What is a Syndication?

A syndication is a method of pooling together resources from multiple investors to collectively purchase an investment property.

In every real estate syndication, you have lead sponsors or general partners(GP) – the person or group who takes the lead in putting the deal together. They are usually the ones working with the broker, sourcing and analyzing the deal, getting the asset under contract, putting in most if not all of the (earnest money deposit), and raising some, most, or all of the capital.

The other role to be filled in a syndication is called a limited Partner (LP). By investing their capital, a limited partner assumes a passive role and gains a greater part of the profits.

Our Process

  • We research growing markets using indicators like job growth rates, population trends, and economic development projects to identify lucrative investment opportunities in the real estate sector.

  • Asset repositioned by reducing expenses, increasing income via renovations, enhancements, fixing management issues, and reaching market rent.

  • If the property can be refinanced, we aim to return 60% investors equity in 2-3 years, reducing risk and tax-free return.

  • Achieving property stability for consistent cashflow and long-term growth for investors.

  • Utilizing market cycle analysis to maximize profits for investors and recoup initial investment.

FAQs

  • A syndication is a method of pooling together resources from multiple investors to collectively purchase an investment property.

  • the General Partner(s) is the one responsible for the day-to-day management of the property. They often bring expertise, knowledge, and experience to the table, making critical decisions that can ultimately impact the success of the investment.

  • Limited partners are passive investors in a partnership. They contribute capital to the partnership but do not participate in its management. Limited partners have limited liability, meaning their personal assets are generally not at risk beyond their initial investment. This structure allows individuals to invest in projects or ventures without being involved in day-to-day operations.

  • An individual or couple that has a net worth of $1 million excluding their primary residence an individual whose income exceeds $200,000 or a couple whose income exceeds $300,000 for the last 2 consecutive years would qualify as an accredited investor.

  • Non-accredited investors are anyone who makes less than $200,000 annually ($300,000 including a spouse) with a total net worth of less than $1 million excluding primary residence

  • The preferred return is a preferential rate of return that the LP receives before the GP participates in any cash flow or profit on a given asset.

  • Quarterly reports and distributions can be seen in our online portal 24/7. Investors can also reach out via email, phone or text and our team will be happy to answer your questions!

  • Yes, you can use your 401k or IRA account to invest. Though our team cannot offer advice, we can guide you in unlocking your retirement funds to take your place as an LP in a syndication.