PART II 2 ea0286348-1k_arrived5.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, 2025

 

ARRIVED HOMES 5, LLC
(Exact name of issuer as specified in its charter)

 

Delaware   99-3997278
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 Clark; Arrived Series Lois; Arrived Series Goldfinger; Arrived Series Sambino; Arrived Series Pumpkin; Arrived Series Troncos; Arrived Series Alex; Arrived Series Liam; Arrived Series Lenka; Arrived Series Camphor; Arrived Series Sinalda; Arrived Series Adler; Arrived Series Belleglade; Arrived Series Ameris; Arrived Series Metcalf; Arrived Series Scarlett; Arrived Series Tully; Arrived Series Tyrell; Arrived Series Wasilla; Arrived Series Adela; Arrived Series Fortress; Arrived Series Arbolado; Arrived Series Lilinoe; Arrived Series Cyrus; Arrived Series Targaryen; Arrived Series Tilly; Arrived Series Vega; Arrived Series Blair; Arrived Series Evie; Arrived Series Briarmanor; Arrived Series Fizzy; Arrived Series Gerardo; Arrived Series Hendricks; Arrived Series Nathan; Arrived Series Stonemill; Arrived Series Terrien; Arrived Series Whippoorwill; Arrived Series Windgate; Arrived Series Wyndsong; Arrived Series Ashland; Arrived Series Galleta; Arrived Series Chesterton; Arrived Series Marilyn; Arrived Series Monroe; Arrived Series Poshington; Arrived Series Raider; Arrived Series Sandpiper; Arrived Series Wendover; Arrived Series Wesley; Arrived Series Wildcat; Arrived Series William; Arrived Series Gracianna; Arrived Series Camila; Arrived Series Rivendell; Arrived Series Arthur; Arrived Series Caldwell; Arrived Series Chloe; Arrived Series Farinosa; Arrived Series Gavin

(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 14
     
ITEM 3. DIRECTORS AND OFFICERS 32
     
ITEM 4. SECURITY OWNERSHIP OF MANAGEMENT AND CERTAIN SECURITYHOLDERS 36
     
ITEM 5. INTEREST OF MANAGEMENT AND OTHERS IN CERTAIN TRANSACTIONS 36
     
ITEM 6. OTHER INFORMATION 36
     
ITEM 7. FINANCIAL STATEMENTS F-1
     
ITEM 8. EXHIBITS 37

 

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 Arrived Homes 5, LLC (the “Company”), Arrived Fund Manager, LLC (the “manager”), each series of our company and the Arrived 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 Post-Qualification Amendment No. 10 to our Offering Statement on Form 1-A filed by the Company with the Securities and Exchange Commission (the “Commission”), as 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.

 

ii

 

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.

 

iii

 

Item 1. Description of Business

 

Company Overview – Our Mission

 

Arrived Homes 5, LLC, a Delaware series limited liability company, was formed in July 2024 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 the 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. 

 

1

 

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.

 

2

 

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, which we refer to as 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 metropolitan statistical areas (“MSA”) 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.

 

4

 

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 to 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 a 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 the 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 Post-Qualification Amendment No. 10 to our Offering Statement on Form 1-A, filed with the Securities and Exchange Commission on January 9, 2026.

 

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.

 

5

 

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, 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.

 

Scaled Acquisition Fee

 

As a result of the manager’s relationships and transaction volume with certain sellers, the manager may be able to negotiate purchase price incentives, discounts or other reductions to or rebates on the purchase price of a series property that are not generally available to other purchasers. For each such series, the manager may charge a scaled acquisition fee equal to the lesser of (i) 20% of any such incentive or discount and (ii) $10,000. This fee will be paid from, and increase the total amount of, funds allocated to the acquisition of the series property at the closing of the offering.

 

6

 

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.

 

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 arrangement for the property management company is 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.

 

7

 

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.

 

8

 

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.

 

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. 

 

9

 

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 the 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.

 

10

 

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 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)   Not allocable; to be borne by the manager  
    Brokerage fee payable per filing of a Form 1-A Post-Qualification Amendment ($1,000 per 1-A POS)   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

 

11

 

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.

 

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 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.

 

12

 

  ● 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 the 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.

 

13

 

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

 

Overview

 

Arrived Homes 5, LLC, a Delaware series limited liability company, was formed in July 2024 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 July 2024, 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, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024 our Company has acquired 63 properties and 3 properties, respectively. 

   

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. 

 

14

 

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.

 

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 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. Generally Accepted Accounting Principles (“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.

 

15

 

 

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.

 

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, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024 are listed in the table below. Consolidated rental income was $707,891 for the year ended December 31, 2025 compared to the rental income of $5,837 for the period July 12, 2024 (date of inception) through December 31, 2024. The increase in rental revenue is primarily due to an increase in the number of properties acquired by the Company. 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,
2025		   December 31,
2024		 
Adela  $10,020   $             - 
Adler   15,759    - 
Alex   13,510    - 
Ameris   18,696    - 
Arbolado   12,720    - 
Arthur   -    - 
Ashland   11,736    - 
Belleglade   19,342    - 
Blair   7,249    - 
Briarmanor   13,930    - 
Caldwell   -    - 
Camila   10,787    - 
Camphor   12,971    - 
Chalkstone   -    - 
Chesterton   2,895    - 
Chloe   -    - 
Clark   18,973    - 
Cyrus   7,180    - 
Evie   11,163    - 
Farinosa   -    - 
Fizzy   11,544    - 
Fortress   18,012    - 
Galleta   2,373    - 
Gavin   -    - 
Gerardo   15,477    - 
Goldfinger   18,214    - 
Goshen   -    - 
Gracianna   2,415    - 
Hendricks   11,929    - 
Kitsune   -    - 

 

16

 

Rental Income
         
Series Name  December 31,
2025		   December 31,
2024		 
Lenka   21,041    - 
Liam   25,229    - 
Lilinoe   18,338    - 
Lois   26,765    5,837 
Lucky   -    - 
Marilyn   12,011    - 
Metcalf   17,212    - 
Monroe   2,095    - 
Nathan   4,259    - 
Orland   -    - 
Parker   -    - 
Poshington   14,117    - 
Pumpkin   23,045    - 
Raider   14,975    - 
Rivendell   1,278    - 
Rucker   -    - 
Sambino   23,252    - 
Sandpiper   6,885    - 
Scarlett   14,539    - 
Sinalda   13,975    - 
Stonemill   11,213    - 
Targaryen   20,302    - 
Terrien   9,519    - 
Tilly   11,999    - 
Troncos   17,505    - 
Tully   16,319    - 
Tyrell   15,363    - 
Vega   15,865    - 
Wasilla   14,554    - 
Wendover   13,057    - 
Wesley   4,800    - 
Whippoorwill   14,700    - 
Wildcat   11,256    - 
William   725    - 
Windgate   15,294    - 
Wyndsong   9,512    - 
   $707,891   $5,837 

 

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Operating Expenses

 

The Company incurred the following operating expenses during the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024. 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, HOA fees, legal fees, other professional fees, depreciation, and repair and maintenance costs.

 

Upon closing, each individual series becomes responsible for funding its own operating expenses. The following table summarizes the total operating expenses by series as of December 31, 2025 and 2024. 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, 2025   December 31, 2024 
Series Name  Operating
expenses		   Depreciation   Total
expenses		   Operating
expenses		   Depreciation   Total
expenses		 
Adela  $19,853   $3,769   $23,622   $-   $-   $- 
Adler   16,766    5,726    22,492    -    -    - 
Alex   14,807    7,148    21,955    -    -    - 
Ameris   21,578    4,603    26,181    -    -    - 
Arbolado   17,780    5,423    23,203    -    -    - 
Arthur   18,162    -    18,162    -    -    - 
Ashland   17,015    3,163    20,178    -    -    - 
Belleglade   18,178    6,883    25,061    -    -    - 
Blair   16,891    4,795    21,686    -    -    - 
Briarmanor   20,671    6,799    27,470    -    -    - 
Caldwell   6,904    -    6,904    -    -    - 
Camila   26,829    5,076    31,905    -    -    - 
Camphor   17,691    6,587    24,278    -    -    - 
Chalkstone   12,633    228    12,860    -    -    - 
Chesterton   15,040    6,137    21,176    -    -    - 
Chloe   9,079    730    9,809    -    -    - 
Clark   19,587    8,738    28,325    12,529    1,456    13,986 
Cyrus   13,342    6,239    19,581    -    -    - 
Evie   22,324    3,555    25,879    -    -    - 
Farinosa   2,411    -    2,411    -    -    - 
Fizzy   13,106    3,374    16,480    -    -    - 
Fortress   25,475    7,776    33,251    -    -    - 
Galleta   9,903    3,345    13,247    -    -    - 
Gavin   4,517    85    4,602    -    -    - 
Gerardo   15,605    5,082    20,688    -    -    - 
Goldfinger   24,545    12,435    36,980    -    -    - 
Goshen   7,444    125    7,568    -    -    - 
Gracianna   19,158    2,646    21,804    -    -    - 
Hendricks   21,868    3,408    25,276    -    -    - 
Kitsune   3,790    -    3,790    -    -    - 
Lenka   20,003    6,827    26,829    -    -    - 
Liam   29,466    8,919    38,385    -    -    - 
Lilinoe   20,961    5,988    26,949    -    -    - 
Lois   13,091    9,100    22,191    16,874    1,486    18,361 

 

18

 

Operating Expenses
 
   December 31, 2025   December 31, 2024 
Series Name  Operating
expenses		   Depreciation   Total
expenses		   Operating
expenses		   Depreciation   Total
expenses		 
Lucky   8,106    -    8,106    -    -    - 
Marilyn   15,480    4,126    19,606    -    -    - 
Metcalf   14,300    5,682    19,982    -    -    - 
Monroe   19,010    4,134    23,144    -    -    - 
Nathan   15,191    2,473    17,663    -    -    - 
Orland   2,595    -    2,595    -    -    - 
Parker   7,585    122    7,707    -    -    - 
Poshington   19,531    5,719    25,250    -    -    - 
Pumpkin   19,133    7,507    26,640    -    -    - 
Raider   19,000    4,535    23,535    -    -    - 
Rivendell   10,392    1,577    11,969    -    -    - 
Rucker   4,041    -    4,041    -    -    - 
Sambino   18,426    7,592    26,018    8,344    -    8,344 
Sandpiper   11,665    4,456    16,121    -    -    - 
Scarlett   21,994    6,996    28,989    -    -    - 
Sinalda   20,288    7,972    28,260    -    -    - 
Stonemill   19,694    5,342    25,036    -    -    - 
Targaryen   17,102    6,244    23,347    -    -    - 
Terrien   11,761    3,808    15,570    -    -    - 
Tilly   21,982    5,723    27,705    -    -    - 
Troncos   17,841    7,992    25,833    -    -    - 
Tully   21,596    8,768    30,364    -    -    - 
Tyrell   13,674    5,916    19,591    -    -    - 
Vega   12,273    6,239    18,512    -    -    - 
Wasilla   14,381    8,825    23,207    -    -    - 
Wendover   15,978    5,155    21,133    -    -    - 
Wesley   18,011    1,194    19,204    -    -    - 
Whippoorwill   18,597    5,134    23,731    -    -    - 
Wildcat   17,779    2,945    20,724    -    -    - 
William   12,328    1,521    13,849    -    -    - 
Windgate   17,298    4,865    22,163    -    -    - 
Wyndsong   28,178    4,908    33,086    -    -    - 
   $1,061,683   $302,175   $1,363,858   $37,748   $2,943   $40,691 

 

19

 

Other Expenses (Income)

 

During the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, certain series incurred interest expenses, including bridge financing interest. The following table summarizes the total of such expenses incurred by each series during the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024. Interest expense increased from $13,056 for the period July 12, 2024 (date of inception) through December 31, 2024 to $332,017 for the year ended December 31, 2025. This increase is primarily attributable to an increase in the number of properties acquired by the Company, the utilization of bridge financing to fund property acquisitions prior to series offerings closing, and a full year of interest accrual in 2025 compared to approximately five months in 2024. 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
         
Series Name  December 31,
2025		   December 31,
2024		 
Adela  $               3,369   $                     - 
Adler   5,315    - 
Alex   3,594    - 
Ameris   3,267    - 
Arbolado   9,422    - 
Arthur   2,521    - 
Ashland   4,557    - 
Belleglade   4,361    - 
Blair   13,868    - 
Briarmanor   10,011    - 
Caldwell   1,740    - 
Camila   11,270    - 
Camphor   2,822    - 
Chalkstone   1,384    - 
Chesterton   13,378    - 
Chloe   3,842    - 
Clark   1,044    6,390 
Cyrus   10,215    - 
Evie   2,754    - 
Farinosa   1,206    - 
Fizzy   7,405    - 
Fortress   5,254    - 
Galleta   7,564    - 
Gavin   1,695    - 
Gerardo   3,529    - 
Goldfinger   5,491    - 
Goshen   2,364    - 
Gracianna   7,637    - 
Hendricks   2,696    - 
Kitsune   1,729    - 
Lenka   3,677    - 
Liam   4,363    - 
Lilinoe   5,459    - 
Lois   -    5,021 
Lucky   2,281    - 
Marilyn   5,364    - 
Metcalf   1,748    - 
Monroe   11,921    - 
Nathan   1,884    - 
Orland   115    - 

 

20

 

OTHER EXPENSES
         
Series Name  December 31,
2025		   December 31,
2024		 
Parker                 1,906    - 
Poshington   4,160    - 
Pumpkin   3,715    - 
Raider   4,384    - 
Rivendell   4,762    - 
Rucker   1,446    - 
Sambino   3,230    1,644 
Sandpiper   6,498    - 
Scarlett   13,104    - 
Sinalda   3,229    - 
Stonemill   13,491    - 
Targaryen   3,300    - 
Terrien   9,960    - 
Tilly   5,260    - 
Troncos   8,174    - 
Tully   6,220    - 
Tyrell   3,803    - 
Vega   5,396    - 
Wasilla   7,738    - 
Wendover   5,528    - 
Wesley   2,608    - 
Whippoorwill   4,973    - 
Wildcat   3,121    - 
William   6,029    - 
Windgate   3,070    - 
Wyndsong   4,802    - 
   $332,017   $13,056 

 

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.

 

As discussed in Note 3 to the consolidated financial statements, the Company’s ability to continue as a going concern is dependent upon the ability to generate cash flow from rental activities and/or obtain financing from the manager. Management believes that the continued support of the manager, the planned launch of additional series offerings, and the cash generated from rental operations will provide sufficient liquidity to meet the Company’s obligations. However, there can be no assurance that these plans will be successful.

 

21

 

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, 2025 and 2024. 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,
2025		   December 31,
2024		 
Adela  $              11,889   $                       - 
Adler   28,657    - 
Alex   24,582    - 
Ameris   12,360    - 
Arbolado   21,870    - 
Arthur   -    - 
Ashland   22,920    - 
Belleglade   23,574    - 
Blair   8,474    - 
Briarmanor   25,595    - 
Caldwell   -    - 
Camila   6,067    - 
Camphor   9,075    - 
Chalkstone   -    - 
Chesterton   29,396    - 
Chloe   -    - 
Clark   10,711    - 
Cyrus   25,719    - 
Evie   9,070    - 
Farinosa   -    - 
Fizzy   27,842    - 
Fortress   18,995    - 
Galleta   24,285    - 
Gavin   -    - 
Gerardo   25,821    - 
Goldfinger   33,424    - 
Goshen   -    - 
Gracianna   -    - 
Hendricks   18,831    - 
Kitsune   -    - 
Lenka   17,307    - 
Liam   18,887    - 

 

22

 

Cash & Cash Equivalents
         
Series Name  December 31,
2025		   December 31,
2024		 
Lilinoe                 27,612    - 
Lois   13,807                  18,879 
Lucky   -    - 
Marilyn   27,116    - 
Metcalf   21,624    - 
Monroe   17,621    - 
Nathan   11,052    - 
Orland   -    - 
Parker   -    - 
Poshington   44,001    - 
Pumpkin   23,269    - 
Raider   25,748    - 
Rivendell   -    - 
Rucker   -    - 
Sambino   13,382    - 
Sandpiper   30,985    - 
Scarlett   22,733    - 
Sinalda   22,173    - 
Stonemill   20,403    - 
Targaryen   26,626    - 
Terrien   24,162    - 
Tilly   14,515    - 
Troncos   23,826    - 
Tully   31,158    - 
Tyrell   27,017    - 
Vega   30,227    - 
Wasilla   27,566    - 
Wendover   21,765    - 
Wesley   14,087    - 
Whippoorwill   25,111    - 
Wildcat   20,748    - 
William   -    - 
Windgate   22,600    - 
Wyndsong   23,052    - 
   $1,109,334   $18,879 

 

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.

 

23

 

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.

 

24

 

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, 2026 through February 28, 2026 are listed below. For the avoidance of doubt, the below amounts are unaudited.

 

Rental Income
     
Series Name  February 28,
2026		 
Adela  $3,600 
Adler   4,240 
Alex   4,240 
Ameris   - 
Arbolado   4,240 
Arthur   3,114 
Ashland   4,790 
Belleglade   5,090 
Blair   3,990 
Briarmanor   5,290 
Caldwell   135 
Camila   4,590 
Camphor   3,490 
Chalkstone   - 
Chesterton   5,750 
Chloe   798 
Clark   3,740 
Cyrus   3,590 
Evie   3,640 
Farinosa   - 
Fizzy   4,440 
Fortress   4,890 
Galleta   3,390 
Gavin   339 
Gerardo   4,690 
Goldfinger   4,990 
Goshen   - 
Gracianna   4,390 
Hendricks   4,090 
Kitsune   - 

 

25

 

Rental Income
     
Series Name  February 28,
2026		 
Lancer   - 
Lenka   4,990 
Liam   5,890 
Lilinoe   5,190 
Lois   4,327 
Lucky   - 
Marilyn   4,590 
Metcalf   4,490 
Monroe   2,151 
Nathan   2,690 
Orland   - 
Parker   166 
Poshington   4,840 
Pumpkin   4,640 
Raider   5,990 
Rivendell   2,840 
Rosalee   - 
Rucker   - 
Sambino   4,390 
Sandpiper   3,790 
Scarlett   4,690 
Sinalda   4,390 
Stonemill   4,615 
Targaryen   5,390 
Terrien   5,274 
Tilly   4,390 
Troncos   3,890 
Tully   5,470 
Tyrell   4,190 
Vega   4,490 
Wasilla   4,990 
Wendover   4,990 
Wesley   3,840 
Whippoorwill   5,040 
Wildcat   4,690 
William   4,350 
Windgate   4,190 
Wyndsong   4,390 
   $239,789 

 

Operating Expenses

 

The Company incurred the following operating expenses during the period January 1, 2026 through February 28, 2026. 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, HOA fees, legal fees, other professional fees, depreciation, and repair and maintenance costs. Upon closing, each series becomes responsible for its own operating expenses.

