b'its own internal structure, which will likely be similar to the structure of your syndicate. The syndicate and private equity fund will form a joint venture, that owns the SPV. This model can be used to enhance the buying power of your syndicate or fund. The private equity fund or family office usually makes a capital contribution to the joint venture ofor more of the funds needed to acquire the property. Percentage interests in the joint venture are allocated according to the respective capital contributions of the joint venture members. You typically wont entertain this model until you are raising $4M or more from investors, as most asset managers can raise $1M-$2M on their own, but may strugglewhenitcomestoraisingmoreiftheyhaventcultivated relationships with a large enough investor database. In this scenario, the joint venture owns the property, and the joint venture members split profits at the property level.This method will not work until you have a demonstrated track record with similar investments as private equity funds will only invest if you have a sufficient, successful track record. The private equity funds will typically leave your asset management entity in control of the property, with the private equity fund manager as a silent partner. The joint venture agreement will include certain performance criteria and reporting requirements. If your assetmanagementteamfailstomeettheperformancecriteriaormake timely reports, the private equity fund will have the right to take over and acquire the property; sometimes for just what they are owedstripping you and your investors of their equity in the property.168'