All Forum Posts by: Andrey Y.

some body left a pretty nasty comment on her site there.. they usually scrub that stuff..  I could not open the NYT article maybe you can post something that will allow us to read that one..  There is a reason they moved to Portugal.. and it was not for soul searching. 

1. I’m not flipping houses, I might sell some of my rental when the market peaks or I might keep them.

2. I'm talking about ROI twice higher on SFR vs MF. You are talking about IRR. Give me the definitions and then we can compare apples to apples....so far it's a nonsense discussion

3. Not sure how being a broker makes me say anything - we are discussing different rental markets: Cleveland and Honolulu might be totally opposite . I just give my opinion why investing in MF in Cleveland doesn’t make sense FOR ME - I bet there are plenty of people in Cleveland who disagree.

4. I don't see how you avoid PM with your investing style - you just pay for it, not like these properties manage themselves. You can pay to manage your SFR as well and not lose the faith in humanity....lol

I'm an accredited investor and signed up to get more info by email.  That was a mistake. I get a ridiculous amount of emails and I can't opt out.  I've clicked the link at the bottom of the emails but the link doesn't work and so there is no way to opt out of their many emails. If they can't do that honestly then I don't trust them in general, so I won't do business with them.

lol @ low capital raise. Would love to see you post your numbers on capital raising. 

Also someone with a $100K net worth shouldn't be investing in illiquid assets in the first place.

I have read his PPM and do feel that it is one-sided. But all major syndicators/PE firms have one-sided contracts. That's the price you pay to be with a headliner vs. an also-ran. Again, not saying that I would invest in CC but you have zero idea on how hard it is raise millions of dollars. 

P.S. If you can raise $5M-$15M as easily as you claim happens in real life, let's talk!

 Did I strike a nerve? I am invested with enough firms who don't need to hire additional capital raisers to spam their deals into email. They have established trust and rapport and results with investors. Their deals are good but it's almost secondary.

Yes, $5-10M is a small capital raise. A $50-100M fund is a different story where bringing in someone else's network and paying a finders fee is appropriate.

GC's PPMs are not only one sided, they are the most one sided I've ever seen. I've actively looked to find terms (for investors) as bad as his.. haven't found them yet.

I don't need to raise capital because my expertise is better used elsewhere. Raising capital is hard if your deals suck. ie. 16%IRR with assumed annual 4% rent and 3% expense growth.

I can assure you 99.9% of the people on this website (and the world) can not raise $5M, let alone $15M. Unless you're some capital raising savant, I wouldn't put the words $5M and typical in the same sentence. 

Again, not saying you should invest with CC but you might have a warped sense of how hard it is to raise millions of dollars, multiple times a year.

I agree with the sentiment of what you are saying but I think you might not have a good grasp on how these things work from a sponsor's perspective. Every single sponsor on the planet is trying to diversify their equity sources, even the ones that supposedly do not take money anymore like Baupost Group (Seth Klarman). This includes global behemoths like Blackstone and Apollo. While they may not accept your or my money (because it is too little), nonetheless, they, too, are actively expanding their equity sources (just at a very different level). 

Not supporting CC here but till you haven't actually gone and raised $20M, $50M or even $100M (which only a handful of folks in the country can do easily), it's easy being a keyboard warrior and talking about technicalities. 

 It's very, very hard raising huge gobs of money. You have to fight for every dollar because money doesn't fall from the sky. 

In other words, most big name sponsors aren't trying to buy a few SFR's or 1-2 multifamily properties per year. They have a pipeline in the hundreds of millions of dollars. Ain't easy filling that up.

P.S. Not saying I would invest in CC.

I received my Q2 distribution.

Adding other people below who were waiting for this update.

@Account Closed I apologize for my remark.

But our investment is 40 times the monthly payment. So when we did not receive any response to our emails for several days, this naturally triggers concerns and emotions. Which may or may not be valid but we have no way to know until we hear back.

Thanks for getting back to us. We hope our capital is in safe hands with you.

@Cam Chan, @David Calme, @Sangeetha G., @James Richardson

Not promoting GC here but what's wrong with opening up a legitimate investing vehicle for non-accredited investors. I'm assuming you haven't raised sizable pools of capital before but even accredited investors don't fall from the sky wanting to throw their money at each and every "good" deal. Sizable sponsors with decades long track record still have to slog it out to raise money (albeit with less pain than others). 

Do agree on the red flags part. If it walks like a duck and quacks like a duck.... 

I am thinking about taking a flyer on Cardone Capital Equity V with a small investment. I like his videos and podcasts about real estate. Seems to be focused on Class A, large properties that could be acquired by REIT's and PE funds. He boasts of a long track record.

The fund holding period is 10 years, so it requires a long-term commitment. This is different from many of the syndications I've seen, where the sponsor tries to give your money back within 5 years.

I am in some syndication deals but due to not being accredited, I don't see many opportunities to invest in Houston, Atlanta, Florida and other areas that GC invests in.

I've heard GC on several podcasts. Here are my thoughts:

-You can tell he's a great speaker. He was a sales trainer (and a good one) before getting into capital. The guy never has a filler word, he's engaging and for sure entertaining.

-None of these qualities mean he puts together deals you should invest in. As others in this thread have referenced, his returns are far lower than other sponsors as is the portion of the deal that goes to investors.

-I promised myself I'd never invest with him when he said this on a podcast: "I know I'm going to invest in a deal before I even run the numbers." Wrong. Running numbers should have you running away from deals, not ignoring the numbers to still get the deal done.

You can learn a lot by listening, but you can also start to tell he does a LOT of things that no one should ever do, and makes up for it by having huge volume. 

Ashcroft is like this too....HUGE marketing arm, deals (especially recent ones) aren't all that attractive.