Investor Education & Insights
Everything you need to know about real estate syndication and multifamily investing
Frequently Asked Questions
Comprehensive guide to multifamily syndication, investment process, returns, risks, and our strategy
General Questions
Multifamily syndication is a group investment strategy where multiple investors pool capital to acquire large apartment buildings or multifamily properties. We manage the entire process—from acquisition and management to eventual sale—while investors receive passive income and profits.
Depending on the deal structure, we offer investment opportunities to accredited and non-accredited investors. To get started, you can join our investor network, review current opportunities, and participate in deals that align with your financial goals.
✓ Passive income through rental cash flow
✓ Appreciation as property values increase
✓ Tax advantages through depreciation and write-offs
✓ Diversification with a stable asset class
✓ Scalability compared to single-family rentals
Multifamily properties offer more stability and higher scalability than single-family rentals. With multiple tenants, income is diversified, reducing the risk of vacancies affecting cash flow. Additionally, economies of scale make maintenance and management more cost-effective.
Financials and Returns
Returns vary based on the property, market conditions, and strategy, but typical projections include:
✓ 8-9% annual cash-on-cash returns
✓ 10-20% internal rate of return (IRR) over 5-7 years
✓ 2x+ equity multiple (doubling investor capital over the hold period)
We use multiple performance metrics, including:
✓ Cash-on-Cash Return (CoC): Annual cash flow divided by the investor's initial investment
✓ Internal Rate of Return (IRR): A time-weighted return that factors in future cash flow and sales profits
✓ Equity Multiple: Total return on investment (e.g., 2x equity multiple means an investor doubles their money)
Distributions are typically made quarterly or monthly, depending on the investment. Payouts come from rental income after expenses like mortgage, taxes, and management fees.
We take a conservative underwriting approach to minimize risk. If a property underperforms, investor distributions may be temporarily reduced while we adjust our strategy. However, we structure deals with ample reserves to weather market fluctuations.
Most deals have a 5-7-year hold period, which varies depending on market conditions. However, some deals may allow for an earlier refinance, returning some capital while maintaining ownership.
At the end of the hold period, we either:
✓ Sell the property and distribute profits
✓ Refinance the property to return investor capital while keeping the asset
✓ Reposition the asset for continued cash flow with investor approval
Risk & Protection
Like any investment, multifamily real estate carries risks, including:
✓ Market downturns affecting property values
✓ Tenant vacancies reducing cash flow
✓ Interest rate fluctuations impacting financing
✓ Operational challenges if management is ineffective
✓ Conservative underwriting with realistic projections
✓ Thorough due diligence on property financials, market trends, and operations
✓ Experienced property management to maintain tenant satisfaction and minimize vacancies
✓ Reserves set aside for unexpected expenses
We acquire properties with strong fundamentals, which means they generate positive cash flow regardless of short-term market conditions. If a downturn occurs, we hold assets until market conditions improve.
Yes, investors typically receive their original capital upon selling or refinancing the property. If the property appreciates, investors also receive a share of the profits.
Syndication investments are not liquid like stocks. Investors commit their capital for the hold period (typically 5-7 years) but receive cash flow distributions throughout.
Deal Structure and Operations
1. We identify & underwrite a substantial property
2. We negotiate & structure the deal
3. We secure investor commitments & close
4. We manage the asset & distribute returns
5. We execute an exit strategy for profit
We partner with experienced property management firms who handle day-to-day operations, maintenance, and leasing.
Yes, investors hold equity ownership in the property, entitling them to their share of cash flow, tax benefits, and appreciation profits.
✓ Preferred Return: Investors get paid a set return (e.g., 8%) before sponsors receive profits.
✓ Profit Split: After preferred returns, profits are split based on the syndication structure (e.g., 70/30).
Multifamily investors benefit from depreciation, cost segregation, and passive income taxation, often reducing their taxable income. However, they should always consult a CPA for specific tax implications.
Our Track Record and Strategy
We focus on high-cash-flow multifamily properties with value-add potential in emerging and stable markets.
✓ Off-market deals through broker relationships
✓ Direct outreach to sellers
✓ CRE platforms like Crexi & LoopNet
✓ Partnering with local market experts
We invest in cash-flowing, landlord-friendly markets where we can create long-term equity growth. Current holdings include:
✓ Clarion, PA (High Cap-Rate Market)
✓ Catonsville, MD (Value-Add & Stability)
✓ Ocean City, MD (Seasonal & Luxury Rental Strategy)
✓ Renovating units to increase rental value
✓ Improving tenant quality & reducing turnover
✓ Optimizing operations to reduce expenses & increase NOI
✓ Repositioning properties for a higher price on exit
Yes! Visit our Portfolio Page for case studies on how we've repositioned and optimized our properties for high investor returns.
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