Texas Securities Law Attorney
Offering Simple Solutions for Complex Legal Concerns 888.252.8277
Real Estate Funds Contact Our Firm Today


Trusted Houston Securities Lawyer

A real estate fund is a collective investment vehicle that allows investors to pool their money together to purchase one or more properties. Real estate funds can also be used to acquire or finance real estate-related assets (such as pools of mortgages). These properties are then often managed by the fund manager or an affiliate.

The interests that investors can purchase can be either equity or debt. In equity offerings, the investors participate in gains on the property held by the fund when it is sold or refinanced as well as the income generated by the property. Equity offerings of real estate funds are usually accomplished via the sale of limited partnership interests or limited liability company (LLC) interests. When offered to investors, these interests are securities and are therefore subject to securities laws, including the Securities Act of 1933.

In debt offerings, the fund issues promissory notes to investors paying a certain rate of interest. The notes can also have scheduled principal payments, but more commonly, they are short to medium-term interest-only notes that the fund retires once it has sold or refinanced a property. The notes are usually collateralized by one or more properties held by the fund. These notes also are securities subject to the securities laws when they are offered to investors.

One type of real estate fund is the real estate investment trust (“REIT”). REITs allow passive investors to pool their monies to purchase properties and obtain professional management, much like a mutual fund. One major advantage of a REIT over a private real estate fund is liquidity; some (but not all) REITs are publicly traded, making them a form of public equity. REITs are not subject to corporate taxation, but they do have their own complex tax rules.

For more than 15 years, the Houston securities attorney at Whitley LLP Attorneys at Law has been providing clients with the legal insight they need to make sure the creation of any capital is in compliance with the SEC and Texas regulations. You can trust we can offer you the benefit of our robust experience when you decide to create or invest in any type of fund.

If you are interested in forming a real estate fund, contact Whitley LLP Attorneys at Law today. We will help you determine the best option for you.

Providing Superior Representation

  • One Of The Very Best Attorneys I Know

    “Sam is one of the very best attorneys I know. Why? He is knowledgeable, reliable, dependable, and a pleasure to work with. He really takes care of his clients and works extremely hard at doing the best job he can for his clients. Please consider him if your looking for an attorney who not only can deliver results but who will be with you every step of the way. I am very confident in this recommendation as I have come to know Sam over several years and would recommend him to my family and business associates without any hesitation.”


  • I really appreciate what this company does.

    “I really appreciate the legal services Mr Whitley rendered for my company Divergent Capital Partners LLC to buy and hold commercial real estate. The Whitley law firm has giving me advice on how to raise Capital for my company. I always get a quick response regarding my questions and legal concerns. I've been a client with the Whitley law firm for almost two years and my expectations are always full filled and exceeded. I highly recommend the Whitley law firm for business needs.”

    David Lewis

  • Accessible & Accommodating

    “R.Sam is very knowledgeable in Securities Law. Reliable adviser in deal structuring. Accessible and accommodating to clients.”


  • A Man of High Integrity & Character

    “Sam is a well educated attorney that specializes in corporate law, merger/acquisitions and SEC compliance. I have worked under his legal supervision since 2007 and continue to do so today. Sam is not only a fine attorney but considered by many, as a man of high integrity and character. I strongly recommend Sam Whitley if you are looking for legal counsel.”


  • Extremely Knowledgeable and Competent

    “Samuel Whitley was extremely knowledgeable and competent about securities law and business in general. In preparing the fund documents, Sam offered helpful perspective and recommendations on related details based on his previous experience. Also, he was quite timely and responsive in his work, answering questions typically within a day or a few days of being asked. In addition, I had some unique circumstances to address and I found Sam to be creative in helping solve problems and in creating solutions. I had originally decided to work with him due to his experience in securities law. After working with him, I saw the direct benefit his experience provided for the work he accomplished for me. I'm glad I decided to work with Sam for these activities, and given another opportunity I would definitely choose again to work with Mr. Whitley.”