Limited Partnership Fund - Danforth Asset Management

Danforth Real Estate Fund I LP

Danforth Real Estate Fund I LP opens the door for accredited investors to participate in a unique limited partnership fund opportunity. Our focus is on high-quality, well-leased multi-family residential real estate within major urban markets across North America. Our carefully curated portfolio offers ongoing stability, predictable cash flows, and is entirely free from development-related risks.

Investment Criteria:

5-9% cap rate at the time of purchase
16 or more apartment units per transaction
$5-20 million target price range
Mid to large market locations in North America
Well-leased, core quality, with no development risk

Multi-Family Residential Excellence

Our investment mandate is centered around securing assets with slightly higher cap rates than the market average, indicating potential underperformance. We reposition such properties, leveraging a substantial upside in rental prices and implementing strategic initiatives to maximize returns for our investors.

Quick Overview

$25,000

Minimum Investment

15-30%

Target IRR

3 years

Investment Horizon

1-2x

Target Equity Multiplier

Diversified Portfolio: A Strategic Blend of Assets

We aim to maintain a well-balanced mix of asset types, encompassing downtown and strategically positioned multifamily buildings.

Mitigating Risk: Secure Investments in Established Properties

Our fund minimizes risk by exclusively investing in properties at substantial completion and lease-up stages. We prioritize properties with a minimum operating history of one-to-three years, ensuring a robust and established foundation for our investments.

Optimizing Returns: Leveraging Non-Recourse Mortgages

To maximize scale and optimize returns, we utilize non-recourse mortgages (with recourse limited to the property itself) to finance our portfolio. We target an overall leverage of 50% - 85% loan-to-value (LTV). Our investors receive quarterly distributions, and we establish a cash reserve and/or credit facility to support necessary leasehold investments and capital projects.

Danforth

Real Estate Fund I LP