52*   Purchase and Sale Agreement dated April 13, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Aramis Property
6.52.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Aramis dated April 14, 2023 for Arrived Series Aramis Property
6.53*   Purchase and Sale Agreement dated April 11, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Athos Property
6.53.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Athos dated April 13, 2023 for Arrived Series Athos Property
6.53.2*   Counteroffer to Offer dated April 11, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Athos Property
6.54*   Purchase and Sale Agreement dated April 11, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Barclay Property
6.54.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Barclay dated April 17, 2023 for Arrived Series Barclay Property
6.55*   Purchase and Sale Agreement dated September 29, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Bean Property
6.55.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bean dated September 2, 2023 for Arrived Series Bean Property
6.56*   Purchase and Sale Agreement dated April 6, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Bluebell Property
6.56.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bluebell dated April 17, 2023 for Arrived Series Bluebell Property
6.57*   Purchase and Sale Agreement dated April 6, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Bradford Property
6.57.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bradford dated April 6, 2023 for Arrived Series Bradford Property
6.58*   Purchase and Sale Agreement dated April 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Caterpillar Property
6.58.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Caterpillar dated April 21, 2023 for Arrived Series Caterpillar Property
6.58.2*   Addendum to Purchase and Sale Agreement dated April 10, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Caterpillar Property
6.59*   Purchase and Sale Agreement dated August 2, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Ellie Property
6.59.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Ellie dated September 11, 2023 for Arrived Series Ellie Property
6.60*   Purchase and Sale Agreement dated March 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Liberty Property
6.60.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Liberty dated March 10, 2023 for Arrived Series Liberty Property
6.61*   Purchase and Sale Agreement dated March 9, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Mallard Property

 

40

 

 

6.61.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Mallard dated March 16, 2023 for Arrived Series Mallard Property
6.61.2*   Addendum to Purchase and Sale Agreement dated March 9, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Mallard Property
6.62*   Purchase and Sale Agreement dated March 17, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Riverwood Property
6.62.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Riverwood dated April 21, 2023 for Arrived Series Riverwood Property
6.63*   Purchase and Sale Agreement dated April 12, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Roanoke Property
6.63.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Roanoke dated April 13, 2023 for Arrived Series Roanoke Property
6.63.2*   Addendum to Purchase and Sale Agreement dated April 13, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Roanoke Property
6.64*   Purchase and Sale Agreement dated March 24, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Sherwood Property
6.64.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sherwood dated March 28, 2023 for Arrived Series Sherwood Property
6.65*   Purchase and Sale Agreement dated April 5, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Tansel Property
6.65.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Tansel dated April 18, 2023 for Arrived Series Tansel Property
6.66*   Purchase and Sale Agreement dated March 30, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Tytus Property
6.66.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Tansel dated April 5, 2023 for Arrived Series Tytus Property
6.67*   Purchase and Sale Agreement dated February 17, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Williamson Property
6.67.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Williamson dated March 6, 2023 for Arrived Series Williamson Property
6.68*   Purchase and Sale Agreement dated April 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Zane Property
6.68.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Zane dated April 13, 2023 for Arrived Series Zane Property
6.69*   Purchase and Sale Agreement dated September 1, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Arya Property
6.69.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Arya dated October 4, 2023 for Arrived Series Arya Property
6.70*   Purchase and Sale Agreement dated July 28, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Marcy Property
6.70.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Marcy dated October 4, 2023 for Arrived Series Marcy Property
6.71*   Purchase and Sale Agreement dated September 1, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Sansa Property
6.71.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sansa dated October 4, 2023 for Arrived Series Sansa Property

 

41

 

 

6.72*   Purchase and Sale Agreement dated September 19, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Haybridge Property
6.72.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Haybridge dated September 28, 2023 for Arrived Series Haybridge Property
6.72.2*   Addendum to Purchase and Sale Agreement dated September 9, 2023 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Haybridge Property
6.73*   Purchase and Sale Agreement dated September 19, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Hedgecrest Property
6.73.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Hedgecrest dated September 28, 2023 for Arrived Series Hedgecrest Property
6.74*   Purchase and Sale Agreement dated September 19, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Layla Property
6.74.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Layla dated October 23, 2023 for Arrived Series Layla Property
6.75*   Purchase and Sale Agreement dated September 19, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Lola Property
6.75.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lola dated October 23, 2023 for Arrived Series Lola Property
6.76*   Purchase and Sale Agreement dated October 10, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Ratliff Property
6.76.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Ratliff dated October 19, 2023 for Arrived Series Ratliff Property
6.77*   Purchase and Sale Agreement dated October 12, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Collinison Property
6.77.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Collinison dated October 30, 2023 for Arrived Series Collinison Property
6.78*   Purchase and Sale Agreement dated October 8, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Hardman Property
6.78.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Hardman dated October 24, 2023 for Arrived Series Hardman Property
6.79*   Purchase and Sale Agreement dated September 28, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Keystone Property
6.79.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Keystone dated October 31, 2023 for Arrived Series Keystone Property
6.80*   Purchase and Sale Agreement dated October 9, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Northbrook Property
6.80.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Northbrook dated October 19, 2023 for Arrived Series Northbrook Property
6.81*   Purchase and Sale Agreement dated September 28, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Pebblestone Property
6.81.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Pebblestone dated October 31, 2023 for Arrived Series Pebblestone Property

