Collective Real Estate Ownership
Buying Real Estate can often be financially challenging, but Collective Real Estate Ownership can help increase your potential for success.
Collective Real Estate Ownership- involves an active Sponsor and outside Collective Real Estate Owners. Collective Real Estate Owners, together with a Sponsor, provide 20 to 35 percent of the capital required by most senior lenders financing residential and commercial development projects.
Collective Real Estate Owners on a project by-project basis provide between 50% to 95% of the equity capital required for a project.
From the Sponsor’s perspective, the Collective Real Estate Owners equity investment allows the developer to support senior loans from lenders.
From the Collective Real Estate Owner’s perspective, ownership in a “development deal” provides an opportunity to generate leveraged returns in real estate that may not otherwise be available. Furthermore, development deals are generally priced at a risk/reward ratio level that is rarely available in real estate, except in the case of distressed or turnaround situations.
From an Investor’s perspective, Collective Real Estate Ownership provides an additional level of comfort, knowing that Open Source Capital, LLC helped structure a detailed proforma, capital stack and business plan, and will be monitoring the project for the benefit of all stakeholders.
Collective Real Estate Ownership involves investing in a “Private Offering” that is exempt from SEC Registration under the JOBS Act. For more information visit U.S. Securities and Exchange Commission