DeMok Income Fund I review: a small lending fund with unusual transparency and heavy manager co-investment

What the fund is

DeMok Income Fund I is a private real estate credit fund offered by DeMok Capital to verified accredited investors under Regulation D Rule 506(c). It invests in short-term, senior-secured loans backed by residential investment property, used for bridge, renovation and other transitional projects, and pays income monthly from the interest collected.

DeMok Capital is the investor-facing brand. Loans are originated and serviced through Zendra Lending, a lending company co-founded by one of DeMok’s partners. The fund is also offered through Burns Capital Partners, which lists it alongside its multifamily fund.

As a private placement, final terms, lock-ups and fees are set out in the offering documents. This review lists what to request rather than treating unpublished detail as a weakness.

The team

The fund’s name combines the surnames of two of its three partners:

• TJ Burns: founder of Burns Capital Partners and co-founder of Zendra Lending. A former senior engineer at Amazon with a mechanical engineering degree from MIT, he began investing in single-family and small multifamily properties while at Amazon and founded Burns Capital Partners in 2022. DeMok says he has managed $15 million of investor capital as a multifamily fund partner and private credit fund manager.
• Anthony DeFilippis: previously traded derivatives at Goldman Sachs and worked in structured debt, holds a master’s in quantitative finance from Stevens Institute of Technology, and was an active house flipper.
• Andrew Mokotoff: previously structured CLOs at Anchorage Capital, worked in technology at JPMorgan and built AI systems at Amazon, holds a computer science degree from WPI, and has completed several ground-up developments in Brooklyn.

DeMok says all three partners approve every loan before it funds.

Terms and share classes

• Minimum investment: $50,000; accredited investors verified under Rule 506(c).
• Preferred return: 7% for investments under $150,000, and 8% for $150,000 or more, paid monthly.
• Profit share: larger investors also receive a quarterly profit share, modeled at about 1.25% per quarter.
• Illustrative return: DeMok’s calculator models 13% a year for an investor of $150,000 or more. It notes the figures are projections, depend on available cash, and do not account for fees, expenses, taxes or timing.
• Reinvestment: investors can choose to reinvest distributions.
• Liquidity: DeMok states fund interests are illiquid and should not be treated like a bank account; lock-up, redemption and notice terms are in the offering documents.

Earlier marketing on Invest Clearly described the fund as delivering 10% to 14% net returns.

The portfolio

DeMok publishes a live portfolio dashboard. As of October 15, 2026, it showed:

A 58.4% loan-to-after-repair-value means borrowers’ loans total about 58 cents for every dollar of expected finished property value, a meaningful cushion. Recent loans include a $155,000 cash-out refinance in New Market, Alabama, and the portfolio includes properties in other states such as Colorado.

Track record

The lending platform has been operating for roughly three years. In mid-2025, DeMok reported zero defaults across 30 loans and $8.2 million originated over more than two years. By October 2026 that had grown to 63 loans and $19.7 million, with 42 repaid. The most recent distribution to Class A-1 investors annualized at 13.0% for the second quarter of 2026.

The team’s experience is strong in finance and structured credit, and the partners have hands-on experience as flippers and developers. Their combined record of running a lending fund through a credit downturn is shorter.

Claims versus records

Key risks

• Small size: with about $6.3 million deployed, a few problem loans could noticeably affect returns.
• Young platform: about three years of lending, not yet tested by a housing downturn.
• Affiliated lender: loans are originated and serviced by Zendra Lending, co-founded by a DeMok partner. Investors should understand what fees Zendra earns and how loan pricing is set.
• Tiered returns: investors under $150,000 receive a lower preferred return and, based on the published model, no profit share.
• Illiquidity: lock-up and redemption terms apply.
• Borrower risk: transitional real estate loans depend on borrowers finishing projects and selling or refinancing.

What investors say

We found few public investor reviews of DeMok Income Fund I and no complaints, lawsuits or regulatory actions involving DeMok Capital, Burns Capital Partners, Zendra Lending or its partners. The fund is listed on Invest Clearly under Burns Capital Partners.

Strengths and concerns

Strengths

• A live, detailed portfolio dashboard that few private funds offer.
• Very high manager co-investment, at over a third of capital.
• A conservative 58% loan-to-after-repair-value.
• Partners with institutional finance and structured credit backgrounds.
• Three-partner sign-off on every loan.
• Clear, careful disclosures on projections.

Concerns

• A small and young portfolio.
• Loans originated through an affiliated lender.
• Lower preferred return and no profit share for smaller investors.
• A headline 13% that applies to larger investors and excludes fees in the calculator.

Who it suits

Questions to ask before investing

1. What are the lock-up, redemption and notice terms for each share class?
2. What fees does the fund pay, and what fees does Zendra Lending earn from borrowers?
3. How many loans have been late, defaulted or foreclosed since inception, and what were the losses?
4. What was the net return to investors under $150,000 over the past year?
5. How is manager co-investment structured, and does it take losses alongside or ahead of investors?

What would change our verdict

• Continued growth with low losses through a softer housing market;
• clear disclosure of affiliate fees;
• independent investor reviews;
• audited financial statements.

What to request in the offering documents

• The private placement memorandum and fund deck.
• Share class terms, including lock-ups and redemptions.
• The fee schedule, including Zendra Lending’s borrower fees.
• Loan-level performance and default history.
• Financial statements and the fund’s accountant or auditor.

Verdict history

October 15, 2026 · Initial review · Mixed (7.2)

Sources

• DeMok Capital (October 2026)
• About Burns Capital Partners (Burns Capital Partners)
• Burns Capital Partners and DeMok Income Fund I (Invest Clearly)