In the last cycle I advised a Fort Lauderdale real estate investment firm Manny Machado Padres Jersey , as it busted into the institutional market and took its acquisition capacity to a new level. This was accomplished because the firm’s principals had built-up enough funds on their own to acquire an initial portfolio -and subsequently attracted an equity investment from a big Midwest conglomerate. This model still works today!
That additional equity allowed the firm to obtain $7.5 million in third-party bank financing. Because of that, the real estate company attained 2 South Florida office buildings in excellent locations. Equally important, the business was able to form a partnership with an institutional investor that will open the door to future ventures. This type of transition from Main Street to Wall Street will occur more frequently as the current market cycle evolves.
Accomplished entrepreneurs break away from bigger companies and developers try to assume greater control of their financial destinies. At the same time, pension funds Wil Myers Padres Jersey , insurance companies and other institutional investors are seeking out promising investment opportunities.
For developers, operators and investors, the upside of teaming up with an institutional partner are infinite.
*Availability to an unending stream of capital.