General partner
The active manager in a partnership or syndication. GPs make the decisions and carry personal liability. Usually earns a promote, an extra share of profits after investors get their preferred return.
Every term like this one lights up in the step you're on.
Free to set up. No credit card.Part 1 of 4
Why a seller cares
In a syndication the general partner runs the deal and carries the liability. If a syndicate is buying your building, the GP is the person across the table, and the money behind them is a group you will never meet.
Part 2 of 4
A simple example
An LLC managed by a general partner offers on your apartment building. The GP signs; twenty limited partners fund the down payment.
| Who | What they do in the purchase |
|---|---|
| The general partner | Negotiates, signs, manages |
| The limited partners | Fund it and stay silent |
| The lender | Underwrites the building and the GP's record |
The GP is the syndicate's face and its decision-maker. Their track record is what the deal's certainty rests on.
Part 3 of 4
What people get wrong
That an LLC buyer is a single person with money. Often it is one manager and a room of investors, and the closing waits on the raise.
Part 4 of 4 · where to read next
Where it appears in the sale
What a definition is, and what it isn't
Keighbor is a software company, not a law firm, brokerage, or tax adviser. This is general information, not legal, tax, financial, or real estate advice about your sale. Your situation may differ. Before acting on a contract, disclosure, title, tax, or pricing question, ask an appropriately licensed professional in your state.
Written and researched by Keighbor Research · drawn from the reference glossary · how we research and check what we publish
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