This Risk Disclosure Statement ("Disclosure") is provided by Vestra Inc. ("Vestra," "we," "us," or "our") to inform you of the significant risks associated with investing in fractional real estate through the Vestra platform (the "Platform"). By accessing, using, or investing through the Platform, you acknowledge that you have read, understood, and accept the risks described herein. This Disclosure is an integral part of Vestra's Terms of Service, and your agreement to the Terms of Service includes your acceptance of this Disclosure.

Investing in fractional real estate involves substantial risks, and you should carefully consider your financial situation, investment objectives, and risk tolerance before making any investment decisions. You should only invest funds that you can afford to lose without jeopardizing your financial well-being.

1. General Investment Risks

a. Loss of Capital: All investments, including fractional real estate investments, carry the risk of partial or total loss of invested capital. There is no guarantee that you will receive any return on your investment, or even that you will recover your initial investment. The value of real estate can fluctuate significantly due to various market and economic factors.

b. Lack of Guaranteed Returns: Vestra does not guarantee any specific rate of return or profit on any investment. Projected returns are estimates based on historical data, market analysis, and property-specific factors, and are subject to change. Actual returns may be lower than projected, or there may be no returns at all.

c. Illiquidity: Fractional real estate investments can be highly illiquid. Unlike publicly traded stocks or bonds, there may not be an active secondary market for your fractional shares. While Vestra may offer a secondary market for some property schemas, its availability and liquidity are not guaranteed and depend on market demand and specific property terms. You may not be able to sell your shares quickly or at a favorable price, or at all, if you need to access your funds.

d. Market Volatility: The real estate market is subject to various economic, political, and social factors that can cause significant fluctuations in property values. These factors include, but are not limited to, interest rate changes, inflation, economic recessions, changes in local demographics, government regulations, and natural disasters.

f. Regulatory Risk: Changes in laws, regulations, or government policies related to real estate, taxation, or investment platforms could negatively impact the value of your investments or Vestra's operations. This includes potential changes in securities laws that might affect how fractional real estate is classified and regulated.

1. Specific Real Estate Risks

   a. Property-Specific Risks: Each property has unique risks. These can include, but are not limited to, location-specific risks (e.g., environmental hazards, zoning changes), structural issues, maintenance costs, tenant vacancies, damage from natural disasters, and unforeseen capital expenditures.

b. Valuation Risk: The valuation of real estate is subjective and can be influenced by various factors. While Vestra conducts due diligence and requires legal property valuations, there is no guarantee that the market value of a property will remain consistent with its initial valuation or that it will appreciate over time.

c. Tenant and Lease Risks: For income-generating properties, risks include tenant default, vacancies, difficulty in finding new tenants, and lease terms that may not be favorable. These factors can directly impact the rental income and, consequently, your profit distributions.

d. Property Management Risks: While Vestra oversees property management, there are inherent risks associated with third-party property managers, including mismanagement, negligence, or fraud, which could negatively affect the property's performance and value.

e. Environmental Risks: Properties may be subject to environmental risks such as contamination, natural hazards (e.g., floods, earthquakes, wildfires), or compliance with environmental regulations, which could lead to significant costs or devaluation.

1. Platform and Operational Risks

a. Technology and Cybersecurity Risks: The Vestra Platform relies on advanced technology. Risks include system failures, data breaches, cyberattacks, hacking, and other technological disruptions that could compromise your personal information, investment data, or funds. While Vestra employs bank-grade encryption and two-factor authentication, no system is entirely immune to such threats.

b. Operational Risks: Vestra's operations are subject to risks such as human error, fraud, inadequate internal controls, or business continuity failures. While Vestra aims to mitigate these risks, they cannot be entirely eliminated.

c. Third-Party Service Provider Risks: Vestra relies on various third-party service providers for payment processing, data storage, and other critical functions. Disruptions or failures by these providers could impact Vestra's ability to operate and serve its users.

d. Regulatory Compliance Risk: While Vestra strives for full compliance with investment and real estate regulations, there is a risk that regulatory interpretations or requirements could change, or that Vestra's operations could be deemed non-compliant in certain jurisdictions, leading to operational disruptions or penalties.

1. Financial and Legal Risks

   a. Tax Implications: Investing in fractional real estate may have complex tax implications. You are solely responsible for understanding and complying with all applicable tax laws in your jurisdiction. Vestra does not provide tax advice, and you should consult with a qualified tax professional.

b. Legal and Structural Risks: The legal structure of fractional ownership can be complex. While Vestra aims to ensure clear ownership structures, there could be legal challenges, disputes among fractional owners, or issues related to the enforcement of ownership rights.

c. Bankruptcy or Insolvency of Vestra: In the unlikely event of Vestra's bankruptcy or insolvency, your ability to recover your investments or access the Platform could be severely impacted. While Vestra aims to structure investments to protect investor interests, this risk cannot be entirely eliminated.

1. No Investment Advice

Vestra provides a platform for fractional real estate investments and does not offer financial, investment, legal, or tax advice. All information provided on the Platform, including property schemas, projected returns, and market analyses, is for informational purposes only and should not be construed as a recommendation or endorsement to buy or sell any security or investment. You are solely responsible for conducting your own due diligence and making your own investment decisions.

By proceeding to use the Vestra Platform and make investments, you acknowledge that you have read and understood this Risk Disclosure Statement and accept the inherent risks associated with fractional real estate investments. You confirm that you are investing at your own risk and that Vestra Inc. will not be held liable for any losses incurred.

We strongly advise you to consult with independent financial, legal, and tax advisors before making any investment decisions.