Looking to Raise Capital for a Deal

[Ezra Robinson]

Hey Everyone,

I currently have a deal that I'm looking to raise about $999K for; It's a B-class, 94% occupied apartment complex about 20 minutes from downtown Tampa. I've underwritten the deal and the numbers work for me to pay the investor a preferred return of 6%, splitting profit 80/20 (since I'm a newbie). Current rents are well below market value, so my current strategy is to go acquire the deal and raise rents. I have an exit strategy in place to cash-out refi year 4 @ a conservative 6% cap rate, splitting sale proceeds 80/20. Based upon my conservative proforma numbers, my investor(s) are looking at an IRR of 12.22% over the 4 year span and an ROI of 53.24%. I've created a deck for this investment, I'm only looking for investors that'll invest with me. My question is, does this sound like a good deal to present to potential investors? If so, where can I find investors that'll invest with a somewhat newbie?