Best way to structure a private loan

[Jesse Higgis]

I am looking for advice for the best way to structure a private loan.  I have a business contact who is looking to invest 200k, from the sale of their current apartment building (next month).  I believe that he has faith in me, or else he would not be sharing his financial numbers.  They do not want to do real estate any more (as he is getting close to retirement), but I believe I can get a good return for them and have the burden of the real estate.  What interest rates and/or terms would be best.  How does one truly start that conversation.

Other areas that I know about this person is that he has to pay 1600 a month in spousal support for the next 10 years.  I was going to use that as leverage for my argument for investing, because I know I can get a back for them in the return.   

Any advice would truly be appreciate.

Thanks,

Jesse