UPDATES.md

# Property Updates

## 2026-07-14

- **Property Update (07/14/2026):**
    - Hi everyone,

    - This month's update includes the current reviewed financial summary from the guarded monthly workflow.

    - Financial summary from FINANCIALS.md:

    - Financial data is shown as of 2026-06.

    - Cash Flow Snapshot (2026-06):

    - Revenue: $3,945.28
    - Operating Expenses: -$4,733.16
    - NOI: -$787.88
    - Net Operating Cashflow: -$787.88

    - Monthly Cash Position (2026-06):

    - Revenue and operating expenses are scoped to the reporting month. ECO Operating Cash is the current complete DAO-attributed total of Column E across every row in the property-split ECO Systems GL, including accruals.

    - Lofty Operating Cash: $1,558.20 (Lofty curr_maintenance_reserve)
    - ECO Operating Cash: -$115,192.34 (ECO Systems General Ledger Column E (315 rows))

## 2026-06-09

- **Property Update (06/09/2026):**
    - Assignment of Rents received from Stinson LLP, attorneys on behalf of NFS Capital, LLC, securing lender's balance with Airbnb rents. No further rents will be paid out to the DAO as a result of this assignment.
    - I have reached out to the attorneys handling the foreclosure and will await a call back. In the meantime, anyone who can redeem the $104k debt will be rewarded handsomely out of co-owner's equity, which would otherwise go to zero along with everyone else's equity if a foreclosure sale goes through tomorrow morning and the property is purchased by a third party.
    - Foreclosure auction scheduled 6/10/26. Redemption is ~$104k
    - Auction sale scheduled for 6/10/25 at 10 AM PDT in the Plaza at Fremont Park located at 860 5th St. Santa Rosa, CA 95404
    - All accessible files saved in Dropbox under 10 - Deed & Title
    - Any questions please contact Craig at clark.kraig@gmail.com or +1 (916) 548-6552

## 2026-04-11

- **Property Update (04/11/2026):**
    - Status Update:
    - Property remains under ECO management
    - Recent financial activity through March 2026
    - Operating expenses and taxes current
    - Status: Active - Continuing operations


- **Property Update (04/11/2026):**
    - Status Update:
    - Previous sale proposal (Jan 2026) voted "Do Nothing"
    - Property remains active under ECO management
    - Monitoring for new sale opportunities
    - Status: Active

## 2026-01-21

- **Property Update (01/21/2026):**
    - Governance Vote for 22164 Umland Cir:
    - The governance results are back for the owner-proposed vote.
    - The winning vote is:
    - Do nothing.
    - This was voted on by 27 participants in total. Out of the total number of participants, 5 voted for the winning vote, totaling 50.18% of the voting power. This is a co-ownership property, which means the governance mechanism used the scaled governance calculations as opposed to the default of 1 token equals 1 vote.
    - The voting results can be found on chain [here](https://allo.info/application/3413733981) or by searching the application ID: 3413733981

## 2026-01-13

- **Property Update (01/13/2026):**
    - Owner-Proposed Governance Vote for 22164 Umland Cir:
    - An owner with the following [wallet address](https://allo.info/account/GMKS3PVHQXRRRDHSRKIBLPC6GT267FFOBKEO237YBBDUZXQGR3CILYKGUU) is proposing a governance vote.
    - This owner holds 55 tokens in this property.
    - The owner's reasoning is below, word-for-word:
    - Because this is an owner proposed vote, Lofty cannot change the content. It’s up to owners to verify the accuracy of the claims below.
    - Due to ongoing negative cash flow, late mortgage payments made by the co-owner, and the mounting risk of mortgage default, I propose we allow Earl Vanze Co as Authorized Member to list and sell the property, allowing him to engage with a licensed broker if necessary. Earl shall be authorized to make all decisions regarding the listing, negotiation, and sale of the property, and settle all debts and financial affairs related to the property upon closing, provided that the sale nets at least $25 per token. As compensation for providing all managerial, administrative, and transaction coordination services through closing and to align interests in maximizing net sale proceeds, Earl shall be paid a fee of 1% of the sale price. The only limit placed on Earl's decision-making authority is that he is not allowed any self dealing and must not enrich himself at the expense of the DAO, except for the aforementioned compensation.
    - While selling in the current market will most likely create a loss for most token holders, I believe that continuing on the current course could lead to a total loss of our investment, if we end up in a fire sale or foreclosure situation.
    - Voting options:
    - 1. List and sell the property with the terms proposed.
    - 2. Do nothing.
    - The winning vote will be determined by a Supermajority of 60%+ and the results will be sent to owners on Tuesday, January 20th, once the voting period ends.

