THE LIMITS OF THE LIMITED PARTNERSHIP

Abstract

This spring (May, 1989) I was alarmed to read, in a trade publication for stock brokers, an article recommending real estate limited partnerships to brokers and their clients. The same week I had received a report on my own real estate partnership which contained the following statement, “Due to the operating deficits of… and the imminent foreclosure of the…, it is questionable as to whether the partnership will be able to fully realize all its invested capital.” Which means (translated into direct and grammatical English) you probably won't get back all of your money, much less the seven percent annualized tax‐sheltered return which had disappeared two years ago. Shortly thereafter the Wall Street Journal ran a story on the same topic under the headline, “Shearson seeks to Control Damage From Troubled Partnerships.” If it's not too late, I would like to educate you, faithful readers, and hopefully spare you one of my own follies.

Citation

Butterworth, V. (1990), "THE LIMITS OF THE LIMITED PARTNERSHIP", The Bottom Line, Vol. 3 No. 3, pp. 40-41. https://doi.org/10.1108/eb025247