Anyone have experience forming a Real Estate Fund in California?

[Khoa Ha]

Hi,

I am reading up on how to form a Real Estate Fund. Since I live in California I was wondering if anyone have experience on here regarding forming a Real Estate Fund or know of anyone that does? 

[David C.]

@Jay Hinrichs

It is cool.  I've done a few myself, as a ca broker.  Mostly with people I know well.  It is a bit cumbersome ... having to financially vet investors (DRE form 870), provide MLDS (DRE form 885), getting signed statement from each investor that their investment is not more than 10% of their net worth, DRE reporting, not to mention it's somewhat like herding cats.  Then there is what to do when things go wrong ... getting investors to agree on coarse of action.  I was talking with a broker the other day that had a heck of a time trying to figure out how to payoff an investor that died.

On the other hand, it's exciting :)