All Forum Posts by: Jordan Santiago

 You can or, you can just syndicate all the capital and stay at the helm of the ship. Sometimes easy isn't always the best route.

Hi Jordan,

Access to a lot of money, either through knowing a lot of people who are well off enough to be allowed to invest in this, or knowing a few people who can steer others money into the investments.

That plus an attractive business proposition.

If you run in those circles and understand this business you might be able to duplicate it.

Good Luck!

Institutions, family office, or just large PE firms that will co-gp or be a large portion of your LP capital won't just give you money. They will also have a pile high set of documents for you to sign that you must stay compliant within. If your not example: miss your KPI's for 6 months straight they can essentially override you and take over as the asset manager. Also in the paperwork will have language in regards to liquidating the asset and who gets paid out first etc. You're essentially giving up control in the deal for convenience of equity. 

 A lot of people starting out struggle with raising capital. If you can get in with the right capital partners you can buy a lot of units in a very short period of time. Keep in mind that by using this type of capital structure your hands become tied quickly. They will force you when to sell, buy you out of the deal, kick you out of the deal, etc. You are essentially working for fees at this point and don't have as much money coming in or upside potential as many people think. 

@Jordan Santiago It is absolutely possible with the right kind of capital backing you. They could be working with some family office & institution capital for 80-90% of their equity and syndicating the last 20-30%. Keep in mind that the market has been on a massive upswing and if they were to get into this business 8-9 years ago they probably acquired a lot of those units early on when the market wasn't so hot. 

@Jordan Santiago sounds as if they may have a strong network of partners to where they can scale this fast. Congrats to those guys. They probably put in a lot of work behind the scenes too as well. In all it can definitely be done. There are no limitations. The only limitations you have are the limitations you put on yourself. Develop the mindset. Work on personal growth development and you can achieve anything. Take care. Good luck.

it would be fun to also take that list and see which one has the greatest market value.. my vote would be that the Irvine company would be top 5 ..