Toledo Ohio MF Investment Assumptions

[Mark Robertson]

I've been presented with a 500 unit multifamily investment opportunity in the Ottawa area of Toledo OH and wanted feedback from anyone that's invested in the area.  

Has anyone invested in the Toledo market and if so what do they think about:

1. Exit cap of 7% in year 5

2, Buying property at about a 9 cap

3. Current rents average $260 (60% below market?) Renovations are planned (about 50% of purchase price is budget for renovation)

4, Getting $.80 per foot for rent after renovation (example getting $675 for a 2BR 1 BA 850 SqF apt)

5. Having $36K per unit in total cost after renovation

Thanks