 

26

 

During the period January 1, 2026 through February 28, 2026, 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, 2026 through February 28, 2026. For the avoidance of doubt, the below amounts are unaudited.

 

Operating Expenses
             
   February 28, 2026 
Series Name  Operating
Expenses		   Depreciation   Total
Expenses		 
Adela  $1,603   $1,077   $2,680 
Adler   2,080    1,636    3,716 
Alex   1,347    1,588    2,936 
Ameris   2,468    1,151    3,618 
Arbolado   2,834    1,549    4,383 
Arthur   2,847    1,930    4,777 
Ashland   2,403    1,581    3,984 
Belleglade   2,136    1,721    3,857 
Blair   2,316    1,598    3,914 
Briarmanor   2,104    2,155    4,259 
Caldwell   3,211    1,314    4,525 
Camila   4,578    2,251    6,828 
Camphor   1,123    1,438    2,561 
Chalkstone   2,258    2,201    4,459 
Chesterton   2,569    2,455    5,024 
Chloe   3,699    1,460    5,158 
Clark   2,268    1,456    3,724 
Cyrus   1,709    1,783    3,491 
Evie   1,364    1,185    2,549 
Farinosa   6,454    1,598    8,052 
Fizzy   4,736    1,687    6,424 
Fortress   2,446    1,911    4,357 
Galleta   1,552    1,338    2,890 
Gavin   4,119    1,917    6,035 
Gerardo   2,479    1,694    4,173 
Goldfinger   3,479    2,487    5,966 
Goshen   1,845    2,059    3,904 
Gracianna   4,160    1,707    5,867 
Hendricks   1,516    1,136    2,652 
Kitsune   1,973    1,656    3,629 
Lancer   4,037    -    4,037 
Lenka   1,873    1,517    3,390 
Liam   2,271    1,982    4,253 
Lilinoe   2,814    1,711    4,524 

 

27

 

Operating Expenses
             
   February 28, 2026 
Series Name  Operating
Expenses		   Depreciation   Total
Expenses		 
Lois   2,173    1,517    3,690 
Lucky   1,733    1,739    3,473 
Marilyn   2,198    1,650    3,848 
Metcalf   2,353    1,574    3,927 
Monroe   2,517    1,654    4,170 
Nathan   1,336    824    2,161 
Orland   1,985    1,533    3,518 
Parker   12,344    2,163    14,507 
Poshington   1,532    1,727    3,259 
Pumpkin   3,105    1,501    4,607 
Raider   2,155    1,631    3,786 
Rivendell   5,192    1,051    6,244 
Rosalee   12    -    12 
Rucker   2,029    1,864    3,893 
Sambino   2,104    1,380    3,484 
Sandpiper   1,883    1,782    3,665 
Scarlett   8,364    1,999    10,362 
Sinalda   829    1,772    2,601 
Stonemill   1,857    1,781    3,638 
Targaryen   2,584    1,784    4,368 
Terrien   7,283    1,904    9,187 
Tilly   1,960    1,609    3,569 
Troncos   1,970    1,598    3,568 
Tully   3,455    2,192    5,647 
Tyrell   1,843    1,479    3,322 
Vega   1,649    1,783    3,432 
Wasilla   1,355    2,169    3,524 
Wendover   2,032    1,718    3,750 
Wesley   2,233    1,194    3,426 
Whippoorwill   2,770    1,711    4,481 
Wildcat   1,773    1,472    3,245 
William   5,831    1,521    7,352 
Windgate   1,880    1,390    3,270 
Wyndsong   2,090    1,636    3,726 
   $187,080   $110,230   $297,311 

 

28

 

Other Expenses

 

During the period between January 1, 2026 and February 28, 2026, certain series incurred interest expenses. The following table summarizes the total of such expenses incurred by each series. For the avoidance of doubt, the below amounts are unaudited.

 

OTHER EXPENSES 
Series Name  February 28,
2026		 
Adela  $- 
Adler   - 
Alex   - 
Ameris   - 
Arbolado   - 
Arthur   4,322 
Ashland   - 
Belleglade   - 
Blair   1,989 
Briarmanor   - 
Caldwell   2,983 
Camila   2,705 
Camphor   - 
Chalkstone   3,954 
Chesterton   - 
Chloe   3,293 
Clark   - 
Cyrus   - 
Evie   - 
Farinosa   3,445 
Fizzy   - 
Fortress   - 
Galleta   - 
Gavin   3,911 
Gerardo   - 
Goldfinger   - 
Goshen   4,052 
Gracianna   1,666 
Hendricks   - 
Kitsune   3,705 
Lancer   1,482 
Lenka   - 
Liam   - 
Lilinoe   - 
Lois   - 
Lucky   3,911 
Marilyn   - 
Metcalf   - 
Monroe   - 
Nathan   - 
Orland   3,445 
Parker   4,084 
Poshington   - 
Pumpkin   - 
Raider   - 
Rivendell   264 
Rosalee   - 
Rucker   4,133 
Sambino   - 
Sandpiper   - 
Scarlett   - 
Sinalda   - 
Stonemill   - 
Targaryen   - 
Terrien   - 
Tilly   - 
Troncos   - 
Tully   - 
Tyrell   - 
Vega   - 
Wasilla   - 
Wendover   - 
Wesley   - 
Whippoorwill   - 
Wildcat   - 
William   2,067 
Windgate   - 
Wyndsong   - 
      
   $55,411 

29

 

 

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, 2026. For the avoidance of doubt, the below amounts are unaudited.

 

Cash & Cash Equivalents
     
Series Name  February 28,
2026		 
Adela  $11,241 
Adler   28,186 
Alex   23,043 
Ameris   17,280 
Arbolado   21,086 
Arthur   - 
Ashland   21,324 
Belleglade   23,061 
Blair   23,041 
Briarmanor   25,754 
Caldwell   - 
Camila   40,592 
Camphor   8,035 
Chalkstone   - 
Chesterton   27,267 
Chloe   - 
Clark   9,981 
Cyrus   24,714 
Evie   7,846 
Farinosa   - 
Fizzy   26,119 
Fortress   17,761 
Galleta   23,684 
Gavin   - 
Gerardo   24,002 
Goldfinger   30,983 
Goshen   - 
Gracianna   24,190 

 

30

 

Cash & Cash Equivalents
     
Series Name  February 28,
2026		 
Hendricks             17,611 
Kitsune   - 
Lancer   - 
Lenka   15,677 
Liam   17,714 
Lilinoe   26,890 
Lois   12,648 
Lucky   - 
Marilyn   25,603 
Metcalf   19,762 
Monroe   15,983 
Nathan   10,965 
Orland   - 
Parker   - 
Poshington   41,989 
Pumpkin   21,732 
Raider   23,846 
Rivendell   15,766 
Rosalee   - 
Rucker   - 
Sambino   11,855 
Sandpiper   29,805 
Scarlett   20,914 
Sinalda   23,709 
Stonemill   21,843 
Targaryen   25,645 
Terrien   22,774 
Tilly   13,744 
Troncos   22,547 
Tully   30,692 
Tyrell   25,447 
Vega   29,232 
Wasilla   25,655 
Wendover   20,771 
Wesley   14,055 
Whippoorwill   22,861 
Wildcat   19,099 
William   22,767 
Windgate   21,132 
Wyndsong   21,547 
   $1,171,471 

 

31

 

Item 3. Directors AND Officers

 

General

 

The manager of our Company is Arrived Fund Manager, LLC, a Delaware limited liability company whose sole member is Arrived Holdings, Inc., a Delaware corporation. 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   37   Chief Executive Officer and Director   Chief Executive Officer, President and Director
Sue Korn   56   Chief Financial Officer   Chief Financial Officer
Kenneth Cason   39   Chief Technology Officer and Director   Chief Technology Officer and Director
Alejandro Chouza   45   Chief Operating Officer   Chief Operating Officer

 

(1) The terms in office of each officer began upon the organization of our Company on July 12, 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.

 

32

 

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.

 

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 alumnus 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.

 

33

 

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.

 

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.

 

34

 

Manager Affiliates

 

Our manager controls nine 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 3, LLC – Arrived Homes 3, LLC was formed on January 4, 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 3, 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 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.

 

Arrived Seattle Fund, LLC – Arrived Seattle Fund, LLC was formed on February 25, 2025 as a Delaware limited liability company to invest in and manage a diversified portfolio of real estate properties located in the Seattle/Tacoma, Washington area, and real estate credit investments.

 

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.

 

35

 

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.

 

As of April 20, 2026, no executive officers and directors beneficially own more than 10% of any series of our Company. Additionally, as of April 20, 2026 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 July 2024, 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 offering circular contained in Post-Qualification Amendment No. 10 to our Offering Statement on Form 1-A 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.

 

36

 

Item 7. Financial Statements

 

ARRIVED HOMES 5, LLC AND ITS SERIES

 

CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS

 

DECEMBER 31, 2025 AND 2024

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (PCAOB ID #03523)   F-2
CONSOLIDATED AND CONSOLIDATING BALANCE SHEET AS OF DECEMBER 31, 2025   F-3
CONSOLIDATED AND CONSOLIDATING BALANCE SHEET AS OF DECEMBER 31, 2024   F-11
CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS FOR THE YEAR ENDED DECEMBER 31, 2025   F-12
CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS FOR THE PERIOD JULY 12, 2024 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2024   F-20
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT) FOR THE YEAR ENDED DECEMBER 31, 2025   F-21
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT) FOR THE PERIOD JULY 12, 2024 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2024   F-23
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2025   F-24
CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS FOR THE PERIOD JULY 12, 2024 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2024   F-32
NOTES TO CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS   F-33 to F-49

 

F-1

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Manager and Members of
Arrived Homes 5, LLC

Seattle, Washington

 

Opinion on the Consolidated and Consolidating Financial Statements

 

We have audited the accompanying consolidated and consolidating balance sheets of Arrived Homes 5, LLC and its series (the Company) as of December 31, 2025 and 2024, and the related consolidated and consolidating statements of comprehensive loss, changes in members’ equity (deficit), and cash flows for the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through 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, 2025 and 2024, and the results of their operations and their cash flows for the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, in conformity with accounting principles generally accepted in the United States of America.

 

Substantial Doubt About the Company’s Ability to Continue as a 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 audits. 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 audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits 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 audits, 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 audits 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 audits 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 audits provide a reasonable basis for our opinion.

 

/s/ Stephano Slack LLC

 

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

 

Wayne, Pennsylvania

April 30, 2026

 

F-2

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2025

 

 

   Adela   Adler   Alex   Ameris   Arbolado   Arthur   Ashland   Belleglade 
ASSETS                                
Current assets:                                
Cash  $11,889   $28,657   $24,582   $12,360   $21,870   $-   $22,920   $23,574 
Other receivables   -    -    -    -    -    -    -    - 
Due from related parties   -    -    -    -    -    -    -    - 
Due from (to) third party property manager   5,475    4,388    4,502    4,921    4,402    -    4,782    5,582 
Total current assets   17,364    33,045    29,084    17,280    26,272    -    27,702    29,156 
Property and equipment, net   233,200    355,455    342,102    248,530    335,236    423,368    343,714    370,758 
Total assets  $250,564   $388,500   $371,186   $265,811   $361,508   $423,368   $371,416   $399,914 
                                         
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                        
Current liabilities:                                        
Accrued expenses  $1,126   $5,519   $3,110   $1,125   $3,305   $20,676   $4,428   $1,512 
Tenant deposits   4,000    2,345    2,345    -    2,345    -    2,395    2,995 
Due to (from) related parties   924    1,509    1,846    1,475    929    24,375    759    1,819 
Total current liabilities   6,051    9,373    7,301    2,599    6,580    45,051    7,582    6,326 
Bridge financing, related party   -    -    -    -    -    399,000    -    - 
Total liabilities   6,051    9,373    7,301    2,599    6,580    444,051    7,582    6,326 
Members’ equity (deficit)                                        
Members’ capital   261,484    391,175    375,923    273,963    374,833    -    376,833    403,668 
Accumulated deficit   (16,971)   (12,048)   (12,038)   (10,752)   (19,905)   (20,683)   (12,999)   (10,080)
Total members’ equity (deficit)   244,513    379,127    363,885    263,211    354,928    (20,683)   363,834    393,588 
Total liabilities and members’ equity (deficit)  $250,564   $388,500   $371,186   $265,811   $361,508   $423,368   $371,416   $399,914 

 

F-3

 

   Blair   Briarmanor   Caldwell   Camila   Camphor   Chalkstone   Chesterton   Chloe 
ASSETS                                
Current assets:                                
Cash  $8,474   $25,595   $-   $6,067   $9,075   $-   $29,396   $- 
Other receivables   -    -    -    -    -    -    1,793    - 
Due from related parties   -    -    -    -    -    -    -    - 
Due from (to) third party property manager   3,929    5,697    -    4,530    3,356    -    4,585    - 
Total current assets   12,403    31,291    -    10,597    12,431    -    35,774    - 
Property and equipment, net   346,440    403,513    289,618    380,485    266,050    397,735    533,382    320,123 
Total assets  $358,843   $434,804   $289,618   $391,081   $278,481   $397,735   $569,156   $320,123 
                                         
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                        
Current liabilities:                                        
Accrued expenses  $17,328   $2,024   $7,130   $14,864   $1,448   $30,602   $247   $8,786 
Tenant deposits   1,995    3,095    -    2,295    1,745    -    2,895    - 
Due to (from) related parties   31,170    5,421    15,760    49,635    2,068    16,377    1,019    20,989 
Total current liabilities   50,492    10,540    22,890    66,795    5,261    46,979    4,161    29,774 
Bridge financing, related party   227,000    -    275,372    356,675    -    365,000    -    304,000 
Total liabilities   277,492    10,540    298,262    423,470    5,261    411,979    4,161    333,774 
Members’ equity (deficit)                                        
Members’ capital   109,656    447,814    -    -    287,349    -    596,654    - 
Accumulated deficit   (28,305)   (23,550)   (8,644)   (32,388)   (14,129)   (14,244)   (31,659)   (13,651)
Total members’ equity (deficit)   81,350    424,264    (8,644)   (32,388)   273,220    (14,244)   564,995    (13,651)
Total liabilities and members’ equity (deficit)  $358,843   $434,804   $289,618   $391,081   $278,481   $397,735   $569,156   $320,123 

 

F-4

 

   Clark   Cyrus   Evie   Farinosa   Fizzy   Fortress   Galleta   Gavin 
ASSETS                                
Current assets:                                
Cash  $10,711   $25,719   $9,070   $-   $27,842   $18,995   $24,285   $- 
Other receivables   -    -    -    -    -    -    -    - 
Due from related parties   -    -    -    -    -    -    -    - 
Due from (to) third party property manager   4,003    3,596    3,817    -    4,526    5,132    3,320    - 
Total current assets   14,714    29,314    12,887    -    32,368    24,127    27,605    - 
Property and equipment, net   312,590    385,751    256,721    332,333    366,699    361,619    290,558    388,152 
Total assets  $327,304   $415,065   $269,607   $332,333   $399,067   $385,746   $318,163   $388,152 
                                         
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                        
Current liabilities:                                        
Accrued expenses  $5,541   $2,809   $1,465   $3,166   $4,172   $4,270   $4,898   $10,571 
Tenant deposits   2,095    1,795    2,045    -    2,445    2,895    1,695    - 
Due to (from) related parties   1,817    980    1,811    14,783    765    1,561    423    22,878 
Total current liabilities   9,453    5,584    5,321    17,949    7,382    8,726    7,016    33,448 
Bridge financing, related party   -    -    -    318,000    -    -    -    361,000 
Total liabilities   9,453    5,584    5,321    335,949    7,382    8,726    7,016    394,448 
Members’ equity (deficit)                                        
Members’ capital   348,622    432,097    281,757    -    404,026    397,513    329,585    - 
Accumulated deficit   (30,771)   (22,617)   (17,471)   (3,617)   (12,341)   (20,493)   (18,438)   (6,297)
Total members’ equity (deficit)   317,851    409,480    264,286    (3,617)   391,685    377,020    311,147    (6,297)
Total liabilities and members’ equity (deficit)  $327,304   $415,065   $269,607   $332,333   $399,067   $385,746   $318,163   $388,152 

 

F-5

 

   Gerardo   Goldfinger   Goshen   Gracianna   Hendricks   Kitsune   Lenka   Liam 
ASSETS                                
Current assets:                                
Cash  $25,821   $33,424   $-   $-   $18,831   $-   $17,307   $18,887 
Other receivables   -    -    -    -    -    -    -    - 
Due from related parties   -    -    -    -    -    -    -    - 
Due from (to) third party property manager   5,145    3,699    -    4,129    4,611    -    4,371    6,239 
Total current assets   30,966    37,123    -    4,129    23,442    -    21,678    25,126 
Property and equipment, net   366,532    535,379    404,587    339,779    246,537    363,184    325,980    425,628 
Total assets  $397,498   $572,502   $404,587   $343,909   $269,979   $363,184   $347,657   $450,754 
                                         
