Real Estate Syndication, TIC Agreements, Peer to Peer Lending - Call (844) 853-7355
Banks National’s real estate development division manages a peer to peer real estate syndication platform for private investors and land owners. We connect land owners directly with the private investor or private lender. We also provide a platform that can fractionalize and pool money from multiple investors for real estate projects. The benefits of investing in a real estate syndication is that a person can end up owning a small percentage in the real property being offered without having to be involved in the day-to-day management of the project. In its simplest form, a real estate syndicate is simply the pooling of money from numerous investors and organizing these funds as a whole into real estate projects. The moneys contributed can be used as an equity investment to a real estate project in addition to a mortgage loan. Investing in a real estate syndicate is essentially investing in a real estate venture. Common examples would be the purchase of land to develop a resort, casino, residential apartment complex or an industrial park for manufacturing of items. The investor typically receives a high rate of interest paid quarterly on his investment (8% to 10% per annum), besides maintaining an ownership interest in the syndicated project. Many investors also have the opportunity to sell their interest in any real estate syndication to a willing buyer or even to the syndicator. Typical forms of a traditional real estate syndication are corporations, limited liability companies, TIC agreements, fractional ownership, and full or limited partnerships. The syndicator of such a venture usually receives compensation for locating the property to be purchased, doing the due diligence for its acquisition and intended development, and getting the purchase to close. Investors in the transaction typically pay the syndicator’s fee based upon a percentage of the costs of the transaction when the targeted property is acquired. The syndicator also receives a management fee, typically based upon a percentage of gross revenue on a yearly basis. For instance, if there has been an apartment complex constructed and owned by the syndication, the gross profits for management of the apartment complex would be paid to the syndicator for collecting rental money, maintaining the complex, paying insurance, taxes, and making repairs. Call (844) 853-7355 for more information about syndicating your property, investing in real estate syndications, or managing a real estate syndication project.