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Land Development in Klamath Falls, OR
Long-time developer, Fred Bates and real estate investor, Kathy Fettke have formed a new company, Ridgewater LLC, with the intention to acquire 156 finished lots and develop single-family homes in Klamath Falls, Oregon.
How it works
01.
How Syndications Work
Understand your investor status Sccording to the S.E.C., a 506C offering that is open to accredited investors only. You can go to www.verifyinvestor.com to verify that you are accredited. A 506B offering allows up to 35 non-accredited investors, and is only offered to "friends and family or people with a prior existing relationship."
02.
Understand the Offering
A syndicator should offer investors a private placement memorandum and an operating agreement that spells out the terms of the investment. Always have your CPA review the tax portion to make sure it’s a fit for your strategy. You may want to have your attorney review the documents as well.
03.
Invest with Experts
Funds and syndications should be managed by highly experienced real estate experts who have executed a similar business plan successfully in the past. The quality and experience of the team is everything. The managers will take care of acquisitions, renovations, loans, and on-going management.
04.
Reap the Rewards
Syndications offer a truly passive investment. Experts do the work for you while you enjoy the cash flow, tax deductions and profit (depending on the deal terms.) As a limited partner, you reduce the risk with an extra layer of asset protection while increasing diversification.