Private Placement Memorandum

8 Replies

Hi folks,

For those who are doing syndicated deals and working with accredited investors, what is the average price you pay for a PPM (Private Placement Memorandum) in your area/state?

Any recommendations for an attorney in Philadelphia who works with private placements?, 

Key words: private money, PPM, accredited investor, private lender, syndication, apartment, commercial real estate, Philly. 

Medium logoAndresa Lobrace, Corsa Home Solutions | 2676393278 | http://www.corsahomesolutions.com | PA Agent # RS332161

Hi Andresa,

I would reach out to member Bryan Hancock on here. He works in that space a lot and has great insight.

I was on the phone with him the other day about syndicates, PPM's, and a host of other topics related to it.

There is different layers to it based on if your investors are in state where you are buying the properties, out of state, or out of the country even. 

Medium allworldrealtyJoel Owens, All World Realty | [email protected] | 678‑779‑2798 | http://www.AWcommercial.com | Podcast Guest on Show #47

@Andresa Lobrace   @Bryan Hancock would be an excellent resource and I have sent you an email as well.

Good Luck!

David 

David Begley MBA, Begley Capital Investments, LLC | [email protected] | GA Agent # 357208

Hi Andresa, I was quoted $4500 to $5500 for a California 25102(f) PPM to be reviewed by a lawyer here in the San Francisco area.  This is an interstate offering that was fairly straight forward with an outright ownership of a property. A fund for flipping would have been more complex and expensive. A Federal 506 offering would have been more expensive but I did not ask for a quote. What are you looking to do?

Hey @Andresa Lobrace  

I have no affiliation with either of these companies so I hope this is not taken as advertising but check out these two groups:

http://www.syndicationlawyers.com/

http://regdresources.com/

Neither one are necessarily local to you but I know they both are trusted experts in legally guiding clients through the PPM phase.  I listened to an interview with Doug Ruark who runs Reg D resources and he said they run around the 5k mark in creating these documents.

If you were to use either one of these groups I would love to hear your feedback on them.

Hey @Johnson H.  

Thanks for the feedback. We are looking to conduct the offering under Rule 506(c), so the PPM for the accredited investors will be more complex for sure. 

Regarding the non-accredited investors, I also am looking for an independent auditor to audit the opening balance sheet of the new entity. 

Medium logoAndresa Lobrace, Corsa Home Solutions | 2676393278 | http://www.corsahomesolutions.com | PA Agent # RS332161