numbers

[Bill Schultz]

Very very preliminary. Multi-use commercial space. Purchase price, $600,000. Long term tenants. Net operating income of $150,000 a year. Expenses of $56,000 a year. Cash flow after mortgage, $5,500 a month. No exprerience in commercial but $5,500 a month was hard to look past.

[Rob Gillespie]

I am sure the seller is up front, but insist on tax returns. Also look at lease agreements. Keep in mind that a bank will look at a building a certain way. If the seller is currently managing it himself, and not taking pay, it will juice the NOI, but a bank will take it back out.
A great rule of thumb is take the gross income, and cut it in half, and take debt service out of the half you have left. That is pretty close to your real cash flow.