Looking for JV Equity Partner - Dev Deal SE US

Based on previous WSO threads, here are some insights and advice for finding a JV equity partner for your development deal in the Southeast US:

1. Targeting the Right Partners:

   • Family Offices: These entities often have the flexibility and interest in opportunistic deals. They can provide both GP and LP equity.
   • Middle Market Funds: Look for funds that have a history of engaging in Co-GP deals and are open to new construction projects.

2. Deal Structure:

   • Co-GP/LP Position: Offering both GP and LP positions can be attractive to potential partners, providing them with a stake in both the management and equity of the project.
   • Opportunity Zone (Opp Zone): Highlighting the Opp Zone status can be a significant selling point, as it offers tax incentives that can enhance returns.

3. Market and Returns:

   • Major Market in the Southeast: Emphasize the location's potential, as major markets typically attract more interest due to their growth prospects.
   • Untrended Yield on Cost (YOC): A stabilized YOC above 10% is attractive. Ensure you have detailed projections and justifications for this figure to present to potential partners.

4. Networking and Outreach:

   • Direct Messaging (DM): As you mentioned, reaching out directly to serious inquiries can help maintain confidentiality and ensure you're engaging with genuinely interested parties.
   • WSO Forums: Utilize the WSO forums to connect with professionals who have experience in similar deals. Threads like "Is anyone capitalizing development deals??" and "Starting your own shop: LP / debt fund vs GP (dev co, value add)" can provide additional insights and contacts.

5. Challenges and Considerations:

   • Finding Co-GP Groups: Acknowledge the current difficulty in finding Co-GP groups for new developments, especially in the smaller/middle market segment. This transparency can build trust with potential partners.
   • Unique Angle: While you mentioned there's an angle juicing the returns, be prepared to discuss this in detail with serious inquiries to differentiate your deal from others.

For further networking and potential partnerships, consider engaging with the WSO community and leveraging the insights shared in relevant threads. Good luck with your development deal!

Sources: https://www.wallstreetoasis.com/forum/real-estate/starting-your-own-shop-lp-debt-fund-vs-gp-dev-co-value-add?customgpt=1, Hiring Junior Partners / Deal Guys -- Good Value, Capital partner and Developer splits, Life in Acquisitions (Analyst/Associate), Q&A: Non-target Career Changer to VP of Development