Frank Lawrence
Glendale, CA (USA)
Role(s):
Founder/Owner/Principal
Peltus California Recovery Multi-Family Joint Venture
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Startup
Location:
Glendale
Industry:
Real Estate
Year Founded:
2010
Number Employees:
1-10 people
Business Stage:
Creation/Idea
Entity Type:
Not Incorporated
Description:
Peltus California Recovery Multi-Family Joint Venture seeks to form a joint venture specializing in a unique niche, acquiring five to thirty unit apartment buildings in select locations in Southern California. The joint venture is specifically designed to take advantage of the unique market opportunity resulting from the recent decline in real estate values and tight credit markets while leveraging Southern California’s long term demands for housing.
The venture will purchase, rehabilitate, rent, and sell undervalued Southern California multi-family units. Due to the recent contraction in the real estate and credit markets, real estate values have declined steeply. Inefficiencies in individual multi-family transactions allow sophisticated buyers to purchase units at highly attractive valuations, creating a compelling opportunity to build a profitable multi-family acquisition business.
All investments will be made thru a single purpose, project specific LLC. Equity Partner will retain approval of each acquisition, as investments are made, on an asset by asset basis. The Distribution priority will be as follows:
• 100% until Equity Partner has received an 8% preferred return.
• 75% to Equity Partner until 12% return paid.
• 60% to Equity Partner until 15% return paid.
• 50% to Equity Partner thereafter.