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                        
Current liabilities:                                        
Accrued expenses  $4,431   $3,534   $16,465   $13,160   $3,991   $4,908   $1,302   $1,875 
Tenant deposits   2,795    2,495    -    2,195    2,495    -    2,495    3,395 
Due to (from) related parties   1,390    3,009    24,055    37,580    987    21,795    1,744    2,266 
Total current liabilities   8,616    9,037    40,519    52,935    7,473    26,703    5,541    7,536 
Bridge financing, related party   -    -    374,000    318,000    -    342,000    -    - 
Total liabilities   8,616    9,037    414,519    370,935    7,473    368,703    5,541    7,536 
Members’ equity (deficit)                                        
Members’ capital   397,621    587,722    -    -    278,548    -    351,582    460,737 
Accumulated deficit   (8,740)   (24,258)   (9,932)   (27,026)   (16,042)   (5,519)   (9,465)   (17,519)
Total members’ equity (deficit)   388,881    563,464    (9,932)   (27,026)   262,506    (5,519)   342,116    443,218 
Total liabilities and members’ equity (deficit)  $397,498   $572,502   $404,587   $343,909   $269,979   $363,184   $347,657   $450,754 

 

F-6

 

   Lilinoe   Lois   Lucky   Marilyn   Metcalf   Monroe   Nathan   Orland 
ASSETS                                
Current assets:                                
Cash  $27,612   $13,807   $-   $27,116   $21,624   $17,621   $11,052   $- 
Other receivables   -    -    -    -    -    -    -    - 
Due from related parties   -    -    -    -    -    -    -    - 
Due from (to) third party property manager   5,239    5,013    -    4,315    4,876    2,980    3,791    - 
Total current assets   32,851    18,820    -    31,430    26,499    20,602    14,843    - 
Property and equipment, net   370,031    317,637    381,958    359,427    306,818    359,920    178,525    336,654 
Total assets  $402,883   $336,457   $381,958   $390,858   $333,318   $380,521   $193,368   $336,654 
                                         
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                        
Current liabilities:                                        
Accrued expenses  $2,126   $5,541   $9,738   $3,176   $4,010   $3,175   $3,995   $2,304 
Tenant deposits   2,595    2,695    -    2,295    2,695    2,095    2,443    - 
Due to (from) related parties   6,929    2,368    21,607    957    1,490    645    665    19,059 
Total current liabilities   11,650    10,604    31,345    6,428    8,195    5,915    7,103    21,363 
Bridge financing, related party   -    -    361,000    -    -    -    -    318,000 
Total liabilities   11,650    10,604    392,345    6,428    8,195    5,915    7,103    339,363 
Members’ equity (deficit)                                        
Members’ capital   405,303    338,825    -    397,390    329,641    407,576    201,553    - 
Accumulated deficit   (14,070)   (12,971)   (10,387)   (12,960)   (4,518)   (32,970)   (15,288)   (2,710)
Total members’ equity (deficit)   391,233    325,853    (10,387)   384,429    325,123    374,606    186,265    (2,710)
Total liabilities and members’ equity (deficit)  $402,883   $336,457   $381,958   $390,858   $333,318   $380,521   $193,368   $336,654 

 

F-7

 

   Parker   Poshington   Pumpkin   Raider   Rivendell   Rucker   Sambino   Sandpiper   Scarlett 
ASSETS                                    
Current assets:                                    
Cash  $-   $44,001   $23,269   $25,748   $-   $-   $13,382   $30,985   $22,733 
Other receivables   -    -    -    -    -    -    -    -    - 
Due from related parties   -    -    -    -    -    -    -    -    - 
Due from (to) third party property manager   -    4,745    4,697    5,986    1,685    -    4,453    3,762    5,079 
Total current assets   -    48,746    27,965    31,733    1,685    -    17,835    34,747    27,812 
Property and equipment, net   406,222    380,399    321,805    360,094    235,366    408,886    295,146    387,484    432,306 
Total assets  $406,222   $429,145   $349,771   $391,827   $237,050   $408,886   $312,981   $422,231   $460,117 
                                              
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                             
Current liabilities:                                             
Accrued expenses  $16,537   $2,363   $4,451   $2,981   $6,081   $3,428   $2,867   $3,625   $1,220 
Tenant deposits   -    2,395    2,545    2,995    1,645    -    2,645    1,895    2,795 
Due to (from) related parties   22,298    1,384    1,863    1,289    35,472    29,450    1,861    800    1,161 
Total current liabilities   38,835    6,142    8,859    7,265    43,198    32,878    7,373    6,320    5,177 
Bridge financing, related party   377,000    -    -    -    209,305    381,495    -    -    - 
Total liabilities   415,835    6,142    8,859    7,265    252,503    414,373    7,373    6,320    5,177 
Members’ equity (deficit)                                             
Members’ capital   -    438,296    348,221    397,506    -    -    321,592    431,645    482,495 
Accumulated deficit   (9,613)   (15,293)   (7,309)   (12,944)   (15,453)   (5,487)   (15,984)   (15,734)   (27,555)
Total members’ equity (deficit)   (9,613)   423,003    340,912    384,562    (15,453)   (5,487)   305,608    415,911    454,941 
Total liabilities and members’ equity (deficit)  $406,222   $429,145   $349,771   $391,827   $237,050   $408,886   $312,981   $422,231   $460,117 

 

F-8

 

   Sinalda   Stonemill   Targaryen   Terrien   Tilly   Troncos   Tully   Tyrell   Vega 
ASSETS                                    
Current assets:                                    
Cash  $22,173   $20,403   $26,626   $24,162   $14,515   $23,826   $31,158   $27,017   $30,227 
Other receivables   -    -    -    -    -    -    -    -    - 
Due from related parties   -    2,207    -    -    -    -    -    -    - 
Due from (to) third party property manager   7,937    4,797    5,382    4,575    3,867    4,087    6,691    3,667    4,870 
Total current assets   30,110    27,407    32,008    28,737    18,382    27,912    37,850    30,684    35,097 
Property and equipment, net   381,572    385,942    386,377    414,103    312,120    343,241    473,187    318,510    385,751 
Total assets  $411,682   $413,349   $418,385   $442,840   $330,502   $371,153   $511,036   $349,194   $420,848 
                                              
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                             
Current liabilities:                                             
Accrued expenses  $4,884   $2,922   $2,719   $3,229   $3,646   $4,253   $6,375   $4,199   $2,448 
Tenant deposits   3,293    2,545    2,695    2,595    2,195    2,395    3,893    2,095    2,695 
Due to (from) related parties   2,109    -    2,982    693    1,191    1,571    2,222    1,481    1,639 
Total current liabilities   10,286    5,467    8,396    6,517    7,032    8,219    12,490    7,776    6,782 
Bridge financing, related party   -    -    -    -    -    -    -    -    - 
Total liabilities   10,286    5,467    8,396    6,517    7,032    8,219    12,490    7,776    6,782 
Members’ equity (deficit)                                             
Members’ capital   418,910    435,196    416,333    452,333    344,435    379,436    518,811    349,449    422,109 
Accumulated deficit   (17,514)   (27,313)   (6,345)   (16,010)   (20,965)   (16,502)   (20,265)   (8,031)   (8,043)
Total members’ equity (deficit)   401,396    407,882    409,989    436,323    323,470    362,934    498,546    341,418    414,066 
Total liabilities and members’ equity (deficit)  $411,682   $413,349   $418,385   $442,840   $330,502   $371,153   $511,036   $349,194   $420,848 

 

F-9

 

   Wasilla   Wendover   Wesley   Whippoorwill   Wildcat   William   Windgate   Wyndsong   Consolidated 
ASSETS                                    
Current assets:                                    
Cash  $27,566   $21,765   $14,087   $25,111   $20,748   $-   $22,600   $23,052   $1,109,334 
Other receivables   -    -    -    -    -    -    -    -    1,793 
Due from related parties   -    -    -    -    -    -    -    -    2,207 
Due from (to) third party property manager   4,920    4,807    4,017    7,097    5,070    1,393    6,221    4,334    249,089 
Total current assets   32,486    26,571    18,104    32,209    25,818    1,393    28,821    27,386    1,362,424 
Property and equipment, net   412,935    372,100    261,398    370,482    320,011    333,169    300,123    354,772    23,256,206 
Total assets  $445,421   $398,672   $279,502   $402,691   $345,829   $334,562   $328,944   $382,158   $24,618,630 
                                              
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                                             
Current liabilities:                                             
Accrued expenses  $1,343   $1,330   $1,815   $3,953   $3,528   $11,125   $4,636   $1,396   $351,208 
Tenant deposits   2,495    2,495    2,145    5,240    2,795    2,400    4,190    2,195    137,379 
Due to (from) related parties   1,712    1,247    1,991    1,432    875    22,190    1,304    4,451    512,307 
Total current liabilities   5,550    5,072    5,951    10,625    7,199    35,715    10,130    8,042    1,000,895 
Bridge financing, related party   -    -    -    -    -    318,000    -    -    5,604,847 
Total liabilities   5,550    5,072    5,951    10,625    7,199    353,715    10,130    8,042    6,605,742 
Members’ equity (deficit)                                             
Members’ capital   456,261    407,203    290,564    406,069    351,219    -    328,753    402,493    19,048,781 
Accumulated deficit   (16,390)   (13,604)   (17,012)   (14,004)   (12,589)   (19,153)   (9,939)   (28,377)   (1,035,893)
Total members’ equity (deficit)   439,871    393,600    273,552    392,066    338,630    (19,153)   318,814    374,117    18,012,888 
Total liabilities and members’ equity (deficit)  $445,421   $398,672   $279,502   $402,691   $345,829   $334,562   $328,944   $382,158   $24,618,630 

 

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

 

F-10

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2024

 

 

 

   Clark   Lois   Sambino   Consolidated 
ASSETS                
Current assets:                
Cash  $-   $18,879   $-   $18,879 
Due from related parties   -    698    -    698 
Due from (to) third party property manager   -    4,474    -    4,474 
Total current assets   -    24,051    -    24,051 
Property and equipment, net   321,327    326,737    302,738    950,802 
Total assets  $321,327   $350,788   $302,738   $974,854 
                     
LIABILITIES AND MEMBERS’ EQUITY (DEFICIT)                    
Current liabilities:                    
Accrued expenses  $14,246   $8,970   $8,885   $32,101 
Tenant deposits   -    2,695    -    2,695 
Due to (from) related parties   8,067    -    21,995    30,061 
Total current liabilities   22,313    11,665    30,880    64,857 
Bridge financing, related party   313,000    -    281,847    594,847 
Total liabilities   335,313    11,665    312,727    659,704 
Members’ equity (deficit)                    
Members’ capital   6,390    356,668    -    363,059 
Accumulated deficit   (20,376)   (17,545)   (9,988)   (47,909)
Total members’ equity (deficit)   (13,986)   339,123    (9,988)   315,149 
Total liabilities and members’ equity (deficit)  $321,327   $350,788   $302,738   $974,854 

 

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

 

F-11

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS

FOR THE YEAR ENDED DECEMBER 31, 2025

 

 

   Adela   Adler   Alex   Ameris   Arbolado   Arthur   Ashland   Belleglade 
                                 
Rental income  $10,020   $15,759   $13,510   $18,696   $12,720   $-   $11,736   $19,342 
                                         
Operating expenses:                                        
Depreciation   3,769    5,726    7,148    4,603    5,423    -    3,163    6,883 
Insurance   1,556    887    1,223    1,795    808    252    700    1,195 
Management fees   1,405    843    545    1,573    984    1,417    1,146    858 
Management fees, related party   1,075    1,931    2,067    1,896    1,178    -    1,002    2,487 
Repairs and maintenance   9,219    2,843    1,153    9,277    5,291    14,171    7,442    3,047 
Property taxes   21    3,960    2,393    32    3,386    392    692    4,344 
Other operating expenses   6,576    6,302    7,427    7,004    6,133    1,930    6,034    6,247 
Total operating expenses   23,622    22,492    21,955    26,181    23,203    18,162    20,178    25,061 
Loss from operations   (13,602)   (6,733)   (8,444)   (7,485)   (10,483)   (18,162)   (8,442)   (5,719)
                                         
Other expense (income)                                        
Interest expense   3,369    5,315    3,594    3,267    9,422    2,521    4,565    4,361 
Total other expense   3,369    5,315    3,594    3,267    9,422    2,521    4,557    4,361 
Net loss  $(16,971)  $(12,048)  $(12,038)  $(10,752)  $(19,905)  $(20,683)  $(12,999)  $(10,080)

 

F-12

 

   Blair   Briarmanor   Caldwell   Camila   Camphor   Chalkstone   Chesterton   Chloe 
                                 
Rental income  $7,249   $13,930   $-   $10,787   $12,971   $-   $2,895   $- 
                                         
Operating expenses:                                        
Depreciation   4,795    6,799    -    5,076    6,587    228    6,137    730 
Insurance   819    1,056    175    752    1,101    116    1,026    301 
Management fees   1,178    2,113    356    3,774    1,709    2,235    763    635 
Management fees, related party   650    1,508    -    454    1,680    -    969    - 
Repairs and maintenance   7,770    5,656    2,735    17,457    4,611    7,838    4,940    5,278 
Property taxes   1,114    3,610    264    1,016    476    -    897    587 
Other operating expenses   5,361    6,726    3,374    3,375    8,114    2,445    6,446    2,279 
Total operating expenses   21,686    27,470    6,904    31,905    24,278    12,860    21,176    9,809 
Loss from operations   (14,438)   (13,539)   (6,904)   (21,118)   (11,307)   (12,860)   (18,281)   (9,809)
                                         
Other expense (income)                                        
Interest expense   13,868    10,017    1,740    11,270    2,831    1,384    13,378    3,842 
Total other expense   13,868    10,011    1,740    11,270    2,822    1,384    13,378    3,842 
Net loss  $(28,305)  $(23,550)  $(8,644)  $(32,388)  $(14,129)  $(14,244)  $(31,659)  $(13,651)

 

F-13

 

   Clark   Cyrus   Evie   Farinosa   Fizzy   Fortress   Galleta   Gavin 
                                 
Rental income  $18,973   $7,180   $11,163   $-   $11,544   $18,012   $2,373   $- 
                                         
Operating expenses:                                        
Depreciation   8,738    6,239    3,555    -    3,374    7,776    3,345    85 
Insurance   1,083    893    790    101    646    1,070    640    114 
Management fees   1,015    574    1,707    -    774    2,459    444    657 
Management fees, related party   2,355    1,077    1,155    -    1,088    2,141    358    - 
Repairs and maintenance   2,446    1,105    12,056    -    3,501    10,886    1,140    915 
Property taxes   3,547    1,845    339    285    721    2,391    281    268 
Other operating expenses   9,141    7,848    6,278    2,025    6,375    6,529    7,039    2,563 
Total operating expenses   28,325    19,581    25,879    2,411    16,480    33,251    13,247    4,602 
Loss from operations   (9,352)   (12,401)   (14,717)   (2,411)   (4,936)   (15,240)   (10,874)   (4,602)
                                         
Other expense (income)                                        
Interest expense   1,044    10,215    2,754    1,206    7,408    5,254    7,564    1,695 
Total other expense   1,044    10,215    2,754    1,206    7,405    5,254    7,564    1,695 
Net loss  $(10,395)  $(22,617)  $(17,471)  $(3,617)  $(12,341)  $(20,493)  $(18,438)  $(6,297)

 

F-14

 

   Gerardo   Goldfinger   Goshen   Gracianna   Hendricks   Kitsune   Lenka   Liam 
                                 
Rental income  $15,477   $18,214   $-   $2,415   $11,929   $-   $21,041   $25,229 
                                         
Operating expenses:                                        
Depreciation   5,082    12,435    125    2,646    3,408    -    6,827    8,919 
Insurance   830    1,756    237    1,152    918    108    1,407    1,458 
Management fees   935    1,031    1,076    1,781    1,556    96    1,055    1,794 
Management fees, related party   1,736    3,657    -    106    1,261    -    2,538    3,323 
Repairs and maintenance   4,350    2,866    3,283    11,298    10,565    530    3,880    11,778 
Property taxes   1,341    4,531    361    1,228    1,498    192    3,627    4,002 
Other operating expenses   6,414    10,704    2,487    3,594    6,069    2,865    7,495    7,111 
Total operating expenses   20,688    36,980    7,568    21,804    25,276    3,790    26,829    38,385 
Loss from operations   (5,211)   (18,766)   (7,568)   (19,390)   (13,347)   (3,790)   (5,788)   (13,156)
                                         
Other expense (income)                                        
Interest expense   3,537    5,491    2,364    7,637    2,696    1,729    3,677    4,363 
Total other expense   3,529    5,491    2,364    7,637    2,696    1,729    3,677    4,363 
Net loss  $(8,740)  $(24,258)  $(9,932)  $(27,026)  $(16,042)  $(5,519)  $(9,465)  $(17,519)

 

F-15

 

   Lilinoe   Lois   Lucky   Marilyn   Metcalf   Monroe   Nathan   Orland 
                                 
Rental income  $18,338   $26,765   $-   $12,011   $17,212   $2,095   $4,259   $- 
                                         
Operating expenses:                                        
Depreciation   5,988    9,100    -    4,126    5,682    4,134    2,473    - 
Insurance   1,612    1,083    228    830    1,010    832    551    101 
Management fees   1,166    864    447    967    1,051    1,230    912    - 
Management fees, related party   2,276    3,131    -    1,298    2,038    645    653    - 
Repairs and maintenance   4,619    240    4,309    4,897    2,253    8,149    4,772    - 
Property taxes   5,291    3,547    458    1,257    2,208    1,257    1,980    - 
Other operating expenses   5,997    4,226    2,665    6,232    5,739    6,898    6,323    2,494 
Total operating expenses   26,949    22,191    8,106    19,606    19,982    23,144    17,663    2,595 
Loss from operations   (8,611)   4,574    (8,106)   (7,596)   (2,770)   (21,049)   (13,404)   (2,595)
                                         
Other expense (income)                                        
Interest expense   5,468    -    2,281    5,372    1,748    11,929    1,884    115 
Total other expense   5,459    -    2,281    5,364    1,748    11,921    1,884    115 
Net loss  $(14,070)  $4,574   $(10,387)  $(12,960)  $(4,518)  $(32,970)  $(15,288)  $(2,710)

 

F-16

 

   Parker   Poshington   Pumpkin   Raider   Rivendell   Rucker   Sambino   Sandpiper   Scarlett 
                                     
Rental income  $-   $14,117   $23,045   $14,975   $1,278   $-   $23,252   $6,885   $14,539 
                                              
