Real Estate Syndication for Physicians

Real Estate Syndication is an effective way for a group of investors to pool their capital together in order to invest in larger properties than they could as individual investors.

This structure allows investors to invest semi-passively while the sponsor handles the management aspects and day-to-day duties of the project.

Components of a Syndication

Who are involved in a Real Estate Syndication deal?

Key Topics of Real Estate Syndication Investing

Learn about the basics of Real Estate Syndication from Physician Investors

Why Invest in Our Syndication?

As physician investors, we invest in niche boutique commercial properties in a medium size segment, that have a value add component. What does that mean?

Gentrifying Location

We find properties in areas that are gentrifying. These are properties that are located in a desirable area, but have not reached their peak potential yet (up and coming neighborhoods) and properties that usually need renovation.

Panoramic Knowledge

We are doing this by having extensive knowledge about local factors such as employers, rents, crimes, neighborhood ambience, foot traffic, and comparable market. Our team has decades of cumulative experience in the neighborhoods we invest in, along with a wide range of local real estate business related relationships. We know what works and what does not.

Optimal Property Size

We look for commercial properties that are usually between $1 million and $8 million USD. There is less competition in this size segment, hence, you can buy them at a much better price. These types of properties are too big for an individual retail investor. Hence, they cannot afford it. It is also too small for big investment firms since they usually deal with properties less than $8 million to $10 million USD. These big firms usually have a typical high level formula that helps them assess a property. They usually do not like to spend resources to learn about local neighbourhoods, local factors that influence a niche investment in a gentrifying area – all for a medium size investment. It is just not worth their time and money. That is where we come into play, to take advantage of this sweet spot.

Value Add Opportunities

We usually buy properties that need some work to reach their full income generating potential. They either need renovation or an addition of a few more rooms to the property, and etc.

The rationale here is that the ready-to-rent properties usually do not not give high returns in this current market situation.

Adding value (value add) to the properties builds in sweat equity. This will allow the property to get refinanced at a higher value. Hence, the ability to liquidate the profits and use that money to pay out the investors soon.

This strategy allows the syndicators to return most of the investors initial capital within 2 to 3 years.

Risk Mitigation

Value add properties are usually riskier investments (as they require construction teams to be involved for renovation) compared to stabilized (ready-to-rent) properties. We work diligently on mitigating risks by partnering up with teams that have a high level of commercial real estate experience, construction knowledge, detailed property management experience, neighborhood awareness, intricate networking skills, and social presence in the community.

Investors' Returns

Due to the above-mentioned strategies, our properties are able to generate significantly more profits compared to a syndication that is buying stabilized properties (turnkey properties that have already reached their peak income generating potential). Our financial structure for the investors is quite different compared to your traditional syndication projects. Being a physician, one of the main reasons I founded this platform was to improve financial awareness among physicians, that would in turn help physicians accumulate assets and generate wealth (not the same as being rich). I structure my deals with the same motto, to align with the above-mentioned values. We optimize our structure to payout the investors their original investment as soon as possible (usually 2 to 3 years), in addition to having the investors keep their equity in the property throughout the life of the project. We try to meet the estimated projections and reward the investors’ trust in the project.

Since the investors are projected to get their initial investment returned in 2 to 3 years, the investors can use this capital to reinvest in another project that can increase passive income.

Hence, not only will the investors receive profits from this deal, but they would also receive their initial investment returned sooner, allowing them to divert this capital to other projects.

Every property is different and every project is structured differently based on the inherent factors. Hence, I am unable to quote any specific numbers here.

Eventually, when we work together on a particular project, all the specific details will be shared with a Private Placement Memorandum before you make a decision on investing.

Our overall goal is to educate and improve real estate investment awareness among physicians.

Also, to provide physicians with a stable, yet lucrative syndication investment opportunities in a trusted and transparent environment, in an easy to understand simple verbiage, without any fine print business jargon that puts the sponsor at an unfair advantage.

Physician Entrepreneur Platform

Why Should Physician Entrepreneurs Invest with Us?
What Makes Us Different from Other Real Estate Syndication Deals?

As physician entrepreneurs, we invest in niche boutique commercial properties in a medium size segment that have a value add component.

What does that mean?

Gentrifying Location

We find properties in areas that are gentrifying. These are properties that are located in a desirable area, but have not reached their peak potential yet (up and coming neighborhoods) and properties that usually need renovation.

Panoramic Knowledge

We are doing this by having extensive knowledge about local factors such as employers, rents, crimes, neighborhood ambience, foot traffic, and comparable market.

Optimal Property Size

We look for commercial properties that are usually between $1 million and $8 million USD. There is less competition in this size segment, hence, you can buy them at a much better price.

Value Add Opportunities

We usually buy properties that need some work to reach their full income generating potential. They either need renovation or an addition of a few more rooms to the property, and etc.

Risk Mitigation

Value add properties are usually riskier investments (as they require construction teams to be involved for renovation) compared to stabilized (ready-to-rent) properties.

Investors' Returns

Due to the above-mentioned strategies, our properties are able to generate significantly more profits compared to a syndication that is buying stabilized properties.

How to Become a Physician Entrepreneur?
Investment Process

This is how we collaborate with physician entrepreneurs.

Once you decide to invest, you start exploring opportunities that align with your investment philosophy.

