Partnering with Investors: How Do You Structure Deals with Specialists?
I’ve been a long-time BP member and currently own/operate three STRs. My background is as a structural engineer (licensed in ~20 states), and over the years I’ve seen firsthand how engineering/design input can make or break a value-add project.
I’m curious how others here have structured partnerships when one partner brings specialized skills (like engineering/architecture, general/specialty contractors) in addition to capital.
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Do you attempt to treat them as a straight equity partner, as a reduced cost service provider with upside or something more creative?
I ask because I’m exploring opportunities to collaborate with investors on STRs and other remodel-heavy properties where structural changes are a key part of the value-add strategy.
Would love to hear how others have approached this type of collaboration, i.e. what’s worked, how to approach and what to watch out for.
Looking forward to learning from your experiences.
Tim Morgen, P.E.