Finding LPs / Partners

[Siraj Alsafar]

Hey there, I'm a Florida commerical real estate agent and have been officially working in real estate for a few years now.

I worked in property management for a bit when I was barely 16.

Many investors and institutions are flocking to Florida. Floridian's are paying more for rent than ever and their income hasn't risen to match it. Florida ranks #1 currently for unaffordability because of hundreds of thousands or millions of people moving here every year.

I have always wanted to own commercial real estate.  I want to avoid starting with duplex's, triplexes, etc because they are appraised and valued using a comparable sales approach like your home is.

When you buy a 30 unit apartment building as I would like to, the value of the property is more based on the income and the performance of the property which gives you an opportunity to create value and scale.

I have recently identified numerous properties I'm interested in but I'd like to focus on one and then consider scaling afterwards.

So here's my deal:

30 unit apartment building

100% occupied with 3-4 STR units currently.

13% cap rate CURRENT

Downtown Juneau, the capital of AK.

Stabilized but could use some light value add such as the common areas. 

Appraised 2.4m+

Sale price will be 2.1m

291k NOI

14 studios, 14 1 bedroom, 1 3 bedroom- 2b , 1 2 bedroom 2 bath. For a total of 30 units.

oceanviews, + mountain views

New electrical and fire systems.

roof coated 5yrs ago

new broiler tank for common areas.

My plan: implement RUBS+ (27k annually), optimize STR occupancy by adding simple amenities. This is already an amazing cash on cash return and I'd love to own it out right but my fiancee and I only have 10% to put down.

I've tried my network but no one else is willing to consider out of state. I would be the one who flies to the property and I'd also move to a closer state to be able to keep a closer eye on it.. I would make available the Short Term Rental units to our investors if we had any so they could inspect the property without having to pay hefty hotel expenses.

The city boasts a diverse job market, and this is a high cap property without being in the hood. It's an amazing downtown location just hundreds of feet from the governor's mansion and within walking distance to the grocery store, one of a kind parks, whale watching and the ocean.

So the question is how do I find, and connect with other investors who would want to do this deal for the cash flow? I want to refinance after buying so we can pay off the investors or they can stay in the deal.

I've been searching for months and I can't find anyone that I'm connected to who can help. The ideal investors who have to do a 1031 or have some extra cash on hand. We need 420k+ closing costs and as I said we have about 10% or 210k of the down payment from my fiancee's father passing.

How do I attract investors from other states who will trust me and a property management company to run the property?

With a normal down payment and current interest rates, after all expenses I'm expecting to currently cash flow about 10k a month net before doing any splits for anyone else who would join us.

I love the numbers on this deal but how do I find others to join me, as I have other buildings I want to acquire after this one is successfully completed and familiar to us.

The seller isn't willing to discount, or give any types of seller or creative financing for this or the others..

I must have this, what do I do?