Does anyone know if the double closing would apply to a bigger deal? 125 unit apartment building? I have a buyer who is willing to make an offer on a 13MM apartment building and I know a wholesaler has this under contract. (I don’t have this under contract) The investor is willing to make an offer.
I have reached our to several Syndicators/ Attorneys and no one seems to know the answer to this. Is this even possible?
Thanks in advance for your time,
@Joanna Corona a double close on commercial and multifamily is not really readable unless the end buyer is all cash.
Sounds like what you need to do is structure a joint venture with the wholesaler where he shares the fee with you to bring the buyer or have an agreement with your buyer to pay you a fee for introducing him to the wholesaler.
You do not want to be a daisy chain.
@Greg Dickerson Thank you for clarifying! I contacted so many people and no one had an answer for me.
I should have posted on here sooner!
I am currently in the process of getting the buyer to pay me a fee for introducing him to the wholesaler. But I will now do my research on how to structure a joint venture with the wholesaler since he does have many deals!
It is possible but the intermediary buyer has to close with all cash. I know of a smaller deal ($3M) that went like that with the closings being a week apart. The intermediary buyer took out a private loan for the entire sum for something like 2% interest.
@Nick B. Thank you! I believe it's all cash- will find out today!
@Brent Shields Definitely looking for a title company! Thanks!