All Forum Posts by: Arturo Borges

When multifamily investors talk about 1.90X, or 1.65X equity multiple, are they basically saying that if they acquired the property for $20MM, they will sell it for $38MM, or 33MM? Or what exactly does it mean?

When structuring a syndication deal geared towards apartment building acquisitions with a value-add strategy, how do General Partners make their money? More specifically, how does the smallest General Partner (1.5%-2.5% equity) makes their money? Is it a 1.5%-2.5% of the entire disposition amount? Or just the capitalization through renovations, etc. So that small 1.5%-2.5% General Partner would only make money at disposition and the percentage is based on?

@J Scott And what are your thoughts on my question in general?

What are the pros and cons of buying properties at auction from auction websites like xome.com? Is it a good strategy? Or there are other hidden things to consider?

Is there potential to flip properties for 30% margins in Orlando right now?

Is there any city in FL where you can actually follow the 70 rule? There are currently no properties in today's market that can meet that. There are no margins for people that can only get high-rate financing plus other funding like gap financing, but is it possible to constantly find these properties?

What is the process when starting a new development project? How do you analyze the land you want to build in, what are the most important, if not all of the factors and elements to keep in mind and research? Like location, size of the lot to build what you want to build, etc.

@J Scott Thanks for your response!

Basically what I mean is how do real estate developers (let's say condo developers) raise those high amounts of money for their projects? Other than debt, securing a big loan, where do they get the other 15%-35% of the money? Other than investor by investor, when we are talking about $20M+ in private capital, it's probably from bigger chunks 

Do family offices invest in Real Estate Developments? Is it common? Or they invest in more secure, risk adjusted investments, perhaps apartment investing?

Is it hard to raise money from family offices? How does the process work when dealing with this type of companies?