Syndication is the pooling of investor money where the investor is typically a limited partner (passive investor) and the general partner, or active partner, puts the deal together and manages the business plan to provide a return for the benefit of all investors. Syndications are used to buy and manage assets in multiple industries including real estate, oil and gas, small business, lending, and more.

The Private Placement Memorandum is required by the SEC (Securities and Exchange Commission, same federal agency who monitors the stock market) and describes the offering, risks, includes the partnership agreement, investment summary and subscription agreement. It is a lengthy legal document prepared by a syndication attorney. The subscription agreement section includes basic information as to amounts being purchased and percent ownership. The risk section highlights just about every possible risk that could happen.

Returns are determined on a per investment basis. To calculate we preform complex underwriting analysis based on the property type/condition, debt, equity and business plan. Our underwriting analysis is available within our deal room or via request.

Each investment opportunity we provide has a unique set of risks. Common risks include market volatility, economic volatility, natural disasters and other climatic events.

Our hold period is specific to the investment opportunity business plan and when we determine the best time is to sell / refinance to return investor capital and maximize investor returns.

Minimums vary from deal to deal but generally are set between $50,000 – $100,000 with better returns given to investors who invest higher amounts.

Investor distributions vary from deal to deal but most syndications make monthly or quarterly distributions directly to your account.

We provide monthly or quarterly email updates on the investment’s progress and the distribution amount for the period. You will also receive a K-1 statement from us around March of each year for your tax filing. Our Investor Relations team are reachable through phone, sms or email should you have any urgent questions.

Private equity investments are very tax efficient. As a limited partner, you will benefit from your portion of the investment’s deductions for property taxes, loan interest, depreciation, etc. We will also use a cost segregation strategy to accelerate depreciation. The tax loss can then be used to offset income earned within the investment and potentially other income depending upon your individual tax situation. At the time of sale, the partnership gains are treated as long-term capital gains.

 

It is important to speak with your tax professional as they understand your specific tax situation the best.

Yes – We operate on a core value of treating investors’ money as if it were our own and invest as an LP as well. Our investment documentation will always outline what our investment specific investment will be.

Yes – We model different scenarios to show how deviations from our core assumptions would impact investor returns. Sensitivity analysis covers items such as: exit cap rate, rent and expense escalations and occupancy levels to name a few.

Yes – You can invest in real estate with certain retirement accounts. We are happy to discuss how to boost your IRA investing returns with investing into private equity opportunities.

We are impact investors. Our investments are centered around people first with a goal to create thriving communities within the lower income, workforce demographic. By utilizing our proprietary impact framework we aim to improve lives, keep residents in place and operate healthy residences. To Blue Eyed Capital, we don’t just own rental properties, we are the gateway to improving and impact the lives of humans. All of this is a more robust and resilient real estate investment that provides our investors with strong financial returns and the knowledge that they change lives.

Fees charged are specific to each investment. Our investments may include the following: acquisition fee (1-2%), fund management fee (0.5-2%), asset management fee (1 – 3%), disposition fee (1%), development fee (2-5%). In addition we participate in active profit splits based on the specific investment. At all times, our fees will be clearly defined in the investment offering, PPM and other investment legal documents.