At the same time, we know that our LPs will want us to have a system of preferred returns, promotes, etc. to ensure that we uphold their best interests and perform, and we'd like to charge a small amount for managing the entire deal.

The importance of vetting LPs is getting lost in the current environment where so much scrutiny, particularly in forums such as BiggerPockets is placed on Syndicators.

Distressed syndicators aren't talking right now and LPs who haven't been seeing their expectations / promises from GPs met are.

Feel free to DM or comment on this, and I'll reach out to you ASAPWe are also looking for LPs.

Deals are later portrayed as “their own” on websites or in marketing materials to raise capital for the next project.I personally know many LPs who were burned investing in syndications led by inexperienced GPs who followed this exact path.

I've learned of several other LPs in the same boat through the Kelley Clarke Law firm that is representing several of us and through the Reddit forum linked below.https://www.reddit.com/r/investing/comments/1hq19lu/wavemark...A principle at the firm suspects they are under investigation by the SEC. 

If you want to do JV deals with LPs, just make sure that you don't put too much valuations in sweat equities and present your success track record will help.

Ultimately, this IS our fault as LPs. 

Quote from @Stuart Udis: I’ve connected with a number of LPs through BiggerPockets and have found they generally fall into two categories.

I’m not suggesting someone jump from owning single-family homes to syndicating large apartment deals or raise outside capital....we've seen how that has played out for both GPs and LPs but there are far more practical middle-ground options.One such option is partnering with family or friends who share similar goals and, instead of each person buying a separate single-family home, pooling resources to acquire a stronger asset.