Operating expenses:                                             
Depreciation   122    5,719    7,507    4,535    1,577    -    7,592    4,456    6,996 
Insurance   119    833    1,312    775    821    122    1,326    653    1,029 
Management fees   1,141    1,916    991    1,635    621    -    853    454    1,711 
Management fees, related party   -    1,755    2,775    1,578    32    -    2,810    750    1,464 
Repairs and maintenance   4,115    7,873    2,907    6,990    3,611    -    415    580    11,214 
Property taxes   246    1,262    2,877    1,857    483    105    3,080    2,153    264 
Other operating expenses   1,965    5,892    8,271    6,164    4,823    3,814    9,943    7,075    6,312 
Total operating expenses   7,707    25,250    26,640    23,535    11,969    4,041    26,018    16,121    28,989 
Loss from operations   (7,707)   (11,133)   (3,594)   (8,560)   (10,691)   (4,041)   (2,766)   (9,236)   (14,450)
                                              
Other expense (income)                                             
Interest expense   1,906    4,160    3,728    4,384    4,762    1,446    3,230    6,498    13,104 
Total other expense   1,906    4,160    3,715    4,384    4,762    1,446    3,230    6,498    13,104 
Net loss  $(9,613)  $(15,293)  $(7,309)  $(12,944)  $(15,453)  $(5,487)  $(5,996)  $(15,734)  $(27,555)

 

F-17

 

   Sinalda   Stonemill   Targaryen   Terrien   Tilly   Troncos   Tully   Tyrell   Vega 
                                     
Rental income  $13,975   $11,213   $20,302   $9,519   $11,999   $17,505   $16,319   $15,363   $15,865 
                                              
Operating expenses:                                             
Depreciation   7,972    5,342    6,244    3,808    5,723    7,992    8,768    5,916    6,239 
Insurance   1,201    982    1,074    817    953    1,100    1,882    991    893 
Management fees   873    1,312    781    476    2,624    908    845    700    639 
Management fees, related party   2,348    1,047    2,422    895    1,458    2,170    2,668    1,969    2,149 
Repairs and maintenance   2,356    8,693    2,211    1,289    7,096    2,627    4,073    1,225    785 
Property taxes   3,565    1,148    4,792    623    2,613    2,693    5,292    1,901    1,242 
Other operating expenses   9,945    6,512    5,822    7,661    7,238    8,343    6,835    6,889    6,565 
Total operating expenses   28,260    25,036    23,347    15,570    27,705    25,833    30,364    19,591    18,512 
Loss from operations   (14,285)   (13,823)   (3,044)   (6,050)   (15,705)   (8,328)   (14,045)   (4,228)   (2,647)
                                              
Other expense (income)                                             
Interest expense   3,229    13,496    3,300    9,960    5,260    8,174    6,220    3,803    5,396 
Total other expense   3,229    13,491    3,300    9,960    5,260    8,174    6,220    3,803    5,396 
Net loss  $(17,514)  $(27,313)  $(6,345)  $(16,010)  $(20,965)  $(16,502)  $(20,265)  $(8,031)  $(8,043)

 

F-18

 

   Wasilla   Wendover   Wesley   Whippoorwill   Wildcat   William   Windgate   Wyndsong   Consolidated 
                                     
Rental income  $14,554   $13,057   $4,800   $14,700   $11,256   $725   $15,294   $9,512   $707,891 
                                              
Operating expenses:                                             
Depreciation   8,825    5,155    1,194    5,134    2,945    1,521    4,865    4,908    302,175 
Insurance   1,221    2,602    782    1,143    698    488    809    929    58,763 
Management fees   1,253    664    1,237    1,137    1,126    852    1,092    2,054    73,016 
Management fees, related party   2,101    1,586    428    1,777    1,110    -    1,742    1,320    86,089 
Repairs and maintenance   2,054    2,190    8,818    5,748    7,840    6,226    5,020    15,974    340,492 
Property taxes   1,479    2,330    716    1,886    727    921    2,457    2,021    114,375 
Other operating expenses   6,275    6,607    6,030    6,907    6,277    3,840    6,178    5,880    388,947 
Total operating expenses   23,207    21,133    19,204    23,731    20,724    13,849    22,163    33,086    1,363,858 
Loss from operations   (8,653)   (8,076)   (14,404)   (9,031)   (9,468)   (13,124)   (6,869)   (23,574)   (655,967)
                                              
Other expense (income)                                             
Interest expense   7,738    5,528    2,608    4,986    3,129    6,029    3,070    4,802    332,115 
Total other expense   7,738    5,528    2,608    4,973    3,121    6,029    3,070    4,802    332,017 
Net loss  $(16,390)  $(13,604)  $(17,012)  $(14,004)  $(12,589)  $(19,153)  $(9,939)  $(28,377)  $(987,984)

 

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

 

F-19

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF COMPREHENSIVE LOSS

FOR THE PERIOD JULY 12, 2024 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2024

 

 

   Clark   Lois   Sambino   Consolidated 
                 
Rental income  $-   $5,837   $-   $5,837 
                     
Operating expenses:                    
Depreciation   1,456    1,486    -    2,943 
Insurance   297    297    -    594 
Management fees   381    1,096    106    1,582 
Management fees, related party   -    492    -    492 
Repairs and maintenance   3,805    4,115    1,060    8,981 
Property taxes   908    908    227    2,042 
Other operating expenses   7,139    9,967    6,951    24,057 
Total operating expenses   13,986    18,361    8,344    40,691 
Loss from operations   (13,986)   (12,524)   (8,344)   (34,854)
                     
Other expense                    
Interest expense   6,390    5,021    1,644    13,056 
Total other expense   6,390    5,021    1,644    13,056 
Net loss  $(20,376)  $(17,545)  $(9,988)  $(47,909)

 

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

 

F-20

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE YEAR ENDED DECEMBER 31, 2025

 

 

   Adela   Adler   Alex   Ameris   Arbolado   Arthur   Ashland   Belleglade 
                                 
Balance at January 1, 2025  $-   $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   262,248    394,425    380,050    279,041    370,244    -    376,172    409,937 
Deemed contribution from manager   3,369    5,315    3,594    3,267    9,422    -    4,565    4,361 
Distributions   (4,133)   (8,565)   (7,721)   (8,344)   (4,833)   -    (3,903)   (10,630)
Net income (loss)   (16,971)   (12,048)   (12,038)   (10,752)   (19,905)   (20,683)   (12,999)   (10,080)
Balance at December 31, 2025  $244,513   $379,127   $363,885   $263,211   $354,928   $(20,683)  $363,834   $393,588 
                                 
   Blair   Briarmanor   Caldwell   Camila   Camphor   Chalkstone   Chesterton   Chloe 
                                 
Balance at January 1, 2025  $-   $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   110,256    443,591    -    -    292,218    -    583,276    - 
Deemed contribution from manager   -    10,017    -    -    2,831    -    13,378    - 
Distributions   (601)   (5,794)   -    -    (7,700)   -    -    - 
Net income (loss)   (28,305)   (23,550)   (8,644)   (32,388)   (14,129)   (14,244)   (31,659)   (13,651)
Balance at December 31, 2025  $81,350   $424,264   $(8,644)  $(32,388)  $273,220   $(14,244)  $564,995   $(13,651)
                                 
   Clark   Cyrus   Evie   Farinosa   Fizzy   Fortress   Galleta   Gavin 
                                 
Balance at January 1, 2025  $(13,986)  $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   353,969    425,515    285,983    -    400,126    401,935    322,022    - 
Deemed contribution from manager   -    10,215    2,754    -    7,408    5,254    7,564    - 
Distributions   (11,737)   (3,633)   (6,980)   -    (3,507)   (9,675)   -    - 
Net income (loss)   (10,395)   (22,617)   (17,471)   (3,617)   (12,341)   (20,493)   (18,438)   (6,297)
Balance at December 31, 2025  $317,851   $409,480   $264,286   $(3,617)  $391,685   $377,020   $311,147   $(6,297)
                                 
   Gerardo   Goldfinger   Goshen   Gracianna   Hendricks   Kitsune   Lenka   Liam 
                                 
Balance at January 1, 2025  $-   $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   401,812    591,504    -    -    281,069    -    360,526    470,558 
Deemed contribution from manager   3,537    5,491    -    -    2,696    -    3,677    4,363 
Distributions   (7,728)   (9,274)   -    -    (5,217)   -    (12,621)   (14,184)
Net income (loss)   (8,740)   (24,258)   (9,932)   (27,026)   (16,042)   (5,519)   (9,465)   (17,519)
Balance at December 31, 2025  $388,881   $563,464   $(9,932)  $(27,026)  $262,506   $(5,519)  $342,116   $443,218 
                                 
   Lilinoe   Lois   Lucky   Marilyn   Metcalf   Monroe   Nathan   Orland 
                                 
Balance at January 1, 2025  $-   $339,123   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   410,024    -    -    398,651    337,215    395,648    201,408    - 
Deemed contribution from manager   5,468    -    -    5,372    1,748    11,929    1,884    - 
Distributions   (10,189)   (17,844)   -    (6,633)   (9,322)   -    (1,739)   - 
Net income (loss)   (14,070)   4,574    (10,387)   (12,960)   (4,518)   (32,970)   (15,288)   (2,710)
Balance at December 31, 2025  $391,233   $325,853   $(10,387)  $384,429   $325,123   $374,606   $186,265   $(2,710)

 

F-21

 

   Parker   Poshington   Pumpkin   Raider   Rivendell   Rucker   Sambino   Sandpiper   Scarlett 
                                     
Balance at January 1, 2025  $-   $-   $-   $-   $-   $-   $(9,988)  $-   $- 
Issuance of membership units, net of offering costs   -    440,016    359,521    401,088    -    -    332,102    427,266    474,465 
Deemed contribution from manager   -    4,160    3,728    4,384    -    -    4,874    6,364    13,994 
Distributions   -    (5,879)   (15,028)   (7,967)   -    -    (15,384)   (1,985)   (5,963)
Net income (loss)   (9,613)   (15,293)   (7,309)   (12,944)   (15,453)   (5,487)   (5,996)   (15,734)   (27,555)
Balance at December 31, 2025  $(9,613)  $423,003   $340,912   $384,562   $(15,453)  $(5,487)  $305,608   $415,911   $454,941 
                                     
   Sinalda   Stonemill   Targaryen   Terrien   Tilly   Troncos   Tully   Tyrell   Vega 
                                     
Balance at January 1, 2025  $-   $-   $-   $-   $-   $-   $-   $-   $- 
Issuance of membership units, net of offering costs   422,948    424,734    424,311    444,831    342,766    381,859    520,752    354,803    425,168 
Deemed contribution from manager   3,229    13,496    3,300    9,960    5,260    8,174    6,220    3,803    5,396 
Distributions   (7,267)   (3,034)   (11,277)   (2,457)   (3,590)   (10,596)   (8,161)   (9,158)   (8,455)
Net income (loss)   (17,514)   (27,313)   (6,345)   (16,010)   (20,965)   (16,502)   (20,265)   (8,031)   (8,043)
Balance at December 31, 2025  $401,396   $407,882   $409,989   $436,323   $323,470   $362,934   $498,546   $341,418   $414,066 
                                     
   Wasilla   Wendover   Wesley   Whippoorwill   Wildcat   William   Windgate   Wyndsong   Consolidated 
                                     
Balance at January 1, 2025  $-   $-   $-   $-   $-   $-   $-   $-   $315,149 
Issuance of membership units, net of offering costs   456,161    407,756    289,048    408,857    352,738    -    333,979    401,942    18,766,533 
Deemed contribution from manager   7,738    5,528    2,608    4,986    3,129    -    3,070    4,802    267,677 
Distributions   (7,637)   (6,081)   (1,092)   (7,774)   (4,648)   -    (8,296)   (4,251)   (348,487)
Net income (loss)   (16,390)   (13,604)   (17,012)   (14,004)   (12,589)   (19,153)   (9,939)   (28,377)   (987,984)
Balance at December 31, 2025  $439,871   $393,600   $273,552   $392,066   $338,630   $(19,153)  $318,814   $374,117   $18,012,888 

 

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

 

F-22

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CHANGES IN MEMBERS’ EQUITY (DEFICIT)

FOR THE PERIOD JULY 12, 2024 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2024

 

 

   Clark   Lois   Sambino   Consolidated 
                 
Balance at July 12, 2024 (date of inception)  $-   $-   $-   $- 
Issuance of membership units, net of offering costs   -    353,751    -    353,751 
Deemed contribution from manager   6,390    4,369    -    10,759 
Distributions   -    (1,452)   -    (1,452)
Net loss   (20,376)   (17,545)   (9,988)   (47,909)
Balance at December 31, 2024  $(13,986)  $339,123   $(9,988)  $315,149 

 

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

 

F-23

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 31, 2025

 

 

   Adela   Adler   Alex   Ameris   Arbolado   Arthur   Ashland   Belleglade 
                                 
Cash Flows from Operating Activities:                                
Net income (loss)  $(16,971)  $(12,048)  $(12,038)  $(10,752)  $(19,905)  $(20,683)  $(12,999)  $(10,080)
Adjustment to reconcile net loss to net cash used in operating activities:                                         
Depreciation   3,769    5,726    7,148    4,603    5,423    -    3,163    6,883 
(Increase) decrease in assets                                         
Other receivables   -    -    -    -    -    -    -    - 
Due from third party property managers   (5,475)   (4,388)   (4,502)   (4,921)   (4,402)   -    (4,782)   (5,582)
Increase (decrease) in liabilities                                         
Accrued expenses   1,126    5,519    3,110    1,125    3,305    20,676    4,428    1,512 
Tenant deposits   4,000    2,345    2,345    -    2,345    -    2,395    2,995 
Due to related parties   27,674    38,768    36,353    29,409    41,586    7    36,997    39,314 
Net cash provided by (used in) operating activities   14,124    35,922    32,416    19,464    28,353    -    29,202    35,042 
Cash flows from financing activities                                        
Repayments of amounts due to related party   (35,350)   (47,125)   (50,163)   (37,800)   (48,894)   -    (58,549)   (54,775)
Repayments of bridge financing - related party   (225,000)   (346,000)   (330,000)   (240,000)   (323,000)   -    (320,002)   (356,000)
Net proceeds from the issuance of membership units   262,248    394,425    380,050    279,041    370,244    -    376,172    409,937 
Distributions   (4,133)   (8,565)   (7,721)   (8,344)   (4,833)   -    (3,903)   (10,630)
Net cash provided by (used in) financing activities   (2,235)   (7,265)   (7,834)   (7,104)   (6,482)   -    (6,282)   (11,468)
                                         
Net change in cash    11,889    28,657    24,582    12,360    21,870    -    22,920    23,574 
Cash at beginning of the year    -    -    -    -    -    -    -    - 
Cash at end of the year   $11,889   $28,657   $24,582   $12,360   $21,870   $-   $22,920   $23,574 
                                         
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $3,369   $5,315   $3,594   $3,267   $9,422   $2,521   $4,565   $4,361 
                                         
Supplemental disclosure of non-cash investing and financing activities:                                         
Advance from manager for acquisition of property    $17,359   $19,701   $23,640   $18,603   $23,039   $24,368   $32,375   $26,231 
Bridge financing, related party for acquisition of property  $225,000   $346,000   $330,000   $240,000   $323,000   $399,000   $320,002   $356,000 
Deemed contribution from manager for forgiveness of amounts due to manager   $3,369   $5,315   $3,594   $3,267   $9,422   $-   $4,565   $4,361 

 

F-24

 

   Blair   Briarmanor   Caldwell   Camila   Camphor   Chalkstone   Chesterton   Chloe 
                                 
Cash Flows from Operating Activities:                                
Net income (loss)  $(28,305)  $(23,550)  $(8,644)  $(32,388)  $(14,129)  $(14,244)  $(31,659)  $(13,651)
Adjustment to reconcile net loss to net cash used in operating activities:                                         
Depreciation   4,795    6,799    -    5,076    6,587    228    6,137    730 
(Increase) decrease in assets                                         
Other receivables   -    -    -    -    -    -    (1,793)   - 
Due from third party property managers   (3,929)   (5,697)   -    (4,530)   (3,356)   -    (4,585)   - 
Increase (decrease) in liabilities                                         
Accrued expenses   17,328    2,024    7,130    14,864    1,448    30,602    247    8,786 
Tenant deposits   1,995    3,095    -    2,295    1,745    -    2,895    - 
Due to related parties   (93,065)   39,558    1,514    20,750    22,400    (16,585)   59,635    4,136 
Net cash provided by (used in) operating activities   (101,182)   22,229    -    6,067    14,695    -    30,877    - 
Cash flows from financing activities                                        
Repayments of amounts due to related party   105,000    (54,432)   -    -    (39,138)   -    (73,757)   - 
Repayments of bridge financing - related party   (105,000)   (380,000)   -    -    (251,000)   -    (511,000)   - 
Net proceeds from the issuance of membership units   110,256    443,591    -    -    292,218    -    583,276    - 
Distributions   (601)   (5,794)   -    -    (7,700)   -    -    - 
Net cash provided by (used in) financing activities   109,656    3,365    -    -    (5,620)   -    (1,481)   - 
                                         
Net change in cash    8,474    25,595    -    6,067    9,075    -    29,396    - 
Cash at beginning of the year    -    -    -    -    -    -    -    - 
Cash at end of the year   $8,474   $25,595   $-   $6,067   $9,075   $-   $29,396   $- 
                                         
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $13,868   $10,017   $1,740   $11,270   $2,831   $1,384   $13,378   $3,842 
                                         
Supplemental disclosure of non-cash investing and financing activities:                                         
Advance from manager for acquisition of property    $19,235   $23,853   $14,246   $11,649   $18,922   $19,313   $32,888   $16,853 
Bridge financing, related party for acquisition of property  $332,000   $380,000   $275,372   $356,675   $251,000   $365,000   $511,000   $304,000 
Deemed contribution from manager for forgiveness of amounts due to manager   $-   $10,017   $-   $-   $2,831   $-   $13,378   $- 

 

F-25

 

