‘Limited Partnerships’

The “Small Investor” column headlined “Control Missing in Limited Partnerships” (Dec. 29) fails to provide the reader with an accurate understanding of the advantages and disadvantages of investing in real estate limited partnerships.

Under the right circumstances, a limited partnership can be an excellent vehicle for a small investor to enjoy the increased returns offered by a real estate investment. As in any business venture, the key factor is to know who will be handling your investment; know the general partner.

Satisfy yourself that the general partner can be trusted to place your investment needs first. Make sure the general partner is a professional in the real estate field, has a proven track record, and his investment strategy matches your investment goals.

The best investment is where the general partner shows you the property intended to be purchased, such as a particular apartment or office building, and not a “blind pool investment” where the individual investor has no say as to what properties are bought.

In recent years, many limited partnerships have provided investors with substantial returns on their investments.

A general partner who is a professional in the field affords you the advantage of having a real estate expert making competent and informed decisions on your behalf.

STUART BROWNSTEIN, Pacific Palisades