Certified High Performance Coach | RV Park & Mobile Home Community Investor and Operator | Commercial Real Estate Expert | Project Manager
Just finished up a call with these aspiring Military Multifamily Academy Cohort Students who are learning how to underwrite commercial real estate this week! We covered some important terms everyone in the space needs to know. Some of the important ones are about investor returns and I wanted to share one here. In may syndication a capital partner or limited partner who invests their money in a deal may be offered something called a preferred return or pref. Now this is not a guarantied return, but those investors will be the first paid up to that percentage. So for example if you invest in one of my properties and I am offering a 7% pref that means you will get a 7% return before I get paid. If you were to invest say $20,000 in my deal that means every year you would get a check for $1,400. If that same $20K was sitting in a saving somewhere you would get around $200. This is the kind of topics I will be talking about at ADPICON next month in San Antonio Texas. If you have not gotten your tickets yet what are you waiting for? Check the comments for the link and get your ticket today!
