Real Estate Syndication Structure Agreement
Real Estate Syndication Structure Agreement
This Real Estate Syndication Structure Agreement (Hereinafter, "Agreement") is entered into this [Month, Day, Year] (hereinafter “Effective Date”) by and between [Your Company Name] (hereinafter "Sponsor"), a [State of Incorporation] corporation with its principal place of business at [Sponsor Address], and [Investor Name] (hereinafter "Investor"), an individual residing at [Investor Address]. Sponsor and Investor may be referred to individually as a "Party" and collectively as the "Parties."
A. BACKGROUND
The Sponsor intends to acquire, operate, potentially sell, or refinance a certain real property known as [Property Name] located at [123 Property Address]. The Investor agrees to invest in the acquisition and operation of the property according to the terms, conditions, and provisions of this Agreement.
B. AGREEMENT
1. INVESTMENT AMOUNT
The Investor agrees to invest a total sum of $[0] in the acquisition and operation of the Property. This Investment Amount shall be payable in [0] installments.
2. OWNERSHIP INTEREST
In consideration of the Investment Amount, the Investor will receive a [0%] ownership interest in the Property.
3. MANAGEMENT AND CONTROL
The Sponsor shall retain full control over the operation and management of the Property, including but not limited to leasing, maintenance, and disposition decisions. The Investor acknowledges and accepts this provision.
4. DISTRIBUTIONS
The Sponsor agrees to distribute to the Investor an agreed-upon share of cash flow derived from the operation of the Property. The Investor's percentage share of cash flow distributions is to be determined by the percentage of the Investor's ownership interest in the Property.
5. TAX TREATMENT
Each party acknowledges and agrees that their respective tax liabilities arising out of this investment shall be the sole responsibility of that party. Each party shall hold the other harmless from any tax liabilities incurred as a result of this Agreement.
6. TERM AND TERMINATION
This Agreement shall commence on the Effective Date and shall continue until the Property is sold or otherwise disposed of, unless terminated earlier by either party in accordance with the termination provisions specified in this Agreement.
7. GOVERNING LAW
This Agreement shall be governed and construed in accordance with the laws of the state of [State].
C. EXECUTION
In witness whereof, the parties have executed this Agreement.
[Your Name]
[Real Estate Agent]
[Your Company Name]
[Month, Day, Year]
[Investor Name]
[Month, Day, Year]