Why are so many sophisticated investors looking to the Secondary Market for LPs and REITs? The reasons are many and compelling:
Established Assets and Cash Flow: Most traded partnerships and REITs have completed the acquisition and development stage and own specific properties and assets. A review of the partnership’s or REITs financial report can demonstrate cash flow, occupancy levels and the distributions history of the investment.
Decreased Holding Periods: Many traded partnerships and REITs are already years old. The fact that these programs have already matured will reduce the holding periods when compared to investors who invested in the original offering. Investors seeking appreciation can focus on those partnerships & REITs that are near liquidation and are trading at discounts to the potential liquidation value.
Wide Variety of Partnerships & REITs Are Available: Buyers can scrutinize many different programs and buy only those that meet the needs of their portfolio. Investors can avoid or maximize exposure to a given industry, geographic location, management philosophy, etc. SEE DIRECTORY OF LIMITED PARTNERSHIPS AND NON LISTED REITS.
Discount to Asset Value: Partnerships and REITs can trade at deep discount to the initial cost or current appraisal of the assets held in these programs. Many of these programs have appraised values established by independent third parties.
Tax Advantages: While “tax shelters” have been eliminated by Congressional action, some existing LPs do offer investors gains and/or losses that can be used to offset passive income.
Pacific Partnership Group handles all aspects of the transaction to ensure a prompt transfer and disbursement of distributions and commissions. We take the worry out of the transfer so that you can focus on making the Secondary Market for LPs and REITs work for you.