Updated almost 7 years ago on . Most recent reply
Reputable Syndicators for Accredited Investors
I'm an accredited investor and am considering passive investment in commercial RE syndication opportunities. Does anyone have recommendation of any individuals or companies who I should be in touch with to research further? I've been in touch with Ashcroft Capital, who have a strong track record to date but they have only had a handful of properties to date that have completed a full investment cycle. Does anyone have experience with others who have been doing this for 15+ year through market cycles and have a strong track record? I'm open to various commercial RE segments for diversification and would evaluate each on merit. Thanks.
Most Popular Reply
Before you select a syndication to invest, spend a few months reading through the offerings of multiple syndication groups if you haven't done this before. Compare the offerings in detail, see what has been omitted and what has been included in each, what assumptions have been made about rental growth and vacancies, how are the fees being charged, how is each one handling the loan financing, are they signing on other KPs for the loan, the list goes on. The numbers presented in the offering documents can be very easily changed to create whatever picture potential investors would like to see, so your job as investor is to determine if those numbers make sense to you. It's a hard job. My experience is that you have to look at a lot of offerings and do a lot of reading before you start seeing patterns that will help you make decisions. It does get easier with time after you have seen about 50 of them.
There are quite a few syndicators who are extremely good at marketing themselves with a stellar and curated presence online. May be they are all well-meaning good folks, but no one cares about your money more than you. Choose wisely.