Assalamu Alaikum
I am looking for suitable investors to fund a property investment business in partnership with myself as property fund manager. The areas we are mainly interested in are ground rent reversions, residential and commercial property, property development (We will only invest in UK properties)
This is how it works:
Investor funds an amount (min £50,000 - no maximum) and specifies if they are in for long term (from 4 years up) or short term (up to 4 years). This will determine the type of investment choices made by the Manager.
Manager will spend the money and buy property investments.
The Manager and Investor will both own the investment 50%-50% and a company or partnership (and bank account) will be set up for this purpose.
Costs will be taken from the purchase funds. All profits (and losses) are divided 50%-50% on the invested fund.
The Manager can only start drawing 50% of the profits after the Investor has been returned 100% of his/her initial investment from the profit, so the Investor gets their money back and retains the property investment. Some investments will be sold to realise the profit and so the property investment is not retained.
Investors will be silent investors (Manager has full discretion) but will be required to be joint signatories on bank accounts and ownership title deeds.
The Manager will retain any administration fees they may earn from the investment, but any other income is split 50%-50%. As a guide, the admin fees are on average 2% of the total income but can vary.
Please note that Ground rent investments, lease extensions, freehold sales can and do generate profits in excess of 100% but there is always a risk in investment.
The Manager's 50% ownership ensures they share in the risk and that they will act in the best interests of the investment. Since the Manager cannot extract any profits until 100% of the initial investment is paid back to the Investor, the Manager must work to ensure a greater profit is attained.
If you are interested please message me and we can discuss it further.
Jazakallah Khair
Asif Hameed
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Visitor (not verified)
Property Investment Opportunity - 50% ownership
Thu, 2007/08/02 - 19:41I would seriously like to look at your proposals provided:
1. You are preoared to invest say 10% to 20% of your own hard-cash equity (and NOT just sweat equity) funds into the project; AND
2. The investor and yourself gets 12% per annum compounded return of the "preferred profit" on their invested equity prior to distrubuting the profit 50-50.
If the above is acceptable, please send me the detailed information package. Thank you.