   Clark   Cyrus   Evie   Farinosa   Fizzy   Fortress   Galleta   Gavin 
                                 
Cash Flows from Operating Activities:                                
Net income (loss)  $(10,395)  $(22,617)  $(17,471)  $(3,617)  $(12,341)  $(20,493)  $(18,438)  $(6,297)
Adjustment to reconcile net loss to net cash used in operating activities:                                         
Depreciation   8,738    6,239    3,555    -    3,374    7,776    3,345    85 
(Increase) decrease in assets                                         
Other receivables   -    -    -    -    -    -    -    - 
Due from third party property managers   (4,003)   (3,596)   (3,817)   -    (4,526)   (5,132)   (3,320)   - 
Increase (decrease) in liabilities                                         
Accrued expenses   (8,705)   2,809    1,465    3,166    4,172    4,270    4,898    10,571 
Tenant deposits   2,095    1,795    2,045    -    2,445    2,895    1,695    - 
Due to related parties   32,541    45,482    28,474    450    41,734    31,347    35,307    (4,359)
Net cash provided by (used in) operating activities   20,270    30,114    14,252    -    34,858    20,662    23,486    - 
Cash flows from financing activities                                        
Repayments of amounts due to related party   (38,792)   (56,277)   (38,185)   -    (61,770)   (51,927)   (45,647)   - 
Repayments of bridge financing - related party   (313,000)   (370,000)   (246,000)   -    (341,864)   (342,000)   (275,576)   - 
Net proceeds from the issuance of membership units   353,969    425,515    285,983    -    400,126    401,935    322,022    - 
Distributions   (11,737)   (3,633)   (6,980)   -    (3,507)   (9,675)   -    - 
Net cash provided by (used in) financing activities   (9,560)   (4,395)   (5,182)   -    (7,016)   (1,667)   799    - 
                                         
Net change in cash    10,711    25,719    9,070    -    27,842    18,995    24,285    - 
Cash at beginning of the year    -    -    -    -    -    -    -    - 
Cash at end of the year   $10,711   $25,719   $9,070   $-   $27,842   $18,995   $24,285   $- 
                                         
Cash paid for income taxes  $153   $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $1,044   $10,215   $2,754   $1,206   $7,408   $5,254   $7,564   $1,695 
                                         
Supplemental disclosure of non-cash investing and financing activities:                                         
Advance from manager for acquisition of property    $14,274   $26,550   $18,416   $14,333   $33,869   $24,350   $23,327   $22,127 
Bridge financing, related party for acquisition of property  $313,000   $370,000   $246,000   $318,000   $341,864   $342,000   $275,576   $361,000 
Deemed contribution from manager for forgiveness of amounts due to manager   $-   $10,215   $2,754   $-   $7,408   $5,254   $7,564   $- 

 

F-26

 

   Gerardo   Goldfinger   Goshen   Gracianna   Hendricks   Kitsune   Lenka   Liam 
                                 
Cash Flows from Operating Activities:                                
Net income (loss)  $(8,740)  $(24,258)  $(9,932)  $(27,026)  $(16,042)  $(5,519)  $(9,465)  $(17,519)
Adjustment to reconcile net loss to net cash used in operating activities:                                         
Depreciation   5,082    12,435    125    2,646    3,408    -    6,827    8,919 
(Increase) decrease in assets                                         
Other receivables   -    -    -    -    -    -    -    - 
Due from third party property managers   (5,145)   (3,699)   -    (4,129)   (4,611)   -    (4,371)   (6,239)
Increase (decrease) in liabilities                                         
Accrued expenses   4,431    3,534    16,465    13,160    3,991    4,908    1,302    1,875 
Tenant deposits   2,795    2,495    -    2,195    2,495    -    2,495    3,395 
Due to related parties   38,624    54,700    (6,657)   13,154    26,531    611    34,960    46,927 
Net cash provided by (used in) operating activities   37,047    45,206    -    -    15,772    -    31,747    37,358 
Cash flows from financing activities                                        
Repayments of amounts due to related party   (61,568)   (77,180)   -    -    (35,793)   -    (52,345)   (66,845)
Repayments of bridge financing - related party   (343,742)   (516,833)   -    -    (237,000)   -    (310,000)   (408,000)
Net proceeds from the issuance of membership units   401,812    591,504    -    -    281,069    -    360,526    470,558 
Distributions   (7,728)   (9,274)   -    -    (5,217)   -    (12,621)   (14,184)
Net cash provided by (used in) financing activities   (11,226)   (11,782)   -    -    3,059    -    (14,440)   (18,471)
                                         
Net change in cash    25,821    33,424    -    -    18,831    -    17,307    18,887 
Cash at beginning of the year    -    -    -    -    -    -    -    - 
Cash at end of the year   $25,821   $33,424   $-   $-   $18,831   $-   $17,307   $18,887 
                                         
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $3,537   $5,491   $2,364   $7,637   $2,696   $1,729   $3,677   $4,363 
                                         
Supplemental disclosure of non-cash investing and financing activities:                                         
Advance from manager for acquisition of property    $33,542   $35,520   $23,239   $19,312   $16,605   $21,184   $27,226   $34,097 
Bridge financing, related party for acquisition of property  $343,742   $516,833   $374,000   $318,000   $237,000   $342,000   $310,000   $408,000 
Deemed contribution from manager for forgiveness of amounts due to manager   $3,537   $5,491   $-   $-   $2,696   $-   $3,677   $4,363 

 

F-27

 

   Lilinoe   Lois   Lucky   Marilyn   Metcalf   Monroe   Nathan   Orland 
                                 
Cash Flows from Operating Activities:                                
Net income (loss)  $(14,070)  $4,574   $(10,387)  $(12,960)  $(4,518)  $(32,970)  $(15,288)  $(2,710)
Adjustment to reconcile net loss to net cash used in operating activities:                                         
Depreciation   5,988    9,100    -    4,126    5,682    4,134    2,473    - 
(Increase) decrease in assets                                         
Other receivables   -    -    -    -    -    -    -    - 
Due from third party property managers   (5,239)   (539)   -    (4,315)   (4,876)   (2,980)   (3,791)   - 
Increase (decrease) in liabilities                                         
Accrued expenses   2,126    (3,429)   9,738    3,176    4,010    3,175    3,995    2,304 
Tenant deposits   2,595    -    -    2,295    2,695    2,095    2,443    - 
Due to related parties   44,513    3,065    649    38,308    26,074    44,553    20,747    405 
Net cash provided by (used in) operating activities   35,912    12,772    -    30,631    29,067    18,006    10,578    - 
Cash flows from financing activities                                        
Repayments of amounts due to related party   (52,135)   -    -    (49,533)   (45,336)   (50,033)   (28,196)   - 
Repayments of bridge financing - related party   (356,000)   -    -    (346,000)   (290,000)   (346,000)   (171,000)   - 
Net proceeds from the issuance of membership units   410,024    -    -    398,651    337,215    395,648    201,408    - 
Distributions   (10,189)   (17,844)   -    (6,633)   (9,322)   -    (1,739)   - 
Net cash provided by (used in) financing activities   (8,300)   (17,844)   -    (3,515)   (7,443)   (385)   474    - 
                                         
Net change in cash    27,612    (5,072)   -    27,116    21,624    17,621    11,052    - 
Cash at beginning of the year    -    18,879    -    -    -    -    -    - 
Cash at end of the year   $27,612   $13,807   $-   $27,116   $21,624   $17,621   $11,052   $- 
                                         
Cash paid for income taxes  $-   $153   $-   $-   $-   $-   $-   $- 
Cash paid for interest expenses  $5,468   $-   $2,281   $5,372   $1,748   $11,929   $1,884   $115 
                                         
Supplemental disclosure of non-cash investing and financing activities:                                         
Advance from manager for acquisition of property    $23,589   $-   $20,958   $21,754   $22,033   $22,254   $14,398   $18,654 
Bridge financing, related party for acquisition of property  $356,000   $-   $361,000   $346,000   $290,000   $346,000   $171,000   $318,000 
Deemed contribution from manager for forgiveness of amounts due to manager   $5,468   $-   $-   $5,372   $1,748   $11,929   $1,884   $- 

 

F-28

 

   Parker   Poshington   Pumpkin   Raider   Rivendell   Rucker   Sambino   Sandpiper   Scarlett 
                                     
Cash Flows from Operating Activities:                                    
Net income (loss)  $(9,613)  $(15,293)  $(7,309)  $(12,944)  $(15,453)  $(5,487)  $(5,996)  $(15,734)  $(27,555)
Adjustment to reconcile net loss to net cash used in operating activities:                                              
Depreciation   122    5,719    7,507    4,535    1,577    -    7,592    4,456    6,996 
(Increase) decrease in assets                                              
Other receivables   -    -    -    -    -    -    -    -    - 
Due from third party property managers   -    (4,745)   (4,697)   (5,986)   (1,685)   -    (4,453)   (3,762)   (5,079)
Increase (decrease) in liabilities                                              
Accrued expenses   16,537    2,363    4,451    2,981    6,081    3,428    (6,018)   3,625    1,220 
Tenant deposits   -    2,395    2,545    2,995    1,645    -    2,645    1,895    2,795 
Due to related parties   (7,046)   35,507    35,876    31,942    7,834    2,060    33,723    41,492    52,962 
Net cash provided by (used in) operating activities   -    25,946    38,374    23,524    -    -    27,494    31,972    31,340 
Cash flows from financing activities                                             
Repayments of amounts due to related party   -    (56,081)   (51,106)   (48,898)   -    -    (48,983)   (55,268)   (61,108)
Repayments of bridge financing - related party   -    (360,000)   (308,492)   (342,000)   -    -    (281,847)   (371,000)   (416,000)
Net proceeds from the issuance of membership units   -    440,016    359,521    401,088    -    -    332,102    427,266    474,465 
Distributions   -    (5,879)   (15,028)   (7,967)   -    -    (15,384)   (1,985)   (5,963)
Net cash provided by (used in) financing activities   -    18,055    (15,105)   2,224    -    -    (14,112)   (987)   (8,607)
                                              
Net change in cash    -    44,001    23,269    25,748    -    -    13,382    30,985    22,733 
Cash at beginning of the year    -    -    -    -    -    -    -    -    - 
Cash at end of the year   $-   $44,001   $23,269   $25,748   $-   $-   $13,382   $30,985   $22,733 
                                              
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $100   $-   $- 
Cash paid for interest expenses  $1,906   $4,160   $3,728   $4,384   $4,762   $1,446   $3,230   $6,498   $13,104 
                                              
Supplemental disclosure of non-cash investing and financing activities:                                              
Advance from manager for acquisition of property    $22,052   $26,708   $26,200   $21,336   $27,637   $27,391   $26,081   $25,500   $27,861 
Bridge financing, related party for acquisition of property  $377,000   $360,000   $308,492   $342,000   $209,305   $381,495   $281,847   $371,000   $416,000 
Deemed contribution from manager for forgiveness of amounts due to manager   $-   $4,160   $3,728   $4,384   $-   $-   $4,874   $6,364   $13,994 

 

F-29

 

   Sinalda   Stonemill   Targaryen   Terrien   Tilly   Troncos   Tully   Tyrell   Vega 
                                     
Cash Flows from Operating Activities:                                    
Net income (loss)  $(17,514)  $(27,313)  $(6,345)  $(16,010)  $(20,965)  $(16,502)  $(20,265)  $(8,031)  $(8,043)
Adjustment to reconcile net loss to net cash used in operating activities:                                             
Depreciation   7,972    5,342    6,244    3,808    5,723    7,992    8,768    5,916    6,239 
(Increase) decrease in assets                                             
Other receivables   -    -    -    -    -    -    -    -    - 
Due from third party property managers   (7,937)   (4,797)   (5,382)   (4,575)   (3,867)   (4,087)   (6,691)   (3,667)   (4,870)
Increase (decrease) in liabilities                                             
Accrued expenses   4,884    2,922    2,719    3,229    3,646    4,253    6,375    4,199    2,448 
Tenant deposits   3,293    2,545    2,695    2,595    2,195    2,395    3,893    2,095    2,695 
Due to related parties   39,439    45,475    43,027    48,075    29,814    40,880    48,591    35,159    41,322 
Net cash provided by (used in) operating activities   30,137    24,173    42,959    37,123    16,545    34,931    40,671    35,673    39,791 
Cash flows from financing activities                                             
Repayments of amounts due to related party   (54,645)   (55,470)   (56,367)   (61,335)   (47,206)   (49,868)   (65,104)   (53,415)   (56,277)
Repayments of bridge financing - related party   (369,000)   (370,000)   (373,000)   (394,000)   (294,000)   (332,500)   (457,000)   (300,886)   (370,000)
Net proceeds from the issuance of membership units   422,948    424,734    424,311    444,831    342,766    381,859    520,752    354,803    425,168 
Distributions   (7,267)   (3,034)   (11,277)   (2,457)   (3,590)   (10,596)   (8,161)   (9,158)   (8,455)
Net cash provided by (used in) financing activities   (7,964)   (3,770)   (16,333)   (12,961)   (2,031)   (11,105)   (9,513)   (8,656)   (9,564)
                                              
Net change in cash   22,173    20,403    26,626    24,162    14,515    23,826    31,158    27,017    30,227 
Cash at beginning of the year   -    -    -    -    -    -    -    -    - 
Cash at end of the year  $22,173   $20,403   $26,626   $24,162   $14,515   $23,826   $31,158   $27,017   $30,227 
                                              
Cash paid for income taxes  $-   $-   $-   $-   $-   $153   $-   $-   $- 
Cash paid for interest expenses  $3,229   $13,496   $3,300   $9,960   $5,260   $8,174   $6,220   $3,803   $5,396 
                                              
Supplemental disclosure of non-cash investing and financing activities:                                             
Advance from manager for acquisition of property    $25,094   $25,814   $26,822   $29,902   $23,533   $23,243   $28,605   $28,880   $26,550 
Bridge financing, related party for acquisition of property  $369,000   $370,000   $373,000   $394,000   $294,000   $332,500   $457,000   $300,886   $370,000 
Deemed contribution from manager for forgiveness of amounts due to manager  $3,229   $13,496   $3,300   $9,960   $5,260   $8,174   $6,220   $3,803   $5,396 

 

F-30

 

   Wasilla   Wendover   Wesley   Whippoorwill   Wildcat   William   Windgate   Wyndsong   Consolidated 
                                     
Cash Flows from Operating Activities:                                    
Net income (loss)  $(16,390)  $(13,604)  $(17,012)  $(14,004)  $(12,589)  $(19,153)  $(9,939)  $(28,377)  $(987,984)
Adjustment to reconcile net loss to net cash used in operating activities:                                              
Depreciation   8,825    5,155    1,194    5,134    2,945    1,521    4,865    4,908    302,175 
(Increase) decrease in assets                                              
Other receivables   -    -    -    -    -    -    -    -    (1,793)
Due from third party property managers   (4,920)   (4,807)   (4,017)   (7,097)   (5,070)   (1,393)   (6,221)   (4,334)   (244,615)
Increase (decrease) in liabilities                                              
Accrued expenses   1,343    1,330    1,815    3,953    3,528    11,125    4,636    1,396    319,107 
Tenant deposits   2,495    2,495    2,145    5,240    2,795    2,400    4,190    2,195    134,684 
Due to related parties   37,966    39,472    30,009    40,532    33,766    5,500    32,218    41,964    1,754,153 
Net cash provided by (used in) operating activities   29,320    30,041    14,134    33,758    25,375    -    29,749    17,752    1,275,728 
Cash flows from financing activities                                             
Repayments of amounts due to related party   (56,277)   (53,952)   (39,003)   (55,730)   (53,957)   -    (45,832)   (51,390)   (2,383,815)
Repayments of bridge financing - related party   (394,000)   (356,000)   (249,000)   (354,000)   (298,760)   -    (287,000)   (341,000)   (16,219,503)
Net proceeds from the issuance of membership units   456,161    407,756    289,048    408,857    352,738    -    333,979    401,942    18,766,533 
Distributions   (7,637)   (6,081)   (1,092)   (7,774)   (4,648)   -    (8,296)   (4,251)   (348,487)
Net cash provided by (used in) financing activities   (1,753)   (8,277)   (47)   (8,647)   (4,627)   -    (7,149)   5,301    (185,273)
                                              
Net change in cash    27,566    21,765    14,087    25,111    20,748    -    22,600    23,052    1,090,455 
Cash at beginning of the year    -    -    -    -    -    -    -    -    18,879 
Cash at end of the year   $27,566   $21,765   $14,087   $25,111   $20,748   $-   $22,600   $23,052   $1,109,334 
                                              
Cash paid for income taxes  $-   $-   $-   $-   $-   $-   $-   $-   $559 
Cash paid for interest expenses  $7,738   $5,528   $2,608   $4,986   $3,129   $6,029   $3,070   $4,802   $332,115 
                                              
Supplemental disclosure of non-cash investing and financing activities:                                              
Advance from manager for acquisition of property    $24,635   $25,455   $19,102   $27,316   $29,525   $16,690   $22,728   $23,870   $1,532,412 
Bridge financing, related party for acquisition of property  $394,000   $356,000   $249,000   $354,000   $298,760   $318,000   $287,000   $341,000   $21,824,350 
Deemed contribution from manager for forgiveness of amounts due to manager   $7,738   $5,528   $2,608   $4,986   $3,129   $-   $3,070   $4,802   $267,677 

 

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

 

F-31

 

ARRIVED HOMES 5, LLC AND ITS SERIES

CONSOLIDATED AND CONSOLIDATING STATEMENT OF CASH FLOWS

FOR THE PERIOD JULY 12, 2024 (DATE OF INCEPTION) THROUGH DECEMBER 31, 2024

 

 

   Clark   Lois   Sambino   Consolidated 
                 
Cash Flows from Operating Activities:                
Net loss  $(20,376)  $(17,545)  $(9,988)  $(47,909)
Adjustment to reconcile net loss to net cash used in operating activities:                     
Depreciation   1,456    1,486    -    2,942 
Increase in assets                     
Due from third party property managers   -    (4,474)   -    (4,474)
Increase in liabilities                     
Accrued expenses   14,246    8,970    8,885    32,101 
Due to related parties   4,674    29,934    1,103    35,712 
Net cash provided by operating activities   -    18,372    -    18,372 
Cash flows from financing activities                    
Repayments of amounts due to related party   -    (38,792)   -    (38,792)
Repayments of bridge financing - related party   -    (313,000)   -    (313,000)
Net proceeds from the issuance of membership units   -    353,751    -    353,751 
Distributions   -    (1,452)   -    (1,452)
Net cash provided by financing activities   -    508    -    508 
Net change in cash    -    18,879    -    18,879 
Cash at beginning of the period    -    -    -    - 
Cash at end of the period   $-   $18,879   $-   $18,879 
                     
