CalculateRealEstateROI

Financing

Partnership Equity Structures

JV and partnership structures sharing equity, debt service, and returns across multiple investors.

Reviewed by Keiron Brown, Founder & Editor, CalculateRealEstateROI · Educational estimates only — not investment, financial, tax, or legal advice

Core concepts

GP/LP economics

GP operates, LP funds; preferred return + waterfall split above.

Documentation

Operating agreement spelling out capital calls, distributions, dispute resolution.

Examples

  • $500k deal: GP contributes $50k + sweat; LP contributes $450k; 7% pref, 70/30 split above.

Practical applications

  • Operators raising capital below syndication scale.
  • Strategic partnerships across complementary skills.

Common mistakes

  • Vague verbal partnerships.
  • Skipping operating agreement.