Usually, real estate syndication deals are structured as a limited liability company or a limited partnership. The sponsors act as the general partners (or GPs) and the investors are limited partners (or LPs).
– From 2009 – 2012, over $63 billion was raised for private real estate investing.– The average real estate selling price in the same period was aroun $15 million.– The average preferred return is 8.5%, with 5% being low and 12% being high.
Prior to the JOBS act of 2012, you needed to be very wealthy to even consider real estate syndication. In fact, even if you were rich, you also needed to know someone who would let you in on the deal to invest.