Real Estate Syndication IRR + Equity Multiple 2027

Calculate syndication IRR + equity multiple 2027 — typical multifamily syndication targets 15-20% IRR, 1.8-2.2x equity multiple over 5-7 years.

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Syndication Structure

Sponsor (GP) finds deal, manages property. Limited partners (LPs) provide capital. Distribute cash flow + refinance proceeds. Sale = exit + equity multiple realized.

Preferred Return

LP gets preferred return first (typically 7-9%). Then sponsor catches up. Remainder split 70/30 or 80/20 LP/GP. Waterfall structures vary.

Typical Targets

Class B multifamily: 15-18% IRR, 1.8-2.0x EM, 5-7 yr hold. Value-add: 20-25% IRR, 2.0-2.5x EM. Risk + time-horizon-adjusted.

Risks

Sponsor execution risk (most important). Market timing. Refinance ability. Asset class cycle (multifamily vs office vs retail). DD critical.

Source: REISA syndication standards, biggerpockets.com syndication analysis. Last updated: May 2026.