Vine Capital Partners | January Update
Updated: Mar 13
"If you fail to plan, you are preparing to fail."
Many of us are familiar with Benjamin Franklin's famous quote which conveys the value he placed on planning for the future especially when uncertainty was on the horizon. It's the new year, a time for us to take a step back, look at the past year, and PLAN for the future! Vine Capital Partners recently had a chance to celebrate our accomplishments in 2022, which was a wonderful time of reflection. We closed on our first larger multifamily property (100+ unit) in Des Moines, IA this past June, completed the Michael Blank Mentorship Program (find more details HERE), networked with many experienced investors and syndicators across the country, and spent hours underwriting and analyzing properties across Iowa. While several of our offers made it to the best and final round, many were not accepted, and that is okay. We know our offers are competitive yet conservative, and we're committed to sticking to what works in terms of our business plan and the returns for our investors. 2022 did not come without challenges. Finding good deals became harder to come by as interest rates continued to rise and lending requirements tightened. As deal flow has slowed, we plan to ramp up our systems and build out our team to be ready for upcoming opportunities this year. In order to ensure you understand the process, we plan to create educational content designed to explain apartment investing in greater depth and host several webinars that will walk through a sample deal, start to finish. Stay tuned! We want YOU to be ready to invest with us in 2023. It is our responsibility that you know and understand the potential risks and returns, so now is the time to get in touch with us to find out whether a real estate syndication is right for you!
Real Estate Syndication | Education Unlike buying a single family rental, the process of investing in a real estate syndication is a group effort. Syndications are partnerships. Partners pool their skills and capital together to purchase larger assets. In our previous newsletter, we explained the equity partners involved. To recap, the general partners are the active partners with various managerial responsibilities and the limited partners, or passive investors, provide the majority of the capital needed to fund the deal. Once invested, limited partners can expect to receive monthly reports along with distributions, usually quarterly depending on the project. That's right, as soon as a limited partner decides to invest, they can sit back and let the general partners do the work! While the general and limited partners are the equity holders, there are several other parties involved in a successful syndication. Our company, VCP, is the general partner, and we have built a team of professionals around us to ensure we can close the transaction, onboard our investors with ease and carry out our business plan. The team around us can make or break a deal. The partners we vet in a syndication include:
* Professional Property Management * Commercial lenders * Commercial brokers * Real Estate attorneys * Appraisers * Insurance Agents * SEC attorneys
We have taken time to meet with and create solid relationships with each of these partners. They are wonderful people to work with, and we're confident that we've found some of the best professionals in their respective industries.
* Pictured with Michael Blank at Deal Maker Live in June along with our GP team on site at Windsor Terrace in Des Moines.
We hope that you've had the change to celebrate the wins of 2022 and plan for the future of 2023. As you plan, remember the benefits of passively investing in multifamily real estate. Real estate syndications give our partners the ability to invest in recession-resilient assets that can produce competitive returns, create tax savings, and provide a truly hands-off investment. Will you consider partnering with us in 2023?
If you're interested in discussing the opportunity to invest with us as a passive investor, you can reach out to us on our Invest With US tab.
Vine Capital Partners is a multifamily real estate investment company whose mission is to provide investors with competitive returns through apartment investing. VCP works hard to find growing markets, acquire properties with guaranteed potential, and integrate solid management systems. We’re looking forward to an amazing year in 2023!! We wish you and your families a great year ahead! The VCP Team