Investing in US property

[MAS]

Considering the turmoil in USA residential/commercial property are there any funds that exist so that an oppertunistic hands off investment could be made?

 

[Dogsbody]

CMC in Clonakilty have recently launched a syndicate targeting the US and UK commercial property markets.Min. investment circe 100k.

 

[Phillip O Ne]

Hi Mas, i know of one group setting up a fund for the US. They are called the ACAP Group. The are based un Molesworth street , Dublin 2. They have some good deals. I am looking myself, i think there are some great deals in the US now

 

[Askar]

CMC in Clonakilty have recently launched a syndicate targeting the US and UK commercial property markets.Min. investment circe 100k.

I see there is a 3% up front fee and 4% thereafter (ie 1% of Gross Asset Value with 75% debt financing). After 7.5 years, circa 35% of your investment will have gone towards fees.

 

[Lollix]

Good value in US, esp in repossesed stuff which can be bought at knockdown prices. Go it alone though, spend a couple of weeks in your target location and sniff out the best deals. Don't give some middleman (often with no real experience) the margin on your investment.

 

[Dogsbody]

I see there is a 3% up front fee and 4% thereafter (ie 1% of Gross Asset Value with 75% debt financing). After 7.5 years, circa 35% of your investment will have gone towards fees.

Par for the course if you want a hands off property investment.

 

[ringledman]

Par for the course if you want a hands off property investment.

3% upfront and 4% per annum thereafter is a terrible amount of management charges. Thats 4% of the value of your entire fund shaved off every year.

You need to be getting a serious increase in capital valuations per annum to justify these sort of charges. The US market is not going to boom for at least 7 years making this investment a poor one.

Management charges are everything when it comes to making a return on a pooled fund.

 

[Dogsbody]

I couldnt agree more.