Real Estate Agent · San Jose, CA · Member since 2015 · 84 posts · 50 votes
I recently made an investment in an LLC originated through Financial Attunement based on San Francisco. I did my due diligence, talked with investors who have made investment in multi-unit projects with this company and made the plunge investing in their Las Vegas converted student housing offering. They offered a solid proforma and strategy for a intelligent buy in on a class C muti-unit project and an credible exit strategy in the 3-5 year time frame. We shall see where this investment leads. I'm curious deeper pocket community , what other syndacators you have invested in succesfully that have a track record of serving their investors best interests.
Multifamily Investor · Dallas, TX · Member since 2016 · 67 posts · 92 votes
9y
@Scott Raley I haven't passively invested in a lead sponsors deal as I'm a syndicate looking to raise money and put deals together for my investors. But another member on here @David Thompson on his website has a great article on what to look for in syndicators before investing with them on his website at thompsoninvesting.com or here's the link to the article as well, https://docs.wixstatic.com/ugd/fa41db_121a65362da14de4a672920ccea7c374.pdf . One thing I'd say though is when looking for a syndicate group that has their investors best interest, look for groups that practice alignment of interests, whether it be that the people in the general partnership have their own money in the deal, or the property management firm is rolling some of there own money into the deal, or the group offers a preferred return to the investors which means the general partners don’t get paid until a certain yield has been paid out to the investors in the deal and etc. I hope this helps.
Real Estate Agent · San Jose, CA · Member since 2015 · 84 posts · 50 votes
9y
Great information Chibuzor. I spent a year looking at different syndacators and their respective models. All the things you mentioned; preferred returns, lead sponsors contributing funding and management all contribute to successful endeavors for both the managing partners and the project investors. Thanks for sharing the link to David Thompson's site. I look foward to checking that out.
Contractor · Los Angeles, CA · Member since 2015 · 887 posts · 323 votes
9y
@Scott Raley uh you mean Bigger Pockets??? LOL. Sorry couldn't help it. All the best to you with this new investment and all your future real estate endeavors!