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Commercial Real Estate
Syndications - Continued...
Welcome to the
real
estate syndicates services section of the Rainmaker Marketing
Corporation web
server. Here you will find assistance and answers to all of your
questions regarding commercial real estate syndicates, the syndication
process, the due diligence requirements, the risks and costs.
The syndication process
key milestone events are as follows:
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Transaction
Threshold. The transaction must be a financing of $5,000,000 (USD) or more. The transaction can be in any country (though
some countries outside the United States will require political risk
insurance that is paid by the sponsor and outside the deal
structure). The client must own the real property interest in
fee-simple estate. No projects with option agreements,
unexercised letters of intent or pending purchase and sale
agreements will be accepted.
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Due Diligence
Review. The client must provide a comprehensive due diligence
documentation set. If the client doesn't have the due
diligence documentation complete they can engage whoever they wish
(including or excluding Rainmaker Marketing Corporation) to provide
the due diligence documentation:
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Market
Feasibility Study.
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Financial
Feasibility Study.
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Capital Funding
Plan Proposal.
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Business Plan of
Project Department Operations.
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Environmental
Phase I Report.
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Evidence of Title
& Title Insurance.
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Evidence of
Zoning/Permitting for Construction.
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All Provider
Contracts - Design, Engineering, Construction, Development,
Property Management and Specialties.
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Sponsor
Background Information & Resumes (Sponsor & Keyman
Managers).
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Utility
Will-Serve Letters.
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Contract
Assignments.
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Memorandum of
Leases.
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Proposed TIC
Ownership Plan.
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Capital Funding Plan
Proposal. Rainmaker will provide a final financing plan for
review by the client on a fee-for-services basis or the client can
wing it themselves and hope for the best. If and when the client accepts the
capital funding plan proposal, the transaction is ready for contract
execution.
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Syndication
Contract. Rainmaker will become an owner of the property
pursuant to a Tenants-In-Common Syndication Plan (or "TIC
Plan") so that Rainmaker may legally advertise its
corresponding syndicate interest. This is done on a 21-day
contract. If the contract is fully sold within that 21-day
window, then the client must accept the financing. If there is
less than the projected requirement in sales pending and the client
accepts the offers, then Rainmaker's ownership interest is as shown
on the contract. If the client elects to not accept the
financing, then the client may not have any further contact,
counter-offers or new offers to the syndication group.
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Closing. All
closings are local market - meaning in the county where the project
site is located. We will select a title company (our
requirements would be the same as any commercial lender in this
regard) that works for everyone. We prefer a title company
that is a national underwriter.
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About Rainmaker...
Rainmaker Marketing Corporation is the
brainchild of Clint Lovell, a seasoned business finance consultant with
more than 20 years experience. Rainmaker is a B2B consulting firm that was incorporated in 1994 for the
purposes of providing market feasibility studies to businesses
seeking capital financing in the commercial and institutional
markets. Today, Rainmaker Marketing Corporation provides a
comprehensive array of due diligence documentation services for most
major industry groups. Rainmaker Marketing Corporation also
provides syndication management services for fractional commercial
real estate syndicates that can provide mezzanine gap funding for
income-producing commercial property developments as early as the
pre-construction phase. Rainmaker Marketing Corporation serves
clients throughout North America and the Caribbean Basin. Rainmaker
Marketing Corporation, Inc. 15519
Dawnbrook Drive, Houston, Texas 77068
© Copyright,
2009 Rainmaker Marketing Corporation, Inc. All rights
reserved. |
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A
Few Words on Change...
Clint
Lovell, the Managing Principal of Rainmaker, has written a book on the
subject of capitalism and the creation of a new economic society that
ends our reliance on taxation and retires all of our national
debt. The book is called The Fix and you can order an
advance copy now at www.the
fixbookstore.com. Order today and we'll pay your shipping,
saving you some real change. |
What's
New...
Read
our latest whitepaper on capitalization strategies and commercial real
estate syndications that provide developers with a new arsenal of
capital finance weapons they can deploy in the middle of this
recession. Click here and download the whitepaper
free! |
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