FlexCaves Kansas City

• Experienced Sponsor. Leadership team with over $800 million in completed commercial real estate development.

• Shovel-Ready Project. Entitled, permitted, fixed-price GMP in place, and ready to commence construction.

• Differentiated Product. Flex-space combining business, storage, and lifestyle uses in a single development.

• Strategic Martin City Location. A destination district in southern Kansas City with strong demographics and limited direct competition.

• 51 Flexible Units. Designed to accommodate a broad range of business, storage, and lifestyle uses.

• Built for Scale. Designed as a prototype location with expansion potential across multiple markets.

• Target Investor Returns. Projected mid-to-high teen IRRs with recurring cash flow and value creation through lease-up and stabilization.

FlexCaves–KC1, LLC (the “Company”) was formed to develop, construct, lease, and operate FlexCaves Martin City (the “Project”) located at 300 E. 135th St., Kansas City, MO, 64145 in the Martin City submarket of Kansas City, Missouri. The Project consists of approximately 84,450 rentable square feet across 51 premium flex-use units designed to combine workspace, storage, showroom, and lifestyle functionality in a higher-finish environment intended to serve professionals, contractors, entrepreneurs, hobbyists, collectors, and small businesses.

The Project is being developed under the FlexCaves brand platform, which is designed as a scalable flex-use real estate concept combining elements of industrial, showroom, warehouse, and lifestyle-oriented commercial real estate. The Martin City development represents the first planned deployment of the broader FlexCaves platform.

The total anticipated Project capitalization is approximately $20.5 million, consisting of a combination of investor equity and senior construction financing. The Company is seeking $6.5 million in investor equity commitments through this offering. Construction is expected to be completed pursuant to a fixed-price Guaranteed Maximum Price (“GMP”) construction contract.

The sponsorship team is led by Brett Johnson and Pat Beatty, who previously co-founded and operated Overland Property Group, a real estate development platform that completed more than 70 ground-up projects representing over $800 million in completed real estate value across multiple states prior to the sale of that platform in 2020.

FlexCaves is sponsored by a development team with a long-standing record of delivering complex real estate projects through multiple market cycles, backed by institutional capital and disciplined execution.

The platform is led by Brett Johnson, CEO & President of Cave Development, in partnership with Pat Beatty, whose combined experience spans development, capital markets, construction oversight, and investor stewardship at scale.

Brett and Pat co-founded Overland Property Group (OPG) in 2005 and helped build it into a recognized real estate platform across the Midwest and Texas. Over that period, the team developed 70+ ground-up projects, delivering more than $800 million in total real estate value across affordable housing, market-rate multifamily, senior housing, and historic redevelopment. The platform expanded across nine states, encompassing more than 5,000 residential units, and earned national recognition for quality, execution, and community impact.

In 2020, Overland Property Group was acquired by a hedge fund, following a successful platform acquisition and the strength of the operating model. The platform continues to operate and grow today on the foundation established during the sponsor’s tenure.

Overland Property Group  collected numerous awards including the prestigious Readers’ Choice Finalist, which is voted on by Affordable Housing Developers (our competitors), the Colorado Governor’s Award for Historic Preservation as well as:

• 2024    Novogradac Developments of Distinction
• 2023    Top 50 Affordable Housing Developers
• 2021    Kansas Preservation Alliance Award Winner, Charles L. Edson Tax Credit Excellence Award, 50 Kansans You Should Know - Pat Beatty and Colorado Eagle Award Nominee
• 2020    Best Historic Rehab Finalist – Texas Downtown Association
• 2018    Colorado Housing Eagle Award – People’s Choice Award and Ad Astra Award – New Housing Development
• 2016    Top 50 Affordable Housing Developers and Historic Preservation Governor’s Award – Colorado
• 2014    Affordable Housing Finance Readers’ Choice Finalist, Ad Astra Award – Innovation in Housing and Ad Astra Award – Special Achievement

Continuity into FlexCaves

FlexCaves is not a departure from this history—it is an evolution of it. The same discipline, transparency, and sponsor mindset that earned institutional relationships and enabled large-scale execution now underpin the FlexCaves platform. While the product is new, the people, processes, and standards behind it are well established.

Throughout their history, the Brett and Pat served not only as developers but as true partners to institutional capital. Financial institutions such as Wells Fargo, JPMorgan Chase, Bank of America, American Express, and Capital One participated alongside the sponsor as equity partners, not merely lenders. These institutions committed their own capital based on confidence in the sponsor’s underwriting, governance, and ability to deliver projects on time, on budget, and exactly as promised.

Across multiple market cycles, they have never failed to complete a project, never defaulted, and never missed a commitment to capital partners. That track record of consistency and accountability forms the foundation of the FlexCaves platform today.

Construction Execution & Risk Control

FlexCaves Martin City is being delivered in partnership with ARCO, a national top-five design/build firm with more than 30 years of experience and 6,000+ completed projects nationwide. A fixed-price Guaranteed Maximum Price (GMP) construction contract of $16.5 million is in place, locking pricing and scope prior to closing and materially reducing cost-overrun risk.

Entitlements and design are complete, and the project is currently in permit review, with approvals anticipated for a May 2026 closing and groundbreaking. Construction is planned as a seven-month build, targeting Certificate of Occupancy in late 2026. This level of execution readiness places FlexCaves in a fundamentally different risk category than early-stage or conceptual developments.
 

