“Our breadth of experience enabled our clients to bring their fund to the market and raise the needed capital quickly and efficiently. As a result, they were well positioned to take advantage of the investment opportunities presented by the down market.” – Stephen F. Melore, Partner
In the New York tristate area’s declining housing market, a group of seasoned mortgage and real estate professionals saw a significant investment opportunity – and they turned to Farrell Fritz to help them make the most of it.
“These clients approached us several years ago, when the market was clearly at a very low point,” explained Stephen F. Melore, a partner in the firm’s Distressed Assets Group. “They were looking to form a small hedge fund to raise capital for the purpose of investing in distressed real estate loans and residential properties.”
Members of the Corporate & Finance and Real Estate groups assisted the clients in all aspects of their fund, from setting up the limited liability company for the investment partners, to creating the fund and ensuring its capital raising complied with all federal and state securities laws, to negotiating a servicing agreement for the rehabilitation and sale of the properties with a third-party provider.
“Our clients were successful,” Steve concluded. “We helped them initiate the fund, achieve their investment objectives and generate significant returns.”