4th & J (4ANDJ)
San Diego apartments. Nelson / Versity track after 2025. Form D first sale 28 Oct 2021. Conservative FINRA 12206 line late October 2027.
- Offering
- Form D 2 Nov 2021 · first sale 28 Oct 2021 · $49,590,628 · CIK 0001889742
- Related persons
- Nelson, Wettengel, Muro. Selling group — Timothy Sherer and Ryan Sherer at Emerson, Robert Boggess at Great Point, Robert Zink at Whitehall-Parker. Four commissioned sellers.
- Selling group
- 4 commissioned sellers across 3 broker-dealers. Pending disputes are allegations.
- Who controls it
- Brian Nelson / Versity, after 2025 arbitration and Orange County litigation
- Lender overlay
- Senior mortgage (60+ days late as of the July 2025 webinar). No KHCA bridge on this DST.
- Asset
- Apartments, 372 Fourth Avenue, San Diego, CA 92101
- Live legal posture
- Plaintiff in OC 30-2026-01543537 (filed 29 Jan 2026) vs Crew, Wettengel, Muro, Book & Ladder, Academy West, TripSnap, Wettengel Productions. Allegations.
- Exit talk, Aug 2026
- 721 UPREIT / Waterfall, and/or a direct sale at 80–90¢. PPM — trustee may offer cash at independent appraisal or OP units; investors do not approve.
- 12206 conservative line
- 28 Oct 2027, if the actual close is near the Form D first sale. Actual subscription dates, not Form D dates, are the ones that matter.
Pre-split Versity deal (~2021). San Diego apartments. Nelson / Versity track after 2025. Form D first sale 28 Oct 2021. Pitched as a COVID-low-rent relative-price buy. Large studio mix allegedly not disclosed.
Operations
Money on the books: about $1.6 million “partnership expense.” Forum posts guess about $2 million out before accounts moved. Brian still calls it healthy. Books showed that expense before handover; mortgage was 60+ days late in July 2025. No KHCA bridge on this DST.
Forum: a holder reports no recent financials or status report after Versity / Waterfall had control for at least twelve months (10 Sep 2026 post).
The 29 Jan 2026 complaint identifies the asset as 372 Fourth Avenue, San Diego, leased to 4andJ LeaseCo. The Orange County clawback, if it collects, puts money into the DSTs. Plaintiff in OC 30-2026-01543537. Allegations.
Exit
Two exit stories in the same webinar: 721 UPREIT (PPM: cash at independent appraisal or OP units; trustee canvasses, is not bound) and a direct sale at 80–90 cents. Sponsor will not give original purchase price versus current value. If Waterfall later folds 4th & J into a boutique private REIT, investors typically have no put.
Not on the June 2026 nine-property Russell Geyser list. Waterfall’s site listed it anyway.