McKee Private Capital: How It Invests, Fees and Terms

What is McKee Private Capital?

McKee Private Capital describes itself as "a second-generation family business specializing in the acquisition and management of multi-family housing communities throughout the U.S." In plain terms, it is a real estate sponsor: it finds an apartment property, negotiates the purchase, arranges the loan, raises the equity from a small group of private investors, and then oversees the property for the years the group owns it. Investors own a share of the property through a partnership; MPC does the work.

The company's tagline is "Real Estate Without Borders," and its pitch is geographic. It says it travels "extensively throughout the U.S. looking for under-appreciated markets, hidden pockets of growth, and outsized cash flow opportunities," and that it prefers smaller, "tertiary" markets where fewer large investors compete.

Two other points define it:

• It invests alongside its investors. The company says, "We invest our own family's capital in every acquisition that we make, sharing the same risks and rewards as our investors."
• Much of its portfolio is affordable housing. The company says it has grown in recent years "with an emphasis on Low Income Housing Tax Credit (LIHTC) housing," buying properties that must rent to households below set income limits. It also owns senior (55+) communities and some conventional market-rate apartments.

The home page shows the company's own counters, including $125,778,000 in assets under management. Its typical purchase, according to the Investor Benefits page, falls between $5,000,000 and $15,000,000.

Who owns and runs McKee Private Capital?

MPC is part of a family group of companies based at the same Coronado office. The company names two affiliates: McKee Properties, a San Diego County residential property management and brokerage company, and McKee Commercial. The Leadership page names four people:

• Russ McKee, President. The site calls him the founder and Chairman of McKee Properties and says he grew it "from a small San Diego based property management company into a diverse real estate enterprise" through acquisitions of several local firms. In 2004 he launched McKee Private Capital "to form group investments for the acquisition and operation of multi-family investments across the U.S." In 2010 he turned day-to-day operations over to his sons. The site lists a bachelor's degree in business administration from Rochester Institute of Technology and a master's degree in real estate and finance from National University, and says he holds the CCIM designation awarded by the CCIM Institute.
• Patrick McKee, Director of Asset Management. The site says he has been in the multifamily industry since 2012 and that his main job at MPC is asset management of the portfolio: he sources the local third-party management companies in each market, and handles investor communications, investment underwriting and risk management. It says he has helped "numerous clients" with 1031 exchanges. He holds a bachelor's degree in music performance from Berklee College of Music, according to the site.
• Brendan McKee. He is Vice President of Property Management & Sales and Managing Broker at McKee Properties, the affiliated management company. The site says he joined McKee Properties in 2010 and earned his California broker's license in 2015, and that he is a member of NARPM and IREM.
• Laurren Grum, CFO / Director of Accounting. The site says she is Chief Financial Officer for McKee Private Capital, McKee Properties and McKee Commercial, describes her as a Certified Public Accountant, and says she oversees the group's financial operations. It lists a bachelor's degree in finance from San Diego State University.

The contact page gives an email address for each of the three McKees, all at the mckeecompany.com domain. For investment questions, Patrick McKee's address (pmckee@mckeecompany.com) is the one shown in the site header.

Is McKee Private Capital legit?

People should ask this about any private investment, especially one that asks for a six-figure check. Here is what can be checked from public information:

• A real office and phone line. The company publishes a street address (1001 B Avenue, Suite 203, Coronado, CA 92118), a separate P.O. box and a phone number, (619) 435-7780, on every page.
• Licensed brokers on the team. We checked the California Department of Real Estate (DRE) public license lookup on 22 October 2026. Patrick Russell McKee holds a broker license (ID 02094362), status "LICENSED," expiring 17 December 2027. Brendan Joseph McKee holds a broker license (ID 01882732), status "LICENSED," expiring 22 March 2027, first licensed as a salesperson in 2010 and as a broker in 2015. Both records show the main office as 1001 B Avenue, Suite 203, Coronado, and both say "NO DISCIPLINARY ACTION." A real estate license does not mean the DRE reviews MPC's investments.
• Named properties with addresses. Nearly every current and past property on the Portfolio page has a street address, unit count, year built and acquisition date, so you can look the buildings up yourself.
• A published track record, including a loss. The site publishes year-by-year results for active properties and sale results for closed ones (see below). It also describes an investment that went badly: Carriage House in Topeka, Kansas, bought in 2008 and sold in 2015 at what the company calls "a minimal loss" after the local market declined during the Great Recession.

