Advice Needed: Private Lenders in Florida

[Patrick Milhaupt]

Greetings to all,

Please help!

I recently began my firm's organization with the goal to acquire several vacation rental properties in Florida. 

My objective is to build a portfolio of 5-10 exceptionally managed rental homes and stabilize the portfolio within 18 months of initial acquisition. 

My exit strategy is to either (1) Sell the portfolio in years 4 to 5, (2) Cash Out investors by refinancing, or (preferably) (3) Hold and leverage the stabilized cash-flow from the portfolio to raise capital to commence the second portfolio in another region.  

I am seeking advice to finance and acquire the first several properties.  I have a tremendous and well executable business plan - I need help getting started.

Specifically:

1.  Debt Vehicle - I/O, Conventional, Home Equity, 100% Private Equity? My assumption right now is the interest only, with right terms, would be best for the first several deals.

2.  Equity Partners - I have a meaningful amount of equity to contribute as GP and am seeking an LP to partner with me on the balance. I do not need cash flow immediately, but need help with covering the balance of equity down to acquire and execute my improvement strategy.  Therefore, I am concerned solely with a smooth scale to portfolio stabilization and the return of capital to investors. I am willing to sacrifice income initially in exchange for operational success and deal security.

Would anyone be able to help me out with strategizing financing?

My models and business plan are airtight. I have been in residential (SFR,MF,SH) real estate for 10 years. I started out in the trenches leasing apartments and eventually (on-site) managing large-scale commercial multifamily renovations in L.A. I made a logical progression up through asset management and finally to acquisitions for a private equity firm.

I realized I was delivering the true value to my firms' investors and was not justified in my salary. It became clear I must acquire equity in deals, use my management skills to destroy competition, and then reinvest my sole earnings early on in lieu of ultimate freedom and success. 

I am looking for some mentorship and someone to help me get my first deal or two under my belt. 

I really appreciate any and all advice. 

Best regards,

Patrick Milhaupt