Beach Quadruplex

[Charles A.]

We are under contract for 7 blocks of quadruplexes.

28 units 

Contract sales price=$1,575,000

Appraised value=$1,700,000 (real appraisal done 01/16)

NOI=$156,000

Average cap for area =7%

current average rents per unit $650

Comparable rents=$750/unit

This is a value play rather than for immediate cash flow which is not particularly impressive as COC return is in the 3% range per bigger pockets rental calculator.

What do you think?