Selling equity shares of cashflow investment properties.

[Ben Bakhshi]

I am trying to raise funds and was suggested to offer equity in my properties at a 10 cap rate. So, if a property makes $8,000 NOI a year, at a 10 CAP its worth $80,000. Let's say I paid $50,000 or the property 3 months ago.
Now I want to offer either 50% equity to an investor at the healthy 10 cap rate.
If I sell 50% at $40,000, I have 50% equity at only $10k invested. Sounds great.
But now, according to the market, my investor has negative equity. If we were to sell today he would get back less than he put in.

I am missing something to make this a good deal, but what is it? On the one hand I am offering a great cashflow investment, and on the other han negative equity until the home value rises 40%. How are deals like these structured?

Hope you can help.