The site's Reviews page shows Google reviews, but most of them are from tenants and property owners of the affiliated property management company, McKee Properties, rather than from MPC investors. If you want to hear from investors, ask MPC for references from people who have been in one of its partnerships for several years.

How does investing with McKee Private Capital work?

From the How We Invest and White Paper pages, the model works like this:

1. MPC finds and vets a property using the criteria described below.
2. It handles the purchase. "We handle all aspects of the transaction from negotiation and execution of the Purchase and Sale Agreement, physical inspections, formation of the ownership entity, placement of debt financing and insurance, and closing."
3. It raises equity from a small group. The property pages give the numbers: for example, the company says it raised equity from eleven private investors for Elkhorn Meadows (2024), six for Prime Square (2023) and five for Westmont (2021).
4. MPC invests too. The company says it invests side by side with investors on every deal and that it usually holds a majority ownership interest.
5. It manages the asset for the life of the investment (details below).
6. It refinances or sells, usually after 7 to 10 years, and winds up the partnership.

The ownership structure can vary by deal. The Westmont page, for example, describes a tenancy in common structure, and the company says its partnerships can be set up to accept 1031 exchange money (see below). Ask for the offering documents for the specific deal to see exactly what you would own.

What kinds of properties does it buy?

The company calls itself an "opportunistic" investor that buys in "markets that are under-followed and under-appreciated." It describes a top-down review, starting with the metro area and then narrowing to the property:

It then lists the kinds of opportunities it looks for:

• Tertiary markets: smaller cities without heavy investor demand.
• Distressed or tax-credit assets: overleveraged properties, and LIHTC properties bought during their "extended use period," when the owner agrees to keep the income limits for a set number of years (the site says 3 to 15). The company says it may be able to convert some to market-rate rents once the restrictions end.
• Buying at or below replacement cost: paying less than it would cost to build the same property today.
• Value add: improving management, leasing and unit amenities.

The current portfolio, property by property

These are the properties the Portfolio page listed under "Current Investments" on 22 October 2026, with the company's own descriptions.

A few details from the property pages:

• Elkhorn Meadows (built 2009) has 23 one-bedroom, 49 two-bedroom and 24 three-bedroom units, income-restricted to households earning 40% to 60% of the Natrona County median. The company says it raised equity from eleven investors and negotiated ten years of interest-only payments on the loan.
• Prime Square is a senior community with 50 one-bedroom and 30 two-bedroom units and ground-floor office space leased to a home health provider. It was MPC's first property in Iowa.
• Westmont (built 2015) was bought for all cash with five investors, three of them using it as a 1031 replacement property, according to the company.
• Woodwinds has 44 two-bedroom and 6 three-bedroom townhomes with rent assistance under a HUD Housing Assistance Payments (HAP) contract. The company says it bought it off-market in 2013.

The site also describes an early project in Lehigh Acres, Florida: 16 lots bought in 2004 on which MPC built single-family homes. The page says 10 were sold and 6 were kept as rentals.

Past investments it has sold

The Performance and Portfolio pages list these closed investments. Dates are as the company publishes them.

The Performance page gives an average holding period of 97.69 months (a little over eight years) across these sales, which fits the company's stated 7 to 10 year hold.

Does McKee Private Capital publish its track record?

Yes. The Performance page (marked "Updated July 15, 2026" when we checked) has two tables:

• Active portfolio: an "annualized return on capital" for each current property, year by year, plus a portfolio-wide figure for each year.
• Closed portfolio: for each sold property, the acquisition and sale dates, holding period, equity multiple and internal rate of return (IRR).

We don't repeat the return figures here, because they are past results reported by the company, not independently audited by us, and past results do not predict future ones. Read them on the company's Performance page and ask how each figure is calculated (before or after fees, and whether it includes sale proceeds). Some property pages also include "projected" first-year figures written at the time of purchase; treat those as the company's marketing estimates, not promises.

Minimum investment and fees

These are the terms published on the site when we checked on 22 October 2026. The offering documents for a specific deal control; ask for them before you commit.

The White Paper adds that "100% of our fees are generally invested back into the property" and that, with no broker-dealer fees, 95% of the capital raised goes into the investment. Those are the company's own statements.

The site does not publish how investors pay (wire, check or 1031 exchange funds through an intermediary), beyond saying you will receive "instructions to deposit funds" once your allocation is confirmed in writing.

