Syndication in Mexico

[Abraham Pereda]

Investment Info:

Large multi-family (5+ units) private money loan investment.

Purchase price: $397,368
Cash invested: $52,000

This is a construction proyect in one of the most expensive areas of Mexicali, Baja Mexico. Its under contract and will be building a 14 unit apartment building. There is still room for more investors. It has a 21% Cash on Cash Return, Its a Ground Lease proyect for 15 years. At the end of the 15 years you would have a total ROI of 324%. This is in a conservative scenario.

What made you interested in investing in this type of deal?

Cashflow!

How did you find this deal and how did you negotiate it?

Im a real estate agent in Mexico, and found it on the MLS. I gave the owner a deal that he couldnt refuse!

How did you finance this deal?

Private Money 100%

How did you add value to the deal?

Made all the proyect all together. Construction proyect, negotiated the rent of the land, and found investors. Still looking for some investment.

What was the outcome?

We are about to start construction

Lessons learned? Challenges?

You can have a way or an excurse, not both.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

myself