The total anticipated capitalization for the Project is approximately $20.5 million. The Company expects the majority of the Project costs to be financed through a combination of investor equity and senior secured construction financing. The Company is seeking $6.5 million in investor equity commitments, through purchases of Class A Interests in this Offering, while sponsor capital contributions (Class B / Sponsor shares) are expected to be contributed through affiliated GP entities and related sponsor vehicles.

The balance of required project capital is expected to be funded through a senior construction loan and related financing arrangements, in order to fund a substantial portion of the acquisition, development, and construction costs associated with the Project.

Final financing amounts, leverage levels, reserve requirements, loan proceeds, and sponsor contribution obligations remain subject to lender underwriting, appraisal, final project budgeting, and negotiation of definitive loan documentation.

The chart below shows how the costs are expected to be financed:

The Company may revise the financing structure described above based on lender requirements, market conditions, construction pricing, timing considerations, or other factors affecting the Project.

The financing structure is intended to provide sufficient capital for all development related activities including land acquisition, pre-development and entitlement costs, architecture and engineering, hard construction costs, interest reserves, contingencies, leasing and marketing costs, capitalized operating reserves, and other project-related expenses.

The Company expects to utilize moderate leverage relative to total project capitalization. The Company believes the use of a fixed-price GMP construction contract is intended to reduce exposure to construction cost escalation and budget uncertainty during development.

The chart below shows the total anticipated cost of the project:

The project budget above is based upon current construction pricing, consultant estimates, anticipated financing assumptions, and sponsor projections. Certain figures are preliminary and remain subject to adjustment based on final lender underwriting, permit approvals, construction scheduling, reserve requirements, and completion of definitive agreements. The Company expects the Project to be constructed pursuant to a fixed-price GMP construction contract intended to reduce exposure to material construction pricing volatility during the construction period.

Note: Detailed Sources & Uses schedules remain subject to final lender underwriting, completion of definitive construction budgets, and finalization of financing documentation.

Principal Terms of Bank Loan

The Company anticipates obtaining a senior secured construction loan from a commercial lender to finance a substantial portion of the Project costs. Final financing terms have not yet been finalized and remain subject to lender underwriting, appraisal, due diligence, satisfaction of closing conditions, and negotiation of definitive loan documentation. The anticipated construction financing is expected to include substantially the following characteristics:

The anticipated construction lender may require guarantees, indemnities, completion obligations, environmental obligations, “bad boy” carveout guaranties, or other credit support from sponsor affiliates or third parties as a condition to financing. The Company may compensate parties providing such guaranties or credit support arrangements in amounts determined by the Manager to be reasonable under the circumstances. There can be no assurance that financing will ultimately be obtained on the terms described above, or at all.

FlexCaves Kansas City is located within a niche flex-space submarket benefiting from proximity to affluent Kansas City-area communities including Loch Lloyd, Leawood, and Hallbrook. Local demographics reflect median household income of approximately $103,000 and median household net worth approaching approximately $580,000 within a five-minute drive area of the Property.

The Company believes the Martin City submarket presents an opportunity for a differentiated premium flex-use product due to limited new supply, relatively low vacancy, and demand from higher-income residential and professional demographics in the surrounding area.

There are approximately 32 flex buildings located within a fifteen-minute drive radius, totaling approximately 201,000 square feet, with no new flex construction underway at the time of the market analysis.  Within a thirty-minute radius, approximately 253 flex buildings totaling approximately 1.5 million square feet were identified, again with no flex square footage reportedly under construction at that time.

Market vacancy rates for comparable flex products are estimated at approximately 3.2% to 3.7%, with annual rent growth estimates in the range of approximately 5.0% to 5.2%. Our project is expected to command rental rates above prevailing market averages due to its proposed design, location, finish level, and branding characteristics. 

You can review this market study for further detail.
 

In the offering described in this Confidential Investor Disclosure Document (the “Offering“), the Company is offering limited liability company interests which we refer to as “Class A Shares.” We use the term “Investor” to refer to a person who purchases Class A Shares, which may include the Manager and its affiliates.

The Company ownership also consists of Class B / Sponsor Shares. The holders of these membership units are also referred to as the “Members”. The Class B / Sponsor interests are expected to be held indirectly through FlexCaves, LLC and affiliated sponsor entities associated with the FlexCaves platform structure.

How Much We’re Offering

We are trying to raise a maximum of $6,500,000 in the Offering. However, we will close on the Offering, and begin spending Investor money, once we raise at least $1,000,000. If we have not raised at least $1,000,000 by 11:59 pm on September 15, 2026, we will terminate the Offering and return the money to Investors.

The Company reserves the right to increase or decrease the number of Investor Units offered hereby and the price per Investor Unit, to approve or disapprove each investor and reject any subscriptions in whole or in part, in its sole discretion. We also have the right to terminate or extend the Offering at any time.

Price Per Share

We are offering the Class A Shares for $50,000.00 each.

The offering price for the Investor Units sold in this Offering has been determined by the Company. Among the factors considered are prevailing market conditions, estimates of business potential of the Company, the present state of the Company’s project and other factors deemed relevant. The Offering price does not necessarily bear any direct relationship to asset value or net book value of the Company

Minimum Investment

The minimum you can invest is $50,000.00, or one (1) Class A Share, unless the Manager agrees to a lower amount.

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment.

In making an investment decision, Investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document.

The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature.

These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.

There are numerous risks to consider when making an investment such as this one and financial projections are just that - projections. Returns are not guaranteed. Conditions that may affect your investment include unforeseen construction costs, changes in market conditions, and potential disasters that are not covered by insurance. Please review our detailed Risks of Investing documents for a more expansive list of potential risks associated with an investment in this Company.