Anyone have experience investing with these LLC’S?

Question

Howdy folks,

Just getting started on my RE journey here. Looking at investing in a couple of different ways to see what will work best for my families lifestyle. While recently networking I was introduced to someone who is working with Newport RE Group LLC. They are syndication team that is currently purchasing distressed apartment complexes in Nevada and Texas. They renovate, take over property management, rebrand, re-rent, and sell after a certain holding period. Returns look solid. What I would like to know has anyone had experience with these folks? Looks like a couple of them were former Alamo Equities Group out of the Bay Area. Web searches bring back limited info on Newport RE Group. Just trying to make sure everything is on the up and up before investing. Any info or advice on what to look or ask for is much appreciated. THANKS

Joel McKinney · Answer

@Tj Hines thanks for the input. These are great things to ask for and it makes total sense. I have received quite a bit of info but references from other investors would help solidify the authenticity of returns. ￼I’m reaching out to them today for these items. Thanks for the feedback!

Joel McKinney · Answer

Hi @Nick B.

I was introduced to one of the players through a mutual friend. So far he has taken time to come meet with us in person and has supplied contact, project info, and history on their other current or past projects. I’ve been trying to conduct my own research but as a newbie wanted to make sure I was heading in the right direction.

Joel McKinney · Answer

Thanks @Bjorn Ahlblad. I appreciate the warm welcome. Yes trying to check all the boxes and BP community feedback is definitely high on the list.

Tj Hines · Answer

@Joel McKinney, simply ask the team for references and case studies on prior deals and how they fared out. Most operators are pretty transparent. At least the good ones are. Good luck

Nick B. · Answer

Do you know the people behind these LLCs? Are they easy to find and contact? Are they willing to spend a few hours with you showing you their properties (if you're local) or at least talk on a phone? Are they willing to provide contact info of their current/past investors?

If the answers are 'yes' to all of these questions proceed with caution (you still need to get to know them better).

Bjorn Ahlblad · Answer

@Joel McKinney welcome to BP! There are some long term operators who post here on the board regularly. Do your homework and choose someone we has a solid record. You will find them. All the best!