Real Estate Limited Partnership - RELP

DEFINITION of 'Real Estate Limited Partnership - RELP'

A limited partnership entity organized to invest in real estate. A Real Estate Limited Partnership is typically organized with an experienced property manager or real estate development firm serving as the general partner. Outside investors are then sought to provide financing for the real estate project, in exchange for a share of ownership as limited partners.

BREAKING DOWN 'Real Estate Limited Partnership - RELP'

Limited partners are much like stockholders in a public company, in that they have only limited influence in the business operations of the limited partnership. However, limited partners also have limited liability. If the RELP faces losses, limited partners are only liable for the amount of their capital contributions.

RELATED TERMS
  1. Limited Partner

    A partner in a partnership whose liability is limited to the ...
  2. Limited Partnership - LP

    Two or more partners united to conduct a business jointly, and ...
  3. Partnership

    A business organization in which two or more individuals manage ...
  4. Publicly Traded Partnership - PTP

    A business organization owned by two or more co-owners, that ...
  5. General Partner

    Owners of a partnership who have unlimited liability. A general ...
  6. Subscription Agreement

    An application by an investor to join a limited partnership. ...
Related Articles
  1. Investing

    MLPs and Limited Partnerships: How They Differ

    Limited partnerships and master limited partnerships have one difference that makes all the difference.
  2. Markets

    What is a Partnership?

    A partnership is an organization where two or more owners operate a business.
  3. Personal Finance

    10 Habits Of Highly Effective Real Estate Investors

    The best real estate investors all share these traits and practices.
  4. Personal Finance

    Can Real Estate Stabilize Your Portfolio?

    History suggests that real estate can provide diversification and a hedge against inflation.
  5. ETFs & Mutual Funds

    Add Some Real Estate To Your Portfolio

    From REITs to owning your own home, find out how diversify your portfolio with real estate assets.
  6. Managing Wealth

    How To Invest In Private Equity Real Estate

    A brief introduction to private equity real estate, and what investors should know if they want to get started.
  7. Personal Finance

    How to Invest in Real Estate Without Buying Property

    Investing in real estate can require more capital than most investors have available, but there are options to invest in real estate for less.
  8. Personal Finance

    What's the Purpose of IRS Form 1065?

    Business partners need the information on this form to complete their own tax returns. Here are the details.
  9. Personal Finance

    Introduction To Investment Real Estate

    Real estate, like other investments, carries specific risks and rewards. Find out what investment real estate is and what it can do for you.
  10. Financial Advisor

    Why Real Estate is a Good Fit for Older Investors

    Real estate investing can be a good fit for older investors. Here are three reasons why.
RELATED FAQS
  1. How are the profits split between a general partner and a limited partner in a real ...

  2. What's the difference between limited liability partnership and general partnership?

    Learn the differences between general partnerships and limited liability partnerships; each type has unique traits, benefits ... Read Answer >>
  3. Which of the following statements regarding Real Estate Limited Partnerships (RELPs) ...

    The correct answer is a): Limited partnerships are formed to engage in a business venture for a predetermined period of time, ... Read Answer >>
  4. Why can real estate be a good addition to a traditional stock and bond portfolio?

    Discover why real estate can be a good addition to a traditional stock and bond portfolio. Real estate is affected by economic ... Read Answer >>
  5. What's the difference between general, limited and joined venture partnerships?

    Read about some of the important differences between general partnerships, limited partnerships and joint venture arrangements ... Read Answer >>
  6. What is the difference between a silent partner and a general partner?

    Understand the difference between a person designated as a silent partner and a general partner under the partnership business ... Read Answer >>
Hot Definitions
  1. Diversification

    A risk management technique that mixes a wide variety of investments within a portfolio. The rationale behind this technique ...
  2. European Union - EU

    A group of European countries that participates in the world economy as one economic unit and operates under one official ...
  3. Sell-Off

    The rapid selling of securities, such as stocks, bonds and commodities. The increase in supply leads to a decline in the ...
  4. Brazil, Russia, India And China - BRIC

    An acronym for the economies of Brazil, Russia, India and China combined. It has been speculated that by 2050 these four ...
  5. Brexit

    The Brexit, an abbreviation of "British exit" that mirrors the term Grexit, refers to the possibility of Britain's withdrawal ...
  6. Underweight

    1. A situation where a portfolio does not hold a sufficient amount of a particular security when compared to the security's ...
Trading Center