Apartment Syndication is NOT a Business Model

[Ben Leybovich]

Syndication and apartments, in general, is an opportunistic play. Most things being sold don't make it past the most cursory underwriting.

ow did syndication become a model? A model implies a system, and I think of a system kind of like a conveyer belt: push the button - spit out a widget - push the button - spit out a widget, etc.

Syndication is the exact opposite of this. It's a one-off, here-and-there, once in a while above average opportunity.

How did we get to a place where syndicating $10M assets has become as automated as flipping $150,000 houses?

I am bullish as all get-up on the apartment sector. But, a lot of nonsense is going on...