Friend netted $3m , looking to deploy newfound wealth into RE

[Louie Pullen]

Hi, 

A very close friend of mine has just sold his business and will net $3,000,000

He is very eager to put his new found wealth into real estate.  Having read books and listened to podcasts he feels multi-family is where he wants to invest. 

I suggested that because he has no RE investing experience and the current market conditions, it may be wiser to find proven private equity real estate investment companies like Praxis Capital, etc and let them do what they do best. 

What is the downside of investing with RE Investment companies rather than doing it on your own?

Any thoughts/ideas would be greatly appreciated.