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| | Bridge,
Mezzanine Loans & Commercial Real Estate Project Construction Financing...
What
about real estate syndications?
A
real estate (fractional) syndication can be used to replace the mezzanine lender.
Here's the general rules of the road regarding commercial real estate
syndications:
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If
you need to raise only 5% to 8% of the total budget, then a condominium
investment plan real estate syndication may be the ticket for your project's
capital funding plan structure. |
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If
you need to raise more than 5% to 8% of the total budget, then a
tenants-in-common real estate syndication may be the ticket for your
project. |
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A
syndication costs about $350,000 to complete on an "all in" basis,
meaning - legal, accounting, tax, feasibility, architecture, engineering,
operations, marketing and construction consulting services and related due
diligence reports must all be provided. You are not excused from the
due diligence reporting burden. You end up spending about $200,000 on
the due diligence and another $150,000 promoting the real estate
syndication. |
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You
should work the deal with multiple syndicators to get the greatest possible
exposure for your transaction. |
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Syndications
represent a surety of outcome because you are in control of your destiny and
you have the budget to acquire the tools and services that are necessarily
to realize that success. |
If you are confused about what should or shouldn't be done or expected in
your capital funding plan, then contact Rainmaker Marketing
Corporation.
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Do
You Know The Secret?
When it comes to commercial real
estate development finance, it doesn't matter whether you need to raise
$5 million or $50 million, the out-of-pocket costs, advance fees and
project due diligence costs will always require the same relative
investment dollars the promoters have to fund. Do you know what
that amount is? Do you know the Secret? |
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