You should be able to do this easily, once you roll over you can pool them as a JV - but honestly, you would likely be better off trying to do the debt component with them to try to foresee the UBIT and/or UDFI potential exposure, be aware of this little tax trap.

There is no value add component.- Not sure why you are assuming only a 1% property value increase.

It's one of the key components in real estate acquisitions.

@Aurelien BoninThere are many components to becoming a syndicator.

@David AdamsI find a deal, preferably one that has “value add” component to it.

All expenses meaning the usual taxes , insurance . also including  any repairs ( in 2020 we averaged $46/ month / door for repairs ) which may seem low but keep in mind when we rehabbed we replaced - repaired all major components if they were more than 5-10 years old depending on the component.

The main thing is just differentiating the 1%ers that appear nice but have issues from the ones that have had their major components (electric/plumbing/hvac/roof) updated more recently.

On residential much less common and maybe even detrimental to the deal. 

@Eric Hemplershort answer - I don't think you're overlooking anything, and this is what I am seeing as well.I think it's a combination of all of the economic factors: a shortage of houses in desirable markets + pressure from home buyers + investors willing to settle for lower returns + low(er) interest rates - and probably othersseveral options as others have pointed out:-accept the lower returns-find something off market and/or with a value add component rather than a plain jane MLS listing-don't invest in RE

@Charles McCabe 1-4 units is only residential if it does not have an office component. 1-4 + 1 office is considered mixed use COMMERCIAL. let me know if you have any questions, my DM is always open :)