Ryan Pineda’s taking a page outta Grant Cardone’s playbook with Pineda Capital. But what is it, exactly? And should you invest? Let’s talk about it. So if you wanted to put some money into Pineda Capital, you’d be a Limited Partner (LP). Which means everything’s passive for you. You don’t have to worry about finding and closing and managing deals. You’ll get real estate tax advantages. Depreciation being the big one. Then there’s networking and resources.
Unlike most funds where you invest money and hardly ever hear from anyone, Pineda Capital’s gonna be all about the community. It’ll be full of high level people you can connect with and maybe even partner with for business. Limited liability’s another benefit. Should something go wrong, you’re not on the hook for it. How ’bout the negatives? One, you have no decision-making power. Two, you obviously have to chop the profits with the GPs (aka Ryan and company) who’re doing all the work.
And sure, there’s a lot of potential upside for Pineda Capital, but Ryan’s really putting his reputation on the line here. “Because now I have a bunch of people investing with me and I gotta make sure I get ’em a return or else it’s gonna affect me in other areas of business and stuff,” he admits. “And I don’t want that. So we’re doing everything possible to make sure we’re getting into some really good deals, so we can get our investors a great return for those very reasons I just mentioned.”
Now. With some of the crowdsourcing alternatives, such as Fundrise, you can invest as little as five hundred bucks. With Pineda Capital, the minimum’s fifty thousand dollars. “And the reason is, we just don’t want a hundred plus investors in one deal, right?” Ryan says. “It’s just not really worth the paperwork at our level. So we’d rather just get bigger fish and people that we know are doing bigger things ’cause I want ’em to network together too. So that’s why our minimum investment is that way.”
What kind of assets will they be going after? Multifamily’s the main focus for now. They’ll explore commercial buildings in the future. How long will your money be tied up for if you invest? “We’re telling investors that this is a five to seven year fund,” Ryan says. “So if that’s something that you’re not able to withstand or you need that money? This fund’s probably not for you. Because once you put it in, it’s gotta stay in. Granted, if something happened and you needed it, we’d do our best to get your money out and maybe have someone buy you out.”
What about distributions? Pineda Capital gives their investors a six percent preferred return (meaning, you’ll be the first one getting paid) and then a fifty-fifty split above that. Where Ryan cleans up is if the property, let’s say, doubles in value in the next six years, and then they end up selling it. But overall, he believes it’s solid deal for you, especially since he’s an influencer who knows all kinds of movers and shakers in the real estate world. Pineda Capital can therefore cherry-pick the very best opportunities.
“So my network is very big when it comes to people sending me off-market deals, realtors wanting to do deals, agents, wholesalers, it’s just very big,” Ryan says. “And for years people have been bringing me these amazing deals, but I never did anything with ’em because I never had the fund in place. Now we can finally capitalize on it. Also, proven marketing strategies. Everything we’ve done flipping houses for the last seven years, we’re applying here. Lastly, we’ve got the acquisitions team in place.”