A limited partnership is permitted to broker real estate because it can be structured to have a general partner who takes on the active role in managing the business, which includes brokerage activities, while limited partners can provide capital without participating in day-to-day operations. In the context of real estate, having a business structure that allows for both management and limited liability for investors is beneficial and aligns with the operational requirements of a brokerage.
Cooperative associations typically focus on the management of housing cooperatives rather than brokerage services, while business trusts are often used for specific investment opportunities and do not inherently operate as real estate brokers. Syndicates, on the other hand, are usually informal arrangements for pooling resources with the aim of investing in real estate or other ventures but may not serve as recognized business entities for the purpose of conducting brokerage activities. Thus, a limited partnership fits the criteria outlined for a business entity able to broker real estate efficiently.