Cash paid for income taxes  $-   $-   $-   $- 
Cash paid for interest expenses  $1,456   $1,486   $-   $2,943 
                     
Supplemental disclosure of non-cash investing and financing activities:                     
Advance from manager for acquisition of property    $9,784   $14,274   $20,891   $44,948 
Bridge financing, related party for acquisition of property  $313,000   $313,000   $281,847   $907,847 
Deemed contribution from manager for forgiveness of amounts due to manager   $6,390   $4,369   $-   $10,759 

 

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

 

F-32

 

ARRIVED HOMES 5, LLC AND ITS SERIES

NOTES TO THE CONSOLIDATED AND CONSOLIDATING FINANCIAL STATEMENTS

 

 

NOTE 1: NATURE OF OPERATIONS

 

Arrived Homes 5, LLC (the “Company”) is a Delaware series limited liability company formed on July 12, 2024 under the laws of the State of Delaware. Arrived Homes 5, 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 that Arrived Fund Manager, LLC (the “manager”) establishes. 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 list represents each series of Arrived Homes 5, LLC and the wholly-owned limited liability company, which was used to acquire the single family rental property for each series, 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 Adela, a series of Arrived Homes 5, LLC (“Adela”)   Arrived OK Adela, LLC   3/27/2025   4/30/2025
Arrived Series Adler, a series of Arrived Homes 5, LLC (“Adler”)   Arrived AR Adler, LLC   3/28/2025   4/2/2025
Arrived Series Alex, a series of Arrived Homes 5, LLC (“Alex”)   Arrived AZ Alex, LLC   2/20/2025   2/28/2025
Arrived Series Ameris, a series of Arrived Homes 5, LLC (“Ameris”)   Arrived OK Ameris, LLC   2/28/2025   3/12/2025
Arrived Series Arbolado, a series of Arrived Homes 5, LLC (“Arbolado”)   Arrived NM Arbolado, LLC   4/23/2025   4/30/2025
Arrived Series Arthur, a series of Arrived Homes 5, LLC (“Arthur”)   Arrived VA Arthur, LLC   11/17/2025   11/26/2025
Arrived Series Ashland, a series of Arrived Homes 5, LLC (“Ashland”)   Arrived TN Ashland, LLC   6/20/2025   7/23/2025
Arrived Series Belleglade, a series of Arrived Homes 5, LLC (“Belleglade”)   Arrived KY Belleglade, LLC   3/18/2025   3/28/2025
Arrived Series Blair, a series of Arrived Homes 5, LLC (“Blair”)   Arrived TN Blair, LLC   4/30/2025   5/7/2025
Arrived Series Briarmanor, a series of Arrived Homes 5, LLC (“Briarmanor”)   Arrived MO Briarmanor, LLC   4/30/2025   5/7/2025
Arrived Series Caldwell, a series of Arrived Homes 5, LLC (“Caldwell”)   Arrived IN Caldwell, LLC   11/17/2025   11/26/2025
Arrived Series Camila, a series of Arrived Homes 5, LLC (“Camila”)   Arrived AR Camila, LLC   6/17/2025   7/9/2025
Arrived Series Camphor, a series of Arrived Homes 5, LLC (“Camphor”)   Arrived Series Camphor, a series of Arrived Homes 5, LLC   2/6/2025   2/19/2025
Arrived Series Chalkstone, a series of Arrived Homes 5, LLC (“Chalkstone”)   Arrived AR Chalkstone, LLC   11/12/2025   12/10/2025
Arrived Series Chesterton, a series of Arrived Homes 5, LLC (“Chesterton”)   Arrived WA Chesterton, LLC   6/5/2025   6/18/2025
Arrived Series Chloe, a series of Arrived Homes 5, LLC (“Chloe”)   Arrived AR Chloe, LLC   3/19/2025   10/22/2025
Arrived Series Clark, a series of Arrived Homes 5, LLC (“Clark”)   Arrived AR Clark, LLC   7/19/2024   9/25/2024
Arrived Series Cyrus, a series of Arrived Homes 5, LLC (“Cyrus”)   Arrived AZ Cyrus, LLC   3/27/2025   4/9/2025
Arrived Series Evie, a series of Arrived Homes 5, LLC (“Evie”)   Arrived Series Evie, a series of Arrived Homes 5, LLC   5/1/2025   5/21/2025
Arrived Series Farinosa, a series of Arrived Homes 5, LLC (“Farinosa”)   Arrived NM Farinosa, LLC   11/25/2025   12/10/2025
Arrived Series Fizzy, a series of Arrived Homes 5, LLC (“Fizzy”)   Arrived TN Fizzy, LLC   5/15/2025   7/2/2025
Arrived Series Fortress, a series of Arrived Homes 5, LLC (“Fortress”)   Arrived MS Fortress, LLC   3/19/2025   3/26/2025
Arrived Series Galleta, a series of Arrived Homes 5, LLC (“Galleta”)   Arrived NC Galleta, LLC   6/18/2025   6/25/2025
Arrived Series Gavin, a series of Arrived Homes 5, LLC (“Gavin”)   Arrived GA Gavin, LLC   11/17/2025   12/5/2025
Arrived Series Gerardo, a series of Arrived Homes 5, LLC (“Gerardo”)   Arrived TN Gerardo, LLC   5/1/2025   5/14/2025
Arrived Series Goldfinger, a series of Arrived Homes 5, LLC (“Goldfinger”)   Arrived UT Goldfinger, LLC   1/14/2025   1/29/2025

 

 

F-33

 

Series Name   Name of the wholly-owned subsidiary of the Series   Date Formed   Acquisition Date
Arrived Series Goshen, a series of Arrived Homes 5, LLC (“Goshen”)   Arrived OH Goshen, LLC   11/19/2025   11/26/2025
Arrived Series Gracianna, a series of Arrived Homes 5, LLC (“Gracianna”)   Arrived OH Gracianna, LLC   8/12/2025   8/20/2025
Arrived Series Hendricks, a series of Arrived Homes 5, LLC (“Hendricks”)   Arrived IN Hendricks, LLC   5/1/2025   5/14/2025
Arrived Series Kitsune, a series of Arrived Homes 5, LLC (“Kitsune”)   Arrived TN Kitsune, LLC   11/25/2025   12/3/2025
Arrived Series Lenka, a series of Arrived Homes 5, LLC (“Lenka”)   Arrived KY Lenka, LLC   2/20/2025   2/28/2025
Arrived Series Liam, a series of Arrived Homes 5, LLC (Liam)   Arrived VA Liam, LLC   2/13/2025   2/26/2025
Arrived Series Lilinoe, a series of Arrived Homes 5, LLC (“Lilinoe”)   Arrived MO Lilinoe, LLC   3/27/2025   4/2/2025
Arrived Series Lois, a series of Arrived Homes 5, LLC (Lois)   Arrived AR Lois, LLC   7/19/2024   9/25/2024
Arrived Series Lucky, a series of Arrived Homes 5, LLC (“Lucky”)   Arrived TN Lucky, LLC   11/18/2025   11/26/2025
Arrived Series Marilyn, a series of Arrived Homes 5, LLC (“Marilyn”)   Arrived OH Marilyn, LLC   2/13/2025   6/4/2025
Arrived Series Metcalf, a series of Arrived Homes 5, LLC (“Metcalf”)   Arrived MS Metcalf, LLC   3/6/2025   3/14/2025
Arrived Series Monroe, a series of Arrived Homes 5, LLC (“Monroe”)   Arrived OH Monroe, LLC   5/20/2025   6/4/2025
Arrived Series Nathan, a series of Arrived Homes 5, LLC (“Nathan”)   Arrived AR Nathan, LLC   4/25/2025   5/14/2025
Arrived Series Orland, a series of Arrived Homes 5, LLC (“Orland”)   Arrived AR Orland, LLC   12/3/2025   12/29/2025
Arrived Series Parker, a series of Arrived Homes 5, LLC (“Parker”)   Arrived VA Parker, LLC   11/25/2025   12/3/2025
Arrived Series Poshington, a series of Arrived Homes 5, LLC (“Poshington”)   Arrived VA Poshington, LLC   5/13/2025   5/28/2025
Arrived Series Pumpkin, a series of Arrived Homes 5, LLC (“Pumpkin”)   Arrived TN Pumpkin, LLC   1/23/2025   1/29/2025
Arrived Series Raider, a series of Arrived Homes 5, LLC (“Raider”)   Arrived OH Raider, LLC   6/3/2025   6/11/2025
Arrived Series Rivendell, a series of Arrived Homes 5, LLC (“Rivendell”)   Arrived Series Rivendell, a series of Arrived Homes 5, LLC   8/13/2025   8/27/2025
Arrived Series Rucker, a series of Arrived Homes 5, LLC (“Rucker”)   Arrived TN Rucker, LLC   11/26/2025   12/10/2025
Arrived Series Sambino, a series of Arrived Homes 5, LLC (“Sambino”)   Arrived TN Sambino, LLC   11/21/2024   12/4/2024
Arrived Series Sandpiper, a series of Arrived Homes 5, LLC (“Sandpiper”)   Arrived AZ Sandpiper, LLC   6/19/2025   6/27/2025
Arrived Series Scarlett, a series of Arrived Homes 5, LLC (“Scarlett”)   Arrived AR Scarlett, LLC   3/19/2025   4/2/2025
Arrived Series Sinalda, a series of Arrived Homes 5, LLC (“Sinalda”)   Arrived AZ Sinalda, LLC   2/20/2025   2/28/2025
Arrived Series Stonemill, a series of Arrived Homes 5, LLC (“Stonemill”)   Arrived AR Stonemill, LLC   4/22/2025   5/7/2025
Arrived Series Targaryen, a series of Arrived Homes 5, LLC (“Targaryen”)   Arrived VA Targaryen, LLC   4/9/2025   4/23/2025
Arrived Series Terrien, a series of Arrived Homes 5, LLC (“Terrien”)   Arrived TN Terrien, LLC   3/5/2025   7/23/2025
Arrived Series Tilly, a series of Arrived Homes 5, LLC (Tilly)   Arrived TN Tilly, LLC   4/25/2025   4/30/2025
Arrived Series Troncos, a series of Arrived Homes 5, LLC (“Troncos”)   Arrived AR Troncos, LLC   12/13/2024   1/15/2025
Arrived Series Tully, a series of Arrived Homes 5, LLC (“Tully”)   Arrived CO Tully, LLC   2/28/2025   3/12/2025
Arrived Series Tyrell, a series of Arrived Homes 5, LLC (“Tyrell”)   Arrived TN Tyrell, LLC   3/5/2025   3/19/2025
Arrived Series Vega, a series of Arrived Homes 5, LLC (“Vega”)   Arrived AZ Vega, LLC   3/27/2025   4/9/2025
Arrived Series Wasilla, a series of Arrived Homes 5, LLC (“Wasilla”)   Arrived NM Wasilla, LLC   3/5/2025   3/21/2025
Arrived Series Wendover, a series of Arrived Homes 5, LLC (“Wendover”)   Arrived GA Wendover, LLC   5/20/2025   5/28/2025
Arrived Series Wesley, a series of Arrived Homes 5, LLC (“Wesley”)   Arrived OK Wesley, LLC   5/20/2025   9/17/2025
Arrived Series Whippoorwill, a series of Arrived Homes 5, LLC (“Whippoorwill”)   Arrived TN Whippoorwill, LLC   5/1/2025   5/14/2025
Arrived Series Wildcat, a series of Arrived Homes 5, LLC (“Wildcat”)   Arrived TN Wildcat, LLC   6/20/2025   7/23/2025
Arrived Series William, a series of Arrived Homes 5, LLC (“William”)   Arrived IN William, LLC   9/3/2025   9/17/2025
Arrived Series Windgate, a series of Arrived Homes 5, LLC (“Windgate”)   Arrived MS Windgate, LLC   4/23/2025   4/30/2025
Arrived Series Wyndsong, a series of Arrived Homes 5, LLC (“Wyndsong”)   Arrived NC Wyndsong, LLC   5/13/2025   5/28/2025

  

F-34

 

NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Basis of Presentation

 

The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (“GAAP”). The Company 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 5, LLC and its series. All inter-company transactions and balances have been eliminated upon 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 complies with the requirements of the 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.

 

F-35

 

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 consolidated and consolidating financial instruments, such as cash and accrued expenses, approximate fair value due to the short-term nature of these instruments. The carrying value of the bridge financing, related party, approximates their fair values based on interest rates and terms currently available for similar instruments.

 

Management Compensation    

 

The manager will receive from each series an annual asset management fee equal to six tenths of a percent (0.6%) of the purchase price of the series property, paid out of the net operating rental income of the series 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 8% and the amount actually charged by the property manager when the series 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.

 

F-36

 

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 arrangement for the third-party property management company is set forth below:

 

Marketplace Homes

 

As compensation for the services provided by the third-party property manager, Marketplace Homes, 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.

 

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, 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.

 

Accrued Expenses

 

Accrued expenses include accrued property taxes and interest payable on the bridge financing for the series.

 

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. The Company and series determined it was not necessary to record an allowance for credit losses as of December 31, 2025 and 2024.

 

Property and Equipment

 

Property and equipment are stated at cost less accumulated depreciation. The Company’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 loss.

 

Impairment of Long-Lived Assets

 

The Company 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 Company 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 Company 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 Company did not record any impairment losses on long-lived assets for the period ended December 31, 2025 and 2024.

 

F-37

 

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 may impose a reasonable rate of interest and be entitled to reimbursement of such amount from future revenues generated by a 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 Company’s 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 loss

 

The Company follows FASB ASC 220 in reporting comprehensive loss. Comprehensive loss 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 loss. Since the Company has no items of other comprehensive loss, comprehensive loss is equal to net loss.

 

F-38

 

Organizational Costs

 

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

 

Income Taxes

 

The Company is organized as an LLC for legal purposes and has elected to be treated as a C corporation for tax purposes, pursuant to subchapter C of 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 REITs a deduction for dividends paid. Since the 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 REITs. 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.

 

In November 2024, the FASB issued ASU 2024-03, “Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses,” which requires the disaggregated disclosure of specific expense categories, including purchases of inventory, employee compensation, depreciation, and amortization included in each relevant expense caption presented on the statement of operations. The standard also requires disclosure of a qualitative description of the amounts remaining in relevant expense captions that are not separately disaggregated quantitatively, as well as the total amount of selling expenses and an entity’s definition of selling expenses. ASU 2024-03 is effective for annual periods beginning after December 15, 2026, and interim periods beginning after December 15, 2027. The Company is currently evaluating the impact this standard will have on its financial statements.

 

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.

 

F-39

 

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 has a lack of liquidity and limited cash. These factors, among others, raise substantial doubt about the ability of the Company to continue as a going concern for a reasonable period of time. The Company’s ability to continue as a going concern for a period of one year from the issuance of these consolidated financial statements is dependent upon their ability to generate cash flow from their rental activity and/or obtain financing from the manager. However, there are no assurances that the Company can be successful in generating cash flow from their rental activities 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 be unable to continue as a going concern.

 

NOTE 4: PROPERTY AND EQUIPMENT

 

Property and equipment, net consists of the following:

 

December 31, 2025

 

Series  Building   Land   Property
Improvements		   Total   Less:
Accumulated Depreciation		   Property and
equipment, net		 
Adela  $177,694   $59,275   $-   $236,969   $(3,769)  $233,200 
Adler   269,931    91,250    -    361,181    (5,726)   355,455 
Alex   262,081    87,169    -    349,250    (7,148)   342,102 
Ameris   189,859    63,274    -    253,133    (4,603)   248,530 
Arbolado   255,659    85,000    -    340,659    (5,423)   335,236 
Arthur   318,368    105,000    -    423,368    -    423,368 
Ashland   260,931    85,946    -    346,877    (3,163)   343,714 
Belleglade   283,916    93,725    -    377,641    (6,883)   370,758 
Blair   263,735    87,500    -    351,235    (4,795)   346,440 
Briarmanor   300,263    100,000    10,049    410,312    (6,799)   403,513 
Caldwell   216,827    72,792    -    289,618    -    289,618 
Camila   276,556    91,768    17,236    385,560    (5,076)   380,485 
Camphor   199,512    66,250    6,875    272,637    (6,587)   266,050 
Chalkstone   288,063    96,250    13,650    397,963    (228)   397,735 
Chesterton   405,018    134,500    -    539,518    (6,137)   533,382 
Chloe   240,853    80,000    -    320,853    (730)   320,123 
Clark   240,284    82,500    -    322,784    (10,194)   312,590 
Cyrus   294,143    97,848    -    391,990    (6,239)   385,751 
Evie   195,526    64,750    -    260,276    (3,555)   256,721 
Farinosa   248,583    83,750    -    332,333    -    332,333 
Fizzy   278,371    91,703    -    370,073    (3,374)   366,699 
Fortress   271,420    90,000    7,975    369,395    (7,776)   361,619 
Galleta   220,755    73,148    -    293,903    (3,345)   290,558 
Gavin   288,127    95,000    5,110    388,237    (85)   388,152 
Gerardo   279,524    92,090    -    371,614    (5,082)   366,532 
Goldfinger   410,340    137,473    -    547,813    (12,435)   535,379 
Goshen   298,659    98,580    7,473    404,712    (125)   404,587 
Gracianna   253,562    83,750    5,114    342,426    (2,646)   339,779 
Hendricks   187,445    62,500    -    249,945    (3,408)   246,537 
Kitsune   273,184    90,000    -    363,184    -    363,184 
Lenka   250,306    82,500    -    332,806    (6,827)   325,980 
Liam   327,047    107,500    -    434,547    (8,919)   425,628 

 

F-40

 

