How do I find equity partners willing to invest in Japan?

General Real Estate Investing
1

Hello,

Question for the pro’s please. I have been in the “resi” side of real estate for the last 9 years here in the San Francisco Bay Area but worked in Tokyo, Japan for the last half year. During that time, I established relationships with many realtors, lenders, banks, etc and am confident I can find good deals out there in the Land of the Rising Sun. Japan’s economy has been in a deflationary environment ever since their crash in the late 80’s/early 90’s but has picked in recent years. There are some properties (I’ve been told) where the land itself is selling for less than the purchase price.

Can any pro’s recommend how I can find people who would be specifically interested in that market? And what type of returns would make sense for them? I’m a newbie when it comes to being an investor so I would appreciate any feedback/advice.

I can tell you that there was a lot of interest from buyers from the U.K., Australia, Hong Kong and Germany.

Thanks!
Cyrus

2

We do seminars to attract investors, but because you are offering a security you cannot do a general solicitation. For example, you can have a seminar on the pros of investing in Japanese real estate, but during the seminar you cannot offer your particular investment.
Once the seminar is done you can say something like "From time to time, we come aross investments in Japan, if you may be interested in something like this we will be in the back of the room and will be glad to answer your questions. Only then can you pitch your investment, after you have a relationship with them.
Also you will need to follow SEC exemptions. Talk to a securities attorney on that part. Not a big deal, but you need to cover your assets.
Most serious investors will want a monthly return of 8-9% plus part of the backend. An annualized return of about 20%.