Real Estate Carve-Outs for Building Products Independent Sponsors
Independent sponsor counsel for building products, focused on Real Estate Carve-Outs and the deal mechanics that protect sponsor economics and LP alignment.
An independent sponsor closing building products transactions in the $10M to $150M EV range has a defined set of moves at the Real Estate Carve-Outs stage. Most of them are not in a generic M&A textbook.
The typical building products platform sits at $10M to $150M EV with EBITDA in the $2.5M to $25M range. The thesis runs on regional manufacturer or specialty distributor consolidation. Pricing power lives in dealer contracts, not in branding. Read the dealer agreements before the LOI.
How Real Estate Carve-Outs actually gets structured.
Separate operating real estate into a single-purpose entity pre-close.
Document an arm's-length lease with renewal options and assignment rights.
Address title, survey, and environmental on each parcel.
Coordinate the real estate close with the operating company close.
In building products, layer in raw-material pass-through clauses confirmed as part of the Real Estate Carve-Outs workstream.
Leaving the real estate inside the operating company. The buyer pays a higher multiple than the real estate deserves.
"Real estate trades at a different multiple than the business. Separate it, lease it, manage it."Jason Powell · Real Estate Carve-Outs
The deal is one thing. The capital that opens up after close is another.
After close, the call list for refinancing, recapitalization, and growth equity gets short and known. Jason carries that list.
Related deal pages.
Independent Sponsor Economics for Building Products
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Management Fee Structuring for Building Products
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Transaction Fee Structuring for Building Products
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Working Capital Adjustments for Building Products
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Real Estate Carve-Outs for Healthcare Services
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Real Estate Carve-Outs for Home Services
regional roll-ups of HVAC, plumbing, and electrical operators
Bring the building products deal. Get Real Estate Carve-Outs done right.
Direct counsel from a securities and M&A attorney with billions in structured transactions, the independent-sponsor-native playbook, and the capital markets network that opens up post-close.