Started my Substack about a month ago with focus on hot topics impacting both limited partners and sponsors. It is free. Plan to post bi-weekly, would appreciate a follow. https://open.substack.com/pub/dodesanya/p/the-real-estate-syndication-investor?r=3buat&utm\_medium=ios
Hi - looking for some basic advice.
A group of 3-5 people will be pitching in a variable amount of money to a a few real estate investments.
person 1 $50K
2- $75K
3- $125K
Investment 1 $100K 3-5 year timeline
2 - $100K 7 year timeline
3 $100K 10 year timeline
We will create an LLC, hire an accountant to handle the disbursements/K1, and a lawyer to draft the operating agreement.
Question I have...
How do you deal with exiting? Let's say someone wants to get out in 6 years, and 2 of the 3 investments haven't fully paid out yet, but there has been some disbursements etc. What kind of language is in the operating agreement?
Thanks
Hi,
Im new to all of this and was thinking about joining a group called Lifestyles Unlimited. Basically their a group or a club for real estate investors with educational stuff and whatnots. One of their memberships is a syndication which I believe is $10,000 to join. They claim they have in house syndicates or deals with other members that has proven success, they mentor and walk you through deals and other hand holding stuff that really appeals to me.
My question is, has anyone here joined that and if so, was it worth it to you?
I want to get into syndicating but for $10,000 just to join, thats a huge hit I dont want to take if I can find another way. I read a lot if not most of LSU is stuff you can get from Google research but I feel thats almost everything now a days but they put all that google info in 1 spot.
Whats yall thoughts on LSU and got any tips for a guy interested in syndication?
Just watched a disturbing podcast hosted by two GPs and sponsors of a failing deal I am in insulting LPs for being concerned distributions never paid out or never began or that the deals are way under occupancy, etc. It was titled "How to manage LP expectations." At one point one of the partners said, "we couldn't stress test for ICE coming in and raiding our apartments and construction site and LP's should understand that" and then went on to say,"investors are concerned about being paid $75 or $100 a month in distributions when that won't even put gas in the tank." WOW-- is this what it has come to? Insulting investors who put money into their (now failing) deals. Some of these syndicators are some of the most arrogant, finger pointing young men I have ever come across. Not all I am sure, but unfortunately I picked bad twice now and I'm highly insulted by this podcast
In my experience, Ashland Greene demonstrated significant incompetence in managing an investment involving a 55+ apartment complex in Willow Park, Texas. The local management team ran the property poorly, and there appeared to be very little meaningful oversight or accountability from upper management. Operational issues were not addressed effectively, and the investment ultimately performed disastrously for limited partners.
As a result, every investor except the general partner lost their equity in the deal. Based on this experience, I would strongly caution anyone considering investing with this firm. Personally, I would not entrust them with my investment capital if preserving your money and protecting investor interests are priorities.