Joint Venture Real Estate
At Clopton Capital, we have long standing relationships with joint venture real estate partners that we can bring to the table for your project. Our capital partners are always looking for strong and successful sponsors to partner with that have a track record of bringing value, finding good deals, and executing business plans. If you are looking to scale upward and are moving past friends and family type partnerships, some of our joint venture funds may be a fit. We are looking for opportunities where we can see a repeatable business plan and will offer future business and availability.
What we are looking for in a joint venture real estate deal
When evaluating if a sponsor and project are right for some of our joint venture partners, we typically start with and are looking within the following guidelines
- Strong sponsors with a successful track record – We are looking for sponsors that have executed their business plan before and have been successful at it.
- All real estate asset classes – We will consider any type of real estate, so long as the returns and plan make sense
- Nationwide geography, including primary, secondary, and tertiary markets
- Project sizes with a total capitalization of at least $10 million, preferably larger
- Up to 90 – 10 equity contribution rate from the joint venture real estate partner – We like to to see at least a measurable amount of sponsorship level cash in any deal
- Value – add, development, and long term hold – We will look at any scenario so long as the returns are appropriate
Who we typically work with on joint venture real estate arrangements
We typically work with small to middle market owners, operators, and developers of commercial real estate that are looking for joint venture real estate private equity partners to come into deals and help them achieve a larger scale of operation. We are looking to arrange joint venture partners for a scenario where there is vast operating experience on the sponsorship side that we can lien on to execute the business plan and achieve the returns that are presented to us.