MFH Deal But All Units Are 1/1s. Is it worth it? Suburban Area

[Neel P.]

I'm analyzing a deal for a commercial MFH home. It's in a B-class neighborhood that's about 20 min outside of the city center (in more of a suburban neighborhood).

All of the units are 1/1s though. What are the considerations for this type of deal?

My thought process: 

- Pros: Probably can get it for a discount. Decently in shape unit, rent rolls around $650

- Cons: 1/1s usually attract student, singles or couples. This is not a city center so I'm wondering if it'll mainly attract C class tenants who are very transient, or it'll be hard to rent. Less rental appreciation potential

Any insight from people who have looked into or bought MFHs with all 1/1s would be great. Thank you!