DiversyFund to Launch Income Fund Targeting Distressed Multifamily Debt and Assets

The new fund, opening to accredited investors in June, extends DiversyFund's fixed income strategy into distressed multifamily acquisitions, with distributions structured to be paid quarterly. The firm's current view is that the sharpest pricing dislocation is a window of roughly six to twelve months.

SAN DIEGO, CA -- May 29th 2026 -- DiversyFund, a San Diego-based real estate and private credit investment platform, will launch a new income fund for accredited investors in June. The fund is designed to acquire distressed multifamily debt and properties and to distribute income to investors on a quarterly basis.

The launch follows the first distribution paid under DiversyFund's existing fixed income product earlier this [INSERT MONTH]. That product was the firm's first structured income offering built for its accredited investor base. The new fund extends the same income-oriented approach into a specific opportunity the firm has been tracking: the repricing of multifamily debt as the 2026 maturity wave forces assets to market.

The Market Context

The data behind the strategy is now established. The Mortgage Bankers Association places roughly $875 billion in commercial and multifamily mortgages on schedule to mature in 2026. MSCI Real Assets estimated that approximately $929 billion in commercial real estate loans came due in 2024 alone, with comparable volumes rolling through 2026. Owners who financed at low cap rates in 2021 now face materially higher refinancing costs, and lenders are increasingly resolving distressed loans by moving assets to market rather than extending terms.

That shift is producing observable discounts. Industry reporting has documented distressed multifamily loans trading well below par, and distressed-asset operators have acquired properties at meaningful discounts to recent valuations. MMG Real Estate Advisors has written that the next twelve to eighteen months could offer well-capitalized investors the chance to acquire multifamily assets at discounted valuations, while CRE Daily's coverage of the 2026 National Multifamily Housing Council conference reported lenders accelerating distressed-asset resolutions and ending extend-and-pretend strategies.

Why a Defined Window

DiversyFund's current view is that the most pronounced pricing dislocation is a window of roughly six to twelve months, after which improving debt liquidity and renewed buyer competition are likely to narrow the discounts available. The firm notes that market timing is uncertain and that the window could prove shorter or longer than its current estimate; the six-to-twelve-month figure is a working thesis used to size the fund's deployment period, not a forecast.

"The discounts in multifamily debt are real right now, and they are a function of forced sellers meeting a thinner pool of capitalized buyers," said Craig Cecilio, Founder and CEO of DiversyFund. "That condition does not last indefinitely. As debt liquidity returns, the gap closes. We are launching this fund to deploy into the window while it is open, and we are being specific about what we think that window is rather than implying it is permanent."

Cecilio added that the fund is structured around the same principle as the firm's existing fixed income product. "This is an income fund. The objective is contractual quarterly income for investors, sourced from distressed multifamily debt and assets acquired at a basis that supports it. We will report distributions as they are paid, on the same cadence we report everything else."

Structure and Communication

The fund is intended to pay distributions quarterly. It will be offered solely to accredited investors. DiversyFund will report fund activity -- acquisitions, distributions, and portfolio status -- through its existing investor communication cadence of weekly written updates, live webinars, and monthly town halls with recorded recaps posted to the investor portal.

Distributions are not guaranteed and depend on the performance of the fund's underlying assets. Distressed real estate carries specific risks, including deferred maintenance, optimistic prior underwriting by previous owners, and competition from new supply, and DiversyFund's diligence process is built to account for them.

Further details, including the fund's terms and the opening date, will be made available to accredited investors through DiversyFund's offering materials in June.

About DiversyFund

DiversyFund is a San Diego-based real estate and private credit investment platform and one of the original real estate crowdfunding platforms launched following the 2012 JOBS Act. The firm now focuses on capital preservation and durable income for accredited investors, family offices, and high net worth individuals. Its product suite includes a fixed income offering backed by real estate, an existing portfolio of multifamily assets, and, beginning in June, an income fund targeting distressed multifamily debt and properties. To learn more, visit www.diversyfund.com.

Disclaimer: This press release is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any security. Any offering of interests in the fund will be made only to accredited investors and only pursuant to definitive offering documents, which will contain complete information about the terms, conditions, and risks of an investment. Statements regarding market conditions and the anticipated opportunity window reflect DiversyFund's current views and are subject to change.

COMTEX_482311952/2891/2026-05-28T11:28:11

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