Investor FAQ

Questions, answered

General answers for prospective investors. For opportunity-specific terms, the official offering documents govern.

How does investing with LFO Capital work?
Our process is direct and relationship-led — there is no online portal or login. You connect with our team, we confirm mutual fit and investor eligibility, you review materials and diligence on a specific opportunity, and, if it is a fit, you complete subscription documents to join the partnership. See How to Invest for the full walkthrough.
Who can invest in private real estate offerings?
Private offerings are generally limited to qualified investors — often accredited investors — and only where permitted. Eligibility criteria are set by securities regulators and can change. Read our plain-English guide to what an accredited investor is, and confirm the current SEC definition and your own situation with your advisers.
What am I actually buying as a limited partner (LP)?
As an LP, you typically own a share of the equity in a property or portfolio. That can entitle you to a portion of the cash flow the asset generates and a share of any appreciation realized at sale. Our guide on how passive CRE investing works explains the LP model in detail.
What is the difference between industrial and multifamily?
They have different tenants, lease structures, demand drivers, and operating profiles. LFO Capital invests in both. See Industrial vs. Multifamily for a side-by-side explanation.
What is the difference between a real estate fund and a single-asset syndication?
In a single-asset syndication, investors pool capital to acquire one specific property, which they can evaluate directly. In a fund, capital is committed to a strategy and the sponsor acquires multiple assets over time, offering diversification but less visibility into each individual purchase. Both are common ways to invest passively in private real estate; the structure of any given offering is described in its official documents.
What does a sponsor or general partner (GP) do?
The sponsor — also called the general partner — sources and underwrites opportunities, arranges financing, executes the business plan, manages the asset day to day, and reports to investors. Limited partners participate passively in the equity. Sponsor quality and alignment matter a great deal; our guide on underwriting and due diligence explains how disciplined sponsors approach a deal.
Why is private real estate considered illiquid?
Unlike publicly traded securities, private real estate interests cannot generally be sold on demand. Capital is typically committed for the multi-year life of the business plan, and there is usually no public market to exit early. That illiquidity is a core feature of the asset class — it is part of why it can behave differently from public markets, and part of why it suits patient capital. See understanding risk in commercial real estate.
How is income from private real estate typically taxed?
Private real estate is commonly held through pass-through entities, so investors usually receive a Schedule K-1 reporting their share of income, deductions, and credits, and items such as depreciation can affect taxable income. Tax treatment depends on the specific structure and on your individual situation, and tax rules change. This is general information, not tax advice — please consult your own tax adviser. How passive CRE investing works covers the LP model more broadly.
What documents will I receive for an offering?
Specific opportunities are offered through official documents — which commonly include a private placement memorandum (or equivalent disclosure), an operating or partnership agreement, and subscription documents. Those documents govern the terms, risks, and rights of the investment. Always review them carefully, ideally with your own advisers, before committing.
Can I invest through an entity or a retirement account?
Many private real estate offerings can accommodate investments made through entities (such as an LLC or trust) or certain self-directed retirement accounts, subject to eligibility and the terms of the specific offering. Whether a particular structure works for you depends on your circumstances and the offering documents — and on guidance from your own legal and tax advisers. We are happy to discuss the options with qualified investors; please reach out.
How long is a typical hold period?
Private commercial real estate is illiquid and generally held for multiple years while the business plan plays out. Specific hold periods and liquidity terms vary by offering and are described in that offering’s official documents.
What are the risks?
Investing involves risk, including the possible loss of principal. CRE carries market, leverage, vacancy, execution, and liquidity risks, among others. Our guide on understanding risk in commercial real estate covers these, and you should review our disclosures.
What are the minimum investment, fees, and terms?
These vary by offering and are set out in each offering’s official documents. We are happy to discuss current opportunities with qualified investors — please reach out.
Is there an investor portal or login?
No. LFO Capital keeps the process relationship-led and direct. To get started or ask a question, simply contact our team.
How do I get started?
Introduce yourself through our contact form or review How to Invest. Starting a conversation is not an offer to sell or a solicitation to buy any security.

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