Real estate private equity : structuring the U.S.-based opportunity fund

It has been estimated that over 150 real estate opportunity fund sponsors have emerged since the advent of the so called "Real Estate Opportunity Fund" industry. The industry, now more than 15 years old, has experienced significant growth since its inception. As the real estate private equity industry continues to mature and becomes more competitive, fund sponsors must ensure that they are best in class in all facets of their business, and the structuring of their investment vehicle is a perfect place to start. The purpose of this paper is to identify the most important fund level structuring issues facing real estate opportunity fund sponsors when raising a new fund. It begins by reviewing the history of the real estate private equity industry, specifically real estate opportunity funds. The study follows with a recounting of the industry's standard legal, financial, and tax structures for these funds. Finally, utilizing the results of a comprehensive industry survey and interview process, the paper gives an update of the current industry practices. After a thorough study, it is clear that a fund's structure will largely be determined by the investor makeup and the respective fund strategy.

Department dc:contributor.department

Massachusetts Institute of Technology. Dept. of Architecture.

Grantor dc:publisher

Massachusetts Institute of Technology

Year dc:date.issued

2006

Author dc:creator

• Haas, Ryan J. (Ryan Joseph)

Advisor dc:contributor.advisor

• Lynn Fisher and David Geltner.

• Architecture.

Statement dc:rights

• M.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission.

Licence dc:rights.uri

• http://dspace.mit.edu/handle/1721.1/37440
• http://dspace.mit.edu/handle/1721.1/7582

Language dc:language.iso

eng

Identifier URI

http://dspace.mit.edu/handle/1721.1/37440

OAI identifier oai:identifier

oai:dspace.mit.edu:1721.1/37440