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Investor Communications: What To Expect?


Every general partnership team communicates with its investors in a slightly different manner. While there is no specific right way to approach investor communications, there are certainly some wrong ones. Today, we will review some of our thoughts on investors communications at Apogee Capital.


What should be included in communications

There are many things that can be included in an investor update. While this list is not exhaustive it includes the items that we at Apogee cover along with others we have seen.

  • Monthly Financials: typically high level income and expenses with more available upon request

  • Key Announcements: Including distributions, sell, refinance and other partnership level information

  • Property Updates: General updates about the physical property

  • Capex: Updates on capex projects associated with the business plan

  • Market Update: Information about the market where the property is located


Frequency of communications

Most deal sponsors will send out their investor updates at either monthly or quarterly intervals. At Apogee, we choose to do monthly updates as we feel that quarterly isn't often enough particularly when a project is in a value add phase. While monthly updates to investors might be somewhat redundant for a stabilized deal, we've found that simply seeing the monthly financials and a general message of all is well can go a long way in investors having peace of mind about the deal in which they are invested.


What are signs that my deal isn't doing well

The first and obvious answer is radio silence. Deal sponsors who quit communicating with their investors will always raise suspicions. While updates might fluctuate as to when they are released (normally sent on the 25th but instead of the 28th), they should not be excessively late or skipped. Other warning signs could include information that is incomplete or inconsistent, information that sounds alarming or declining financial performance of the property. Remember that as a limited partner on a deal, you are a partner and have the right to ask questions about your deal. Don't hesitate to reach out to the sponsors on a deal if you are concerned. Reasonable questions should be responded too in a timely manner with the option to follow up if they are not sufficient.



There are many important considerations when evaluating a multifamily deal and we make it our mission to careful vet each of these items. If you would like to learn more about passively investing in multifamily, please check out our free ebook "Achieving Financial Freedom Through Multifamily Investing."



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