 

42

 

 

6.82*   Purchase and Sale Agreement dated October 10, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Frances Property
6.82.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Frances dated October 19, 2023 for Arrived Series Frances Property
6.83*   Purchase and Sale Agreement dated November 7, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Northridge Property
6.83.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Northridge dated November 21, 2023 for Arrived Series Northridge Property
6.84*   Purchase and Sale Agreement dated October 31, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Rachel Property
6.84.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Rachel dated November 1, 2023 for Arrived Series Rachel Property
6.85*   Purchase and Sale Agreement dated October 31, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Ross Property
6.85.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Ross dated November 1, 2023 for Arrived Series Ross Property
6.86*   Purchase and Sale Agreement dated November 3, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Vanzant Property
6.86.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Vanzant dated November 21, 2023 for Arrived Series Vanzant Property
6.87*   Purchase and Sale Agreement dated November 1, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Wyndhurst Property
6.87.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wyndhurst dated November 17, 2023 for Arrived Series Wyndhurst Property
6.88*   Purchase and Sale Agreement dated October 25, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Glenncrest Property
6.88.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Glenncrest dated November 1, 2023 for Arrived Series Glenncrest Property
6.89*   Purchase and Sale Agreement dated December 20, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Laurel Property
6.89.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Laurel dated January 19, 2024 for Arrived Series Laurel Property
6.90*   Purchase and Sale Agreement dated October 3, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Oakland Property
6.90.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Oakland dated October 19, 2023 for Arrived Series Oakland Property
6.91*   Purchase and Sale Agreement dated December 11, 2023 between Arrived Holdings, Inc./Assignee and Seller for Series Phoebe Property
6.91.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Phoebe dated December 13, 2023 for Arrived Series Phoebe Property

 

43

 

 

6.92*   Purchase and Sale Agreement dated June 14, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Johnson Property
6.92.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Johnson dated June 20, 2024 for Arrived Series Johnson Property
6.93*   Purchase and Sale Agreement dated January 8, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Sedgefield Property
6.93.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sedgefield dated January 22, 2024 for Arrived Series Sedgefield Property
6.94*   Purchase and Sale Agreement dated August 28, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Robinson Property
6.94.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Robinson dated September 5, 2024 for Arrived Series Robinson Property
6.95*   Purchase and Sale Agreement dated August 13, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Seneca Property
6.95.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Seneca dated August 23, 2024 for Arrived Series Seneca Property
6.96   Purchase and Sale Agreement dated October 10, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Adams Property
6.96.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Adams dated October 28, 2024 for Arrived Series Adams Property
6.97   Purchase and Sale Agreement dated October 18, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Bayne Property
6.97.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Bayne dated October 28, 2024 for Arrived Series Bayne Property
6.98   Purchase and Sale Agreement dated October 8, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Boxwood Property
6.98.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Boxwood dated October 28, 2024 for Arrived Series Boxwood Property
6.99   Purchase and Sale Agreement dated October 4, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Langley Property
6.99.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Langley dated October 23, 2024 for Arrived Series Langley Property
6.100   Purchase and Sale Agreement dated October 30, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Metallo Property
6.100.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Metallo dated November 18, 2024 for Arrived Series Metallo Property
6.101   Purchase and Sale Agreement dated October 15, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Misty Property
6.101.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Misty dated October 29, 2024 for Arrived Series Misty Property
6.101.2   Counteroffer to Offer dated October 16, 2024 between Arrived Holdings, Inc./Assignee and Seller for Arrived Series Misty Property
6.102   Purchase and Sale Agreement dated October 14, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Presidio Property
6.102.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Presidio dated October 28, 2024 for Arrived Series Presidio Property
6.103   Purchase and Sale Agreement dated October 10, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Spangler Property
6.103.1   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Spangler dated October 30, 2024 for Arrived Series Spangler Property
6.104   Purchase and Sale Agreement dated October 11, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Tomlinson Property

 

* Previously Filed

 

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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.

  

  ARRIVED HOMES 3, LLC
     
  By: Arrived Fund Manager, LLC, its managing member
     
  By: /s/ Ryan Frazier
    Name:  Ryan Frazier
    Title: Chief Executive Officer
    Date: April 30, 2025

 

Pursuant to the requirements of Regulation A, this report has been signed by the following persons on behalf of the issuer and in the capacities and on the dates indicated.

 

SIGNATURE   TITLE   DATE
         
/s/ Ryan Frazier   Chief Executive Officer of Arrived Holdings, Inc.   April 30, 2025
Ryan Frazier   (principal executive officer)    
    Chief Executive Officer and Director of Arrived Homes 3, LLC    
         
/s/ Sue Korn   Principal Financial and   April 30, 2025
Sue Korn   Accounting Officer of Arrived Holdings, Inc.    
    Principal Financial and Accounting Officer of Arrived Homes 3, LLC    
         
Arrived Fund Manager, LLC   Managing Member   April 30, 2025
         
By: /s/ Ryan Frazier        
Name:  Ryan Frazier        
Title: Chief Executive Officer        

 

45