Private Placement Memorandum (PPM)

In commercial multifamily real estate, there’s a language that is spoken when you are connecting with brokers, property managers and other investors in the profession. To avoid sounding like a novice, an investor must be fluent with the real estate terminology to be taken seriously. Let’s take a minute to breakdown one of those terms.

Document that outlines the terms of the investment and the primary risk factors involved with making the investment.

  • Four main sections:
    • Brief summary of the offering
    • Basic disclosures, which includes general partner information, asset description and risk factors.
    • Legal agreement
    • Subscription agreement

By learning these concepts and terms, you’re separating yourself from the novice investor looking to be more active than passive. Here’s where you can learn more multifamily investing terms.

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