As I review the myriad of funds, there are few I like but none are perfect.
Has anyone heard of or explored something like a hybrid option?
I have two ideas in mind but not sure if they would qualify or if anyone would sponsor such.
This is something like a fund that builds one or two buildings in locations with the intent to sell them as apartments. The GV investor would get an option to purchase one of the units on completion for a specific price and would own the underlying interest in the real estate. Upon completion of the project, if the investor buys the apartment his capital would be applied to the purchase. Otherwise, the apartment would sell on the open market.
Idea two is a real estate trust that would invest directly in something like undeveloped land or agricultural land or possibly even an improved lot . The investor might be pooled with a few other investors. So its not really private equity, more a direct ownership of a fractional share of real estate. GV investor gets something like a % of income from the RE and at the end of the 6 years, sell back to the owner at more or less the purchase price adjusted based on appraised value. This is similar to the Mercan Group projects but there I am not sure there is any ownership there by GV investors and those projects don’t totally appeal to me being American branded hotels in a historic city center. I might look at those a little further though.
Is anything like this even feasible?