Exit strategies for multi family portfolio

[TangoWhiskey]

An old multi-family owner I have been networking with is looking to sell at a good price but is in no rush. He is not at all sophisticated but is open to ideas. I have explained the limited partnership structure to him and we are exploring ways to partner. I would be responsible to do the legwork to create the LP and sell the units and he would provide the assets.



This would mean setting up an LP that is targeted ie buying a pre-existing portfolio rather than a blind pool which only promises to purchase as yet unidentified buildings/assets. Which is easier to set up, market and sell? Blind pool units vs units in specific local buildings people can drive to and see?



Also, I have also heard that there are more hoops to jump through with tougher due diligence where it is targeted.



Is this accurate? Anybody have any thoughts/experience?

 

[Thomas Beyer]

A specific asset (or set of assets) is easier to sell than a blind pool, especially with no track record. Be aware of applicable security legislation for money raising.