The general partner, or sponsor, is the active operator of a real estate syndication: the party that finds the deal, underwrites it, arranges financing, raises capital from limited partners, executes the business plan, and manages the asset through to sale.
Log in to followI work mostly on the debt side, so when someone hands me a deal the first question I ask is what happens if it goes badly rather than what happens if it goes well. Track record is…
I've been building the sponsor side of a small deal on paper to see whether the first one is even reachable, and the pre-close spend is the part I keep getting wrong. What I have…
Reading a 190-unit value-add LPA this week. The waterfall pays promote on a deal-by-deal distribution basis, meaning the GP takes 20% above an 8% pref as cash flow comes in, and t…
Working through a 128-unit heavy value-add where the plan is a 24 month reposition, agency refi in month 30, then hold to year 7. Purchase 14.2M, 3.9M of capex, all-in basis aroun…
I'm slow about decisions and I'm three deal decks deep into comparing two sponsors who want money from me for roughly similar 100 to 150 unit value-add plans in similar markets. T…
Signals that are cheap to fake make me suspicious, and "the GP is co-investing alongside you" is starting to look like one. Two decks on my desk this month both lead with it. One…
I do land and entitlement work, so I know one thing well and almost nothing about running apartments. Twice now someone has floated me being the GP on a small multifamily raise be…
Got the PPM Friday. Two deals with this group as an LP, both mid-size value-add multifamily in secondary markets, both still holding, both roughly on plan. The next vehicle isn't…