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Variations In Structuring ‘‘Whole Fund’’ And ‘‘Deal By ...

Variations In Structuring WholeFund And deal By deal CarriedInterest Or Promote In Real EstateFunds And Joint VenturesNathaniel M. Marrs, Louis D. Hellebusch and Krishnakshi DasA number of Variations in distribution waterfall terms enable managers andinvestors to tailor the timing of distributions of pro ts to the particularcharacteristics of their fund or joint venture, including the fund s or joint venture sinvestment strategy and expected nancial performance. In this article, theauthors analyze these Variations and explore some of the considerationsunderpinning their pro t-sharing for managers of realestate funds and joint ventures,1called carried inter-est or promote, 2is typically thought of as calcu-lated on either a deal by deal or a whole fund basis.

Variations In Structuring ‘‘Whole Fund’’ And ‘‘Deal By Deal’’ Carried Interest Or Promote In Real Estate Funds And Joint Ventures

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