Looking for template Syndication legal documents

13 Replies

Hello all!

I am putting together my first Syndication deal, and am looking for a template Letter of Intent/Expression of Interest and LLC Subscription Agreement for GP/LP. Can anyone provide a link(s) to free templates that I can build from or provide other recommendations? Thanks!

Originally posted by @Ryan Hamilton:

Hello all!

I am putting together my first Syndication deal, and am looking for a template Letter of Intent/Expression of Interest and LLC Subscription Agreement for GP/LP. Can anyone provide a link(s) to free templates that I can build from or provide other recommendations? Thanks!

Free will get you sued and a visit from the SEC. Every syndication is unique and in order to be done properly an attorney is involved. The last thing you want to do is try to explain a very complicated document that you wrote (or copied) to a judge. The first question they ask is "who wrote this".  In addition to that , how do you know what you are offering if you haven't found the property yet? It's kind of the cart before the horse type of thing. 

Promotion
Apartments.com
List, Screen, Lease, Get Paid, Manage.
No Better Place to Lease Your Place
Owners rely on the #1 rental site to get the best results from their rental properties.
Get Started Now

Definitely work with an attorney to create all of the legal documents.  Every deal is different and will require different language.  The three docs you will likely need are Subscription Agreement, Operating Agreement, and Private Placement Memorandum.  Those three documents often total close to 100 pages.  Hiring an attorney will cost you anywhere from $5K-$15K but 100% necessary to syndicate a deal. 

Food for thought.When starting out, one may be seeking to be frugal so that the deal comes together.
How about a template which i read and believe to cover all i believe will be necessary then having a lawyer to review at a much lower fee than 5K-15K?
Originally posted by @Ryan Hamilton:

Thanks all, of course I would have an attorney engaged to facilitate this, was only hoping for some templates to get started.

 Syndicators spend a large sum on legal services and are unlikely to share their process and experience with others for free. Even when I attend presentations for new offers, they are always copywritten and protected from download in many cases. I can't blame them, based on all the work and expense that goes into this stuff. An attorney will have a template. More importantly, an attorney will want to use their own legal documents, rather than something you downloaded on the internet.

Originally posted by @Joe Splitrock:
Originally posted by @Ryan Hamilton:

Thanks all, of course I would have an attorney engaged to facilitate this, was only hoping for some templates to get started.

 Syndicators spend a large sum on legal services and are unlikely to share their process and experience with others for free. Even when I attend presentations for new offers, they are always copywritten and protected from download in many cases. I can't blame them, based on all the work and expense that goes into this stuff. An attorney will have a template. More importantly, an attorney will want to use their own legal documents, rather than something you downloaded on the internet.

in Oregon you must use attorney prepared documents .. you cant cut and paste and create your own.. I had an X partner try that  and he got hammered.. :)  

Originally posted by @Bhekizwe M.:
Food for thought.When starting out, one may be seeking to be frugal so that the deal comes together.
How about a template which i read and believe to cover all i believe will be necessary then having a lawyer to review at a much lower fee than 5K-15K?

Hi Bhekizwe,

I see you are from Africa,

(this is a serious question)

Traditional African houses (Huts) would seem to cost very little to construct compared to European type houses of milled lumber.

[1] Does anyone build (for example) 100 huts and then rent them out. Does this exist in Africa(???)

Land might be free (???) just build on it, and with an electrical supply a constant water pressure could be achieved using an electrical pump which means flush toilets to a septic system.

 [2] Are those who rent in Africa only wanting European type housing, or will they accept Huts (???)

[3] Would a Hut renter have anything of value to exchange for rent, such as money, bananas, honey, diamonds, local craft work--to make renting to them a profitable business (???)

[4] Do locals find these Huts hard to build like European housing is hard to build, or can they build them easily (???)

A nice cluster of 100 of these with electric and flush toilets and running water seems like a cheap to build apartment complex, expecailly if you can get the land for free--as long as the renters can pay....

@Scott Mac Thank You for your question

I am indeed from Africa, the Southern part having lived there for decades.I don't know about other African countries, having only been to South Africa, next door. that is the extent of my exposure outside. I grew up in an Urban area with City status most of my life but my father grew up in rural areas (Tribal Trust Land) where such "free" land is available.However there is a local chief, so you don't just go set up.Only those with family roots and generations tend to occupy those lands.

Its mostly agriculture with grazing for livestock and/or crop production.Other resources like wild animals/game as shown near that hut are found in areas kept specifically wild for sport hunters/photographic safaris (C.A.M.P.F.I.R.E) for the benefit for that community.These areas are portions of that Tribal Trust Land set aside for that, for the benefit of the community

P.S i'll continue tommorow

...continued

My late father grew up in the rural areas where that traditional hut is usually found.We would visit grandma usually on Easter, Christmas.The homestead usually has four-five huts spaced twenty metres apart in a homestead setup.One hut is a big Kitchen where the family gathers at meal time, the other huts are bedrooms for the parents, boys, girls etc...then one other could be a guestroom as space should a visitor come

The huts are made from logs for the walls, with mud for plastering, then thatch for roofing supported by some poles.Usually fifty metres away is cattle kraal and goat pen.Milking of cows or goats sometimes would happen early morning

These rural areas also know as reserves unfortunately most were in poor /marginal agricultural areas hence a rural to urban migration has occurred.

In Urban areas the land would be most owned by the council.Some former farms where annexed as the city grew.So the the Urban Council which is the local government owns a lot of land and residents register on the housing waiting list.Over time the council flights a tender for a developer to service some of its lands for the provision of houses for those on the waiting list

By service that is add roads, water connection, drainage and sewer pipeline and connect to electrical grid.The house lots are most divided into lots 200 -300square metres or whatever ideal size.The aim is to provide affordable housing for those on the register.The house built will be inspected and approved by council at foundation, roof level and finally the council issues a certificate of occupancy when house is complete and inspected as safe and up to standard


Now specifically to your questions

1) Yes there are some developers who not only service the land but also build some of the houses.I don't know if they rent these out but i know they sell them, sometimes with terms.Affordable houses have a going rate of USD20/room/month at the minimum.Brick wall with asbestos roofing

2) The renter/buyers of these type of house could sometimes be a civil servant (i.e teachers, nurses, policemen etc), self-employed tradespeople, diaspora (those working outside the country desirous to invest back home)

3)Anything of value is their salary, profits of their small business

4) Hard to build? Yes due to the cost hence the barrier.The absence of conventional financing means mostly purchases here are cash or some people rent until they save enough to buy their own unit

In conclusion, the traditional hut is mostly found in rural areas NOT urban areas and the wild animals are in the safari areas for those communities.In Urban area, affordable housing is the more common occurrence for low to moderate income earners.Brick wall with asbestos roofing

Promotion
BiggerPockets
The one-stop-shop for REI
Find Local Home Improvement Pros!
Check out our network of trusted, local contractors for all of your home improvement projects.
Find a Contractor

Please don't try to find free templates, even just to get a start or save a few bucks. Any attorney that will agree to use your template to save you a few bucks, is not an attorney that you should hire. Save yourself and your investors big headaches and lawsuits and use a quality securities attorney from the start.