How are GP syndications typically structured to jump into higher level deals?
It's easy to understand how one can individually start their own deals with some savings and doing 10% GP deals but that money typically can run out fairly quickly for independent real estate shops. How are these GP syndications typically structured that allow seemlessly endless property buying / continuously rolling deals into larger transactions? I can't imagine many of these newer guys have the capital to keep funding their 10% of subsequent deals, even if refinancings are completed. I assume there is some split being done for these people that allows them to add very little / no equity early on until they build enough wealth to start funding more on their own? Looking at guys like Shvo, etc. or is the answer that they really worked for someone else until saving up $1 - 5mm, etc.? Thanks
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