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Most
condominium plans are for the sale of housing to the public, but
Rainmaker creates condominium investment real estate plans as part
of a structured financing for new commercial real estate
development.
Did
you know that a condominium investment real estate plan can be used
for hotels? ...retail? ... senior housing?
Yes,
it is true. In today's world condominium plans are an
important part of the development financing package each new
commercial income-producing real property development must at least
consider before making any final decisions.
Rainmaker
Marketing Corporation uses a multi-tiered approach to financing commercial real estate
development programs to create higher-yielding investment
opportunities for the commercial real estate investing-public as
well as providing another source of capital financing for commercial
real estate developers.
What
kind of returns are possible?
Most
condominium commercial real estate investment plans created by
Rainmaker Marketing Corporation project a mid-term holding (5 years to 7 years) in which
the investor is expected to receive a cash-on-cash return that
averages 25% to 30% per annum for the holding period (otherwise,
what's the point of creating the plan?). Getting
tasty, isn't it? But this is just part of the deal. You
decide when you want to sell your unit in a condominium plan, but
the buyer is usually the developer, as the developer seeks to
consolidate his holdings and make the sale of the entire property
more attractive to the buying public.
Condominium
investment opportunities no longer apply to housing, per se. A
medical office building to could have a condominium investment real
estate plan, as could a motel or a retail strip mall or
hospital. Condominium plans are not just housing, they are an
important tool commercial real estate developers and financiers are
turning to for the purposes or raising capital without having to go
through the lengthy and prohibitively expensive private
placement offering route.
Rainmaker's
approach is to require the same level of due diligence as would be
undertaken for a private placement offering - with the exception of
the fact there will be no registration statement (a private
placement offering memorandum). This saves the developer
time and money as the transaction is subject to the real property
laws in the state where the project is located. Developers
are, by and large, well-versed in the real property issues - after
all, they are REAL ESTATE developers, aren't they? This makes
it easier and quicker to complete the due diligence
documentation. By requiring a more comprehensive due diligence
presentation, the propensity for substantive delays and cost
overruns that are typically the end-product of poor planning are
hoped to be missing from the construction investment risk pool - but
it is not guaranteed. Our focus is to eliminate transactions
that appear to have very little hope of commercial success and those
transactions that have incomplete due diligence documentation.
Get onboard with the program! Visit our affiliate, www.realestateplays.com,
and become a member. It's free.
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