Deal analysis request: Commercial loan, 4-unit rehab

[Nathan Hall]

I'm contracted on the following property and looking for people's thoughts:

-4-unit residential with a four car garage and two car workshop/bay.

- one unit is fully rehabbed and rented for $750 a month.

- one unit is rehabbed but needs bathroom, kitchen, floors, appliances, doors, trim, and paint done. Electrical, plumbing, and mechanicals are all brand new. Maybe a month to get rent ready.

- two units are down to the studs, junction boxes and some wiring/outlets done (owner is a licensed electrician), need a couple of walls removed, nothing blatantly tricky going on. Just needs the right skilled trades to come in and do their things. Inspections performed on everything. Already metered separately (we won't pay any utilities except for common areas/garages).

- roof is brand new.

- 3 units are 1 bd/1 ba, 1 unit is 2/1.

- rents will be 800, 800, 900 for remaining units.

- garages are in good shape and will rent for $100 a month each for self storage.

-estimating the two bay as a $300 a month workshop, until we turn it into an efficiency for $500-600 a month (it's studded out already with plenty of space).

-there is a separate brick facility on the premises currently used for storage, considering making that a coin-op laundry at some point.

-common area of building needs rehab also but is budgeted for below.

Purchase price is $110,000. Rehab was estimated cost multiple methods and we were comfortable at $90,000. Bank agreed, offered us 15% down ($30,000), 5.25% loan APR, amatorized over 20 years, adjustable after 5.

First commercial loan for us but seems like a winner to me. Hoping those with more experience with this field can steer me straight if I missed something. Thank you for reading!