For individuals who prefer a hands off investment with minimal participation, we provide general partnerships with management in place. Rather than purchasing a property individually, you can pool your funds with other like-minded investors into a larger investment, with more attractive returns and minimize your risk at the same time.
We specialize in purchasing "pride of ownership" retail properties. You can feel confident that your newly acquired asset will be managed with years of experience and will cost ownership nothing; as the management fee is typically reimbursed by the tenants.
For investors that need to dispose of like-kind properties, we can work with your accountant and facilitator to make this investment qualify for a 1031 tax deferred exchange.
How an Investment Works:
Once an investment grade property is identified, the price and terms are negotiated, and the property is placed under contract. During the due diligence period each lease is analyzed, financial data is reviewed, and physical components are inspected. If the property satisfactorily passes this close scrutiny, the final steps are to raise the necessary capital and secure the best available financing.
A detailed investment analysis is forwarded to each potential investor to aid him or her in the decision making process. Investments range from a minimum of $10,000,000 and up. The percentage of ownership interest is dependent on the value of the property. As an example, a $10,000,000 purchase requires 25% equity or a $2,500,000 down payment, therefore a minimum investment of $250,000 would equal a 10% interest.
A typical investment pays an 8% to 15% return; which is disbursed to the investors quarterly. Title is taken in the form of a Limited Liability Company (LLC). Investors are mailed monthly reports which include profit/loss statements, bank statements, etc.