While returns vary, we see on average cash returns in the 8-10% ballpark and an internal rate of return (IRR) of 16-20%. The IRR is the return of a property at sale. Let’s take an example of the cash returns on what’s called a “2x multiple.” In this scenario, if you invest $50K (which is the most common minimum cash investment in a syndication) at a 2x multiple, you will double your money in 5 years. An average rate of return is also nothing to sneeze at, with the total return over five years divided by five. However, it’s best to measure cash flows by the IRR as the bulk of an investors returns arise during the year of sale. For example, a “value add” syndication in which the sale of the property in year five may yield greater cash flow than the average annual return year over year.