Limited Partner Interests

 

 

Investments

Overview

SP Investment Fund LLC and its affiliates (SP) invest in limited partner rights in limited partnerships which own affordable housing. Many of these partnerships were formerly tax shelters that were intended to generate phantom taxable losses, but now instead generate substantial “phantom income” (i.e. taxable income in excess of any cash distributions).

There are a number of potential reasons why limited partners might want to consider selling rights with respect to their interest and different reasons that SP may be interested in buying those rights at a price which is attractive to the current limited partner. SP’s circumstances may be substantially different from those of many limited partners in a number of important ways.

Limited partners might find it advantageous to sell their rights with respect to their partnership interest for many reasons, which may, depending on their particular partnership and personal circumstances, include the following:

  • Tax Reasons
  • Estate Planning, Administration and Succession Costs and Concerns
  • Alternative Investments
  • Simplification
  • Liquidity

SP is interested in buying rights with respect to these types of interests for a variety of reasons, including that it has a number of advantages that a typical limited partnership investor may not have, such as:

  • Tax Circumstances
  • No Estate Planning Issues
  • Economies of Scale
  • No Current Yield Requirements
  • Long Investment Horizon

For a detailed discussion of the above factors, see Factors Limited Partners May Want To Consider, and Reasons SP Buys. If you are interested in obtaining a price quote for your limited partner interest, see Price Quotes.