Series  Building   Land   Property
Improvements		   Total   Less:
Accumulated Depreciation		   Property and
equipment, net		 
Lilinoe   282,269    93,750    -    376,019    (5,988)   370,031 
Lois   240,284    82,500    5,440    328,224    (10,587)   317,637 
Lucky   286,958    95,000    -    381,958    -    381,958 
Marilyn   272,329    91,225    -    363,554    (4,126)   359,427 
Metcalf   230,983    76,300    5,217    312,500    (5,682)   306,818 
Monroe   272,829    91,225    -    364,054    (4,134)   359,920 
Nathan   135,998    45,000    -    180,998    (2,473)   178,525 
Orland   252,904    83,750    -    336,654    -    336,654 
Parker   299,802    99,250    7,292    406,343    (122)   406,222 
Poshington   284,898    94,750    6,470    386,118    (5,719)   380,399 
Pumpkin   247,731    81,581    -    329,312    (7,507)   321,805 
Raider   269,146    90,000    5,483    364,629    (4,535)   360,094 
Rivendell   178,193    58,750    -    236,943    (1,577)   235,366 
Rucker   307,636    101,250    -    408,886    -    408,886 
Sambino   227,757    74,981    -    302,738    (7,592)   295,146 
Sandpiper   294,093    97,848    -    391,940    (4,456)   387,484 
Scarlett   329,801    109,500    -    439,301    (6,996)   432,306 
Sinalda   292,307    97,237    -    389,544    (7,972)   381,572 
Stonemill   293,784    97,500    -    391,284    (5,342)   385,942 
Targaryen   294,372    98,250    -    392,622    (6,244)   386,377 
Terrien   314,198    103,714    -    417,912    (3,808)   414,103 
Tilly   234,773    77,500    5,570    317,843    (5,723)   312,120 
Troncos   263,733    87,500    -    351,233    (7,992)   343,241 
Tully   361,678    120,276    -    481,955    (8,768)   473,187 
Tyrell   244,055    80,371    -    324,426    (5,916)   318,510 
Vega   294,143    97,848    -    391,990    (6,239)   385,751 
Wasilla   309,135    103,750    8,875    421,760    (8,825)   412,935 
Wendover   283,505    93,750    -    377,255    (5,155)   372,100 
Wesley   196,964    65,628    -    262,592    (1,194)   261,398 
Whippoorwill   282,366    93,250    -    375,616    (5,134)   370,482 
Wildcat   242,956    80,000    -    322,956    (2,945)   320,011 
William   250,940    83,750    -    334,690    (1,521)   333,169 
Windgate   229,338    75,650    -    304,988    (4,865)   300,123 
Wyndsong   269,930    89,750    -    359,680    (4,908)   354,772 
   $17,598,322   $5,845,174   $117,829   $23,561,324   $(305,118)  $23,256,206 

 

December 31, 2024

 

Series  Building   Land   Property
Improvements		   Total   Less:
Accumulated
Depreciation		   Property and
equipment, net		 
Clark  $240,284   $82,500   $          -   $322,784   $(1,456)  $321,327 
Lois   240,284    82,500    5,440    328,224    (1,486)   326,737 
Sambino   227,757    74,981    -    302,738    -    302,738 
   $708,324   $239,981   $5,440   $953,745   $(2,943)  $950,802 

 

For the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, depreciation expenses were $302,175 and $2,943, respectively.

 

F-41

 

NOTE 5: BRIDGE FINANCING, RELATED PARTY

 

The Company has obtained bridge financing from Arrived Short Term Notes, LLC, an affiliate of our manager. The following is a summary of the bridge financing by each series as of December 31, 2025 and 2024:

 

December 31, 2025

 

Series Name  Lender  Address  Bridge financing, related party   Maturity
Date		  Interest
Rate		 
Arrived VA Arthur, LLC  Arrived Short Term Notes, LLC  1337 King Arthur Drive, Chesapeake, VA 23323  $399,000   5/26/2027   6.50%
Arrived TN Blair, LLC  Arrived Short Term Notes, LLC  1425 Willow Springs Drive, Johnson City, TN 37604   227,000   11/7/2026   6.50%
Arrived IN Caldwell, LLC  Arrived Short Term Notes, LLC  11750 Cotterill Way, Indianapolis, IN 46235   275,372   5/26/2027   6.50%
Arrived AR Camila, LLC  Arrived Short Term Notes, LLC  2504 Elmwood Avenue, Lowell, Arkansas 72745   356,675   1/9/2027   6.50%
Arrived AR Chalkstone, LLC  Arrived Short Term Notes, LLC  6803 SW Chalkstone Road, Bentonville, AR 72713   365,000   6/10/2027   6.50%
Arrived AR Chloe, LLC  Arrived Short Term Notes, LLC  5066 W. Claxton Circle, Fayetteville, AR 72704   304,000   4/22/2027   6.50%
Arrived NM Farinosa, LLC  Arrived Short Term Notes, LLC  9808 Farinosa Avenue SW, Albuquerque, NM 87121   318,000   6/10/2027   6.50%
Arrived GA Gavin, LLC  Arrived Short Term Notes, LLC  194 Gavin Way, Rincon, GA 31326   361,000   6/5/2027   6.50%
Arrived OH Goshen, LLC  Arrived Short Term Notes, LLC  6300 Trailview Drive,
Goshen, OH 45122		   374,000   5/26/2027   6.50%
Arrived OH Gracianna, LLC  Arrived Short Term Notes, LLC  5462 Rothermund Drive,
Canal Winchester, OH 43110		   318,000   2/20/2027   6.50%
Arrived TN Kitsune, LLC  Arrived Short Term Notes, LLC  1067 Evan Court, Talbott, TN 37877   342,000   6/3/2027   6.50%
Arrived TN Lucky, LLC  Arrived Short Term Notes, LLC  12318 Hatmaker Lane, Knoxville, TN 37932   361,000   5/26/2027   6.50%
Arrived AR Orland, LLC  Arrived Short Term Notes, LLC  2644 E. Gila Way,
Fayetteville, AR 72701		   318,000   6/29/2027   6.50%
Arrived VA Parker, LLC  Arrived Short Term Notes, LLC  3905 Harvest Crest Drive, Henrico, VA 23223   377,000   6/3/2027   6.50%
Arrived Series Rivendell, a series of Arrived Homes 5, LLC  Arrived Short Term Notes, LLC  117 Nettle Leaf Drive, Meridianville, AL 35759   209,305   2/27/2027   6.50%
Arrived TN Rucker, LLC  Arrived Short Term Notes, LLC  8203 Watercolour Lane, Ooltewah, TN 37363   381,495   6/10/2027   6.50%
Arrived IN William, LLC  Arrived Short Term Notes, LLC  2324 Boneset Drive,
Plainfield, IN 46168		   318,000   3/17/2027   6.50%
         $5,604,847         

 

December 31, 2024

 

Series Name  Lender  Address  Bridge
financing,
related party		   Maturity
Date		  Interest
Rate		 
Arrived AR Clark, LLC  Arrived Short Term Notes, LLC  5726 Selah Street, Springdale, AR 72764  $313,000   3/25/2026   7.50%
Arrived TN Sambino, LLC  Arrived Short Term Notes, LLC  551 Cox Hollow Rd, Kingsport, TN 37663   281,847   2/25/2026   7.50%
         $594,847         

 

F-42

 

Bridge financing from related parties is secured by each series property and bears interest-only terms, with all accrued interest due at maturity or repayment. As of December 31, 2025 and 2024, the Company has the ability and intent to extend or refinance these obligations beyond one year. Accordingly, all outstanding balances are classified as non-current liabilities in the consolidated and consolidating balance sheets.

 

For the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, interest was $332,115 and $13,056, respectively.

 

NOTE 6: MEMBER’S EQUITY (DEFICIT)

 

Each series is managed by Arrived Fund Manager, LLC, a Delaware limited liability company and managing member of the Company. 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 Company.

 

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.

 

Membership Interests

 

For the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, the series closed on its public offerings for the net proceeds of $18,766,533 and $353,751, respectively. The following table below outlines the details of the offerings by each series:

 

December 31, 2025
 
Series  # of Units Issued   Net proceeds from the issuance of membership units   Offering brokerage fee (1%)   Offering expense (2%) 
Adela   28,307   $262,248   $2,831   $5,661 
Adler   42,611    394,425    4,261    8,524 
Alex   41,068    380,050    4,107    8,223 
Ameris   30,125    279,041    3,013    6,027 
Arbolado   40,010    370,244    4,001    8,005 
Arthur   -    -    -    - 
Ashland   40,641    376,172    4,064    8,134 
Belleglade   44,291    409,937    4,429    8,864 
Blair   11,137    110,256    1,114    - 
Briarmanor   47,896    443,591    4,790    9,579 
Caldwell   -    -    -    - 
Camila   -    -    -    - 
Camphor   31,559    292,218    3,156    6,316 
Chalkstone   -    -    -    - 
Chesterton   63,046    583,276    6,315    12,629 
Chloe   -    -    -    - 
Clark   38,231    353,969    3,823    7,648 
Cyrus   45,984    425,515    4,598    9,197 
Evie   30,884    285,983    3,088    6,179 
Farinosa   -    -    -    - 
Fizzy   43,235    400,126    4,324    8,661 
Fortress   43,385    401,935    4,339    8,677 
Galleta   34,782    322,022    3,478    6,960 
Gavin   -    -    -    - 
Gerardo   43,418    401,812    4,342    8,696 
Goldfinger   63,956    591,504    6,396    12,800 
Goshen   -    -    -    - 
Gracianna   -    -    -    - 
Hendricks   30,329    281,069    3,033    6,068 
Kitsune   -    -    -    - 
Lenka   38,954    360,526    3,895    7,799 
Liam   50,839    470,558    5,084    10,178 

 

F-43

 

December 31, 2025
 
Series  # of Units Issued   Net proceeds from the issuance of membership units   Offering brokerage fee (1%)   Offering expense (2%) 
Lilinoe   44,300    410,024    4,430    8,866 
Lois   -    -    -    - 
Lucky   -    -    -    - 
Marilyn   43,074    398,651    4,310    8,629 
Metcalf   36,416    337,215    3,642    7,283 
Monroe   42,774    395,648    4,313    8,629 
Nathan   21,738    201,408    2,174    4,348 
Orland   -    -    -    - 
Parker   -    -    -    - 
Poshington   47,413    440,016    4,741    9,483 
Pumpkin   38,831    359,521    3,883    7,776 
Raider   43,298    401,088    4,330    8,662 
Rivendell   -    -    -    - 
Rucker   -    -    -    - 
Sambino   35,859    332,102    3,586    7,172 
Sandpiper   46,165    427,266    4,617    9,238 
Scarlett   51,284    474,465    5,128    10,257 
Sinalda   45,707    422,948    4,571    9,141 
Stonemill   45,898    424,734    4,590    9,186 
Targaryen   45,844    424,311    4,584    9,175 
Terrien   48,113    444,831    4,866    9,733 
Tilly   37,014    342,766    3,701    7,403 
Troncos   41,261    381,859    4,126    8,255 
Tully   56,288    520,752    5,629    11,259 
Tyrell   38,317    354,803    3,832    7,665 
Vega   45,949    425,168    4,595    9,197 
Wasilla   49,273    456,161    4,927    9,862 
Wendover   44,066    407,756    4,407    8,817 
Wesley   31,207    289,048    3,121    6,241 
Whippoorwill   44,169    408,857    4,419    8,844 
Wildcat   38,098    352,738    3,810    7,632 
William   -    -    -    - 
Windgate   36,069    333,979    3,607    7,224 
Wyndsong   43,380    401,942    4,338    8,680 
    2,026,493   $18,766,533   $202,755   $403,482 

 

December 31, 2024
 
Series  # of Units Issued   Net proceeds from the issuance of membership units   Offering brokerage fee (1%)   Offering expense (2%) 
Clark   -   $-   $-   $- 
Lois   38,209    353,751    3,821    7,648 
Sambino   -    -    -    - 
    38,209   $353,751   $3,821   $7,648 

 

F-44

 

In connection with the public offering, each series incurred a brokerage fee of 1% of gross proceeds, which is paid directly to the broker and recorded 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. For the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, the manager received the following reimbursement of fees:

  

●Out-of-pocket expenses: up to 2% of gross proceeds ($403,482) and ($7,648), respectively.

 

●Sourcing fees: up to 3.5% of gross proceeds ($594,860) and ($11,250), respectively.

 

●Financing and holding expenses: up to 2.5% of gross proceeds ($297,300) and ($5,620), respectively.

 

Distributions

 

For the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, distributions to investors were made by 47 and 1 series, respectively, totaling $348,487 and $1,452, respectively, which were recognized as a reduction of members’ capital.

 

The following table presents total distributions to investors by series for the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024:

 

Series  2025
Distributions		   2024
Distributions		 
Adela  $4,133   $      - 
Adler   8,565    - 
Alex   7,721    - 
Ameris   8,344    - 
Arbolado   4,833    - 
Arthur   -    - 
Ashland   3,903    - 
Belleglade   10,630    - 
Blair   601    - 
Briarmanor   5,794    - 
Caldwell   -    - 
Camila   -    - 
Camphor   7,700    - 
Chalkstone   -    - 
Chesterton   -    - 
Chloe   -    - 
Clark   11,737    - 
Cyrus   3,633    - 
Evie   6,980    - 
Farinosa   -    - 
Fizzy   3,507    - 
Fortress   9,675    - 
Galleta   -    - 
Gavin   -    - 
Gerardo   7,728    - 
Goldfinger   9,274    - 
Goshen   -    - 
Gracianna   -    - 
Hendricks   5,217    - 
Kitsune   -    - 

 

F-45

 

Series  2025
Distributions		   2024
Distributions		 
Lenka   12,621    - 
Liam   14,184    - 
Lilinoe   10,189    - 
Lois   17,844    1,452 
Lucky   -    - 
Marilyn   6,633    - 
Metcalf   9,322    - 
Monroe   -    - 
Nathan   1,739    - 
Orland   -    - 
Parker   -    - 
Poshington   5,879    - 
Pumpkin   15,028    - 
Raider   7,967    - 
Rivendell   -    - 
Rucker   -    - 
Sambino   15,384    - 
Sandpiper   1,985    - 
Scarlett   5,963    - 
Sinalda   7,267    - 
Stonemill   3,034    - 
Targaryen   11,277    - 
Terrien   2,457    - 
Tilly   3,590    - 
Troncos   10,596    - 
Tully   8,161    - 
Tyrell   9,158    - 
Vega   8,455    - 
Wasilla   7,637    - 
Wendover   6,081    - 
Wesley   1,092    - 
Whippoorwill   7,774    - 
Wildcat   4,648    - 
William   -    - 
Windgate   8,296    - 
Wyndsong   4,251    - 
  $348,487   $1,452 

 

NOTE 7: RELATED PARTY TRANSACTIONS

 

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, 2025 and 2024, certain series owed the manager an aggregate of $512,307 and $30,061, respectively. The advances are non-interest bearing with no stated repayment terms. As of December 31, 2025 and 2024, certain series were owed an aggregate of $2,207 and $698, respectively, from the manager.

 

F-46

 

Deemed Contributions

 

For the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024, certain series received deemed contributions from the related parties totaling $267,677 and $10,759, respectively, in exchange for forgiveness of amounts previously due to the manager.

 

Management Compensation

 

The following table reflects details of the total fees paid by series to the manager for the year ended December 31, 2025 and the period July 12, 2024 (date of inception) through December 31, 2024.

 

Series  Sourcing fees   Financing and holding expenses   Offering expenses   Asset management fee   Reimbursements of acquisition expenses   Property management fee, related party   Total 
Adela  $8,220   $4,110   $5,661   $705   $2,500   $370   $21,566 
Adler   12,600    6,300    8,524    1,260    2,500    671    31,855 
Alex   12,200    6,100    8,223    1,569    2,500    498    31,090 
Ameris   8,780    4,390    6,027    1,004    2,500    892    23,593 
Arbolado   11,900    5,950    8,005    680    2,500    498    29,533 
Arthur   -    -    -    -    -    -    - 
Ashland   12,030    6,010    8,134    516    2,500    486    29,676 
Belleglade   13,120    6,560    8,864    1,500    2,500    987    33,531 
Blair   -    -    -    350    -    300    650 
Briarmanor   14,000    7,000    9,579    800    2,500    708    34,587 
Caldwell   -    -    -    -    -    -    - 
Camila   -    -    -    -    -    454    454 
Camphor   9,270    4,630    6,316    1,193    2,500    487    24,396 
Chalkstone   -    -    -    -    -    -    - 
Chesterton   18,830    9,410    12,629    807    2,500    162    44,338 
Chloe   -    -    -    -    -    -    - 
Clark   11,250    5,620    7,648    1,608    2,500    748    29,373 
Cyrus   13,690    6,840    9,197    783    2,500    294    33,304 
Evie   9,060    4,530    6,179    777    2,500    378    23,424 
Farinosa   -    -    -    -    -    -    - 
Fizzy   12,830    6,410    8,661    550    2,500    538    31,489 
Fortress   12,600    6,300    8,677    1,260    2,500    881    32,218 
Galleta   10,240    5,120    6,960    293    2,500    66    25,178 
Gavin   -    -    -    -    -    -    - 
Gerardo   12,890    6,440    8,696    1,105    2,500    631    32,262 
Goldfinger   19,240    9,620    12,800    2,750    2,500    907    47,817 
Goshen   -    -    -    -    -    -    - 
Gracianna   -    -    -    -    -    106    106 
Hendricks   8,750    4,370    6,068    750    2,500    511    22,949 
Kitsune   -    -    -    -    -    -    - 
Lenka   11,550    5,770    7,799    1,485    2,500    1,053    30,157 
Liam   15,050    7,520    10,178    1,935    2,500    1,388    38,571 
Lilinoe   13,120    6,560    8,866    1,313    2,500    963    33,322 
Lois   -    -    -    1,938    -    1,194    3,131 

 

F-47

 

Series  Sourcing fees   Financing
and holding
expenses		   Offering expenses   Asset management fee   Reimbursements of acquisition expenses   Property management fee, related party   Total 
Lucky   -    -    -    -    -    -    - 
Marilyn   12,770    6,380    8,629    730    2,500    568    31,577 
Metcalf   10,680    5,340    7,283    1,221    2,500    817    27,841 
Monroe   12,770    6,380    8,629    547    2,500    98    30,924 
Nathan   6,300    3,150    4,348    540    2,500    113    16,951 
Orland   -    -    -    -    -    -    - 
Parker   -    -    -    -    -    -    - 
Poshington   13,260    6,630    9,483    1,137    2,500    618    33,628 
Pumpkin   11,420    5,710    7,776    1,632    2,500    1,144    30,181 
Raider   12,600    6,300    8,662    900    2,500    678    31,640 
Rivendell   -    -    -    -    -    32    32 
Rucker   -    -    -    -    -    -    - 
Sambino   10,490    5,240    7,172    1,650    2,500    1,160    28,212 
Sandpiper   13,690    6,840    9,238    587    2,500    163    33,018 
Scarlett   15,330    7,660    10,257    876    2,500    588    37,211 
Sinalda   13,610    6,800    9,141    1,750    2,500    598    34,399 
Stonemill   13,650    6,820    9,186    585    2,500    462    33,203 
Targaryen   13,580    6,790    9,175    1,358    2,500    1,064    34,467 
Terrien   14,470    7,230    9,733    414    2,500    482    34,828 
Tilly   10,850    5,420    7,403    930    2,500    528    27,631 
Troncos   12,250    6,120    8,255    1,400    2,500    770    31,295 
Tully   16,830    8,410    11,259    1,924    2,500    744    41,667 
Tyrell   11,250    5,620    7,665    1,286    2,500    683    29,004 
Vega   13,690    6,840    9,197    1,370    2,500    779    34,376 
Wasilla   14,520    7,260    9,862    1,453    2,500    648    36,243 
Wendover   13,120    6,560    8,817    938    2,500    648    32,583 
Wesley   9,110    4,550    6,241    261    2,500    167    22,829 
Whippoorwill   13,050    6,520    8,844    1,119    2,500    658    32,691 
Wildcat   11,200    5,600    7,632    640    2,500    470    28,042 
William   -    -    -    -    -    -    - 
Windgate   10,590    5,290    7,224    1,059    2,500    683    27,346 
Wyndsong   12,560    6,280    8,680    898    2,500    422    31,340 
   $594,860   $297,300   $403,482   $54,131   $120,000   $31,958   $1,501,731 

 

Series  Sourcing
fees		   Financing
and holding
expenses		   Offering
expenses		   Asset
management fee		   Reimbursements
of acquisition
expenses		   Property
management fee,
related party		   Total 
                             
Lois  $11,250   $5,620   $7,648   $165   $2,500   $327   $27,510 
Clark   -    -    -    -    -    -    - 
Sambino   -    -    -    -    -    -    - 
   $11,250   $5,620   $7,648   $165   $2,500   $327   $27,510 

 

NOTE 8: INCOME TAXES

 

Deferred tax assets and liabilities are recognized for temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases, as well as for net operating loss carryforwards. As of December 31, 2025 and 2024, gross deferred tax assets were $249,469 and $11,089, respectively, primarily attributable to net operating loss carryforwards.

