LP Equity started out the first quarter of 2021 by surpassing multiple milestones including the most closings in any three-month period in company history. In the first quarter, LP Equity acquired limited partnership positions in 25 different partnerships with a combined asset value exceeding $105 Million dollars. Our team successfully executed 79 all cash closings that created an accelerated capital event for exiting limited partners who wanted to realize the value of their long-term investments immediately.
LP Equity’s new acquisitions were in 17 different states. These new limited partnership positions account for over 2,800 units of housing and 120,000 in commercial square footage, bringing our total portfolio to over 17,600 units of housing and 1,384,000 in commercial square footage. These investments are diversified across several real estate sectors including high-quality affordable housing communities, market rate housing communities, medical office space, industrial space, and several retail locations. Notably, LP Equity’s team successfully structured a limited partner investment position in a 90,000 square foot commercial retail development in Hackensack, NJ.
The increase in volume through this quarter has been a result of a number of different factors. The changing environment for taxes, governmental policy and favorable real estate atmosphere are some of the contributing factors. Principal Jay Landen said, “Limited Partners in these older partnerships, and their advisors, realize that the current tax rates associated with selling these interests are favorable but are likely to increase in the future. They are taking advantage via our acquisition platform to control how and when they exit these illiquid investments”.
With over 15 years of experience in syndicated partnership industry and an expanding portfolio of investments which combined asset value now exceeds $1.2 Billion, LP Equity’s platform continues to be a resource for limited partners who are interested in selling their interest in these non-traditional investment vehicles. To get the process started, reach out to one of our team members to discuss how LP Equity could be a resource to help you or your clients create value and regain control of their limited partner investment.