15 Unit Investment Property Success - Waynesboro, VA

[Cassidy Burns]

Investment Info:

Large multi-family (5+ units) buy & hold investment.

Purchase price: $1,130,000
Cash invested: $245,000

Contributors:
Michael H. Cook

15 Unit Multifamily Building
-Value Add Opportunity
-14: 2 bed/ 1 bath units
-1: 3 bed/ 1 bath units
-Average Rents: $666/month per unit
-Projected Rents: $795/month
-Purchased at 6.9% CAP Rate
-Market currently trading at 5.75-6% CAP

What made you interested in investing in this type of deal?

We purchase small to mid size multifamily along the I81 Corridor . 15-150 units~

How did you find this deal and how did you negotiate it?

Broker Brought the deal to me off market

How did you finance this deal?

Bank Financing 80% LTV

How did you add value to the deal?

Average rents current $660/month. Projected Market Rents w/ no rehab: $795/month

What was the outcome?

6.9% CAP Rate purchase

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

Michael Cook w/ BPG Residential