## 2025-07-20

- **Property Update (07/20/2025):**
    - The owner-elected Property Manager, Earl Co with ECO Systems LLC, has provided the following update:
    - NOI: $2,939.94 (140% increase over June)
    - [P&L Statement](https://www.dropbox.com/scl/fi/j53vlxyswzthjxnzem086/P-L-22164-Umland-Cir-Jenner-CA-95450.xlsx?rlkey=suk02841obzwiqg3sq4whek8q&e=1&dl=0)
    - [Metrics](https://share.hospitable.com/metrics/0b8732ca-bdc8-4ce9-a625-bab64206c6e5)


- **Property Update (07/20/2025):**
    - The new owner-elected Property Manager, Earl Co with ECO Systems LLC, has provided the following update:
    - NOI: $1,226.60 (61% decrease over May)
    - While June's gross revenue is up over May and we have a healthy target occupancy for July and August as of now, the rental yield is no longer being subsidized by the co-owner, Kraig, so this NOI reflects actual OpEx for June with the addition of the cleaning fees paid to the cleaners as well as the 15% PM fee to Earl.
    - Please see the following statements in Public:
    - [P&L Statement](https://www.dropbox.com/scl/fi/j53vlxyswzthjxnzem086/P-L-22164-Umland-Cir-Jenner-CA-95450.xlsx?rlkey=suk02841obzwiqg3sq4whek8q&dl=0)
    - [Bank Statement](https://www.dropbox.com/scl/fi/s650hycda0ynwfse10xvq/BASELANE_BEAGLE-LFTY0454-DAO-LLC-22164-UMLAND-CIRCLE_22164-UMLAND-CIRCLE-OPERATIONS_JUN_2025_STATEMENT.pdf?rlkey=uo652o57bkbncomabu4ssaw6h&dl=0)
    - [Metrics](https://share.hospitable.com/metrics/0b8732ca-bdc8-4ce9-a625-bab64206c6e5)

## 2025-05-28

- **Property Update (05/28/2025):**
    - Governance Results for 22164 Umland Cir:
    - The Governance Voting results are back for the owner-proposed vote.
    - The winning vote is:
    - Yes - Approve the appointment of ECO Systems LLC as Manager and Co-Host
    - This was voted on by 12 participants and was declared the winner in Round 1 with 89.49% of the voting power. This is a co-ownership property, which means the governance mechanism used the scaled governance calculations as opposed to the default of 1 token equals 1 vote.
    - The voting results can be found on chain [here](https://allo.info/application/3020577947) or by searching the application ID: 3020577947

## 2025-05-23

- **Property Update (05/23/2025):**
    - Owner-Proposed Governance Vote for 22164 Umland Cir:
    - The co-owner, Kraig Clark, with the following [wallet address](https://allo.info/account/DT22GG7XHGP3KS7C5KBDAB7HYUSCQNGSC7D32WBX2I24I7W6HBFVWOOQVI), is proposing a governance vote for this property.
    - This owner holds 10,277 tokens in this property.
    - The owner's reasoning is below, word-for-word:
    - Because this is an owner proposed vote, Lofty cannot change the content. It’s up to owners to verify the accuracy of the claims below.
    - Fellow co-owners,
    - I am proposing to transition the day-to-day short-term rental property management of 22164 Umland Cir, Jenner, CA 95450 to ECO Systems LLC (Earl Co) to manage STR operations as co-host. This includes execution of a comprehensive property management agreement and a specialized short-term rental co-hosting addendum.
    - ECO Systems LLC will:
    - Manage day-to-day short-term rental operations as co-host.
    - Use the existing Airbnb listing as the primary host to retain strong guest review history for this property.
    - Implement automation, dynamic pricing, guest experience oversight, and property upkeep.
    - Earl's Superhost accounts are below for reference:
    - https://www.airbnb.com/users/show/403286459
    - https://airbnb.com/p/earlbnb
    - The following three documents are attached for DAO members to review:
    - 1. Property Management Agreement – appoints ECO Systems LLC as Manager for the Premises for a renewable five-year term.
    - 2. Short-Term Rental Co-Host Agreement – outlines scope of services, performance expectations, guest experience standards, and repair coordination policies specific to short-term rental operations.
    - 3. Amendment to Property Management Agreement and Short-Term Rental Addendum – includes updates to termination rights, repair cost caps, DAO member access protocols, fund transparency, listing pricing controls, insurance requirements, and dispute resolution procedures.
    - As co-owner, DAO Member, and proposer, I recommend approval of this governance proposal and adoption of these agreements by supermajority vote.
    - View Property Management Documents
    - Voting Options:
    - Option 1 – YES: Approve the appointment of ECO Systems LLC as Manager and Co-Host, and ratify the attached agreements effective May 19, 2025.
    - Option 2 – NO: Reject the proposed transition and retain the current management structure.
    - Option 3 – ABSTAIN: No vote.
    - The results will be determined by a 60% Supermajority via the Ranked Choice Voting method and sent to all owners on Tuesday, May 27th once the voting period ends.