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Kenny Schumacher

Actively seeking passivity.

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Apartment 1

Sacramento, CA

Purchased at $2,630,000 with my investment being $50,000 (3.68% ownership)

Interesting stuff

This is my fourth real estate investment, however it is the first investment in which I both am investing in an apartment complex and am acting solely as an investor without any influence on operations.

This is an investment in a 12 unit, 3 story multifamily complex where the goal is to renovate the distressed property, increase rents, and exit in 18 months. This investment has an estimated IRR of 30%.

This team of 3 GPs has exited many multifamilies with IRRs ranging from 23% - 55%. The great thing about investing in others’ syndications is that I don’t need to spend time working with banks, while still gaining exposure to real estate. Granted, as this is a flip, it’s completely different from my overall strategy of cash flow when it comes to real estate.