Who can invest? The accredited investor rule

MPC's offerings are open only to accredited investors. The site explains that "SEC regulations limit certain types of investments to 'accredited investors' only," and its questionnaire asks you to pick the category that describes you. The main ones for individuals are a net worth over $1 million, alone or with a spouse, not counting equity in your main home; or income over $200,000 in each of the last two years ($300,000 jointly with a spouse) with the same expected this year. Trusts and companies with more than $5 million in assets, entities owned entirely by accredited investors, and institutional accounts with $50 million or more can also qualify.

The form says you may be asked to "provide evidence of my net worth and/or annual income" before investing. It also asks whether you are already a client of McKee Properties, McKee Private Capital or McKee Commercial. If none of the categories fits you, MPC's offerings are not open to you. The SEC's Investor.gov site explains the definition.

How to invest, step by step

1. Review the portfolio and track record on the Portfolio and Performance pages, or download the brochure.
2. Sign up for offering alerts. Every page has a "Subscribe to be notified of our upcoming opportunities" form. When we checked, the properties on the New Offerings page were all marked "Fully Subscribed," so new deals are announced as they come up.
3. Complete the Investor Accreditation Questionnaire online. It asks whether you are an individual, institution or sponsor, which accreditation category fits, and whether you are already a McKee client, and asks you to acknowledge the risk statement.
4. Submit the Invest Now form. The company says "All investor subscriptions are subject to unit availability," and that it may "approve, disapprove and allocate shares at its sole discretion."
5. Get written confirmation and documents. Once your investment is confirmed in writing, you receive partnership documents with your share allocation and instructions for depositing funds. The site says the risks are "outlined in the subscription documents you will sign."
6. Underwriting, if you take a large share. Investors who take 25% or more of a deal must provide three years of federal tax returns, a personal financial statement and a schedule of real estate owned, and all investors are subject to credit screening, according to the How We Invest page.
7. Closing and updates. The company says it sends periodic updates until closing, then property updates with distributions. Current investors use an online investor portal reached from the site's "Investor Login" link.

Loans, 1031 exchanges and taxes

Loans. The company says most of its purchases use government agency debt from Fannie Mae and Freddie Mac, and that these loans are non-recourse, "requiring no personal guarantees on the part of our investors." MPC, as sponsor, signs the loan documents and provides the "carve-out guarantees" lenders require.

1031 exchanges. The company says its partnerships can be structured so you can bring 1031 exchange funds into a deal, and can exchange out into a new property when the investment ends, with the note that the "partnership structure must be modified" to do so. Several property pages mention investors who used an MPC property as their replacement property. The site's Investor Resources page links a PDF titled "1031 Tax Deferred Exchange Information." Exchange rules are strict, so plan with your qualified intermediary and tax adviser before you identify an MPC property.

Taxes. The Investor Benefits page points to depreciation as a tax advantage of real estate and adds that "depreciation recapture at the end of the investment will result in additional tax liability." The company also prepares the annual partnership tax return. It says, "Please consult with your professional tax adviser prior to investing," and we agree: how any of this applies to you depends on your situation.

What MPC does after it buys a property

The company calls "equity preservation" its most important responsibility. Its listed asset management services cover supervising on-site property management, managing capital improvements, annual insurance reviews, property tax appeals, processing monthly investor distributions with property updates, partnership administration and annual partnership tax returns, and financing or refinancing.

On staffing, the Investor Benefits page says MPC hires, trains and supervises most site staff through its national management company, Salus Asset Management, LLC, and adds third-party management firms in some areas. Patrick McKee's bio says he sources local third-party management in each market. Every 5 to 10 years, when loans mature, the company says it reviews each property to decide whether to refinance and hold or sell and move the capital into another deal.

Risks, hold period and getting your money out

• You can lose money. The company's own forms say: "You could lose a portion or all of your investment." Its Carriage House page describes a property sold at a loss after a local downturn.
• Long hold. "Our investments are generally held for 7-10 years," the company says, and "if you believe you cannot commit your investment funds for this period of time, this is probably not the right investment for you."
• Limited liquidity. The site does not describe any way to cash out early. Ask what happens if you need your money before the property is sold.
• Distributions are not guaranteed. Cash paid to investors depends on how each property performs.
• Affordable housing rules. Section 42 and HUD-assisted properties must follow income and rent limits for years, which the company sees as an opportunity but which also limits how fast rents can change.

