Sufficient experience for lending?

[Allen B.]

Hi all, got another question as I’m preparing to step up to multi family. What options do I have in terms of required experience?

Background: I built up a portfolio of 10 SFR plus one triplex when I lived in Atlanta. Those are being sold in various closings next week. Funds are going into 1031.

Goal: to buy a single (or at most, two) larger 5+ multi family properties. Focus is on cash flow as well as value add over time through improvements and solid operation. 

Problem: I’ll be bringing enough funds that, in order to get any sort of leverage at all, I’ll need a good-sized commercial loan. Even aside from leverage considerations, I’ll need some sort of loan unless I can spend exactly the right amount from the 1031, else cap gains become a concern.

Now, I operated my portfolio by myself until moving away from Atlanta. I’ve got experience with tenants, leasing, repairs, taxes, etc. This feels like a pretty solid background for any sort of multi family. But what if it’s not?

Does anyone here have experience with concerns about insufficient experience for a given-size property? What did you do? Are some lenders more open than others? I assume that reduced LTV would buy some flexibility (say 60-65% rather than way up at 75-80)?

Have spoken with a few lenders already and everything on that front is kind of non-committal. Would like to get an outside perspective. 

On a related note, my (retired) father spent his career in commercial real estate management and leasing (mostly office). Would bringing him in as a co-sponsor be helpful, even if he’s only investing a token amount himself?

Thanks,

Allen