And I don't mean to tell you anything you already know, but it looks like you're stuck with these shares until the next redemption period rolls around.
It’s done well, but i sorta have my assets in a sling atm. you can only cash your shares once a year, and i just missed it.
And that is it for a year, unfortunately. They could at their discretion set a redemption period every 18 months, but they do say they will try and do one every 12 months.
Is this normal for reits?
It isn't for REITS traded on an exchange, that's for sure, but what you have here is a special animal using
"Regulation A, Tier 2" of the SEC rules which exempts this security from registration, basically allowing it to operate in a unique way compared to common stock of a publicly traded company, or any other publicly traded REIT.
Anyone know a way i could leverage this?
As I said in my previous answer, the only way you could possibly do so is by approaching your bank or another financial institution and offer your shares as collateral on a loan. I wouldn't give too much hope to this because the shares are illiquid. I exclude using a Margin loan if these are held in a brokerage account because I would bet a days pay any Margin agreement would exclude the use of a security like this for those purposes. After all, what happens if you get a Margin Call and can't sell shares to cover? (On edit to say, I could absolutely be wrong on that last point, so it might be worth asking your brokerage if these shares are held there)
I could rly use at least half the money. I get a few hundred a year on it, and I love it.
but…
And that is a problem, I can understand. Unfortunately, they told you going in what you were investing in, so unfortunately, as I said, you are stuck with the shares till next time a redemption window comes around.
Read this page starting under the header "POLICIES WITH REGARDS TO CERTAIN ACTIVITIES" and then "STOCK REDEMPTION PROGRAM".
https://iroquoisvalley.com/wp-content/uploads/2022/11/IroquoisValleyREITOfferingCircular2022_November.pdf#page=87
Important part;
No Market: We are structured as a perpetual-life entity and have no current intention to list our shares of common stock on an exchange or other trading market. No established regular trading market for our shares of common stock currently exists. Our Stock Redemption Program will be amended or terminated if our shares of common stock are listed on a national securities exchange or included for quotation in a national securities market, or in the event a secondary market for shares of our common stock develops.
They also clearly want you to hold the shares for a minimum of 5 years, so if you are able to redeem them early you make take a haircut.
Here's the pertinent part to your primary question;
Our shares are illiquid. Our Stock Redemption Program requires a minimum 5-year holding period for eligibility.
There is no public market for our shares, nor a specific deadline by which one will be created, if ever. There is
no requirement that our operating company liquidate our portfolio by a specific date, and in fact it is generally
our intent to work with our farmers to hold and steward land for organic farming on a long-term basis. Until
shares of our common stock are listed, if ever, you may not be able to sell any shares of our common stock purchased hereunder. If you are able to sell your shares of our common stock, you may have to sell them at a substantial loss.
(Emphasis mine)
From this document;
https://iroquoisvalley.com/wp-content/uploads/2022/11/IroquoisValleyREITOfferingCircular2022_November.pdf
There's a lot in the above links to read, and it's important to do so, in my opinion. Understanding any security you have invested in is of paramount importance.
So basically.....you got em' and you got to hold em'! Hopefully they will continue to pay a handsome dividend/distribution till you are able to unload them. On the other hand, you may just want to keep the shares if they truly do seem worth it.
I hope I was of some help.
May all your trades be net gains.
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