JV Partnership Economics %

[James Shen]

Hi BP Community - 

Love to hear your thoughts on a 50/50 ownership for JV partnerships, where one party provides all the capital and the other party manages the sourcing and asset management (provides no capital). Based on just preliminary internet research, the equal split seems a bit steep for the party that provides no capital (seems like the asset managers typically have a smaller equity stake).

Is there a fair benchmark for this type of JV for real estate investing? Are there general averages out there for these types of deals?

Appreciate any insights!

James