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by swidi 1299 days ago
Hell no. I can smell the scam from here.
1 comments

How so?
Classic scam: real-estate project with large capital outlay. Results to be seen far in future. In truth, guys running it just run away with the money.
What do you mean by "Results to be seen far in future."?
Hello, would you like to invest in fractional ownership of solar. When we build it after we get capital, you will get x% of the money.

This is how the scam is usually run. And it is run so often that people find immediate other obfuscations: "Unlike the other guys, we've already got the farm built. We're just selling a stake in it so that we can set up a new one.". You buy it, the damn thing turns out to be on its last legs and dies. Or some such thing.

Information asymmetry is what is being exploited here.

Those conflicts may exist and be mitigated through a variety of means with good structures and good actors, especially in the US. You are correct that information Asymmetry of sellers exists, as it most often does, especially in markets less liquid and reported on as public equities. However, most of what you are saying exists in every real estate and especially real estate development transaction.