 

F-48

 

Deferred tax assets are recognized to the extent that management believes such amounts are more likely than not to be realized. In making this determination, management 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. Based on the cumulative losses incurred by the series in 2025 and 2024, management concluded that a full valuation allowance was required as of December 31, 2025 and 2024. Accordingly, a valuation allowance of $249,469 and $11,089 was recorded as of December 31, 2025 and 2024, respectively.

 

Deferred tax assets were calculated using the applicable federal and state tax rates of the Company and its series, which it estimated to range from 21.0% to 28.0% based on the state of the respective series. Because those deferred tax assets were fully offset by a valuation allowance, no net income tax benefit was recognized for 2025 or 2024. Accordingly, the effective tax rate was 0% for 2025 and 2024.

 

As of December 31, 2025 and 2024, the Company and its series had net operating loss carryforwards available to offset future taxable income in the amount of $987,984 and $47,909, respectively.

 

These federal net operating loss carryforwards may be carried forward indefinitely; however, their utilization is generally limited to 80% of taxable income in any future year. State net operating loss carryforwards may have different carryforward periods and utilization limitations depending on the applicable jurisdiction.

 

The Company and its series policy is to record interest and penalties associated with unrecognized tax benefits as a component of income tax expense in the statement of comprehensive loss. As of December 31, 2025 and 2024, the Company and its series had no unrecognized tax benefits and did not incur any interest or penalties related to uncertain tax positions. Accordingly, no accrual for uncertain tax positions was recorded as of those dates.

 

The Company and its series are not currently subject to any income tax audits in any taxing jurisdiction. U.S. federal and applicable state returns for tax years 2024 and forward remain subject to examination.

 

NOTE 9: SUBSEQUENT EVENTS

 

The following list represents acquisitions that were closed subsequent to December 31, 2025.

 

Series Member Name  Address  LLC Formation Date  Acquisition Date  Purchase Price   Bridge Financing 
Rosalee  3050 Rosalee Lane, Gravette, AR 72736  2/12/2026  3/4/2026  $355,000   $337,250 
Lancer  3040 Laredo Lane, Gravette, AR 72736  11/25/2025  2/4/2026   360,000    342,000 
Ozark  3514 Marksbury Drive, Greensboro, NC 27405  3/10/2026  3/18/2026   314,250    305,324 
            $1,029,250   $984,574 

 

The following list represents escrow fundings closed subsequent to December 31, 2025.

 

Series Member Name  Address  Initial Closing Date  Amount of Membership Units   Initial Raise Amount 
Camila  2504 Elmwood Avenue, Lowell, Arkansas 72745  1/12/2026   45,383   $453,830 
Gracianna  5462 Rothermund Drive, Canal Winchester, OH 43110  1/29/2026   40,027    400,270 
Rivendell  117 Nettle Leaf Drive, Meridianville, AL 35759  1/7/2026   28,150    281,500 
William  2324 Boneset Drive, Plainfield, IN 46168  2/5/2026   39,929    399,290 
              $1,534,890 

 

F-49

 

ITEM 8. EXHIBITS

 

Exhibit No.   Description
2.1*   Certificate of Formation of Arrived Homes 5, LLC
2.2*   Limited Liability Company Agreement of Arrived Homes 5, LLC
3.1*   Form of Series Designation of Arrived Series [*], a series of Arrived Homes 5, LLC
4.1*   Form of Subscription Agreement of Arrived Series [*], a series of Arrived Homes 5, LLC
6.1*   Broker Dealer Agreement, dated October 14, 2024 between Arrived Homes 5, LLC and Dalmore Group, LLC
6.2*   Form of Promissory Note
6.3*   Form of Property Management Agreement dated [*], 202[*], between Marketplace Homes and Arrived Series [*], a series of Arrived Homes 5, LLC
6.4*   NCPS PPEX ATS Company Agreement
6.5*   Secondary Brokerage Agreement
6.7*   NCIT Software and Services License Agreement
6.8*   Purchase and Sale Agreement dated June 22, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Clark Property
6.8.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Clark dated July 19, 2024 for Arrived Series Clark Property
6.9*   Purchase and Sale Agreement dated June 22, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Lois Property
6.9.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lois dated July 19, 2024 for Arrived Series Lois Property
6.10*   Purchase and Sale Agreement dated December 16, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Goldfinger Property
6.10.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Goldfinger dated January 21, 2025 for Arrived Series Goldfinger Property
6.11*   Purchase and Sale Agreement dated December 10, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Pumpkin Property
6.11.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Pumpkin dated January 24, 2025 for Arrived Series Pumpkin Property
6.12*   Purchase and Sale Agreement dated November 5, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Sambino Property
6.12.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sambino dated November 21, 2024 for Arrived Series Sambino Property
6.13*   Purchase and Sale Agreement dated December 10, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Troncos Property
6.13.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Troncos dated December 13, 2024 for Arrived Series Troncos Property
6.14*   Purchase and Sale Agreement dated February 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Alex Property
6.14.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Alex dated February 21, 2025 for Arrived Series Alex Property
6.15*   Purchase and Sale Agreement dated January 11, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Camphor Property

 

37

 

6.15.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Camphor dated February 6, 2025 for Arrived Series Camphor Property
6.16*   Purchase and Sale Agreement dated February 11, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Lenka Property
6.16.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lenka dated February 21, 2025 for Arrived Series Lenka Property
6.17*   Purchase and Sale Agreement dated January 12, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Liam Property
6.17.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Liam dated February 13, 2025 for Arrived Series Liam Property
6.18*   Purchase and Sale Agreement dated February 11, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Sinalda Property
6.18.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sinaldi dated February 21, 2025 for Arrived Series Sinalda Property
6.19*   Purchase and Sale Agreement dated February 27, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Adler Property
6.19.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Adler dated March 18, 2025 for Arrived Series Adler Property
6.20*   Purchase and Sale Agreement dated February 19, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Ameris Property
6.20.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Ameris dated March 4, 2025 for Arrived Series Ameris Property
6.21*   Purchase and Sale Agreement dated February 20, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Belleglade Property
6.21.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Belleglade dated March 18, 2025 for Arrived Series Belleglade Property
6.22*   Purchase and Sale Agreement dated December 4, 2024 between Arrived Holdings, Inc./Assignee and Seller for Series Metcalf Property
6.22.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Metcalf dated March 27, 2025 for Arrived Series Metcalf Property
6.23*   Purchase and Sale Agreement dated March 5, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Scarlett Property
6.23.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Scarlett dated March 19, 2025 for Arrived Series Scarlett Property
6.24*   Purchase and Sale Agreement dated February 14, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Tully Property
6.24.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Tully dated March 4, 2025 for Arrived Series Tully Property
6.25*   Purchase and Sale Agreement dated February 20, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Tyrell Property
6.25.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Tyrell dated March 5, 2025 for Arrived Series Tyrell Property
6.26*   Purchase and Sale Agreement dated March 14, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Wasilla Property
6.26.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wasilla dated March 17, 2025 for Arrived Series Wasilla Property
6.27*   Purchase and Sale Agreement dated February 13, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Adela Property
6.27.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Adela dated February 19, 2025 for Arrived Series Adela Property
6.28*   Purchase and Sale Agreement dated April 14, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Arbolado Property

 

38

 

6.28.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Arbolado dated April 23, 2025 for Arrived Series Arbolado Property
6.29*   Purchase and Sale Agreement dated April 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Cyrus Property
6.29.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Cyrus dated March 27, 2025 for Arrived Series Cyrus Property
6.30*   Purchase and Sale Agreement dated February 11, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Fortress Property
6.30.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Fortress dated March 19, 2025 for Arrived Series Fortress Property
6.31*   Purchase and Sale Agreement dated February 11, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Lilinoe Property
6.31.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lilinoe dated March 27, 2025 for Arrived Series Lilinoe Property
6.32*   Purchase and Sale Agreement dated March 12, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Targaryen Property
6.32.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Targaryen dated April 9, 2025 for Arrived Series Targaryen Property
6.33*   Purchase and Sale Agreement dated April 9, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Tilly Property
6.33.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Tilly dated April 25, 2025 for Arrived Series Tilly Property
6.34*   Purchase and Sale Agreement dated March 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Vega Property
6.34.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Vega dated March 27, 2025 for Arrived Series Vega Property
6.35*   Purchase and Sale Agreement dated April 9, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Blair Property
6.35.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Blair dated April 30, 2025 for Arrived Series Blair Property
6.36*   Purchase and Sale Agreement dated May 7, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Briarmanor Property
6.36.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Briarmanor dated April 30, 2025 for Arrived Series Briarmanor Property
6.37*   Purchase and Sale Agreement dated April 12, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Evie Property
6.37.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Evie dated May 1, 2025 for Arrived Series Evie Property
6.38*   Purchase and Sale Agreement dated February 6, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Fizzy Property

 

39

 

6.38.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Fizzy dated May 15, 2025 for Arrived Series Fizzy Property
6.39*   Purchase and Sale Agreement dated February 6, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Gerardo Property
6.39.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Gerardo dated May 1, 2025 for Arrived Series Gerardo Property
6.40*   Purchase and Sale Agreement dated May 7, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Hendricks Property
6.40.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Hendricks dated May 1, 2025 for Arrived Series Hendricks Property
6.41*   Purchase and Sale Agreement dated May 7, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Nathan Property
6.41.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Nathan dated May 9, 2025 for Arrived Series Nathan Property
6.42*   Purchase and Sale Agreement dated April 15, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Stonemill Property
6.42.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Stonemill dated April 22, 2025 for Arrived Series Stonemill Property
6.43*   Purchase and Sale Agreement dated April 14, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Terrien Property
6.43.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Terrien dated May 14, 2025 for Arrived Series Terrien Property
6.44*   Purchase and Sale Agreement dated April 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Whippoorwill Property
6.44.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Whippoorwill dated May 1, 2025 for Arrived Series Whippoorwill Property
6.45*   Purchase and Sale Agreement dated April 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Windgate Property
6.45.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Windgate dated April 23, 2025 for Arrived Series Windgate Property
6.46*   Purchase and Sale Agreement dated April 9, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Wyndsong Property
6.46.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wyndsong dated May 13, 2025 for Arrived Series Wyndsong Property
6.47*   Purchase and Sale Agreement dated April 18, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Ashland Property
6.47.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Ashland dated June 20, 2025 for Arrived Series Ashland Property
6.48*   Purchase and Sale Agreement dated May 25, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Chesterton

 

40

 

6.48.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Chesterton dated June 11, 2025 for Arrived Series Chesterton
6.49*   Purchase and Sale Agreement dated April 14, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Galleta Property
6.49.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Galleta dated June 4, 2025 for Arrived Series Galleta Property
6.50*   Purchase and Sale Agreement dated April 23, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Marilyn Property
6.50.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Marilyn dated May 20, 2025 for Arrived Series Marilyn Property
6.51*   Purchase and Sale Agreement dated April 25, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Monroe Property
6.51.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Monroe dated May 20, 2025 for Arrived Series Monroe Property
6.52*   Purchase and Sale Agreement dated April 23, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Poshington Property
6.52.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Poshington dated May 13, 2025 for Arrived Series Poshington Property
6.53*   Purchase and Sale Agreement dated June 2, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Sandpiper Property
6.53.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Sandpiper dated June 20, 2025 for Arrived Series Sandpiper Property
6.54*   Purchase and Sale Agreement dated May 14, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Raider Property
6.54.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Raider dated June 3, 2025 for Arrived Series Raider Property
6.55*   Purchase and Sale Agreement dated April 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Wendover Property
6.55.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wendover dated May 20, 2025 for Arrived Series Wendover Property
6.56*   Purchase and Sale Agreement dated April 10, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Wesley Property
6.56.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wesley dated May 20, 2025 for Arrived Series Wesley Property
6.57*   Purchase and Sale Agreement dated June 20, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Wildcat Property
6.57.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Wildcat dated June 20, 2025 for Arrived Series Wildcat Property
6.58*   Purchase and Sale Agreement dated June 4, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Camila Property
6.58.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Camila dated June 24, 2025 for Arrived Series Camila Property
6.59*   Purchase and Sale Agreement dated July 24, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Gracianna Property
6.59.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Gracianna dated August 13, 2025 for Arrived Series Gracianna Property
6.60*   Purchase and Sale Agreement dated July 29, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Rivendell Property
6.60.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Rivendell dated August 13, 2025 for Arrived Series Rivendell Property

 

41

 

6.61*   Purchase and Sale Agreement dated August 12, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series William Property
6.61.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series William dated September 12, 2025 for Arrived Series William Property
6.62*   Purchase and Sale Agreement dated October 30, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Arthur Property
6.62.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Arthur dated November 17, 2025 for Arrived Series Arthur Property
6.63*   Purchase and Sale Agreement dated November 25, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Caldwell Property
6.63.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Caldwell dated November 17, 2025 for Arrived Series Caldwell Property
6.64*   Purchase and Sale Agreement dated October 28, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Chalkstone Property
6.64.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Chalkstone dated November 14, 2025 for Arrived Series Chalkstone Property
6.65*   Purchase and Sale Agreement dated September 13, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Chloe Property
6.65.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Chloe dated September 17, 2025 for Arrived Series Chloe Property
6.66*   Purchase and Sale Agreement dated October 29, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Farinosa Property
6.66.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Farinosa dated November 26, 2025 for Arrived Series Farinosa Property
6.67*   Purchase and Sale Agreement dated October 29, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Gavin Property
6.67.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Gavin dated November 17, 2025 for Arrived Series Gavin Property
6.68*   Purchase and Sale Agreement dated October 27, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Goshen Property
6.68.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Goshen dated November 19, 2025 for Arrived Series Goshen Property
6.69*   Purchase and Sale Agreement dated September 25, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Kitsune Property
6.69.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Kitsune dated November 25, 2025 for Arrived Series Kitsune Property
6.69.2*   Counteroffer to Offer dated September 25, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Kitsune Property
6.70*   Purchase and Sale Agreement dated October 30, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Lucky Property
6.70.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Lucky dated November 18, 2025 for Arrived Series Lucky Property
6.71*   Purchase and Sale Agreement dated October 22, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Parker Property
6.71.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Parker dated November 25, 2025 for Arrived Series Parker Property
6.72*   Purchase and Sale Agreement dated November 11, 2025 between Arrived Holdings, Inc./Assignee and Seller for Series Rucker Property
6.72.1*   Assignment of Contract from Arrived Holdings, Inc. to Arrived Series Rucker dated November 26, 2025 for Arrived Series Rucker Property
99.1*   Valuation Policy

 

*Previously filed

 

42

 

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 5, LLC
     
  By: Arrived Fund Manager, LLC, its managing member
     
  By: /s/ Ryan Frazier
    Name:  Ryan Frazier
    Title: Chief Executive Officer
    Date: April 30, 2026

 

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, 2026
Ryan Frazier   (principal executive officer)    
    Chief Executive Officer and Director of Arrived Homes 5, LLC    
         
/s/ Sue Korn   Principal Financial and   April 30, 2026
Sue Korn   Accounting Officer of Arrived Holdings, Inc.    
    Principal Financial and Accounting Officer of Arrived Homes 5, LLC    
         
/s/ Kenneth Cason   Chief Technology Officer of Arrived Holdings, Inc.   April 30, 2026
Kenneth Cason   Chief Technology Officer and Director of Arrived Homes 5, LLC    
         
Arrived Fund Manager, LLC   Managing Member   April 30, 2026
         
By: /s/ Ryan Frazier        
Name:  Ryan Frazier        
Title: Chief Executive Officer        

 

 

43