Updated almost 9 years ago on . Most recent reply
Sponsor fees in a MFR deal
I am looking at investing in a multi-family residential deal as a passive investor. The paperwork presented to me has the following fee structure for the promotors. Is this standard or am I getting fleeced here?
On Initial Purchase
Capital raise fee of 5%
Promoter fee of 2%
On Exit
Exit fee of 15% of sale amount
They do not plan to take any other fees in addition to these.
Thanks in advance