Investor Participation

Investors in JEMS receive participation in a specific loan or loans and have an interest in the mortgage proportionate to the amount they have invested versus the total loan amount. Investor's rate of return is consistent with the interest rate of the loan in which they are participating - currently 13%. Financing fees are retained by JEMS as profit and overhead. JEMS issues Participation Agreements to investors evidencing their investment in a specific loan and investors will receive monthly interest payments as they are received from borrowers. Principal will be returned to investors as loans are repaid or may be re-invested in future loans.

Typical loan terms and criteria include:

Loan to value:	70% or less (60% if new construction)
Term:	9 months
Rate:	13%
Points:	3
Security:	First mortgages only
Other:	Personal guarantees are required All loans with same borrowers are cross collateralized

910 Boston Post Road • Marlborough, MA 01752 • 508-229-7827 • rlo@keystonedev.net