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The partnership agreement calls for the distribution to be 7 5 % to Preferred Equity and 2 5 % to the Sponsor ( without any
The partnership agreement calls for the distribution to be to Preferred Equity and to the Sponsor without any preference until the preferred partner reaches a required return of and then the sponsor receives any remaining funds. Further assume the preferred equity partner made an initial investment of in year ; and received distributions of $ in year ; $ in year ; $ in year ; and $ in year when the property was sold. Assuming $ remains to be distributed, what are the expected annualized returns Ie IRRs to the preferred equity partner if an IRR lookback without preference of is in place? Group of answer choices
The partnership agreement calls for the distribution to be to Preferred Equity and to the Sponsor without any preference until the preferred partner reaches a required return of and then the sponsor receives any remaining funds. Further assume the preferred equity partner made an initial investment of in year ; and received distributions of $ in year ; $ in year ; $ in year ; and $ in year when the property was sold. Assuming $ remains to be distributed, what are the expected annualized returns Ie IRRs to the preferred equity partner if an IRR lookback without preference of is in place?
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