Episode Overview

In this episode, Jason and Frank break down exactly how syndicators in commercial real estate make money, and why it's not only fair, but necessary for investors to want their GP teams to get paid. They discuss common fee structures, risk exposure, and the alignment of interests between general partners (GPs) and limited partners (LPs). If you're investing passively or considering syndicating a deal yourself, this is a must-listen.

📌 Topics Covered

✅The role of syndicators in a real estate deal

✅The importance of transparency around fee structures

✅Breakdown of common fees:

✅Waterfall structures and promote splits (e.g., 70/30, 80/20)

✅The risk syndicators take before a deal closes (earnest money, legal fees, due diligence)

✅Why GPs investing their own capital is a good sign

✅Red flags like high fees from inexperienced operators

✅The role of coaching programs in promoting fee structures

✅Why aligned incentives between GPs and LPs drive deal success

💬 Key Quotes

✅“Fun fact: I am in business to make money. 100% selfish in that regard.” – Frank

✅“The goal is for our limited partners to make money—and there's a goal for the general partners to make money as well.” – Jason

✅“The acquisition fee is not just gravy or pure profit... The GP team is taking on risk and fronting capital before a deal even closes.” – Frank

✅“If it’s in the PPM, even if it says I’m going to take your $100K and go to Vegas; and you signed it? That’s legal.” – Jason

🎧 Connect with Jason:

✅ LinkedIn

✅ https://IroncladUnderwriting.com

✅Linktree

🎧 Connect with Frank:

✅LinkedIn