Underwriting OpEx and Rehab Costs in St Louis

[Owen C Davis]

I am looking to purchase an 8-unit property in the Skinker/DeBaliviere neighborhood of St Louis. I have identified several properties that fit my buying criteria, but I am having a hard time underwriting OpEx for the market. I have not been able to find much information online so I reached out to six property managers thinking they could provide me with more specific operating costs. All six conversations fell short of my expectation however as they all responded unwilling to share numbers or as if I was asking an impossible question. I work for a developer based in St Louis and we get opex estimates from our property managers all of the time so I just assumed that was common practice, but maybe I am wrong? I currently carry a 35% opex ratio in my model, which I feel is mildly conservative, but would prefer to have something founded in real data if possible before I get too far down the road with seller negotiations.  Additionally, my deal contains a significant rehab/renovation component of around $15,000/unit, but like my opex situation, I do not currently have a way to validate that number against the scope of work I have outlined. 

My questions for the BP community are listed below:

1) Am I wrong to assume that property managers should be able to provide ballpark opex numbers for me during the acquisitions process? 

2) Is there a method that other people have had success with when estimating rehab costs in the St Louis market recently?

3) Does anyone have a recommendation for a good multifamily property manager in STL?

4) Does anyone have a recommendation for a reputable contractor?