Common questions

A group of investors pooling capital to buy a property together. The general partner, or GP, finds the deal and runs it after closing. Passive investors put in capital and have no management duties, and their liability is generally limited to the amount they invest. The terms are laid out in an operating agreement you read and sign before any money moves.

Scale, mostly. Most people can't buy a 60 unit building on their own, and a 60 unit building doesn't behave like a duplex. It carries professional management, and its value comes from what the property earns rather than what the house down the block sold for. There is also more margin in the income, since one vacancy out of sixty doesn't put the mortgage at risk.

You review the offering documents, ask whatever questions you have, and decide if it lines up with your investment goals. If it does, you sign the subscription documents and fund your investment. After that you receive updates on how the property is performing, along with distributions on the schedule set in that deal's documents.

Not necessarily. Some private offerings are limited to accredited investors. Others allow a limited number of investors who don't meet that definition but have enough knowledge and experience to evaluate the investment on their own. Which one applies depends on the offering, and we go through where you fit on the call.

An SEC definition based on income or net worth. Generally a net worth over $1 million excluding your primary residence, or income over $200,000 on your own or $300,000 with a spouse in each of the past two years, with the same expected this year. Certain securities licenses also qualify. Some private offerings are open only to people who meet that bar.

Past eligibility, it comes down to fit. It tends to work for people with capital sitting idle or coming out of a sale, who want to own real estate without running it, and who are comfortable letting an investment work over a few years rather than a few months.

Two sources. Cash flow while the property is owned, and proceeds when it's sold or refinanced.

Many offerings also include a preferred return, a set rate investors receive before profits are split with the GP. Whether a deal has one, and how the split works, is set out in that deal's offering documents.

Minimums are set per offering and we go through them on the call.

Plan on several years. The properties we target take time to stabilize, and we want the room to exit when the timing works for investors. These positions are illiquid, so this should be money that can sit until the plan is done. Each property has its own business plan, so expected holds differ.

Real estate can lose money, including your full investment. Your capital is typically tied up for several years, and there is no public market for these interests, so a position can't be sold the way a stock can. Nothing is guaranteed about the distributions along the way or about when and for how much a property eventually sells. Each offering's documents lay out its specific risks.

You'll get an email from us with a link to schedule an introductory call. Signing up doesn't obligate you to invest.

If there isn't a current opportunity that fits, you stay on our investor list and we email you when there's something worth your time.