20+ Unit Apartment

[Gary McDaniel]

Hello fellow BP'ers

I recently found a 24 unit apartment complex with an additional suite for a maintenance person or apartment supervisor in my hometown.  The building was purchase to be a place where substance abusers could go after rehabilitation, but the building owner found another location that he was more interested in.  The apartment complex is currently free and clear, and the owner is trying to sell it to free up cash. 

I have been talking to a lender that's interested in funding the deal, the only thing is he's also interested in being either full owner and paying me as a wholesaler, making me a partial owner, or allowing me to run the apartment.

Because it's in my home city I'm conflicted because I have everything at my disposal there, i.e., trusted realtors, trusted contractors (in my family), trusted property manager (aunt), and my parents.  I'd love to keep it all in the family.

The apartment complex could use a little work.  Currently 12 units are being rented out from $260-375 per month.  The city has assessed the property at $371,000 and it is being sold for $215,000.  There was recently a price reduction of about $86,000. Six of the additional 12 units are being renovated.  The owner bought it for $168,000 as a foreclosure and put approximately $47K in it, so at this point he just wants to get his money back.

I don't necessarily have all the funds myself to be able to do it all by myself but I really need to structure something so that I can secure it.  

This will be my first deal and I don't want to necessarily let it go for something as minute (although very necessary) as money.  I see a lot of times first timers jump for something like this and succeed.

I need some advise.  Thanks so much for your time and all replies!