Contact us to learn about our on-going opportunities. We work with accredited investors.

According to the National Salary Database, most physicians qualify as accredited investors, please check here.

Do your due diligence by learning more about who we are and what we doTalk to us.

We brief you on our projects. We will provide you with details of a particular real estate opportunity.

We usually are working on one project at a time. We are acting either as a sponsor or a promoter for a sponsor.

Either way, we will hold video conferencing and phone calls with either us or the sponsor to go over the project details and answer all questions.

We offer a Private Placement Memorandum (PPM) to the prospective investors.

This is a legal document that goes over all the specifics of the project.

You should have your attorney review the PPM.

After you make a decision to invest, you transfer your funds to the syndication bank account under your personal name or via your LLC.

Typical minimum investments are $50,000 USD.

Monitor the project and track your earnings. We provide frequent scheduled project reports and updates.

This is a passive process, so it won’t take more than 30 minutes per quarter. You will be receiving scheduled earnings along with tax benefits (depreciation).

Develop a tax strategy. Talk to your CPA about setting up an effective tax strategy.

If you do not have a proper tax strategy, all this hard work and earnings cannot be realized.

Our Venture and Real Estate Syndication Projects

Previous Projects

Property: Upscale Boutique Bed & Breakfast Hotel

Estimated Stabilized Value: $3.9M

Strategy: BRRR (Value Add Opportunity)

Location: Plaza area, Kansas City, MO

Role: Investors

Property: Mixed Use Commercial Property

Estimated Stabilized Value: $4.5M

Strategy: BRRR (Value Add Opportunity)

Location: Gentrifying Location in Kansas City, MO

Role: Asset Manager & Investors

Property: Mobile Home Park (60 lots)

Estimated Stabilized Value: $2.5M

Strategy: Infill

Location: Nebraska

Role: Owner & Operator

Property: Mobile Home Park (70 lots)

Estimated Stabilized Value: $3M

Strategy: Optimizing Operations

Location: Missouri

Role: Investors

Property: Mobile Home Park (175 lots)

Estimated Stabilized Value: $6M

Strategy: Infill

Location: Nebraska

Role: Owner & Operator

Property: Multifamily Apartment Complex

Estimated Stabilized Value: $4.5M

Strategy: BRRR (Value Add Opportunity)

Location: High Growth Location in Kansas City, MO

Role: Sponsors & Investors

If Interested in Working with Us, Contact Us for More Information

Frequently Asked Questions (FAQs)

What every physician entrepreneur must know
  • I am a physician, and I went through a steep learning curve in real estate and finance.
  • Generally, physicians are very busy professionals. Thus, picking the right investment takes time and extensive due diligence.
  • Professional comradery and hard earned real estate knowledge automatically draws me towards medical community to share my knowledge, and create an opportunity for mutual growth.
  • Physicians hold high-paying jobs and are qualified accredited investors, which makes the investment somewhat non-sentimental, well-assessed, objective, and risk tolerable.
We primarily do Real Estate Syndications. Based on the size and requirements of a project, we could either be a passive investor, or a sponsor-operator.
It depends. The required minimum investment amount for a Real Estate Syndication project is between $10,000 and $50,000 USD.
Yes, in order to invest in our real estate investment projects, you must be a qualified accredited investor.

Stories of Our Physician Investors

Reviews from the physician entrepreneurs that invested with us

Dr. A.D., M.D.

Gastroenterologist in Overland Park, Kansas, USA
“Thank you for your collaboration on our syndication project and for being a reliable platform for real estate investment related resources.”

Dr. P.B., M.D.

General Surgeon in Topeka, Kansas, USA
“It was pleasant and refreshing working with you! I appreciate you working with my busy schedule.”

Dr. A.D., M.D.

Hospitalist in Colorado Springs, Colorado, USA
“You are a great boutique investment resource platform for physicians. Waiting for your next investment project!”

Must Read for Successful Physician Entrepreneurs!

• Here at PhysicianEstate, we welcome all physician entrepreneurs to learn about wealth generation, commercial real estate investments, medical malpractice, and asset protection strategies. We encourage all physicians to eventually become real estate physician investors. We know a great deal about Who – What – Why – How. We share free resources on how a physician entrepreneur can make his/her first real estate investment.

• As a physician entrepreneur, you must know ‘what is Real Estate Syndication’ and the players involved in it. The frequently asked question among physician entrepreneurs is: “Do I qualify with the accredited investor requirements?” If you are a physician entrepreneur and wondering if you are an accredited investor, let this blog post answer your question.

• It is not surprising how most physician entrepreneurs are interested in real estate investing for it entails earning passive income. Are you a physician entrepreneur with the same sentiment? As a team of physician entrepreneurs that understands the situation of fellow physicians, we encourage you to read about the basics of real estate investing.

• Most physician entrepreneurs consider Real Estate Syndication as an efficient investment vehicle to grow their hard earned wealth. If you are a physician entrepreneur that considers getting into syndication investments, this blog post will be helpful for you. Majority of physician entrepreneurs invest their time learning about financial literacy, so if you are a physician entrepreneur working towards attaining financial independence, you should too.

• Are you a physician entrepreneur planning to make your first real estate investment? If you are a physician entrepreneur looking for investment and finance-related resources, you have come to the right place. We strongly encourage all physician entrepreneurs to take advantage of our free resources.