Work with the top financial intermediary in arranging joint venture equity for your project. We work with owners and operators across the country to help them capitalize their projects with LP/GP equity from institutional funds & family offices.
We Arrange Joint Venture Real Estate Partnerships
The minimum amount of equity that our capital sources need to put out per transaction is at least $3 million, possibly lower on a case by case basis. Theoretically there is no limit.
This is the amount of equity that our joint venture partners may be willing to contribute to your project, up to 90%. This means that you as the sponsor need to contribute at least 10% of the equity required (not of the total project). Often the 10% requirement is syndicated out further to private investors.
This structure is very deal dependent and will be tailored to the needs of the project.
Typical hold periods are from three to five years. It’s possible to push the hold period out further if the returns are there and the JV partner can keep the money deployed for that long.
We can arrange equity that sits as a limited or general partner in the corporate structure.
Our JV equity sources are looking to deploy equity for transactions that are acquiring & adding value to existing properties and for the construction of future properties.
We can look at deals located in every market in the country.
We are able to look at any commercial asset type, as long as the sponsorship, property, and strategy make sense.
Clopton Capital is a national commercial mortgage broker focused on giving private investors and small/middle market owners, operators, and developers, and family offices everywhere in the US direct access to the most important commercial property joint venture financiers in the business. Many of these are recognized mortgage lenders in the same space also known to be intensely interested in industrial, commercial, and mixed-use joint venture real estate partnerships. We can bring this unique commercial property funding opportunity to the table for your project or acquisition. However, it is important we observe the essential operating experience on the sponsorship side, thus giving us enough confidence that you can execute the business plan and achieve the ROI as presented to us.
What we are looking for in a JV Equity deal
- Strong sponsors with a successful track record, as opposed to emerging investors with little experience.
- All real estate asset classes
- Every city, town and rural area in the USA
- Project sizes with a total capitalization of at least $10 million – preferably larger
- Up to a 90/10-equity contribution ratio from the JV partner. We obviously need to see at least a measurable amount of sponsorship level-cash in the deal
- Value-add, development, and long-term hold – all are on the table as long as the returns are appropriate
Same as commercial property lenders but different
Your capital partners will emerge from the very same entities we make applications for your bridge loans (see here), mezzanine financing, preferred equity (link: https://cloptoncapital.com/preferred-equity-real-estate/), commercial mortgages (click for more info) and real estate private equity under normal circumstances. Many are in parallel looking for commercial property sponsors with a demonstrated record of ROI success to partner with. This inevitably means providing a track record of delivering value for co-investors in partnerships, trusts, corporations, LLCs, Delaware Corporations, and estates; also finding good deals, and executing business plans with astute use of debt. So if you are looking to scale up and possibly move away from the friends-and-family type of partnership options, our joint venture commercial funding may be a more consistent, better fit for you. We are looking for prospects where we can see business plans with continuity that will offer future business and availability.
Clopton can make it happen
Joint ventures are built on the exchange of expertise and capital to create a viable investment in a commercial real estate sector that you might know better than most. If it’s compelling we are well positioned to make the connection. The process begins with our mortgage brokers implementing pedantic due diligence on your proposition. Then, if it meets our high standards on risk and ROI we will match you to the joint venture partners that will create the most synergistic value. This is quite painstaking simply because we need to filter things down by such diverse activities as multi-family, retail properties, warehouses, hotels, offices, etc. The bottom line is that if we can find you a fellow buyer with a history of providing capital and comfortable with your specific operational areas it can make your investment horizon really glow.
Why we are the obvious choice as a joint venture advisor
Of course, as a dependable commercial property advisor, we will be there all the way by your side. Clopton Capital is able to pave a way into capital markets outside of the standard raising of a mortgage; one that you probably haven’t traveled before. We understand the regulation processes from a professional mortgage broker perspective so if this strikes a positive note with you you’ve come to the right place. Our objective is to bring you a committed real estate investment partner that we have got to know well after 10 years and several $ billion of commercial real estate loan deals concluded. It will help you no matter whether you’re an entrepreneur with a revolutionary investment strategy or an experienced trading expert looking for equity investment support.
Clopton is a groundbreaking facilitator in the commercial real estate markets. This requires us to harness all our commercial lending experience to structure and restructure real estate investor partnerships, as well as to apply our negotiation skills for your benefit. In summary: we look for sustainable partnerships with continued, repeated success. In response, we will match you with partners that can bring genuine enhancement to the partnership, with low to zero volatility, after we analyze the market in both broad and specific terms. If you under-promise and outperform expectations, you have all the makings of an arrangement that will inevitably maximize your shared success. That’s the Clopton outlook and we expect any equity investor client to view things in the same way.
If this resonates with you, contacting us is easy. Start your joint venture application by calling us today at 866-647-1650 to speak directly to a Clopton Capital Loan Officer or simply fill out the “Contact us” form. Either way, you will soon be on the road to quickly and precisely knowing your options in line with your financial needs.