Giving back

The Giving Back page says the McKee companies fund food pantries through Feeding America in the communities where they own housing, award an annual $1,000 technical school scholarship to one qualifying high school senior in each community (the applicant must be a named resident on the lease at an MPC-owned affordable housing apartment, have finished high school within the past 12 months and be accepted into an accredited trade school certificate program), and take part in church-based outreach such as clothing drives and home construction projects in Mexico.

How it compares with other ways to own real estate

Who it suits, and who should look elsewhere

Questions to ask before you invest

1. What is the minimum investment for this offering, and what is the total equity being raised?
2. What exactly will I own (partnership interest, LLC membership or tenancy in common), and who controls decisions?
3. How are the acquisition, asset management and disposition fees calculated in dollars for this property?
4. How are the returns on the Performance page calculated, and are they after all fees?
5. What are the loan terms: rate, interest-only period, maturity, and what happens if the loan comes due in a weak market?
6. Are there income, rent or regulatory restrictions on this property, and when do they end?
7. How often are distributions paid, and have any partnerships paused them?
8. Can I sell or transfer my interest before the property is sold?
9. If I'm using 1031 money, how do you coordinate with my qualified intermediary and deadlines?

How to get started

1. Read the How We Invest and White Paper pages for the model and the fees.
2. Review the Portfolio and Performance pages.
3. Complete the Investor Accreditation Questionnaire.
4. Subscribe for new-offering alerts, or call (619) 435-7780 or email pmckee@mckeecompany.com to ask about the next deal.
5. Review the offering and subscription documents with your own adviser before you sign.

Visit McKee Private Capital

Terms you'll see on the site

• Accredited investor: a person or entity that meets the SEC's income, net worth or asset tests and may invest in certain private offerings.
• Sponsor: the company that finds, buys and manages the property for a group of investors; here, MPC.
• AMI: area median income. Affordable housing rules cap who can rent based on a percentage of it (for example, 60% of AMI).
• LIHTC / Section 42: the federal Low-Income Housing Tax Credit program (Section 42 of the tax code), which funds affordable housing that must stay income-restricted for a set period.
• HAP contract / project-based Section 8: a HUD contract that pays part of residents' rent at a specific property.
• Non-recourse loan: a loan secured by the property, without personal guarantees from investors (subject to the sponsor's carve-out guarantees).
• Equity multiple: total cash returned divided by cash invested.
• IRR: internal rate of return, an annualized return measure that accounts for timing.
• 1031 exchange: a tax rule that lets you defer capital gains tax by reinvesting sale proceeds from one investment property into another.
• Tenancy in common (TIC): co-ownership where each investor holds an undivided share of the property itself.

Frequently asked questions

Sources

All pages checked on 22 October 2026.

1. McKee Private Capital, home page: mckeeprivatecapital.com
2. Company: mckeeprivatecapital.com/company/
3. Leadership: mckeeprivatecapital.com/leadership/
4. How We Invest: mckeeprivatecapital.com/how-we-invest/
5. Acquisition Criteria: mckeeprivatecapital.com/acquisition-criteria/
6. Investor Benefits: mckeeprivatecapital.com/investor-benefits/
7. White Paper: mckeeprivatecapital.com/white-paper/
8. Our Portfolio: mckeeprivatecapital.com/our-portfolio/
9. Performance: mckeeprivatecapital.com/our-performance/
10. New Offerings: mckeeprivatecapital.com/new-offerings/
11. Investments archive: mckeeprivatecapital.com/investments/
12. Property pages: Elkhorn Meadows, Woodwinds, Sierra Pointe, Carriage House, Lehigh Acres
13. Investor Accreditation Questionnaire: mckeeprivatecapital.com/investor-accreditation-questionnaire/
14. Invest Now: mckeeprivatecapital.com/invest-now/
15. Forms: mckeeprivatecapital.com/forms/
16. Investor Resources: mckeeprivatecapital.com/investor-resources/
17. Giving Back: mckeeprivatecapital.com/giving-back/
18. Reviews: mckeeprivatecapital.com/reviews/
19. Contact: mckeeprivatecapital.com/contact/
20. Company brochure (PDF, linked from every page): McKee Private Capital brochure
21. California Department of Real Estate license lookup: Patrick Russell McKee, broker 02094362 and Brendan Joseph McKee, broker 01882732
22. SEC Investor.gov, accredited investors: investor.gov glossary