How To Structure A Partnership For Duplex Investment

[Brittney Yang]

My former boss and I have discussed partnering on flips. He has extensive experience with hotels and renovations. I have run numbers for LTRs on a set of duplexes that seem to cash flow well. I'd like to bring him in to assist with the renovation expertise as well as access he has offered to his labor pool. I am looking for suggestions on how to structure a partnership (short term) that will benefit him but allow me to be dissolve our partnership after a couple years as he isn't interested in long term holds. 

Asking price is $998,000

2 duplex units on 1 acre in good location.

It's been on the market for a while, so I believe we could offer slightly above $900,000 and be considered.
I would increase the rent after updating each unit. All are perfectly functional now, but could pull higher rent with replacing the flooring, and updating the kitchen.

My current financing setup for this deal would be $235,000 from the HELOC I already have secured. Primary residence is paid off.

Then the rents would cover that payment plus the mortgage with cash left over. I also have some cash reserves that I plan to dump into a contingency fund for each unit. 

This deal looks really solid to me, but I have only been looking at rental properties as high as $600,000 in discussion with my lender. I'm assuming I won't have that high of purchasing power, and therefore I believe partnering with my former boss would provide the "backing" i would need. 

My overall goal is to obtain these units and have them long term into my retirement for cash flow. I would like to be in the partnership for the least amount of time possible but want to be sure I can present this offer as worth his time, which is very valuable. 
What would you do?

Thank you!