Multi-family in Detroit

[Alexander Mair]

I've been looking into c class Detroit real estate for a while now (yes I know) and am amazed by the cap rates on multi family units. 17 doors at a 10 cap, 11 doors at a 13. Admirably they aren't in the best of areas, but It almost seems too good to be true. Most of the properties cash flow all the way down to ~35% occupancy inclusive of worst case lending terms, cap ex, etc... Detroit folks, what am I missing here? Do you have any success or horror stories that might shed some light on the matter? Thanks, Alex