Mixed use property with 4 residential and 1 commercial unit

[Jose Quinones]

Investment Info:

Other buy & hold investment.

Purchase price: $375,000
Cash invested: $101,500

I own a mixed-use property with a total of five units, four 1BR residential apartments and one commercial space.

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

This deal fell on my lap as I was working with my family at their restaurant. My stepmother, rented the commercial space from the past landlord to open a coffee shop. When she started to remodel, she realized the electricity needed to be updated and the current landlord didn't have the funds to cover. So, she offered me the opportunity to buy it, since her debt to income was to high, and she paid the down payment.

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

Current landlord couldn't pay the upgrades so we offered to do the upgrades until the sale was final and not pay any rent in the process. We also gave him a large earnest.

How did you finance this deal?

Through commercial lending as an investment property.

How did you add value to the deal?

Updated all the mechanicals, designed a brand new commercial space, and remodeled the residential apartments.