A Master Limited Partnership (MLP) is an ownership vehicle commonly used for real estate or oil and gas ventures. It typically consolidates existing limited partnerships into a single, larger entity, offering more marketable ownership interests than individual limited partnerships.
Preclosing is a process conducted prior to the final closing of a real estate transaction whereby instruments are prepared and signed by some or all parties involved in the contract. This process is especially useful in complex transactions involving multiple parties or arrangements.
Private placement is an investment approach where a security is sold directly to a small group of private investors, generally under exemptions to registration provided by the Securities and Exchange Commission (SEC) and state securities laws.
Regulation D is a regulation of the Securities and Exchange Commission (SEC) that sets forth specific conditions under which a private offering is exempt from the registration requirements for a public offering.
In the context of real estate, a syndicate is a group of investors who pool their capital to invest in larger properties or projects than they could individually. Syndicates are typically organized by a syndicator who manages the investment on behalf of the group, aiming for shared profits.
Syndication is a method of selling property whereby a sponsor (or syndicator) sells interests to investors. This process can take various forms such as partnerships, limited partnerships, tenancies in common, corporations, LLCs, LLPs, or Subchapter S corporations.
