Borrowing Against Position in Syndication as Limited Partner
I'm considering becoming a limited partner in a syndication, but want to be able to borrow against the equity in the property. Is this possible? Is it difficult?
Thanks!
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#1 All Forums Contributor
- Real Estate Consultant
- Summerlin, NV
well you have to understand the ownership.. the partnership owns the property and the GP has the authority to bind for the partners and further the project..
unless its a TIC there is no collateral for you to get a refi on.. you may get a bank or something to advance against your share but as @Michael Le states that would be exceedingly rare..
this is why in pretty much ever syndication disclosure document it clearly states and usually in all CAPS these are ill liquid investments.. be easier maybe to sell your position to another member or the GP.. but that usually involves a haircut
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