I just wanted to make sure you understood that this wouldn't work for a large percentage of existing projects.
One of the greatest problems we had with clients was having to deal with a lack of liquidity in structuring these groups. Members always found it difficult to own real estate when at some point, they needed their equity back out. In most cases this was done via a refinance with the members holding the asset as a non-taxable event.
The greatest benefit to this structure will be the ability to own real estate (something that many can't do today) with a small investment and not be tied into the group, this will be the strongest benefit here. I'm currently under the impression that IRS will not allow the depreciation on this structure which will be a negative.
What I most enjoy here is the international play.
How knowledgeable are you when it comes to the liquidity side of this new format? I've received PMs from folks noting this downside and why we may not be seeing a greater level of interest here, due to all the bad apples in the market. In all honesty I felt we would have broken 2 if not 5 at this point. It's looking like my 15M in shares will be hold down here.