Commercial Property Purchase

[Kory Miles]

Greetings,



I’m here seeking guidance on a potential deal. The property in question is a commercial property with 9 apartments and one retail space that intend to place my business in. The goal is to own the property in the name is the business and while definitely open to investors and partnership, I’m trying to navigate between the due diligence of the standard bank loan and partnership route, or if the master lease option I’ve been trying to research would work although I templates I haven’t structured one myself. The property has a listing agent, and it seems pretty turnkey, my fear is that without a pre approval I may not be able to be taken seriously, or put together a proposal package for potential partners or investors. I could be in my head about a deal this big as my first. However I’m not afraid to try or ask for help

Some advise I did receive is 

1. Copy of contract or purchase agreement
2. Last 2 years schedule E or tax returns from the current owner regarding the subject property
3. Copy of current leases in place for the subject property
4. 
   but can I ask for that now? It seems I would need something to have someone open their books?
   

[Bjorn Ahlblad]

Generally you need to make an offer to get a look at the financials etc. One partner will need net worth equal to loan amount. Some team member will need a track record of experience. You will need 12 months of reserves available. Talk to a lender. Get yourself qualified so you will be taken seriously by bank and seller. Don't forget about seller finance. All the best!